
| (State or other jurisdiction of incorporation or organization) | (I.R.S. Employer Identification Number) | |||||||
| Title of each class | Trading Symbol(s) | Name of each exchange on which registered | ||||||
| ☒ | Smaller reporting company | |||||||||||||
| Accelerated filer | ☐ | Emerging growth company | ||||||||||||
| Non-accelerated filer | ☐ | |||||||||||||
| PART I | Page | |||||||
| PART II | ||||||||
ITEM 6. | ||||||||
| PART III | ||||||||
| PART IV | ||||||||
| ASU | Accounting Standards Update | ||||
| ATM | At the Market | ||||
| CIP | Construction in Progress | ||||
| EPS | Earnings per Share | ||||
| ESG | Environmental, Social, and Governance | ||||
| FASB | Financial Accounting Standards Board | ||||
| FDA | U.S. Food and Drug Administration | ||||
| FDIC | Federal Deposit Insurance Corporation | ||||
| FFO | Funds From Operations | ||||
| GAAP | U.S. Generally Accepted Accounting Principles | ||||
| HVAC | Heating, Ventilation, and Air Conditioning | ||||
| IASB | International Accounting Standards Board | ||||
| IRS | Internal Revenue Service | ||||
| JV | Joint Venture | ||||
LEED® | Leadership in Energy and Environmental Design | ||||
| LIBOR | London Interbank Offered Rate | ||||
| Nareit | National Association of Real Estate Investment Trusts | ||||
| NAV | Net Asset Value | ||||
| NYSE | New York Stock Exchange | ||||
| REIT | Real Estate Investment Trust | ||||
| RSF | Rentable Square Feet/Foot | ||||
| SEC | Securities and Exchange Commission | ||||
| SF | Square Feet/Foot | ||||
| SoDo | South of Downtown submarket of Seattle | ||||
| SOFR | Secured Overnight Financing Rate | ||||
| SoMa | South of Market submarket of San Francisco | ||||
| U.S. | United States | ||||
| VIE | Variable Interest Entity | ||||

| RSF | Number of Properties | Annual Rental Revenue | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Market | Operating | Development | Redevelopment | Total | % of Total | Total | % of Total | Per RSF | ||||||||||||||||||||||||||||||||||||||||||||||||
Greater Boston | 11,450,547 | 1,546,965 | 1,200,173 | 14,197,685 | 30 | % | 84 | $ | 731,010 | 36 | % | $ | 67.58 | |||||||||||||||||||||||||||||||||||||||||||
| San Francisco Bay Area | 8,100,245 | 443,388 | 300,010 | 8,843,643 | 19 | 67 | 452,191 | 23 | 61.88 | |||||||||||||||||||||||||||||||||||||||||||||||
New York City | 1,270,019 | — | — | 1,270,019 | 3 | 5 | 97,413 | 5 | 83.14 | |||||||||||||||||||||||||||||||||||||||||||||||
San Diego | 8,099,957 | 254,771 | — | 8,354,728 | 18 | 94 | 330,713 | 16 | 42.79 | |||||||||||||||||||||||||||||||||||||||||||||||
Seattle | 2,814,446 | 311,631 | 213,976 | 3,340,053 | 7 | 46 | 109,029 | 5 | 39.95 | |||||||||||||||||||||||||||||||||||||||||||||||
Maryland | 3,459,475 | 282,000 | 91,134 | 3,832,609 | 8 | 50 | 115,347 | 6 | 35.12 | |||||||||||||||||||||||||||||||||||||||||||||||
Research Triangle | 3,596,979 | 268,038 | 376,871 | 4,241,888 | 9 | 42 | 99,055 | 5 | 29.31 | |||||||||||||||||||||||||||||||||||||||||||||||
| Texas | 1,724,585 | — | 201,499 | 1,926,084 | 4 | 15 | 45,785 | 2 | 29.11 | |||||||||||||||||||||||||||||||||||||||||||||||
Canada | 577,225 | — | 107,081 | 684,306 | 1 | 8 | 9,868 | 1 | 21.15 | |||||||||||||||||||||||||||||||||||||||||||||||
| Non-cluster/other markets | 382,960 | — | — | 382,960 | 1 | 11 | 14,554 | 1 | 50.70 | |||||||||||||||||||||||||||||||||||||||||||||||
Properties held for sale | 297,284 | — | — | 297,284 | — | 10 | (1) | 2,476 | — | N/A | ||||||||||||||||||||||||||||||||||||||||||||||
North America | 41,773,722 | 3,106,793 | 2,490,744 | 47,371,259 | 100 | % | 432 | $ | 2,007,441 | 100 | % | $ | 51.75 | |||||||||||||||||||||||||||||||||||||||||||
| 5,597,537 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Operating Properties | Operating and Redevelopment Properties | |||||||||||||||||||||||||||||||||||||
| Market | 12/31/22 | 12/31/21 | 12/31/20 | 12/31/22 | 12/31/21 | 12/31/20 | ||||||||||||||||||||||||||||||||
| Greater Boston | 94.5 | % | 95.2 | % | 98.1 | % | 85.5 | % | 83.2 | % | 94.8 | % | ||||||||||||||||||||||||||
| San Francisco Bay Area | 96.7 | 93.0 | 95.8 | 93.3 | 92.6 | 94.7 | ||||||||||||||||||||||||||||||||
| New York City | 92.3 | 98.4 | 97.3 | 92.3 | 91.0 | 87.8 | ||||||||||||||||||||||||||||||||
| San Diego | 95.4 | 93.1 | 93.5 | 95.4 | 91.7 | 92.4 | ||||||||||||||||||||||||||||||||
| Seattle | 97.0 | 95.6 | 96.0 | 90.1 | 88.5 | 85.5 | ||||||||||||||||||||||||||||||||
| Maryland | 95.8 | 99.8 | 96.1 | 93.3 | 96.0 | 90.6 | ||||||||||||||||||||||||||||||||
| Research Triangle | 94.0 | 94.6 | 89.6 | 85.0 | 86.1 | 72.7 | ||||||||||||||||||||||||||||||||
| Texas | 91.2 | N/A | N/A | 81.6 | N/A | N/A | ||||||||||||||||||||||||||||||||
| Subtotal | 95.1 | 94.9 | 95.5 | 89.9 | 89.1 | 90.7 | ||||||||||||||||||||||||||||||||
| Canada | 80.8 | 78.6 | 81.8 | 68.2 | 78.6 | 81.8 | ||||||||||||||||||||||||||||||||
| Non-cluster/other markets | 75.0 | 75.1 | 52.7 | 75.0 | 75.1 | 52.7 | ||||||||||||||||||||||||||||||||
| North America | 94.8 | % | 94.0 | % | 94.6 | % | 89.4 | % | 88.5 | % | 90.0 | % | ||||||||||||||||||||||||||
Remaining Lease Term(1) (in Years) | Aggregate RSF | Annual Rental Revenue(1) | Percentage of Aggregate Annual Rental Revenue(1) | Investment-Grade Credit Ratings | Average Market Cap(1) (in billions) | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Tenant | Moody’s | S&P | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 1 | Bristol-Myers Squibb Company | 4.3 | 962,439 | $ | 69,870 | 3.5 | % | A2 | A+ | $ | 156.1 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 2 | Moderna, Inc. | 13.8 | 908,340 | 51,926 | 2.6 | — | — | $ | 62.1 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 3 | Eli Lilly and Company | 6.2 | 743,267 | 49,890 | 2.5 | A2 | A+ | $ | 292.5 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 4 | Takeda Pharmaceutical Company Limited | 7.0 | 549,760 | 37,399 | 1.9 | Baa2 | BBB+ | $ | 45.0 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 5 | Illumina, Inc. | 7.6 | 891,495 | 36,204 | 1.8 | Baa3 | BBB | $ | 40.2 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 6 | Sanofi | 7.6 | 434,648 | 34,104 | 1.7 | A1 | AA | $ | 122.2 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 7 | 2seventy bio, Inc.(2) | 10.7 | 312,805 | 33,617 | 1.7 | — | — | $ | 0.5 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 8 | Novartis AG | 5.6 | 447,831 | 30,749 | 1.5 | A1 | AA- | $ | 206.3 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 9 | TIBCO Software, Inc. | 4.2 | (3) | 292,013 | 28,537 | 1.4 | — | — | $ | — | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 10 | Uber Technologies, Inc. | 59.7 | (4) | 1,009,188 | 27,704 | 1.4 | — | — | $ | 57.7 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 11 | Roche | 6.5 | 417,011 | 27,188 | 1.4 | Aa2 | AA | $ | 290.6 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 12 | Amgen Inc. | 3.5 | 503,832 | 24,680 | 1.2 | Baa1 | BBB+ | $ | 133.2 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 13 | Pfizer Inc. | 1.7 | 416,996 | 22,376 | 1.1 | A1 | A+ | $ | 280.1 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 14 | Massachusetts Institute of Technology | 6.1 | 257,626 | 21,438 | 1.1 | Aaa | AAA | $ | — | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 15 | Harvard University | 2.0 | (3) | 286,580 | 20,086 | 1.0 | Aaa | AAA | $ | — | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 16 | Boston Children’s Hospital | 13.8 | 269,816 | 20,066 | 1.0 | Aa2 | AA | $ | — | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 17 | United States Government | 7.3 | 315,908 | 19,660 | 1.0 | Aaa | AA+ | $ | — | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 18 | New York University | 8.9 | 203,500 | 19,241 | 1.0 | Aa1 | AA+ | $ | — | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 19 | Merck & Co., Inc. | 11.3 | 300,930 | 18,913 | 0.9 | A1 | A+ | $ | 227.3 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 20 | AstraZeneca PLC | 3.8 | 348,363 | 18,641 | 0.9 | A3 | A | $ | 195.1 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Total/weighted average | 9.4 | (4) | 9,872,348 | $ | 612,289 | 30.6 | % | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Long-Duration and Stable Cash Flows From High-Quality Tenants | ||||||||
| Investment-Grade or Publicly Traded Large Cap Tenants | Long-Duration Lease Terms | |||||||
| 48% | 7.1 Years | |||||||
| of ARE’s Total | Weighted-Average | |||||||
Annual Rental Revenue(1) | Remaining Term(2) | |||||||
| REIT Industry-Leading Tenant Client Base | ||||||||
| 90% | ||||||||
of ARE’s Top 20 Tenants Annual Rental Revenue Is From Investment-Grade or Publicly Traded Large Cap Tenants(1) | ||||||||
| High-Quality and Diverse Client Base in AAA Locations | ||||||||||||||
Industry Mix of Approximately | AAA Locations | |||||||||||||
![]() | ![]() | |||||||||||||
Percentage of ARE’s Annual Rental Revenue(3) | ||||||||||||||
| Solid Occupancy From Historically Strong Demand for Class A Properties in AAA Locations | ||||||||||||||
Solid Historical Occupancy(4) | Occupancy Across Key Locations | |||||||||||||
![]() | ||||||||||||||
| 96% | ||||||||||||||
| Over 10 Years | ||||||||||||||
| Occupancy Percentage | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| RSF | Number of Properties | Annual Rental Revenue | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Operating | Operating and Redevelopment | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Market / Submarket / Address | Operating | Development | Redevelopment | Total | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Greater Boston | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Cambridge/Inner Suburbs | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Mega Campus: Alexandria Center® at Kendall Square | 2,449,354 | — | 403,892 | 2,853,246 | 11 | $ | 198,373 | 99.1 | % | 85.1 | % | ||||||||||||||||||||||||||||||||||||||||||||||||
50(2), 60(2), 75/125(2), 100(2), and 225(2) Binney Street, 215 First Street, 150 Second Street, 300 Third Street(2), 11 Hurley Street, One Rogers Street, and 100 Edwin H. Land Boulevard | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Mega Campus: Alexandria Center® at One Kendall Square | 903,777 | 462,100 | — | 1,365,877 | 12 | 76,350 | 95.8 | 95.8 | |||||||||||||||||||||||||||||||||||||||||||||||||||
