Discontinued Operations (Tables)

The following table summarizes the properties sold during the years ended December 31, 2015, 2014 and 2013:



Location	Month of Disposition	Number of Buildings	Rentable Square Feet (unaudited)	Sales Price (in millions) ⁽¹⁾
2015 Dispositions
15050 NE 36th Street, Redmond, WA	April	1	122,103	$	51.2
San Diego Properties - Tranches 1 and 2 ⁽²⁾	April/July	9	924,291	258.0
Total 2015 Dispositions		10	1,046,394	$	309.2

2014 Dispositions ⁽³⁾
San Diego Properties, San Diego, CA ⁽⁴⁾	January	12	1,049,035	$	294.7
9785 & 9791 Towne Centre Drive, San Diego, CA	June	2	126,000	29.5
111 Pacifica, Irvine, CA	September	1	67,496	15.1
4040 Civic Center Drive, San Rafael, CA	October	1	130,237	34.9
999 Town & Country Road, Orange, CA	December	1	98,551	25.3
Total 2014 Dispositions		17	1,471,319	$	399.5

2013 Dispositions ⁽³⁾
26541 Agoura Road, Calabasas, CA	June	1	90,156	$	14.7
8101 Kaiser Boulevard, Anaheim, CA	October	1	59,790	9.6
4910 Directors Place, San Diego CA	December	1	50,360	32.6
Total 2013 Dispositions		3	200,306	$	56.9

__________________


(1)	Represents gross sales price before the impact of broker commissions and closing costs.


(2)	The San Diego Properties - Tranche 1 includes the following properties: 10770 Wateridge Circle, 6200 Greenwich Drive, and 6220 Greenwich Drive. The San Diego Properties - Tranche 2 includes the following properties: 6260 Sequence Drive, 6290, Sequence Drive, 6310 Sequence Drive, 6340 Sequence Drive, 6350 Sequence Drive and 4921 Directors Place.

(3)

The Company adopted ASU 2014-08 effective January 1, 2015 (see Note 2 “Basis of Presentation and Significant Accounting Policies” for additional information). As a result, results of operations for properties disposed of subsequent of January 1, 2015 are presented in continuing operations because they did not represent strategic shifts. Properties disposed of prior to January 1, 2015 are presented in discontinued operations.


(4)	The San Diego Properties included the following: 10020 Pacific Mesa Boulevard, 6055 Lusk Avenue, 5010 and 5005 Wateridge Vista Drive, 15435 and 15445 Innovation Drive, and 15051, 15073, 15231, 15253, 15333 and 15378 Avenue of Science. These properties were held for sale as of December 31, 2013.

Our stabilized portfolio of operating properties was comprised of the following office properties at December 31, 2015:



	Number of Buildings	Rentable Square Feet (unaudited)	Number of Tenants	Percentage Occupied (unaudited)
Stabilized Office Properties	101	13,032,406	517	94.8	%

As of December 31, 2015, the following properties were excluded from our stabilized portfolio:



	Number of Properties/Projects	Estimated Rentable Square Feet (unaudited) ⁽¹⁾
Properties held for sale⁽²⁾	4	465,812
Development projects in “lease-up"	1	73,000
Development projects under construction	5	1,910,000

_______________


(1)	Estimated rentable square feet upon completion.

For the years ended December 31, 2014 and 2013, discontinued operations included the results of all properties sold in 2014 and 2013 and classified as held for sale at December 31, 2013, except for the operations deemed immaterial related to a June 2014 office property disposition. The following table summarizes the revenue and expense components that comprise income from discontinued operations for the years ended December 31, 2014 and 2013:




	2014		2013
	(in thousands)
Revenues:
Rental income	$	7,206	$	31,984
Tenant reimbursements	278		3,546
Other property income	13		5,178
Total revenues	7,497		40,708
Expenses:
Property expenses	2,171		7,207
Real estate taxes	692		3,523
Depreciation and amortization	2,061		12,600
Total expenses	4,924		23,330
Income from discontinued operations before net gain on dispositions of discontinued operations	2,573		17,378
Net gain on dispositions of discontinued operations	121,922		12,252
Total income from discontinued operations	$	124,495	$	29,630

- Definition

Tabular disclosure of disposal groups, which may include the gain (loss) recognized in the income statement and the income statement caption that includes that gain (loss), amounts of revenues and pretax profit or loss reported in discontinued operations, the classification and carrying value of the assets and liabilities comprising the disposal group, and the segment in which the disposal group was reported. Also may include the amount of adjustments to amounts previously reported in discontinued operations such as resolution of contingencies arising from the disposal transaction or the operations of the component prior to disposal.

+ References + Details