Schedule III - Consolidated Real Estate and Accumulated Depreciation

December 31, 2014

(In thousands)



			Initial Costs				Cost Capitalized Subsequent to Acquisition					Gross Carrying Amount at December 31, 2014						Accumulated Depreciation at December 31, 2014			Year Built / Renovated	Year Acquired
Property name	Encumbrances at December, 31 2014		Land		Building & Improvements		Improvements			Carrying Costs		Land		Building & All Improvements		Total
Office
Technicolor Building⁽¹⁾	$	—	$	6,599	$	27,187	$	25,460		$	3,088	$	6,599	$	55,735	$	62,334	$	(13,316	)	2008	2007
875 Howard Street Property⁽¹⁾	—		18,058		41,046		12,436			1,180		18,058		54,662		72,720		(12,408		)	Various	2007
Del Amo	—		—		18,000		1,167			—		—		19,167		19,167		(2,656		)	1986	2010
9300 Wilshire	—		—		10,718		696			—		—		11,414		11,414		(1,427		)	1965/2001	2010
222 Kearny⁽¹⁾	—		7,563		23,793		2,768			—		7,563		26,561		34,124		(3,349		)	Various	2010
Rincon Center	104,126		58,251		110,656		11,763			—		58,251		122,419		180,670		(14,755		)	1985	2010
1455 Market⁽¹⁾	—		41,226		34,990		25,934			—		41,226		60,924		102,150		(1,419		)	1977	2010
10950 Washington	28,866		17,979		25,110		416			—		17,979		25,526		43,505		(3,329		)	Various	2010
604 Arizona⁽¹⁾	—		5,620		14,745		1,384			—		5,620		16,129		21,749		(1,385		)	1950	2011
275 Brannan Street	15,000		4,187		8,063		14,026			1,115		4,187		23,204		27,391		(1,811		)	1906	2011
625 Second Street⁽¹⁾	—		10,744		42,650		(70		)	—		10,744		42,580		53,324		(4,267		)	1905	2011
6922 Hollywood	—		16,608		72,392		3,835			—		16,608		76,227		92,835		(7,551		)	1965	2011
10900 Washington	—		1,400		1,200		735			—		1,400		1,935		3,335		(209		)	1,973	2012
901 Market Street	49,600		17,882		79,305		13,719			—		17,882		93,024		110,906		(6,300		)	1912/1985	2012
Element LA	59,490		79,769		19,755		69,529			9,225		79,769		98,509		178,278		(113		)	1949	2012, 2013
Pinnacle I	129,000		28,518		171,657		3,976			—		28,518		175,633		204,151		(10,961		)	2002	2012
Pinnacle II	87,421		15,430		115,537		208			—		15,430		115,745		131,175		(5,298		)	2005	2013
3401 Exposition	—		14,120		11,319		9,953			1,028		14,120		22,300		36,420		(81		)	1961	2013
First & King	—		35,899		184,437		5,619			—		35,899		190,056		225,955		(7,751		)	1904/2009	2013
Met Park North	64,500		28,996		71,768		499			—		28,996		72,267		101,263		(3,011		)	2000	2013
Northview	—		4,803		41,191		151			—		4,803		41,342		46,145		(2,354		)	1991	2013
3402 Pico	—		16,410		2,136		1,066			627		16,410		3,829		20,239		—			1950	2014
Merrill Place			27,684		29,824		1,539			2		27,684		31,365		59,049		(1,307		)	Various	2014
Jefferson			6,040		31,960		73			—		6,040		32,033		38,073		—			1985	2014
Icon	—		—		—		13,121			84		—		13,205		13,205		—			Ongoing	2008



			Initial Costs				Cost Capitalized subsequent to Acquisition				Gross Carrying Amount at December 31, 2014						Accumulated Depreciation at December 31, 2014⁽³⁾			Year Built / Renovated	Year Acquired
Property name	Encumbrances at December, 31 2014		Land		Building & Improvements		Improvements		Carrying Costs		Land		Building & All Improvements		Total
Media & Entertainment
Sunset Gower⁽²⁾	97,000		79,321		64,697		15,685		139		79,321		80,521		159,842		(15,856		)	Various	2007, 2011, 2012
Sunset Bronson⁽²⁾	—		77,698		32,374		11,682		122		77,698		44,178		121,876		(13,743		)	Various	2008
Total	$	635,003	$	620,805	$	1,286,510	$	247,370	$	16,610	$	620,805	$	1,550,490	$	2,171,295	$	(134,657	)
Real estate held for sale:
First Financial	42,449		8,115		52,137		8,194		—		8,115		60,331		68,446		(7,904		)	1986	2010
	$	677,452	$	628,920	$	1,338,647	$	255,564	$	16,610	$	628,920	$	1,610,821	$	2,239,741	$	(142,561	)

______________________________


(1)	These properties are secured under our line of credit, which, as of December 31, 2014, has an outstanding balance of $130,000.


(2)	Effective August 22, 2013, the terms of this loan were amended to increase the outstanding balance from $92,000 to $97,000, reduce the interest rate from LIBOR plus 3.50% to LIBOR plus 2.25%, and extend the maturity date from February 11, 2016 to February 11, 2018.


(3)	The Company computes depreciation using the straight-line method over the estimated useful lives of 39 years for building and improvements, 15 years for land improvements, and over the shorter of asset life or life of the lease for tenant improvements.

The aggregate gross cost of property included above for federal income tax purposes approximated $2.2 billion, unaudited as of December 31, 2014.

The following table reconciles the historical cost of total real estate held for investment and accumulated depreciation from January 1, 2012 to December 31, 2014:



	Year Ended December 31,
	2014			2013			2012
Total Investment in real estate, beginning of year	$	2,035,330		$	1,475,955		$	1,060,504
Additions during period:
Acquisitions	114,008			538,322			390,370
Improvements, capitalized costs	128,018			89,707			27,901
Total additions during period	242,026			628,029			418,271
Deductions during period
Disposal (fully depreciated assets and early terminations)	(23,977		)	(9,638		)	(2,820		)
Cost of property sold	(13,638		)	(59,016		)	—
Total deductions during period	(37,615		)	(68,654		)	(2,820		)
Ending balance, before reclassification to assets associated with real estate held for sale	2,239,741			2,035,330			1,475,955
Reclassification to assets associated with real estate held for sale	(68,446		)	(82,305		)	—
Total Investment in real estate, end of year	$	2,171,295		$	1,953,025		$	1,475,955

Total accumulated depreciation, beginning of year	$	(116,342	)	$	(85,184	)	$	(53,329	)
Additions during period:
Depreciation of real estate	(50,044		)	(41,454		)	(34,675		)
Total additions during period	(50,044		)	(41,454		)	(34,675		)
Deductions during period:
Deletions	22,310			4,837			2,820
Write-offs due to sale	1,515			5,459			—
Total deductions during period	23,825			10,296			2,820
Ending balance, before reclassification to assets associated with real estate held for sale	(142,561		)	(116,342		)	$	(85,184	)
Reclassification to assets associated with real estate held for sale	7,904			7,931			—
Total accumulated depreciation, end of year	$	(134,657	)	$	(108,411	)	$	(85,184	)