| One Kendall Square (Buildings 100, 200, 300, 400, 500, 600/700, 1400, 1800, and 2000), 325 and 399 Binney Street, and One Hampshire Street | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Mega Campus: Alexandria Technology Square® | 1,185,190 | — | — | 1,185,190 | 7 | 116,609 | 99.1 | 99.1 | |||||||||||||||||||||||||||||||||||||||||||||||||||
| 100, 200, 300, 400, 500, 600, and 700 Technology Square | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Mega Campus: The Arsenal on the Charles | 872,665 | 248,018 | — | 1,120,683 | 13 | 50,582 | 96.2 | 96.2 | |||||||||||||||||||||||||||||||||||||||||||||||||||
| 311, 321, and 343 Arsenal Street, 300, 400, and 500 North Beacon Street, 1, 2, 3, and 4 Kingsbury Avenue, and 100, 200, and 400 Talcott Avenue | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Mega Campus: 480 Arsenal Way and 446, 458, 500, and 550 Arsenal Street | 533,327 | — | — | 533,327 | 5 | 24,241 | 97.6 | 97.6 | |||||||||||||||||||||||||||||||||||||||||||||||||||
99 Coolidge Avenue(2) | — | 320,809 | — | 320,809 | 1 | — | N/A | N/A | |||||||||||||||||||||||||||||||||||||||||||||||||||
| 640 Memorial Drive | 242,477 | — | — | 242,477 | 1 | 19,320 | 77.6 | 77.6 | |||||||||||||||||||||||||||||||||||||||||||||||||||
| 780 and 790 Memorial Drive | 99,658 | — | — | 99,658 | 2 | 9,257 | 100.0 | 100.0 | |||||||||||||||||||||||||||||||||||||||||||||||||||
| Cambridge/Inner Suburbs | 6,286,448 | 1,030,927 | 403,892 | 7,721,267 | 52 | 494,732 | 97.3 | 91.4 | |||||||||||||||||||||||||||||||||||||||||||||||||||
| Fenway | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Mega Campus: Alexandria Center® for Life Science – Fenway | 1,267,572 | 170,043 | — | 1,437,615 | 2 | 94,904 | 92.9 | 92.9 | |||||||||||||||||||||||||||||||||||||||||||||||||||
401 Park Drive and 201 Brookline Avenue(2) | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Seaport Innovation District | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
5 and 15(2) Necco Street | 95,400 | 345,995 | — | 441,395 | 2 | 4,414 | 86.6 | 86.6 | |||||||||||||||||||||||||||||||||||||||||||||||||||
| Mega Campus: 380 and 420 E Street | 195,506 | — | — | 195,506 | 2 | 4,490 | 100.0 | 100.0 | |||||||||||||||||||||||||||||||||||||||||||||||||||
| Seaport Innovation District | 290,906 | 345,995 | — | 636,901 | 4 | 8,904 | 95.6 | 95.6 | |||||||||||||||||||||||||||||||||||||||||||||||||||
| Route 128 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Mega Campus: 40, 50, and 60 Sylvan Road, 35 Gatehouse Drive, and 840 Winter Street | 638,651 | — | 342,412 | 981,063 | 5 | 38,439 | 100.0 | 65.1 | |||||||||||||||||||||||||||||||||||||||||||||||||||
| Mega Campus: One Moderna Way | 706,988 | — | — | 706,988 | 4 | 29,059 | 100.0 | 100.0 | |||||||||||||||||||||||||||||||||||||||||||||||||||
| 19, 225, and 235 Presidential Way | 585,022 | — | — | 585,022 | 3 | 13,996 | 99.9 | 99.9 | |||||||||||||||||||||||||||||||||||||||||||||||||||
| 275 Grove Street | 509,702 | — | — | 509,702 | 3 | 15,704 | 66.1 | 66.1 | |||||||||||||||||||||||||||||||||||||||||||||||||||
| 225, 266, and 275 Second Avenue | 329,005 | — | — | 329,005 | 3 | 18,650 | 100.0 | 100.0 | |||||||||||||||||||||||||||||||||||||||||||||||||||
| 100 Beaver Street | 82,330 | — | — | 82,330 | 1 | 5,262 | 100.0 | 100.0 | |||||||||||||||||||||||||||||||||||||||||||||||||||
| Route 128 | 2,851,698 | — | 342,412 | 3,194,110 | 19 | 121,110 | 93.9 | 83.8 | |||||||||||||||||||||||||||||||||||||||||||||||||||
| Other | 753,923 | — | 453,869 | 1,207,792 | 7 | 11,360 | 75.2 | 46.9 | |||||||||||||||||||||||||||||||||||||||||||||||||||
| Greater Boston | 11,450,547 | 1,546,965 | 1,200,173 | 14,197,685 | 84 | $ | 731,010 | 94.5 | % | 85.5 | % | ||||||||||||||||||||||||||||||||||||||||||||||||
(1)As of December 31, 2022. Refer to the “New Class A development and redevelopment properties: summary of pipeline” section within this Item 2 and the definition of “Mega campus” in the “Non-GAAP measures and definitions” section under Item 7 in this annual report on Form 10-K for additional information. (2)We own a partial interest in this property through a real estate joint venture. Refer to the “Joint venture financial information” section under Item 7 in this annual report in Form 10-K for additional details. | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Occupancy Percentage | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| RSF | Number of Properties | Annual Rental Revenue | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Operating | Operating and Redevelopment | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Market / Submarket / Address | Operating | Development | Redevelopment | Total | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
| San Francisco Bay Area | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Mission Bay | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Mega Campus: Alexandria Center® for Science and Technology – Mission Bay(1) | 2,015,177 | 212,796 | — | 2,227,973 | 10 | $ | 98,444 | 100.0 | % | 100.0 | % | ||||||||||||||||||||||||||||||||||||||||||||||||
1455(2), 1515(2), 1655, and 1725 Third Street, 409 and 499 Illinois Street, 1450, 1500, and 1700 Owens Street, and 455 Mission Bay Boulevard South | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Mission Bay | 2,015,177 | 212,796 | — | 2,227,973 | 10 | 98,444 | 100.0 | 100.0 | |||||||||||||||||||||||||||||||||||||||||||||||||||
| South San Francisco | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Mega Campus: Alexandria Technology Center® – Gateway(1) | 1,114,890 | 230,592 | 300,010 | 1,645,492 | 12 | 60,385 | 92.6 | 73.0 | |||||||||||||||||||||||||||||||||||||||||||||||||||
600(2), 601, 611, 630(2), 650(2), 651, 681, 685, 701, 751, 901(2), and 951(2) Gateway Boulevard | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Mega Campus: 213(1), 249, 259, 269, and 279 East Grand Avenue | 919,704 | — | — | 919,704 | 5 | 48,854 | 100.0 | 100.0 | |||||||||||||||||||||||||||||||||||||||||||||||||||
| Mega Campus: 1122 and 1150 El Camino Real | 725,172 | — | — | 725,172 | 2 | 10,948 | 97.8 | 97.8 | |||||||||||||||||||||||||||||||||||||||||||||||||||
Alexandria Center® for Life Science – South San Francisco | 504,551 | — | — | 504,551 | 3 | 37,153 | 100.0 | 100.0 | |||||||||||||||||||||||||||||||||||||||||||||||||||
| 201 Haskins Way and 400 and 450 East Jamie Court | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
500 Forbes Boulevard(1) | 155,685 | — | — | 155,685 | 1 | 10,680 | 100.0 | 100.0 | |||||||||||||||||||||||||||||||||||||||||||||||||||
| 849/863 Mitten Road/866 Malcolm Road | 103,857 | — | — | 103,857 | 1 | 4,834 | 100.0 | 100.0 | |||||||||||||||||||||||||||||||||||||||||||||||||||
| South San Francisco | 3,523,859 | 230,592 | 300,010 | 4,054,461 | 24 | 172,854 | 97.2 | 89.6 | |||||||||||||||||||||||||||||||||||||||||||||||||||
| Greater Stanford | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Mega Campus: Alexandria Center® for Life Science – San Carlos | 739,192 | — | — | 739,192 | 9 | 49,953 | 97.3 | 97.3 | |||||||||||||||||||||||||||||||||||||||||||||||||||
| 825, 835, 960, and 1501-1599 Industrial Road | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Alexandria Stanford Life Science District | 703,742 | — | — | 703,742 | 9 | 65,349 | 100.0 | 100.0 | |||||||||||||||||||||||||||||||||||||||||||||||||||
| 3160, 3165, 3170, and 3181 Porter Drive and 3301, 3303, 3305, 3307, and 3330 Hillview Avenue | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 3875 Fabian Way | 228,000 | — | — | 228,000 | 1 | 9,402 | 100.0 | 100.0 | |||||||||||||||||||||||||||||||||||||||||||||||||||
| 3412, 3420, 3440, 3450, and 3460 Hillview Avenue | 338,751 | — | — | 338,751 | 5 | 20,926 | 73.8 | 73.8 | |||||||||||||||||||||||||||||||||||||||||||||||||||
| 2100, 2200, 2300, and 2400 Geng Road | 196,276 | — | — | 196,276 | 4 | 8,448 | 70.7 | 70.7 | |||||||||||||||||||||||||||||||||||||||||||||||||||
| 2475 and 2625/2627/2631 Hanover Street and 1450 Page Mill Road | 194,503 | — | — | 194,503 | 3 | 18,040 | 100.0 | 100.0 | |||||||||||||||||||||||||||||||||||||||||||||||||||
| 2425 Garcia Avenue/2400/2450 Bayshore Parkway | 99,208 | — | — | 99,208 | 1 | 4,257 | 100.0 | 100.0 | |||||||||||||||||||||||||||||||||||||||||||||||||||
| 3350 West Bayshore Road | 61,537 | — | — | 61,537 | 1 | 4,518 | 99.9 | 99.9 | |||||||||||||||||||||||||||||||||||||||||||||||||||
| Greater Stanford | 2,561,209 | — | — | 2,561,209 | 33 | 180,893 | 93.5 | 93.5 | |||||||||||||||||||||||||||||||||||||||||||||||||||
| San Francisco Bay Area | 8,100,245 | 443,388 | 300,010 | 8,843,643 | 67 | 452,191 | 96.7 | 93.3 | |||||||||||||||||||||||||||||||||||||||||||||||||||
| New York City | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| New York City | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Mega Campus: Alexandria Center® for Life Science – New York City | 740,972 | — | — | 740,972 | 3 | 71,779 | 94.2 | 94.2 | |||||||||||||||||||||||||||||||||||||||||||||||||||
| 430 and 450 East 29th Street | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 219 East 42nd Street | 349,947 | — | — | 349,947 | 1 | 18,638 | 100.0 | 100.0 | |||||||||||||||||||||||||||||||||||||||||||||||||||
Alexandria Center® for Life Science – Long Island City | 179,100 | — | — | 179,100 | 1 | 6,996 | 69.1 | 69.1 | |||||||||||||||||||||||||||||||||||||||||||||||||||
| 30-02 48th Avenue | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| New York City | 1,270,019 | — | — | 1,270,019 | 5 | $ | 97,413 | 92.3 | % | 92.3 | % | ||||||||||||||||||||||||||||||||||||||||||||||||
Refer to the “New Class A development and redevelopment properties: summary of pipeline” section within this Item 2 and the definition of “Mega campus” in the “Non-GAAP measures and definitions” section under Item 7 in this annual report on Form 10-K for additional information. (1)We own a partial interest in this property through a real estate joint venture. Refer to the “Joint venture financial information” section under Item 7 in this annual report in Form 10-K for additional information. (2)We own 100% of this property. | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Occupancy Percentage | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| RSF | Number of Properties | Annual Rental Revenue | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Operating | Operating and Redevelopment | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Market / Submarket / Address | Operating | Development | Redevelopment | Total | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
