XML 44 R21.htm IDEA: XBRL DOCUMENT v3.25.0.1
Segment Information
 12 Months Ended
Dec. 31, 2024
Segment Reporting [Abstract]  
Segment Reporting Disclosure [Text Block]
12. Segment Information
Operating segments are defined as components of an enterprise that engage in business activities from which they may earn revenues and incur expenses and about which discrete financial information is available that is evaluated regularly by the Chief Operating Decision Makers (“CODM”). The CODM decides how resources should be allocated and assesses performance on a recurring basis, at least quarterly. The Company’s CODMs are its Chief Executive Officer and President. The CODMs review operating performance and financial reports by geographic area and property type. In addition, given the size of the Company’s joint venture portfolio, the CODMs utilize the Company’s share of net operating income (“NOI”), which includes the Company’s share of NOI from consolidated and unconsolidated joint ventures, as its profit or loss measure in assessing each segment’s performance and deciding how to allocate resources.
The Company’s share of NOI is used by the CODMs to evaluate the profitability and performance of each geographic area on a consistent and comparable basis, supporting decisions on capital resource allocation, including in connection with development, redevelopment, acquisition and disposition activities in each segment. Additionally, the Company believes its share of NOI is useful as a profit or loss measure and believes it provides useful information 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 BXP, Inc. and net income attributable to Boston Properties Limited Partnership.
Asset information by segment is not reported because the Company and the CODMs are not provided with the segment asset information and therefore do not use this measure to assess performance or allocate resources. Asset values for the Company’s properties are reported in the Consolidated Balance Sheets at historical cost, which may not reflect current market values. Therefore, depreciation and amortization expense is not allocated among segments. The following are not included in the Company’s share of NOI as they are 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: development and management services revenue, direct reimbursements of payroll and related costs from management services contracts, gains on sales of real estate, gain on sales-type lease, interest and other income (loss), other income - assignment fee, gains (losses) from investments in securities, unrealized gain (loss) on non-real estate investments, corporate general and administrative expense, payroll and related costs from management services contracts, transaction costs, depreciation and amortization expense, losses from interest rate contracts, impairment loss and interest expense. The Company’s share of NOI presented may not be comparable to what is reported by other REITs or real estate companies that define NOI differently.
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. The Company shows the different property types as the revenue from each type is derived from non-comparable lease structures.
The following tables present reconciliations of Company’s share of NOI to Net Income Attributable to BXP, Inc. and Net Income Attributable to Boston Properties Limited Partnership for the years ended December 31, 2024, 2023 and 2022.
BXP
 Year ended December 31,
202420232022
(in thousands)
Company’s share of NOI$1,984,056 $1,965,106 $1,883,796 
Add:
Development and management services revenue28,060 40,850 28,056 
Direct reimbursements of payroll and related costs from management services contracts
16,488 17,771 15,450 
Gains on sales of real estate602 517 437,019 
Gain on sales-type lease— — 10,058 
Interest and other income (loss)60,199 69,964 11,940 
Other income - assignment fee— — 6,624 
Gains (losses) from investments in securities4,416 5,556 (6,453)
Unrealized gain (loss) on non-real estate investments546 239 (150)
Net operating income attributable to noncontrolling interests in property partnerships
186,707 194,365 191,812 
Less:
General and administrative expense159,983 170,158 146,378 
Payroll and related costs from management services contracts
16,488 17,771 15,450 
Transaction costs1,597 4,313 2,905 
Depreciation and amortization expense887,191 830,813 749,775 
Loss from unconsolidated joint ventures343,177 239,543 59,840 
Net operating income from unconsolidated joint ventures129,718 160,695 146,081 
Losses from interest rate contracts — 79 — 
Impairment loss13,615 — — 
Interest expense645,117 579,572 437,139 
Net Income84,188 291,424 1,020,584 
Less:
Noncontrolling interests in property partnerships67,516 78,661 74,857 
Noncontrolling interest—common units of the Operating Partnership
2,400 22,548 96,780 
Net income attributable to BXP, Inc.$14,272 $190,215 $848,947 
BPLP
 Year ended December 31,
 202420232022
(in thousands)
Company’s share of NOI$1,984,056 $1,965,106 $1,883,796 
Add:
Development and management services revenue28,060 40,850 28,056 
Direct reimbursements of payroll and related costs from management services contracts
16,488 17,771 15,450 
Gains on sales of real estate602 517 441,075 
Gain on sales-type lease— — 10,058 
Interest and other income (loss)60,199 69,964 11,940 
Other income - assignment fee— — 6,624 
Gains (losses) from investments in securities4,416 5,556 (6,453)
Unrealized gain (loss) on non-real estate investments546 239 (150)
Net operating income attributable to noncontrolling interests in property partnerships
186,707 194,365 191,812 
Less:
General and administrative expense159,983 170,158 146,378 
Payroll and related costs from management services contracts
16,488 17,771 15,450 
Transaction costs1,597 4,313 2,905 
Depreciation and amortization expense880,383 823,805 742,293 
Loss from unconsolidated joint ventures343,177 239,543 59,840 
Net operating income from unconsolidated joint ventures129,718 160,695 146,081 
Losses from interest rate contracts— 79 — 
Impairment loss13,615 — — 
Interest expense645,117 579,572 437,139 
Net Income90,996 298,432 1,032,122 
Less:
Noncontrolling interests in property partnerships67,516 78,661 74,857 
Net income attributable to Boston Properties Limited Partnership$23,480 $219,771 $957,265 
The following table presents a reconciliation of Revenue from the Consolidated Financial Statements to Rental Revenue for the years ended December 31, 2024, 2023 and 2022.
