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Debt Obligations | 3 Months Ended
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Mar. 31, 2014
Debt Disclosure [Abstract] |
Debt Disclosure [Text Block] | DEBT OBLIGATIONS The following table sets forth information regarding the Company’s consolidated debt obligations at March 31, 2014 and December 31, 2013 (in thousands):
Property / Location | March 31, 2014 |  | December 31, 2013 |  | Effective Interest Rate |  |  |  | Maturity Date
MORTGAGE DEBT: |  |  |  |  |  |  |  |  |
Tysons Corner | $ | 90,918 |  |  | $ | 91,395 |  |  | 5.36 | % |  | (a) |  | Aug-15
One Commerce Square | 124,604 |  |  | 125,089 |  |  | 3.68 | % |  | (a) |  | Jan-16
Two Logan Square | 88,362 |  |  | 88,583 |  |  | 7.57 | % |  |  |  | Apr-16
Fairview Eleven Tower | 21,566 |  |  | 21,630 |  |  | 4.25 | % |  | (b) |  | Jan-17
Two Commerce Square | 112,000 |  |  | 112,000 |  |  | 4.51 | % |  | (a) |  | Apr-23
Cira Square (GSA Philadelphia Campus) | 189,370 |  |  | 190,964 |  |  | 7.00 | % |  |  |  | Sep-30
Cira Centre South Garage | 39,530 |  |  | 40,101 |  |  | 7.12 | % |  |  |  | Sep-30
Principal balance outstanding | 666,350 |  |  | 669,762 |  |  |  |  |  |  |  |
Plus: fair market value premiums (discounts), net | (45 | ) |  | 389 |  |  |  |  |  |  |  |
Total mortgage indebtedness | $ | 666,305 |  |  | $ | 670,151 |  |  |  |  |  |  |  |
UNSECURED DEBT: |  |  |  |  |  |  |  |  |  |
Three-Year Term Loan - Swapped to fixed | $ | 150,000 |  |  | $ | 150,000 |  |  | 2.60 | % |  |  |  | Feb-15
Four-Year Term Loan | 100,000 |  |  | 100,000 |  |  | LIBOR + 1.75% |  |  | (c) |  | Feb-16
Seven-Year Term Loan - Swapped to fixed | 200,000 |  |  | 200,000 |  |  | 3.62 | % |  |  |  | Feb-19
$250.0M 5.400% Guaranteed Notes due 2014 | 218,549 |  |  | 218,549 |  |  | 5.53 | % |  |  |  | Nov-14
$250.0M 7.500% Guaranteed Notes due 2015 | 157,625 |  |  | 157,625 |  |  | 7.76 | % |  |  |  | May-15
$250.0M 6.000% Guaranteed Notes due 2016 | 149,919 |  |  | 149,919 |  |  | 5.95 | % |  |  |  | Apr-16
$300.0M 5.700% Guaranteed Notes due 2017 | 300,000 |  |  | 300,000 |  |  | 5.68 | % |  |  |  | May-17
$325.0M 4.950% Guaranteed Notes due 2018 | 325,000 |  |  | 325,000 |  |  | 5.13 | % |  |  |  | Apr-18
$250.0M 3.950% Guaranteed Notes due 2023 | 250,000 |  |  | 250,000 |  |  | 4.02 | % |  |  |  | Feb-23
Indenture IA (Preferred Trust I) | 27,062 |  |  | 27,062 |  |  | 2.75 | % |  |  |  | Mar-35
Indenture IB (Preferred Trust I) | 25,774 |  |  | 25,774 |  |  | 3.30 | % |  |  |  | Apr-35
Indenture II (Preferred Trust II) | 25,774 |  |  | 25,774 |  |  | 3.09 | % |  |  |  | Jul-35
Principal balance outstanding | 1,929,703 |  |  | 1,929,703 |  |  |  |  |  |  |  |
Plus: original issue premiums (discounts), net | (4,202 | ) |  | (4,473 | ) |  |  |  |  |  |  |
Total unsecured indebtedness | $ | 1,925,501 |  |  | $ | 1,925,230 |  |  |  |  |  |  |  |
Total Debt Obligations | $ | 2,591,806 |  |  | $ | 2,595,381 |  |  |  |  |  |  |  |
(a) | These loans were assumed upon acquisition of the related properties. The interest rate reflects the market rate at the time of acquisition.
(b) | Represents the full debt amount secured by a property owned by a consolidated joint venture in which the Company holds a 50% interest.
(c) | London Interbank Offered Rate (“LIBOR”).
During the three-month periods ended March 31, 2014 and 2013, the Company’s weighted-average effective interest rate on its mortgage notes payable was 5.73% and 6.65%, respectively.