| San Diego | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Torrey Pines | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Mega Campus: One Alexandria Square and One Alexandria North | 904,883 | — | — | 904,883 | 10 | $ | 53,236 | 99.9 | % | 99.9 | % | ||||||||||||||||||||||||||||||||||||||||||||||||
3115 and 3215(1) Merryfield Row, 3010, 3013, and 3033 Science Park Road, 10975 and 11119 North Torrey Pines Road, 10975, 10995, and 10996 Torreyana Road, and 3545 Cray Court | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| ARE Torrey Ridge | 298,863 | — | — | 298,863 | 3 | 15,747 | 100.0 | 100.0 | |||||||||||||||||||||||||||||||||||||||||||||||||||
| 10578, 10618, and 10628 Science Center Drive | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| ARE Nautilus | 213,900 | — | — | 213,900 | 4 | 11,297 | 88.1 | 88.1 | |||||||||||||||||||||||||||||||||||||||||||||||||||
| 3530 and 3550 John Hopkins Court and 3535 and 3565 General Atomics Court | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Torrey Pines | 1,417,646 | — | — | 1,417,646 | 17 | 80,280 | 98.2 | 98.2 | |||||||||||||||||||||||||||||||||||||||||||||||||||
| University Town Center | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Mega Campus: Campus Point by Alexandria(1) | 1,662,342 | — | — | 1,662,342 | 11 | 75,970 | 97.7 | 97.7 | |||||||||||||||||||||||||||||||||||||||||||||||||||
9880(2), 10010(2), 10140(2), 10210, 10260, 10290, and 10300 Campus Point Drive and 4161, 4224, 4242, and 4275(2) Campus Point Court | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Mega Campus: 5200 Illumina Way(1) | 792,687 | — | — | 792,687 | 6 | 29,978 | 100.0 | 100.0 | |||||||||||||||||||||||||||||||||||||||||||||||||||
| Mega Campus: University District | 415,462 | — | — | 415,462 | 7 | 18,641 | 100.0 | 100.0 | |||||||||||||||||||||||||||||||||||||||||||||||||||
9625 Towne Centre Drive(1), 4755, 4757, and 4767 Nexus Center Drive, 4796 Executive Drive, 8505 Costa Verde Boulevard, and 4260 Nobel Drive | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| University Town Center | 2,870,491 | — | — | 2,870,491 | 24 | 124,589 | 98.7 | 98.7 | |||||||||||||||||||||||||||||||||||||||||||||||||||
| Sorrento Mesa | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Mega Campus: SD Tech by Alexandria(1) | 1,059,754 | 254,771 | — | 1,314,525 | 15 | 43,387 | 94.1 | 94.1 | |||||||||||||||||||||||||||||||||||||||||||||||||||
9605, 9645, 9675, 9685, 9725, 9735, 9808, 9855, and 9868 Scranton Road, 5505 Morehouse Drive(2), and 10055, 10065, 10075, 10121(2), and 10151(2) Barnes Canyon Road | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Mega Campus: Sequence District by Alexandria | 803,319 | — | — | 803,319 | 7 | 23,993 | 89.0 | 89.0 | |||||||||||||||||||||||||||||||||||||||||||||||||||
| 6260, 6290, 6310, 6340, 6350, 6420, and 6450 Sequence Drive | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Pacific Technology Park(1) | 544,352 | — | — | 544,352 | 5 | 8,106 | 88.6 | 88.6 | |||||||||||||||||||||||||||||||||||||||||||||||||||
| 9389, 9393, 9401, 9455, and 9477 Waples Street | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Summers Ridge Science Park(1) | 316,531 | — | — | 316,531 | 4 | 11,521 | 100.0 | 100.0 | |||||||||||||||||||||||||||||||||||||||||||||||||||
| 9965, 9975, 9985, and 9995 Summers Ridge Road | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Scripps Science Park by Alexandria | 244,083 | — | — | 244,083 | 3 | 10,226 | 100.0 | 100.0 | |||||||||||||||||||||||||||||||||||||||||||||||||||
| 10102 Hoyt Park Drive and 10256 and 10260 Meanley Drive | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| ARE Portola | 101,857 | — | — | 101,857 | 3 | 3,880 | 100.0 | 100.0 | |||||||||||||||||||||||||||||||||||||||||||||||||||
| 6175, 6225, and 6275 Nancy Ridge Drive | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 5810/5820 Nancy Ridge Drive | 83,354 | — | — | 83,354 | 1 | 3,853 | 100.0 | 100.0 | |||||||||||||||||||||||||||||||||||||||||||||||||||
| 9877 Waples Street | 63,774 | — | — | 63,774 | 1 | 2,521 | 100.0 | 100.0 | |||||||||||||||||||||||||||||||||||||||||||||||||||
| 5871 Oberlin Drive | 33,842 | — | — | 33,842 | 1 | 1,772 | 100.0 | 100.0 | |||||||||||||||||||||||||||||||||||||||||||||||||||
| Sorrento Mesa | 3,250,866 | 254,771 | — | 3,505,637 | 40 | $ | 109,259 | 93.5 | % | 93.5 | % | ||||||||||||||||||||||||||||||||||||||||||||||||
Refer to the “New Class A development and redevelopment properties: summary of pipeline” section within this Item 2 and the definition of “Mega campus” in the “Non-GAAP measures and definitions” section under Item 7 in this annual report on Form 10-K for additional information. (1)We own a partial interest in this property through a real estate joint venture. Refer to the “Joint venture financial information” section under Item 7 in this annual report in Form 10-K for additional information. (2)We own 100% of this property. | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Occupancy Percentage | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| RSF | Number of Properties | Annual Rental Revenue | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Operating | Operating and Redevelopment | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Market / Submarket / Address | Operating | Development | Redevelopment | Total | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
| San Diego (continued) | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Sorrento Valley | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 3911, 3931, 3985, 4025, and 4045 Sorrento Valley Boulevard | 131,698 | — | — | 131,698 | 5 | $ | 3,930 | 75.7 | % | 75.7 | % | ||||||||||||||||||||||||||||||||||||||||||||||||
| 11025, 11035, 11045, 11055, 11065, and 11075 Roselle Street | 119,513 | — | — | 119,513 | 6 | 4,312 | 100.0 | 100.0 | |||||||||||||||||||||||||||||||||||||||||||||||||||
| Sorrento Valley | 251,211 | — | — | 251,211 | 11 | 8,242 | 87.3 | 87.3 | |||||||||||||||||||||||||||||||||||||||||||||||||||
| Other | 309,743 | — | — | 309,743 | 2 | 8,343 | 79.5 | 79.5 | |||||||||||||||||||||||||||||||||||||||||||||||||||
| San Diego | 8,099,957 | 254,771 | — | 8,354,728 | 94 | 330,713 | 95.4 | 95.4 | |||||||||||||||||||||||||||||||||||||||||||||||||||
| Seattle | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Lake Union | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Mega Campus: The Eastlake Life Science Campus by Alexandria | 937,290 | 311,631 | — | 1,248,921 | 9 | 56,305 | 97.4 | 97.4 | |||||||||||||||||||||||||||||||||||||||||||||||||||
1150, 1165, 1201(1), 1208(1), 1551, and 1616 Eastlake Avenue East, 188 and 199(1) East Blaine Street, and 1600 Fairview Avenue East | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Mega Campus: Alexandria Center® for Life Science – South Lake Union | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
400(1) and 601 Dexter Avenue North | 309,434 | — | — | 309,434 | 2 | 15,494 | 100.0 | 100.0 | |||||||||||||||||||||||||||||||||||||||||||||||||||
| 219 Terry Avenue North | 30,705 | — | — | 30,705 | 1 | 1,935 | 100.0 | 100.0 | |||||||||||||||||||||||||||||||||||||||||||||||||||
| Lake Union | 1,277,429 | 311,631 | — | 1,589,060 | 12 | 73,734 | 98.1 | 98.1 | |||||||||||||||||||||||||||||||||||||||||||||||||||
| SoDo | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 830 4th Avenue South | 42,380 | — | — | 42,380 | 1 | 1,691 | 70.5 | 70.5 | |||||||||||||||||||||||||||||||||||||||||||||||||||
| Elliott Bay | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 3000/3018 Western Avenue | 47,746 | — | — | 47,746 | 1 | 3,147 | 100.0 | 100.0 | |||||||||||||||||||||||||||||||||||||||||||||||||||
| 410 West Harrison Street and 410 Elliott Avenue West | 36,849 | — | — | 36,849 | 2 | 1,613 | 100.0 | 100.0 | |||||||||||||||||||||||||||||||||||||||||||||||||||
| Elliott Bay | 84,595 | — | — | 84,595 | 3 | 4,760 | 100.0 | 100.0 | |||||||||||||||||||||||||||||||||||||||||||||||||||
| Bothell | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Mega Campus: Alexandria Center® for Advanced Technologies – Canyon Park | 1,060,958 | — | — | 1,060,958 | 22 | 23,042 | 96.7 | 96.7 | |||||||||||||||||||||||||||||||||||||||||||||||||||
| 22121 and 22125 17th Avenue Southeast, 22021, 22025, 22026, 22030, 22118, and 22122 20th Avenue Southeast, 22333, 22422, 22515, 22522, 22722, and 22745 29th Drive Southeast, 21540, 22213, and 22309 30th Drive Southeast, and 1629, 1631, 1725, 1916, and 1930 220th Street Southeast | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Alexandria Center® for Advanced Technologies – Monte Villa Parkway | 246,647 | — | 213,976 | 460,623 | 6 | 4,657 | 97.3 | 52.1 | |||||||||||||||||||||||||||||||||||||||||||||||||||
| 3301, 3303, 3305, 3307, 3555, and 3755 Monte Villa Parkway | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Bothell | 1,307,605 | — | 213,976 | 1,521,581 | 28 | 27,699 | 96.8 | 83.2 | |||||||||||||||||||||||||||||||||||||||||||||||||||
| Other | 102,437 | — | — | 102,437 | 2 | 1,145 | 93.5 | 93.5 | |||||||||||||||||||||||||||||||||||||||||||||||||||
| Seattle | 2,814,446 | 311,631 | 213,976 | 3,340,053 | 46 | $ | 109,029 | 97.0 | % | 90.1 | % | ||||||||||||||||||||||||||||||||||||||||||||||||