 Year ended December 31,
202420232022
(in thousands)
Revenue$3,407,719 $3,273,569 $3,108,581 
Less:
Development and management services28,060 40,850 28,056 
Direct reimbursements of payroll and related costs from management services contracts16,488 17,771 15,450 
Total rental revenue$3,363,171 $3,214,948 $3,065,075 
The following tables presents the Company’s share of NOI for each geographic segment by property type, including Office (which includes office, life sciences and retail), Residential and Hotel for the years ended December 31, 2024, 2023 and 2022 (dollars in thousands).
For the year ended December 31, 2024:
BostonLos AngelesNew YorkSan FranciscoSeattleWashington, DCTotal
Rental Revenue:
Office$1,159,460 $75,353 $1,042,460 $522,463 $44,080 $418,623 $3,262,439 
Residential17,198 — — 13,668 — 18,642 49,508 
Hotel51,224 — — — — — 51,224 
Total1,227,882 75,353 1,042,460 536,131 44,080 437,265 3,363,171 
% of Grand Totals36.51 %2.24 %31.00 %15.94 %1.31 %13.00 %100.00 %
Rental Expenses:
Office427,446 27,537 437,600 199,324 13,170 158,289 1,263,366 
Residential6,495 — — 8,940 — 8,037 23,472 
Hotel35,288 — — — — — 35,288 
Total469,229 27,537 437,600 208,264 13,170 166,326 1,322,126 
% of Grand Totals35.49 %2.08 %33.10 %15.75 %1.00 %12.58 %100.00 %
Net operating income$758,653 $47,816 $604,860 $327,867 $30,910 $270,939 $2,041,045 
% of Grand Totals37.18 %2.35 %29.63 %16.06 %1.51 %13.27 %100.00 %
Less: Net operating income attributable to noncontrolling interests in property partnerships(46,487)— (140,220)— — — (186,707)
Add: Company’s share of net operating income from unconsolidated joint ventures35,298 27,367 15,612 18,312 7,788 25,341 129,718 
Company’s share of net operating income$747,464 $75,183 $480,252 $346,179 $38,698 $296,280 $1,984,056 
% of Grand Totals37.67 %3.79 %24.21 %17.45 %1.95 %14.93 %100.00 %
For the year ended December 31, 2023:
BostonLos AngelesNew YorkSan FranciscoSeattleWashington, DCTotal
Rental Revenue:
Office$1,093,840 $3,890 $1,053,615 $539,904 $63,830 $364,920 $3,119,999 
Residential16,452 — — 14,102 — 17,038 47,592 
Hotel47,357 — — — — — 47,357 
Total1,157,649 3,890 1,053,615 554,006 63,830 381,958 3,214,948 
% of Grand Totals36.01 %0.12 %32.77 %17.23 %1.99 %11.88 %100.00 %
Rental Expenses:
Office393,339 1,431 415,831 194,205 12,387 143,504 1,160,697 
Residential6,378 — — 9,255 — 7,617 23,250 
Hotel32,225 — — — — — 32,225 
Total431,942 1,431 415,831 203,460 12,387 151,121 1,216,172 
% of Grand Totals35.51 %0.12 %34.19 %16.73 %1.02 %12.43 %100.00 %
Net operating income$725,707 $2,459 $637,784 $350,546 $51,443 $230,837 $1,998,776 
% of Grand Totals36.31 %0.12 %31.91 %17.54 %2.57 %11.55 %100.00 %
Less: Net operating income attributable to noncontrolling interests in property partnerships(45,730)— (148,635)— — — (194,365)
Add: Company’s share of net operating income from unconsolidated joint ventures34,376 48,818 14,314 16,203 7,494 39,490 160,695 
Company’s share of net operating income$714,353 $51,277 $503,463 $366,749 $58,937 $270,327 $1,965,106 
% of Grand Totals36.35 %2.61 %25.62 %18.66 %3.00 %13.76 %100.00 %
 
For the year ended December 31, 2022:
BostonLos AngelesNew YorkSan FranciscoSeattleWashington, DCTotal
Rental Revenue:
Office$1,005,156 $— $1,031,479 $534,397 $31,978 $365,402 $2,968,412 
Residential15,086 — — 14,769 — 27,326 57,181 
Hotel39,482 — — — — — 39,482 
Total1,059,724 — 1,031,479 549,166 31,978 392,728 3,065,075 
% of Grand Totals34.58 %— %33.65 %17.92 %1.04 %12.81 %100.00 %
Rental Expenses:
Office360,218 — 391,293 183,353 8,386 135,237 1,078,487 
Residential5,961 — — 11,371 — 12,251 29,583 
Hotel27,478 — — — — — 27,478 
Total393,657 — 391,293 194,724 8,386 147,488 1,135,548 
% of Grand Totals34.66 %— %34.46 %17.15 %0.74 %12.99 %100.00 %
Net operating income$666,067 $— $640,186 $354,442 $23,592 $245,240 $1,929,527 
% of Grand Totals34.52 %— %33.18 %18.37 %1.22 %12.71 %100.00 %
Less: Net operating income attributable to noncontrolling interests in property partnerships(45,822)— (145,990)— — — (191,812)
Add: Company’s share of net operating income from unconsolidated joint ventures34,233 53,023 1,594 12,785 7,690 36,756 146,081 
Company’s share of net operating income$654,478 $53,023 $495,790 $367,227 $31,282 $281,996 $1,883,796 
% of Grand Totals34.75 %2.81 %26.32 %19.49 %1.66 %14.97 %100.00 %