The Parent Company unconditionally guarantees the unsecured debt obligations of the Operating Partnership (or is a co-borrower with the Operating Partnership) but does not by itself incur unsecured indebtedness. The Parent Company has no material assets other than its investment in the Operating Partnership. The Company utilizes its unsecured revolving credit facility (the "Credit Facility") for general business purposes, including funding costs of acquisitions, developments and redevelopments and repayment of other debt. The scheduled maturity date of the Credit Facility in place at March 31, 2014 is February 1, 2016. The per annum variable interest rate on balances outstanding under the Credit Facility is LIBOR plus 1.50%. The interest rate and facility fee are subject to adjustment upon a change in the Company’s unsecured debt ratings. As of March 31, 2014, the Company did not have any outstanding borrowings on its Credit Facility, with $1.7 million in letters of credit outstanding, leaving $598.3 million of unused availability under the Credit Facility. During each of the three-month periods ended March 31, 2014 and 2013, there were no weighted-average interest rates associated with the Credit Facility because there were no borrowings outstanding under the Credit Facility during either period. The Company has the option to increase the amounts available to be advanced under the Credit Facility, the $150.0 million three-year term loan, and the $100.0 million four-year term loan by an aggregate of $200.0 million, subject to customary conditions and limitations, by obtaining additional commitments from the current lenders and other financial institutions. The Company also has the option to extend the maturity dates of each of the Credit Facility, the $150.0 million three-year term loan and the $100.0 million four-year term loan by one year, subject to payment of an extension fee and other customary conditions and limitations. The Company may repay the $150.0 million three-year term loan and the $100.0 million four-year term loan at any time without penalty. The $200.0 million seven-year term loan is subject to a prepayment penalty of 1.00% through February 1, 2015 with no penalty thereafter. The spread to LIBOR for LIBOR-based loans under the Credit Facility and term loans depends on the Company's unsecured senior debt credit rating. Based on the Company's current credit rating, the spread for such loans will be 150 basis points under the Credit Facility, 175 basis points under both the $150.0 million three-year term loan and the $100.0 million four-year term loan and 190 basis points under the $200.0 million seven-year term loan. At the Company's option, advances under the Credit Facility and term loans may also bear interest at a per annum floating rate equal to the higher of the prime rate or the federal funds rate plus 0.50% per annum. The Credit Facility contains a competitive bid option that allows banks that are part of the lender consortium to bid to make loans to the Company at a reduced rate. The Company executed hedging transactions that fix the rate on the $200.0 million seven-year term loan at a 3.623% average rate for its full term, and the rate on the $150.0 million three-year term loan at a 2.596% average rate for periods of three to four years. All hedges commenced on February 1, 2012 and the rates are inclusive of the LIBOR spread based on the Company's current investment grade rating. See Note 9 for details of the interest rate swaps entered into as of March 31, 2014. The Credit Facility and term loans contain financial and operating covenants and restrictions. The Company was in compliance with all such restrictions and financial covenants as of March 31, 2014. In the event of a default related to the financing and operating covenants, the Company's dividend distributions are limited to the greater of 95% of funds from operations or the minimum amount necessary for the Company to maintain its status as a REIT. As of March 31, 2014, the Company’s aggregate scheduled principal payments on debt obligations, excluding amortization of discounts and premiums, were as follows (in thousands):
2014 (nine months remaining) | $ | 228,964 |
2015 | 409,655 |
2016 | 467,703 |
2017 | 330,323 |
2018 | 336,954 |
Thereafter | 822,454 |
Total principal payments | 2,596,053 |
Net unamortized premiums/(discounts) | (4,247 | )
Outstanding indebtedness | $ | 2,591,806 |

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- Definition The entire disclosure for information about short-term and long-term debt arrangements, which includes amounts of borrowings under each line of credit, note payable, commercial paper issue, bonds indenture, debenture issue, own-share lending arrangements and any other contractual agreement to repay funds, and about the underlying arrangements, rationale for a classification as long-term, including repayment terms, interest rates, collateral provided, restrictions on use of assets and activities, whether or not in compliance with debt covenants, and other matters important to users of the financial statements, such as the effects of refinancing and noncompliance with debt covenants. + References Reference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 505 -SubTopic 10 -Section 50 -Paragraph 3 -URI http://asc.fasb.org/extlink&oid=6928386&loc=d3e21475-112644 Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher SEC -Name Regulation S-X (SX) -Number 210 -Section 02 -Paragraph 19, 20, 22 -Article 5 Reference 3: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 210 -SubTopic 10 -Section S99 -Paragraph 1 -Subparagraph (SX 210.5-02.19,20,22) -URI http://asc.fasb.org/extlink&oid=6877327&loc=d3e13212-122682 + Details
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