Refer to the “New Class A development and redevelopment properties: summary of pipeline” section within this Item 2 and the definition of “Mega campus” in the “Non-GAAP measures and definitions” section under Item 7 in this annual report on Form 10-K for additional information. (1)We own a partial interest in this property through a real estate joint venture. Refer to the “Joint venture financial information” section under Item 7 in this annual report in Form 10-K for additional information. | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Occupancy Percentage | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| RSF | Number of Properties | Annual Rental Revenue | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Operating | Operating and Redevelopment | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Market / Submarket / Address | Operating | Development | Redevelopment | Total | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Maryland | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Rockville | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Mega Campus: Alexandria Center® for Life Science – Shady Grove | 1,090,102 | 282,000 | 61,322 | 1,433,424 | 19 | $ | 49,353 | 99.0 | % | 93.7 | % | ||||||||||||||||||||||||||||||||||||||||||||||||
| 9601, 9603, 9605, 9704, 9708, 9712, 9714, 9800, 9804, 9808, 9900, and 9950 Medical Center Drive, 14920 and 15010 Broschart Road, 9920 Belward Campus Drive, and 9810 Darnestown Road | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 1330 Piccard Drive | 131,511 | — | — | 131,511 | 1 | 4,034 | 100.0 | 100.0 | |||||||||||||||||||||||||||||||||||||||||||||||||||
1405 and 1450(1) Research Boulevard | 114,849 | — | — | 114,849 | 2 | 2,631 | 62.8 | 62.8 | |||||||||||||||||||||||||||||||||||||||||||||||||||
| 1500 and 1550 East Gude Drive | 91,359 | — | — | 91,359 | 2 | 1,844 | 100.0 | 100.0 | |||||||||||||||||||||||||||||||||||||||||||||||||||
| 5 Research Place | 63,852 | — | — | 63,852 | 1 | 2,999 | 100.0 | 100.0 | |||||||||||||||||||||||||||||||||||||||||||||||||||
| 5 Research Court | 51,520 | — | — | 51,520 | 1 | 1,788 | 100.0 | 100.0 | |||||||||||||||||||||||||||||||||||||||||||||||||||
| 12301 Parklawn Drive | 49,185 | — | — | 49,185 | 1 | 1,530 | 100.0 | 100.0 | |||||||||||||||||||||||||||||||||||||||||||||||||||
| Rockville | 1,592,378 | 282,000 | 61,322 | 1,935,700 | 27 | 64,179 | 96.6 | 93.0 | |||||||||||||||||||||||||||||||||||||||||||||||||||
| Gaithersburg | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Alexandria Technology Center® – Gaithersburg I | 613,438 | — | — | 613,438 | 9 | 17,359 | 98.6 | 98.6 | |||||||||||||||||||||||||||||||||||||||||||||||||||
| 9, 25, 35, 45, 50, and 55 West Watkins Mill Road and 910, 930, and 940 Clopper Road | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Alexandria Technology Center® – Gaithersburg II | 486,324 | — | — | 486,324 | 7 | 17,632 | 96.5 | 96.5 | |||||||||||||||||||||||||||||||||||||||||||||||||||
| 700, 704, and 708 Quince Orchard Road and 19, 20, 21, and 22 Firstfield Road | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 20400 Century Boulevard | 50,738 | — | 29,812 | 80,550 | 1 | 2,035 | 100.0 | 63.0 | |||||||||||||||||||||||||||||||||||||||||||||||||||
| 401 Professional Drive | 63,154 | — | — | 63,154 | 1 | 1,918 | 100.0 | 100.0 | |||||||||||||||||||||||||||||||||||||||||||||||||||
| 950 Wind River Lane | 50,000 | — | — | 50,000 | 1 | 1,234 | 100.0 | 100.0 | |||||||||||||||||||||||||||||||||||||||||||||||||||
| 620 Professional Drive | 27,950 | — | — | 27,950 | 1 | 1,207 | 100.0 | 100.0 | |||||||||||||||||||||||||||||||||||||||||||||||||||
| Gaithersburg | 1,291,604 | — | 29,812 | 1,321,416 | 20 | 41,385 | 98.0 | 95.8 | |||||||||||||||||||||||||||||||||||||||||||||||||||
| Beltsville | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 8000/9000/10000 Virginia Manor Road | 191,884 | — | — | 191,884 | 1 | 2,951 | 100.0 | 100.0 | |||||||||||||||||||||||||||||||||||||||||||||||||||
101 West Dickman Street(1) | 135,423 | — | — | 135,423 | 1 | 705 | 51.1 | 51.1 | |||||||||||||||||||||||||||||||||||||||||||||||||||
| Beltsville | 327,307 | — | — | 327,307 | 2 | 3,656 | 79.8 | 79.8 | |||||||||||||||||||||||||||||||||||||||||||||||||||
| Northern Virginia | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 14225 Newbrook Drive | 248,186 | — | — | 248,186 | 1 | 6,127 | 100.0 | 100.0 | |||||||||||||||||||||||||||||||||||||||||||||||||||
| Maryland | 3,459,475 | 282,000 | 91,134 | 3,832,609 | 50 | $ | 115,347 | 95.8 | % | 93.3 | % | ||||||||||||||||||||||||||||||||||||||||||||||||
Refer to the “New Class A development and redevelopment properties: summary of pipeline” section within this Item 2 and the definition of “Mega campus” in the “Non-GAAP measures and definitions” section under Item 7 in this annual report on Form 10-K for additional information. (1)We own a partial interest in this property through a real estate joint venture. Refer to the “Joint venture financial information” section under Item 7 in this annual report in Form 10-K for additional information. | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Occupancy Percentage | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| RSF | Number of Properties | Annual Rental Revenue | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Operating | Operating and Redevelopment | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Market / Submarket / Address | Operating | Development | Redevelopment | Total | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Research Triangle | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Research Triangle | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Mega Campus: Alexandria Center® for Life Science – Durham | 1,880,185 | — | 376,871 | 2,257,056 | 16 | $ | 37,681 | 93.2 | % | 77.6 | % | ||||||||||||||||||||||||||||||||||||||||||||||||
| 6, 8, 10, 12, 14, 40, 41, 42, and 65 Moore Drive, 21, 25, 27, 29, and 31 Alexandria Way, 2400 Ellis Road, and 14 TW Alexander Drive | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Mega Campus: Alexandria Center® for Advanced Technologies – Research Triangle | 350,267 | 180,000 | — | 530,267 | 5 | 15,869 | 93.9 | 93.9 | |||||||||||||||||||||||||||||||||||||||||||||||||||
| 4, 6, 8, 10, and 12 Davis Drive | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Alexandria Center® for AgTech | 342,881 | — | — | 342,881 | 2 | 15,315 | 94.1 | 94.1 | |||||||||||||||||||||||||||||||||||||||||||||||||||
| 5 and 9 Laboratory Drive | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 104, 108, 110, 112, and 114 TW Alexander Drive | 227,902 | — | — | 227,902 | 5 | 7,375 | 94.3 | 94.3 | |||||||||||||||||||||||||||||||||||||||||||||||||||
Alexandria Technology Center® – Alston | 186,870 | — | — | 186,870 | 3 | 4,009 | 94.1 | 94.1 | |||||||||||||||||||||||||||||||||||||||||||||||||||
| 100, 800, and 801 Capitola Drive | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 6040 George Watts Hill Drive | 61,547 | 88,038 | — | 149,585 | 2 | 2,148 | 100.0 | 100.0 | |||||||||||||||||||||||||||||||||||||||||||||||||||
Alexandria Innovation Center® – Research Triangle | 136,729 | — | — | 136,729 | 3 | 3,963 | 97.2 | 97.2 | |||||||||||||||||||||||||||||||||||||||||||||||||||
| 7010, 7020, and 7030 Kit Creek Road | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 7 Triangle Drive | 104,531 | — | — | 104,531 | 1 | 4,422 | 100.0 | 100.0 | |||||||||||||||||||||||||||||||||||||||||||||||||||
| 2525 East NC Highway 54 | 82,996 | — | — | 82,996 | 1 | 3,651 | 100.0 | 100.0 | |||||||||||||||||||||||||||||||||||||||||||||||||||
| 407 Davis Drive | 81,956 | — | — | 81,956 | 1 | 1,644 | 100.0 | 100.0 | |||||||||||||||||||||||||||||||||||||||||||||||||||
| 601 Keystone Park Drive | 77,395 | — | — | 77,395 | 1 | 1,072 | 74.3 | 74.3 | |||||||||||||||||||||||||||||||||||||||||||||||||||
| 5 Triangle Drive | 32,120 | — | — | 32,120 | 1 | 1,147 | 100.0 | 100.0 | |||||||||||||||||||||||||||||||||||||||||||||||||||
| 6101 Quadrangle Drive | 31,600 | — | — | 31,600 | 1 | 759 | 100.0 | 100.0 | |||||||||||||||||||||||||||||||||||||||||||||||||||
| Research Triangle | 3,596,979 | 268,038 | 376,871 | 4,241,888 | 42 | 99,055 | 94.0 | 85.0 | |||||||||||||||||||||||||||||||||||||||||||||||||||
| Texas | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Austin | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Mega Campus: Intersection Campus | 1,525,613 | — | — | 1,525,613 | 12 | 39,039 | 90.0 | 90.0 | |||||||||||||||||||||||||||||||||||||||||||||||||||
| 1001 Trinity Street and 1020 Red River Street | 198,972 | — | — | 198,972 | 2 | 6,746 | 100.0 | 100.0 | |||||||||||||||||||||||||||||||||||||||||||||||||||
| Austin | 1,724,585 | — | — | 1,724,585 | 14 | 45,785 | 90.0 | 90.0 | |||||||||||||||||||||||||||||||||||||||||||||||||||
| Greater Houston | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 8800 Technology Forest Place | — | — | 201,499 | 201,499 | 1 | — | N/A | — | |||||||||||||||||||||||||||||||||||||||||||||||||||
| Texas | 1,724,585 | — | 201,499 | 1,926,084 | 15 | 45,785 | 91.2 | 81.6 | |||||||||||||||||||||||||||||||||||||||||||||||||||
| Canada | 577,225 | — | 107,081 | 684,306 | 8 | 9,868 | 80.8 | 68.2 | |||||||||||||||||||||||||||||||||||||||||||||||||||
| Non-cluster/other markets | 382,960 | — | — | 382,960 | 11 | 14,554 | 75.0 | 75.0 | |||||||||||||||||||||||||||||||||||||||||||||||||||
| North America, excluding properties held for sale | 41,476,438 | 3,106,793 | 2,490,744 | 47,073,975 | 422 | 2,004,965 | 94.8 | % | 89.4 | % | |||||||||||||||||||||||||||||||||||||||||||||||||
| Properties held for sale | 297,284 | — | — | 297,284 | 10 | 2,476 | 34.0 | % | 34.0 | % | |||||||||||||||||||||||||||||||||||||||||||||||||
| Total – North America | 41,773,722 | 3,106,793 | 2,490,744 | 47,371,259 | 432 | $ | 2,007,441 | ||||||||||||||||||||||||||||||||||||||||||||||||||||
![]() | ||
| Year Ended December 31, | |||||||||||||||||||||||||||||
| 2022 | 2021 | ||||||||||||||||||||||||||||
| Including Straight-Line Rent | Cash Basis | Including Straight-Line Rent | Cash Basis | ||||||||||||||||||||||||||
(Dollars per RSF) | |||||||||||||||||||||||||||||
Leasing activity: | |||||||||||||||||||||||||||||
Renewed/re-leased space(1) | |||||||||||||||||||||||||||||
Rental rate changes | 31.0% | 22.1% | (2) | 37.9% | 22.6% | ||||||||||||||||||||||||
New rates | $50.37 | $48.48 | $59.00 | $55.60 | |||||||||||||||||||||||||
Expiring rates | $38.44 | $39.69 | $42.80 | $45.36 | |||||||||||||||||||||||||
RSF | 4,540,325 | 4,614,040 | |||||||||||||||||||||||||||
Tenant improvements/leasing commissions | $27.83 | $41.05 | |||||||||||||||||||||||||||
Weighted-average lease term | 5.0 years | 6.3 years | |||||||||||||||||||||||||||
Developed/redeveloped/previously vacant space leased(3) | |||||||||||||||||||||||||||||
New rates | $73.46 | $64.04 | $78.52 | $69.42 | |||||||||||||||||||||||||
RSF | 3,865,262 | 4,902,261 | |||||||||||||||||||||||||||
Weighted-average lease term | 11.8 years | 11.2 years | |||||||||||||||||||||||||||
Leasing activity summary (totals): | |||||||||||||||||||||||||||||
New rates | $60.98 | $55.64 | $69.05 | $62.72 | |||||||||||||||||||||||||
RSF | 8,405,587 | (2)(4) | 9,516,301 | ||||||||||||||||||||||||||
Weighted-average lease term | 8.1 years | 8.8 years | |||||||||||||||||||||||||||
Lease expirations(1) | |||||||||||||||||||||||||||||
Expiring rates | $37.41 | $38.06 | $41.53 | $43.70 | |||||||||||||||||||||||||
RSF | 6,572,286 | 5,747,192 | |||||||||||||||||||||||||||
| Year | RSF | Percentage of Occupied RSF | Annual Rental Revenue (per RSF)(1) | Percentage of Total Annual Rental Revenue | ||||||||||||||||||||||||||||||||||||||||||||||||||||
| 2023 | (2) | 2,871,438 | 7.3 | % | $ | 45.10 | 6.5 | % | ||||||||||||||||||||||||||||||||||||||||||||||||
| 2024 | 4,341,944 | 11.1 | % | $ | 46.70 | 10.2 | % | |||||||||||||||||||||||||||||||||||||||||||||||||
| 2025 | 3,312,092 | 8.5 | % | $ | 48.22 | 8.1 | % | |||||||||||||||||||||||||||||||||||||||||||||||||
| 2026 | 2,628,988 | 6.7 | % | $ | 50.79 | 6.7 | % | |||||||||||||||||||||||||||||||||||||||||||||||||
| 2027 | 2,669,028 | 6.8 | % | $ | 55.36 | 7.5 | % | |||||||||||||||||||||||||||||||||||||||||||||||||
| 2028 | 4,160,778 | 10.6 | % | $ | 51.51 | 10.8 | % | |||||||||||||||||||||||||||||||||||||||||||||||||
| 2029 | 2,467,070 | 6.3 | % | $ | 53.31 | 6.6 | % | |||||||||||||||||||||||||||||||||||||||||||||||||
| 2030 | 2,766,240 | 7.1 | % | $ | 58.03 | 8.1 | % | |||||||||||||||||||||||||||||||||||||||||||||||||
| 2031 | 3,006,892 | 7.7 | % | $ | 52.83 | 8.0 | % | |||||||||||||||||||||||||||||||||||||||||||||||||
| 2032 | 1,298,945 | 3.3 | % | $ | 56.91 | 3.7 | % | |||||||||||||||||||||||||||||||||||||||||||||||||
| Thereafter | 9,613,205 | 24.6 | % | $ | 48.72 | 23.8 | % | |||||||||||||||||||||||||||||||||||||||||||||||||
2023 Contractual Lease Expirations (in RSF) | Annual Rental Revenue (per RSF)(3) | |||||||||||||||||||||||||||||||||||||
Market | Leased | Negotiating/ Anticipating | Targeted for Future Development/ Redevelopment(1) | Remaining Expiring Leases(4) | Total(2) | |||||||||||||||||||||||||||||||||
| Greater Boston | 61,091 | 83,346 | 323,110 | 428,905 | 896,452 | $ | 56.56 | |||||||||||||||||||||||||||||||
| San Francisco Bay Area | 30,876 | 10,208 | — | 342,952 | 384,036 | 52.63 | ||||||||||||||||||||||||||||||||
| New York City | — | — | — | 88,372 | 88,372 | N/A | ||||||||||||||||||||||||||||||||
| San Diego | 184,287 | 124,745 | — | 426,615 | 735,647 | 33.50 | ||||||||||||||||||||||||||||||||
| Seattle | 14,979 | 8,167 | 18,680 | 266,038 | 307,864 | 27.22 | ||||||||||||||||||||||||||||||||
| Maryland | 6,674 | 115,454 | — | 131,735 | 253,863 | 35.41 | ||||||||||||||||||||||||||||||||
| Research Triangle | 81,956 | 15,043 | — | 77,286 | 174,285 | 33.08 | ||||||||||||||||||||||||||||||||
| Texas | — | — | — | — | — | — | ||||||||||||||||||||||||||||||||
| Canada | 13,321 | — | — | 2,484 | 15,805 | 28.89 | ||||||||||||||||||||||||||||||||
| Non-cluster/other markets | — | — | — | 15,114 | 15,114 | 41.42 | ||||||||||||||||||||||||||||||||
Total | 393,184 | 356,963 | 341,790 | 1,779,501 | 2,871,438 | $ | 45.10 | |||||||||||||||||||||||||||||||
Percentage of expiring leases | 14 | % | 12 | % | 12 | % | 62 | % | 100 | % | ||||||||||||||||||||||||||||
2024 Contractual Lease Expirations (in RSF) | Annual Rental Revenue (per RSF)(3) | |||||||||||||||||||||||||||||||||||||
Market | Leased | Negotiating/ Anticipating | Targeted for Future Development/ Redevelopment(1) | Remaining Expiring Leases(4) | Total | |||||||||||||||||||||||||||||||||
| Greater Boston | 102,060 | 5,881 | 122,465 | 500,918 | 731,324 | $ | 73.74 | |||||||||||||||||||||||||||||||
| San Francisco Bay Area | 35,798 | 407,369 | — | 592,252 | 1,035,419 | 50.33 | ||||||||||||||||||||||||||||||||
| New York City | — | — | 349,947 | 5,645 | 355,592 | N/A | ||||||||||||||||||||||||||||||||
| San Diego | — | — | 580,021 | 394,852 | 974,873 | 31.10 | ||||||||||||||||||||||||||||||||
| Seattle | — | 267,350 | 50,552 | 415,503 | 733,405 | 35.04 | ||||||||||||||||||||||||||||||||
| Maryland | — | 3,555 | — | 62,016 | 65,571 | 25.15 | ||||||||||||||||||||||||||||||||
| Research Triangle | 15,519 | — | — | 194,008 | 209,527 | 52.01 | ||||||||||||||||||||||||||||||||
| Texas | — | — | 126,034 | 72,938 | 198,972 | 33.91 | ||||||||||||||||||||||||||||||||
| Canada | — | — | — | 6,786 | 6,786 | 24.38 | ||||||||||||||||||||||||||||||||
| Non-cluster/other markets | — | — | — | 30,475 | 30,475 | 65.74 | ||||||||||||||||||||||||||||||||
Total | 153,377 | 684,155 | 1,229,019 | 2,275,393 | 4,341,944 | $ | 46.70 | |||||||||||||||||||||||||||||||
Percentage of expiring leases | 4 | % | 16 | % | 28 | % | 52 | % | 100 | % | ||||||||||||||||||||||||||||
| Development and Redevelopment | ||||||||||||||||||||||||||||||||||||||||||||
| Operating | Under Construction | Near Term | Intermediate Term | Future | Subtotal | Total | ||||||||||||||||||||||||||||||||||||||
| Investments in real estate | ||||||||||||||||||||||||||||||||||||||||||||
Gross book value as of December 31, 2022(1) | $ | 25,568,121 | $ | 4,055,353 | $ | 1,738,913 | $ | 918,528 | $ | 2,002,541 | $ | 8,715,335 | $ | 34,283,456 | ||||||||||||||||||||||||||||||
Square footage | ||||||||||||||||||||||||||||||||||||||||||||
| Operating | 41,773,722 | — | — | — | — | — | 41,773,722 | |||||||||||||||||||||||||||||||||||||
| New Class A development and redevelopment properties | — | 5,597,537 | 6,248,830 | (2) | 4,780,268 | 20,716,308 | 37,342,943 | 37,342,943 | ||||||||||||||||||||||||||||||||||||
Value-creation square feet currently included in rental properties(3) | — | — | (656,378) | (434,776) | (3,459,383) | (4,550,537) | (4,550,537) | |||||||||||||||||||||||||||||||||||||
Total square footage | 41,773,722 | 5,597,537 | 5,592,452 | 4,345,492 | 17,256,925 | 32,792,406 | 74,566,128 | |||||||||||||||||||||||||||||||||||||
| Property | Submarket/Market | Date of Purchase | Number of Properties | Operating Occupancy | Square Footage | Purchase Price | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Acquisitions With Development and Redevelopment Opportunities(1) | Total(3) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Future Development | Operating With Future Development/ Redevelopment | Operating(2) | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
One Hampshire Street(4) | Cambridge/Inner Suburbs/Greater Boston | 6/23/22 | 1 | 100% | — | 88,591 | — | 88,591 | $ | 140,000 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 100 Edwin H. Land Boulevard | Cambridge/Inner Suburbs/Greater Boston | 8/1/22 | 1 | 100 | TBD | 104,500 | — | 104,500 | 170,000 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 421 Park Drive | Fenway/Greater Boston | 1/13/22 | — | N/A | 202,997 | (5) | — | — | 202,997 | 81,119 | (5) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
35 Gatehouse Drive(6) | Route 128/Greater Boston | 12/29/22 | 1 | 100 | 75,000 | 31,611 | 265,965 | 372,576 | 272,500 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 225 and 235 Presidential Way | Route 128/Greater Boston | 1/28/22 | 2 | 100 | — | 440,130 | — | 440,130 | 124,673 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 1150 El Camino Real | South San Francisco/ San Francisco Bay Area | 2/8/22 | 1 | 99 | 610,000 | 431,940 | 70,000 | 680,000 | 118,000 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 3301, 3303, 3305, and 3307 Hillview Avenue | Greater Stanford/ San Francisco Bay Area | 1/6/22 | 4 | 100 | — | 292,013 | — | 292,013 | 446,000 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Costa Verde by Alexandria | University Town Center/ San Diego | 1/11/22 | 2 | 100 | 537,000 | 8,730 | — | 545,730 | 125,000 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 10010 and 10140 Campus Point Drive and 4275 Campus Point Court | University Town Center/ San Diego | 9/29/22 | 3 | 100 | 750,000 | 226,144 | — | 750,000 | 106,380 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 800 Mercer Street (60% interest in consolidated JV) | Lake Union/Seattle | 3/18/22 | — | N/A | 869,000 | — | — | 869,000 | 87,608 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Alexandria Center® for Life Science – Durham | Research Triangle/ Research Triangle | 1/11/22 | — | N/A | 1,175,000 | — | — | 1,175,000 | 99,428 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
104 and 108/110/112/114 TW Alexander Drive, 2752 East NC Highway 54, and 10 South Triangle Drive(7) | Research Triangle/ Research Triangle | 1/6/22 | 4 | 89 | 750,000 | 69,485 | — | 819,485 | 80,000 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Intersection Campus | Austin/Texas | 2/18/22 | 9 | 81 | — | 998,099 | — | 998,099 | 400,400 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 1001 Trinity Street and 1020 Red River Street | Austin/Texas | 10/4/22 | 2 | 100 | 51,038 | 198,972 | — | 250,010 | 108,000 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Other | Various | Various | 12 | 91 | 1,644,994 | 646,132 | 381,760 | 2,634,686 | 459,344 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 42 | 92 | % | 6,665,029 | 3,536,347 | 717,725 | 10,222,817 | $ | 2,818,452 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||
(1)We expect to provide total estimated costs and related yields for development and redevelopment projects in the future, subsequent to the commencement of construction. (2)Represents the operating component of our value-creation acquisitions that is not expected to undergo future development or redevelopment. (3)Represents total square footage upon completion of development or redevelopment of one or more new Class A properties. Square footage presented includes RSF of buildings currently in operations with future development or redevelopment opportunities. Refer to the definition of “Investments in real estate – value-creation square footage currently in rental properties” in the “Non-GAAP measures and definitions” section under Item 7 in this annual report on Form 10-K for additional information. (4)Represents the acquisition of a condominium interest in two floors of a seven-story building. (5)Represents the incremental purchase price related to the achievement of additional entitlement rights aggregating 202,997 SF at our Alexandria Center® for Life Science – Fenway mega campus. (6)Represents an opportunity to expand our existing properties at 40, 50, and 60 Sylvan Road and 840 Winter Street into a mega campus. (7)Includes the acquisition of fee simple interests in the land underlying our recently acquired 108/110/112/114 TW Alexander Drive buildings, which were previously subject to ground leases. | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Property | Submarket/Market | Date of Sale | Interest Sold | RSF | Capitalization Rate | Capitalization Rate (Cash Basis) | Sales Price | Sales Price per RSF | Gain or Consideration in Excess of Book Value | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 100 Binney Street | Cambridge/Inner Suburbs/Greater Boston | 3/30/22 | 70 | % | 432,931 | 3.6 | % | 3.5 | % | $ | 713,228 | (1) | $ | 2,353 | $ | 413,615 | (2) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 300 Third Street | Cambridge/Inner Suburbs/Greater Boston | 6/27/22 | 70 | % | 131,963 | 4.6 | % | 4.3 | % | 166,485 | (1) | $ | 1,802 | 113,020 | (2) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Alexandria Park at 128, 285 Bear Hill Road, 111 and 130 Forbes Boulevard, and 20 Walkup Drive | Route 128 and Route 495/Greater Boston | 6/8/22 | 100 | % | 617,043 | 5.1 | % | 5.1 | % | 334,397 | $ | 542 | 202,325 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 1450 Owens Street | Mission Bay/San Francisco Bay Area | 7/1/22 | 20 | % | (3) | 191,000 | N/A | N/A | 25,039 | (1) | N/A | 10,083 | (2) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 341 and 343 Oyster Point Boulevard, 7000 Shoreline Court, and Shoreway Science Center | South San Francisco and Greater Stanford/San Francisco Bay Area | 9/15/22 | 100 | % | 330,379 | 5.2 | % | 5.2 | % | 383,635 | $ | 1,161 | 223,127 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 3215 Merryfield Row | Torrey Pines/San Diego | 9/1/22 | 70 | % | 170,523 | 4.5% | 4.2% | 149,940 | (1) | $ | 1,256 | 42,214 | (2) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Summers Ridge Science Park | Sorrento Mesa/San Diego | 9/15/22 | 70 | % | 316,531 | 4.9% | 4.6% | 159,600 | (1) | $ | 720 | 65,097 | (2) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 7330 and 7360 Carroll Road | Sorrento Mesa/San Diego | 9/15/22 | 100 | % | 84,442 | 4.4% | 4.6% | 59,476 | $ | 704 | 35,463 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Other | Various | N/A | N/A | 230,496 | N/A | 77,003 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| $ | 2,222,296 | $ | 1,181,947 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||

| The Arsenal on the Charles | 201 Brookline Avenue | 201 Haskins Way | 825 and 835 Industrial Road | |||||||||||||||||
| Greater Boston/ Cambridge/Inner Suburbs | Greater Boston/ Fenway | San Francisco Bay Area/ South San Francisco | San Francisco Bay Area/ Greater Stanford | |||||||||||||||||
| 387,678 RSF | 340,073 RSF | 323,190 RSF | 526,129 RSF | |||||||||||||||||
| 96% Occupancy | 100% Occupancy | 100% Occupancy | 100% Occupancy | |||||||||||||||||
![]() | ![]() | ![]() | ![]() | |||||||||||||||||
| 3160 Porter Drive | 30-02 48th Avenue | 3115 Merryfield Row | 10055 Barnes Canyon Road | |||||||||||||||||
| San Francisco Bay Area/ Greater Stanford | New York City/New York City | San Diego/Torrey Pines | San Diego/Sorrento Mesa | |||||||||||||||||
| 92,300 RSF | 137,187 RSF | 146,456 RSF | 195,435 RSF | |||||||||||||||||
| 83% Occupancy | 69% Occupancy | 93% Occupancy | 100% Occupancy | |||||||||||||||||
![]() | ![]() | ![]() | ![]() | |||||||||||||||||
| 10102 Hoyt Park Drive | 5505 Morehouse Drive | 9601 and 9603 Medical Center Drive | 9950 Medical Center Drive | |||||||||||||||||
| San Diego/Sorrento Mesa | San Diego/Sorrento Mesa | Maryland/Rockville | Maryland/Rockville | |||||||||||||||||
| 144,113 RSF | 79,945 RSF | 34,589 RSF | 84,264 RSF | |||||||||||||||||
| 100% Occupancy | 100% Occupancy | 100% Occupancy | 100% Occupancy | |||||||||||||||||
![]() | ![]() | ![]() | ![]() | |||||||||||||||||
| 20400 Century Boulevard | 2400 Ellis Road, 40 and 41 Moore Drive, and 14 TW Alexander Drive(1) | 5 and 9 Laboratory Drive(2) | 8 and 10 Davis Drive(3) | |||||||||||||||||
| Maryland/Gaithersburg | Research Triangle/Research Triangle | Research Triangle/Research Triangle | Research Triangle/Research Triangle | |||||||||||||||||
| 50,738 RSF | 326,445 RSF | 342,881 RSF | 250,000 RSF | |||||||||||||||||
| 100% Occupancy | 100% Occupancy | 94% Occupancy | 94% Occupancy | |||||||||||||||||
![]() | ![]() | ![]() | ![]() | |||||||||||||||||
| Property/Market/Submarket | 4Q22 Delivery Date(1) | Our Ownership Interest | RSF Placed in Service | Occupancy Percentage(2) | Total Project | Unlevered Yields | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Prior to 1/1/22 | 1Q22 | 2Q22 | 3Q22 | 4Q22 | Total | Initial Stabilized | Initial Stabilized (Cash Basis) | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| RSF | Investment | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Development projects | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 201 Brookline Avenue/Greater Boston/Fenway | 11/3/22 | 98.8% | — | — | — | 261,990 | 78,083 | 340,073 | 100% | 510,116 | $ | 734,000 | 7.2 | % | 6.2 | % | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 201 Haskins Way/San Francisco Bay Area/South San Francisco | N/A | 100% | 270,879 | 52,311 | — | — | — | 323,190 | 100% | 323,190 | 367,000 | 6.3 | 6.0 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 825 and 835 Industrial Road/San Francisco Bay Area/Greater Stanford | N/A | 100% | 476,211 | 49,918 | — | — | — | 526,129 | 100% | 526,129 | 631,000 | 6.7 | 6.5 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 3115 Merryfield Row/San Diego/Torrey Pines | N/A | 100% | — | 146,456 | — | — | — | 146,456 | 93% | 146,456 | 150,000 | 6.3 | 6.2 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 10055 Barnes Canyon Road/San Diego/Sorrento Mesa | 11/21/22 | 50.0% | — | — | 110,454 | 9,473 | 75,508 | 195,435 | 100% | 195,435 | 189,000 | 7.2 | 6.7 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 10102 Hoyt Park Drive/San Diego/Sorrento Mesa | 11/15/22 | 100% | — | — | — | — | 144,113 | 144,113 | 100% | 144,113 | 114,000 | 7.4 | 6.8 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 9950 Medical Center Drive/Maryland/Rockville | N/A | 100% | — | 84,264 | — | — | — | 84,264 | 100% | 84,264 | 57,000 | 8.9 | 7.8 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
5 and 9 Laboratory Drive/ Research Triangle/Research Triangle | 12/21/22 | 100% | 267,509 | 11,211 | — | 1,485 | 62,676 | 342,881 | 94% | 342,881 | 221,000 | 6.9 | 7.0 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
8 and 10 Davis Drive/ Research Triangle/Research Triangle | N/A | 100% | 65,247 | 44,980 | 139,773 | — | — | 250,000 | 94% | 250,000 | 159,000 | 7.6 | 7.3 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Redevelopment projects | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| The Arsenal on the Charles/Greater Boston/Cambridge/Inner Suburbs | 12/31/22 | 100% | 137,111 | 99,796 | 50,663 | 43,351 | 56,757 | 387,678 | 96% | 872,665 | 834,000 | 6.3 | 5.6 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 3160 Porter Drive/San Francisco Bay Area/Greater Stanford | N/A | 100% | 57,696 | 34,604 | — | — | — | 92,300 | 83% | 92,300 | 117,000 | 4.6 | 4.6 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 30-02 48th Avenue/New York City/New York City | 12/31/22 | 100% | 41,848 | 11,092 | 18,689 | 10,197 | 55,361 | 137,187 | 69% | 179,100 | 248,000 | 5.8 | 6.0 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 5505 Morehouse Drive/San Diego/Sorrento Mesa | N/A | 100% | 28,324 | — | 51,621 | — | — | 79,945 | 100% | 79,945 | 68,000 | 7.1 | 7.2 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 9601 and 9603 Medical Center Drive/Maryland/Rockville | 11/17/22 | 100% | 17,378 | — | — | — | 17,211 | 34,589 | 100% | 95,911 | 54,000 | 8.4 | 7.1 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 20400 Century Boulevard/Maryland/Gaithersburg | 10/17/22 | 100% | — | 32,033 | 4,194 | 6,465 | 8,046 | 50,738 | 100% | 80,550 | 35,000 | 8.5 | 8.6 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 2400 Ellis Road, 40 and 41 Moore Drive, and 14 TW Alexander Drive/Research Triangle/Research Triangle | N/A | 100% | 326,445 | — | — | — | — | 326,445 | 100% | 703,316 | 337,000 | 7.5 | 6.7 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Weighted average/total | 11/18/22 | 1,688,648 | 566,665 | 375,394 | 332,961 | 497,755 | 3,461,423 | 4,626,371 | $ | 4,315,000 | 6.8 | % | 6.3 | % | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 325 Binney Street | One Rogers Street | 99 Coolidge Avenue | 500 North Beacon Street and 4 Kingsbury Avenue(1) | 201 Brookline Avenue | ||||||||||||||||||||||
| Greater Boston/ Cambridge/Inner Suburbs | Greater Boston/ Cambridge/Inner Suburbs | Greater Boston/ Cambridge/Inner Suburbs | Greater Boston/ Cambridge/Inner Suburbs | Greater Boston/Fenway | ||||||||||||||||||||||
| 462,100 RSF | 403,892 RSF | 320,809 RSF | 248,018 RSF | 170,043 RSF | ||||||||||||||||||||||
| 100% Leased | 100% Leased | 36% Leased/Negotiating | 85% Leased/Negotiating | 98% Leased/Negotiating | ||||||||||||||||||||||
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| 15 Necco Street | 40, 50, and 60 Sylvan Road(2) | 1450 Owens Street | 651 Gateway Boulevard | 751 Gateway Boulevard | ||||||||||||||||||||||
| Greater Boston/ Seaport Innovation District | Greater Boston/Route 128 | San Francisco Bay Area/ Mission Bay | San Francisco Bay Area/ South San Francisco | San Francisco Bay Area/ South San Francisco | ||||||||||||||||||||||
| 345,995 RSF | 202,428 RSF | 212,796 RSF | 300,010 RSF | 230,592 RSF | ||||||||||||||||||||||
| 97% Leased/Negotiating | 61% Leased/Negotiating | —% Leased/Negotiating | 7% Leased/Negotiating | 100% Leased | ||||||||||||||||||||||
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| 10075 Barnes Canyon Road | 1150 Eastlake Avenue East | 9810 Darnestown Road | 9808 Medical Center Drive | ||||||||||||||||||||
| San Diego/Sorrento Mesa | Seattle/Lake Union | Maryland/Rockville | Maryland/Rockville | ||||||||||||||||||||
| 254,771 RSF | 311,631 RSF | 192,000 RSF | 90,000 RSF | ||||||||||||||||||||
| —% Leased/Negotiating | 89% Leased/Negotiating | 100% Leased | 73% Leased/Negotiating | ||||||||||||||||||||
![]() | ![]() | ![]() | ![]() | ||||||||||||||||||||
| 9601 and 9603 Medical Center Drive | 2400 Ellis Road, 40 and 41 Moore Drive, and 14 TW Alexander Drive(1) | 4 Davis Drive | 6040 George Watts Hill Drive, Phase II | |||||||||||||||||
| Maryland/Rockville | Research Triangle/Research Triangle | Research Triangle/Research Triangle | Research Triangle/Research Triangle | |||||||||||||||||
| 61,322 RSF | 376,871 RSF | 180,000 RSF | 88,038 RSF | |||||||||||||||||
| 100% Leased | 86% Leased/Negotiating | 6% Leased/Negotiating | 100% Leased | |||||||||||||||||
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Market Property/Submarket | Square Footage | Percentage | Occupancy(1) | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Dev/Redev | In Service | CIP | Total | Leased | Leased/Negotiating | Initial | Stabilized | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Under construction | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Greater Boston | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 325 Binney Street/Cambridge/Inner Suburbs | Dev | — | 462,100 | 462,100 | 100 | % | 100 | % | 2023 | 2024 | ||||||||||||||||||||||||||||||||||||||||||||||||||||
| One Rogers Street/Cambridge/Inner Suburbs | Redev | 4,367 | 403,892 | 408,259 | 100 | 100 | 2023 | 2023 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 99 Coolidge Avenue/Cambridge/Inner Suburbs | Dev | — | 320,809 | 320,809 | 36 | 36 | 2024 | 2025 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 500 North Beacon Street and 4 Kingsbury Avenue/Cambridge/Inner Suburbs | Dev | — | 248,018 | 248,018 | 85 | 85 | 2024 | 2025 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 201 Brookline Avenue/Fenway | Dev | 340,073 | 170,043 | 510,116 | 97 | 98 | 3Q22 | 2023 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 15 Necco Street/Seaport Innovation District | Dev | — | 345,995 | 345,995 | 97 | 97 | 2024 | 2024 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 40, 50, and 60 Sylvan Road/Route 128 | Redev | 312,845 | 202,428 | 515,273 | 61 | 61 | 2023 | 2024 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 840 Winter Street/Route 128 | Redev | 28,230 | 139,984 | 168,214 | 100 | 100 | 2024 | 2024 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Other | Redev | — | 453,869 | 453,869 | — | — | (2) | 2023 | 2025 | |||||||||||||||||||||||||||||||||||||||||||||||||||||
| San Francisco Bay Area | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 1450 Owens Street/Mission Bay | Dev | — | 212,796 | 212,796 | — | — | (2) | 2024 | 2025 | |||||||||||||||||||||||||||||||||||||||||||||||||||||
| 651 Gateway Boulevard/South San Francisco | Redev | — | 300,010 | 300,010 | 7 | 7 | (2) | 2023 | 2025 | |||||||||||||||||||||||||||||||||||||||||||||||||||||
| 751 Gateway Boulevard/South San Francisco | Dev | — | 230,592 | 230,592 | 100 | 100 | 2023 | 2023 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
| San Diego | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 10075 Barnes Canyon Road/Sorrento Mesa | Dev | — | 254,771 | 254,771 | — | — | (2) | 2024 | 2025 | |||||||||||||||||||||||||||||||||||||||||||||||||||||
| Seattle | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 1150 Eastlake Avenue East/Lake Union | Dev | — | 311,631 | 311,631 | 89 | 89 | 2023 | 2024 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Alexandria Center® for Advanced Technologies – Monte Villa Parkway/Bothell | Redev | 246,647 | 213,976 | 460,623 | 84 | 84 | 2023 | 2024 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Maryland | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 9810 Darnestown Road/Rockville | Dev | — | 192,000 | 192,000 | 100 | 100 | 2024 | 2024 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 9808 Medical Center Drive/Rockville | Dev | — | 90,000 | 90,000 | 29 | 73 | 2023 | 2024 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 9601 and 9603 Medical Center Drive/Rockville | Redev | 34,589 | 61,322 | 95,911 | 100 | 100 | 4Q21 | 2023 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 20400 Century Boulevard/Gaithersburg | Redev | 50,738 | 29,812 | 80,550 | 100 | 100 | 1Q22 | 2023 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Research Triangle | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
2400 Ellis Road, 40 and 41 Moore Drive, and 14 TW Alexander Drive/ Research Triangle | Redev | 326,445 | 376,871 | 703,316 | 86 | 86 | 2Q21 | 2024 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 4 Davis Drive/Research Triangle | Dev | — | 180,000 | 180,000 | — | 6 | (2) | 2023 | 2024 | |||||||||||||||||||||||||||||||||||||||||||||||||||||
| 6040 George Watts Hill Drive, Phase II/Research Triangle | Dev | — | 88,038 | 88,038 | 100 | 100 | 2024 | 2024 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Texas | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 8800 Technology Forest Place/Greater Houston | Redev | — | 201,499 | 201,499 | 23 | 23 | 2023 | 2024 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Canada | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Canada | Redev | 22,992 | 107,081 | 130,073 | 71 | 81 | 2023 | 2024 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 1,366,926 | 5,597,537 | 6,964,463 | 67 | % | 68 | % | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
(1)Initial occupancy dates are subject to leasing and/or market conditions. Multi-tenant projects may have occupancy by tenants over a period of time. Stabilized occupancy may vary depending on single tenancy versus multi-tenancy. (2)This project is focused on demand from our existing tenants in our adjacent properties/campuses and will also address demand from other non-Alexandria properties/campuses. | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Market Property/Submarket | Square Footage | Percentage | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Dev/Redev | In Service | CIP | Total | Leased | Leased/Negotiating | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Near-term projects expected to commence construction in the next four quarters | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| San Francisco Bay Area | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 230 Harriet Tubman Way/South San Francisco | Dev | — | 285,346 | 285,346 | 100 | % | 100 | % | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
| San Diego | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 11255 and 11355 North Torrey Pines Road/Torrey Pines | Dev | — | 309,094 | 309,094 | 100 | 100 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 10931 and 10933 North Torrey Pines Road/Torrey Pines | Dev | — | 299,158 | 299,158 | 100 | 100 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Campus Point by Alexandria, Phase II/University Town Center | Dev | — | 426,927 | 426,927 | 100 | 100 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Campus Point by Alexandria, Phase I/University Town Center | Dev | — | 171,102 | 171,102 | 100 | 100 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Seattle | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 701 Dexter Avenue North/Lake Union | Dev | — | 226,586 | 226,586 | — | — | (1) | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Maryland | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 9820 Darnestown Road/Rockville | Dev | — | 250,000 | 250,000 | 100 | 100 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| — | 1,968,213 | 1,968,213 | 88 | 88 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Total | 1,366,926 | 7,565,750 | 8,932,676 | 72 | % | 72 | % | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
(1)This project was initiated due to demand from neighboring tenants. | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Our Ownership Interest | At 100% | Unlevered Yields | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Market Property/Submarket | In Service | CIP | Cost to Complete | Total at Completion | Initial Stabilized | Initial Stabilized (Cash Basis) | |||||||||||||||||||||||||||||||||||||||||||||||||||||
| Under construction | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Greater Boston | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 325 Binney Street/Cambridge/Inner Suburbs | 100 | % | $ | — | $ | 477,206 | $ | 413,794 | $ | 891,000 | 8.5 | % | 7.2 | % | |||||||||||||||||||||||||||||||||||||||||||||
| One Rogers Street/Cambridge/Inner Suburbs | 100 | % | 10,814 | 1,040,421 | 154,765 | 1,206,000 | 5.2 | % | 4.2 | % | |||||||||||||||||||||||||||||||||||||||||||||||||
| 99 Coolidge Avenue/Cambridge/Inner Suburbs | 75.0 | % | — | 174,817 | TBD | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 500 North Beacon Street and 4 Kingsbury Avenue/Cambridge/Inner Suburbs | 100 | % | — | 156,299 | 270,701 | 427,000 | 6.2 | % | 5.5 | % | |||||||||||||||||||||||||||||||||||||||||||||||||
| 201 Brookline Avenue/Fenway | 98.8 | % | 482,455 | 208,188 | 43,357 | 734,000 | 7.2 | % | 6.2 | % | |||||||||||||||||||||||||||||||||||||||||||||||||
| 15 Necco Street/Seaport Innovation District | 90.0 | % | — | 339,207 | 227,793 | 567,000 | 6.7 | % | 5.5 | % | |||||||||||||||||||||||||||||||||||||||||||||||||
| 40, 50, and 60 Sylvan Road/Route 128 | 100 | % | 173,686 | 151,887 | TBD | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 840 Winter Street/Route 128 | 100 | % | 13,642 | 99,117 | 95,241 | 208,000 | 7.5 | % | 6.5 | % | |||||||||||||||||||||||||||||||||||||||||||||||||
| Other | 100 | % | — | 128,736 | TBD | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
| San Francisco Bay Area | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 1450 Owens Street/Mission Bay | 59.7 | % | — | 122,012 | TBD | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 651 Gateway Boulevard/South San Francisco | 50.0 | % | — | 182,941 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 751 Gateway Boulevard/South San Francisco | 51.0 | % | — | 171,315 | 118,685 | 290,000 | 6.5 | % | 6.3 | % | |||||||||||||||||||||||||||||||||||||||||||||||||
| San Diego | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 10075 Barnes Canyon Road/Sorrento Mesa | 50.0 | % | — | 51,389 | TBD | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Seattle | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 1150 Eastlake Avenue East/Lake Union | 100 | % | — | 213,339 | 191,661 | 405,000 | 6.4 | % | 6.2 | % | |||||||||||||||||||||||||||||||||||||||||||||||||
Alexandria Center® for Advanced Technologies – Monte Villa Parkway/Bothell | 100 | % | 59,309 | 99,001 | 70,690 | 229,000 | 6.3 | % | 6.2 | % | |||||||||||||||||||||||||||||||||||||||||||||||||
| Maryland | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 9810 Darnestown Road/Rockville | 100 | % | — | 78,508 | 54,492 | 133,000 | 6.9 | % | 6.2 | % | |||||||||||||||||||||||||||||||||||||||||||||||||
| 9808 Medical Center Drive/Rockville | 100 | % | — | 51,050 | TBD | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 9601 and 9603 Medical Center Drive/Rockville | 100 | % | 18,187 | 30,907 | 4,906 | 54,000 | 8.4 | % | 7.1 | % | |||||||||||||||||||||||||||||||||||||||||||||||||
| 20400 Century Boulevard/Gaithersburg | 100 | % | 21,185 | 7,584 | 6,231 | 35,000 | 8.5 | % | 8.6 | % | |||||||||||||||||||||||||||||||||||||||||||||||||
| Research Triangle | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 2400 Ellis Road, 40 and 41 Moore Drive, and 14 TW Alexander Drive/Research Triangle | 100 | % | 93,858 | 121,944 | 121,198 | 337,000 | 7.5 | % | 6.7 | % | |||||||||||||||||||||||||||||||||||||||||||||||||
| 4 Davis Drive/Research Triangle | 100 | % | — | 38,090 | TBD | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 6040 George Watts Hill Drive, Phase II/Research Triangle | 100 | % | — | 20,583 | 43,417 | 64,000 | 8.0 | % | 7.0 | % | |||||||||||||||||||||||||||||||||||||||||||||||||
| Texas | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 8800 Technology Forest Place/Greater Houston | 100 | % | — | 73,436 | TBD | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Canada | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Canada | 100 | % | 3,154 | 17,376 | TBD | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
| $ | 876,290 | $ | 4,055,353 | $ | 3,690,000 | (1) | $ | 8,620,000 | (1) | ||||||||||||||||||||||||||||||||||||||||||||||||||
(1)Amounts rounded to the nearest $10 million and include preliminary estimated amounts for projects listed as TBD. | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Our Ownership Interest | At 100% | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Market Property/Submarket | In Service | CIP | Cost to Complete | Total at Completion | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Near-term projects expected to commence construction in the next four quarters | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| San Francisco Bay Area | TBD | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 230 Harriet Tubman Way/South San Francisco | 45.3 | % | $ | — | $ | 110,278 | |||||||||||||||||||||||||||||||||||||||||||||||||||||
| San Diego | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 11255 and 11355 North Torrey Pines Road/Torrey Pines | 100 | % | — | 126,748 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 10931 and 10933 North Torrey Pines Road/Torrey Pines | 100 | % | — | 83,241 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Campus Point by Alexandria, Phase II/University Town Center | 55.0 | % | — | 53,495 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Campus Point by Alexandria, Phase I/University Town Center | 55.0 | % | — | 46,821 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Seattle | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 701 Dexter Avenue North/Lake Union | 100 | % | — | 124,303 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Maryland | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 9820 Darnestown Road/Rockville | 100 | % | — | 38,952 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
| — | 583,838 | 1,830,000 | (1) | 2,420,000 | (1) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Total | $ | 876,290 | $ | 4,639,191 | $ | 5,520,000 | (1) | $ | 11,040,000 | (1) | |||||||||||||||||||||||||||||||||||||||||||||||||
Our share of investment(2) | $ | 4,660,000 | (1) | $ | 9,730,000 | (1) | |||||||||||||||||||||||||||||||||||||||||||||||||||||
Market Property/Submarket | Our Ownership Interest | Book Value | Square Footage | |||||||||||||||||||||||||||||||||||||||||||||||
| Development and Redevelopment | Total(1) | |||||||||||||||||||||||||||||||||||||||||||||||||
| Under Construction | Near Term | Intermediate Term | Future | |||||||||||||||||||||||||||||||||||||||||||||||
| Greater Boston | ||||||||||||||||||||||||||||||||||||||||||||||||||
Mega Campus: Alexandria Center® at One Kendall Square/Cambridge/ Inner Suburbs | 100 | % | $ | 477,206 | 462,100 | — | — | — | 462,100 | |||||||||||||||||||||||||||||||||||||||||
| 325 Binney Street | ||||||||||||||||||||||||||||||||||||||||||||||||||
Mega Campus: Alexandria Center® at Kendall Square/Cambridge/ Inner Suburbs | 100 | % | 1,097,991 | 403,892 | 104,500 | — | 41,955 | 550,347 | ||||||||||||||||||||||||||||||||||||||||||
| One Rogers Street and 100 Edwin H. Land Boulevard | ||||||||||||||||||||||||||||||||||||||||||||||||||
| 99 Coolidge Avenue/Cambridge/Inner Suburbs | 75.0 | % | 174,817 | 320,809 | — | — | — | 320,809 | ||||||||||||||||||||||||||||||||||||||||||
| Mega Campus: The Arsenal on the Charles/Cambridge/Inner Suburbs | 100 | % | 167,226 | 248,018 | — | — | 342,603 | 590,621 | ||||||||||||||||||||||||||||||||||||||||||
| 311 Arsenal Street, 500 North Beacon Street, and 4 Kingsbury Avenue | ||||||||||||||||||||||||||||||||||||||||||||||||||
Mega Campus: Alexandria Center® for Life Science – Fenway/Fenway | (2) | 524,791 | 170,043 | 507,997 | — | — | 678,040 | |||||||||||||||||||||||||||||||||||||||||||
| 201 Brookline Avenue and 421 Park Drive | ||||||||||||||||||||||||||||||||||||||||||||||||||
| 15 Necco Street/Seaport Innovation District | 90.0 | % | 339,207 | 345,995 | — | — | — | 345,995 | ||||||||||||||||||||||||||||||||||||||||||
| Mega Campus: 40, 50, and 60 Sylvan Road, 35 Gatehouse Drive, and 840 Winter Street/Route 128 | 100 | % | 308,205 | 342,412 | 341,075 | — | 515,000 | 1,198,487 | ||||||||||||||||||||||||||||||||||||||||||
| 275 Grove Street/Route 128 | 100 | % | — | — | 160,251 | — | — | 160,251 | ||||||||||||||||||||||||||||||||||||||||||
| 10 Necco Street/Seaport Innovation District | 100 | % | 98,667 | — | — | 175,000 | — | 175,000 | ||||||||||||||||||||||||||||||||||||||||||
| 215 Presidential Way/Route 128 | 100 | % | 6,808 | — | — | 112,000 | — | 112,000 | ||||||||||||||||||||||||||||||||||||||||||
| Mega Campus: 480 Arsenal Way and 446, 458, 500, and 550 Arsenal Street/Cambridge/Inner Suburbs | 100 | % | 77,582 | — | — | — | 902,000 | 902,000 | ||||||||||||||||||||||||||||||||||||||||||
| 446, 458, and 550 Arsenal Street | ||||||||||||||||||||||||||||||||||||||||||||||||||
Mega Campus: Alexandria Technology Square®/Cambridge/ Inner Suburbs | 100 | % | 7,881 | — | — | — | 100,000 | 100,000 | ||||||||||||||||||||||||||||||||||||||||||
| Mega Campus: 380 and 420 E Street/Seaport Innovation District | 100 | % | 125,786 | — | — | — | 1,000,000 | 1,000,000 | ||||||||||||||||||||||||||||||||||||||||||
| 99 A Street/Seaport Innovation District | 100 | % | 49,800 | — | — | — | 235,000 | 235,000 | ||||||||||||||||||||||||||||||||||||||||||
| Mega Campus: One Moderna Way/Route 128 | 100 | % | 24,686 | — | — | — | 1,100,000 | 1,100,000 | ||||||||||||||||||||||||||||||||||||||||||
| Other value-creation projects | 100 | % | 202,708 | 453,869 | 260,992 | — | 449,549 | 1,164,410 | ||||||||||||||||||||||||||||||||||||||||||
| $ | 3,683,361 | 2,747,138 | 1,374,815 | 287,000 | 4,686,107 | 9,095,060 | ||||||||||||||||||||||||||||||||||||||||||||
Refer to the definition of “Mega campus” in the “Definitions and reconciliations” in the “Non-GAAP measures and definitions” section under Item 7 in this annual report on Form 10-K for additional information. (1)Represents total square footage upon completion of development or redevelopment of one or more new Class A properties. Square footage presented includes RSF of buildings currently in operation at properties that also have inherent future development or redevelopment opportunities. Upon expiration of existing in-place leases, we have the intent to demolish or redevelop the existing property and commence future construction. Refer to the definition of “Investments in real estate – value-creation square footage currently in rental properties” in the “Non-GAAP measures and definitions” section under Item 7 in this annual report on Form 10-K for additional information. (2)We have a 98.8% ownership interest in 201 Brookline Avenue aggregating 170,043 RSF, which is currently under construction, and a 100% ownership interest in the near-term development project at 421 Park Drive aggregating 507,997 SF. | ||||||||||||||||||||||||||||||||||||||||||||||||||
Market Property/Submarket | Our Ownership Interest | Book Value | Square Footage | |||||||||||||||||||||||||||||||||||||||||||||||
| Development and Redevelopment | Total(1) | |||||||||||||||||||||||||||||||||||||||||||||||||
| Under Construction | Near Term | Intermediate Term | Future | |||||||||||||||||||||||||||||||||||||||||||||||
| San Francisco Bay Area | ||||||||||||||||||||||||||||||||||||||||||||||||||
Mega Campus: Alexandria Center® for Science and Technology – Mission Bay/Mission Bay | 59.7 | % | $ | 122,012 | 212,796 | — | — | — | 212,796 | |||||||||||||||||||||||||||||||||||||||||
| 1450 Owens Street | ||||||||||||||||||||||||||||||||||||||||||||||||||
Mega Campus: Alexandria Technology Center® – Gateway/South San Francisco | (2) | 378,730 | 530,602 | — | — | 291,000 | 821,602 | |||||||||||||||||||||||||||||||||||||||||||
| 651 and 751 Gateway Boulevard | ||||||||||||||||||||||||||||||||||||||||||||||||||
Alexandria Center® for Life Science – Millbrae/South San Francisco | 45.3 | % | 252,173 | — | 633,747 | — | — | 633,747 | ||||||||||||||||||||||||||||||||||||||||||
| 230 Harriet Tubman Way, 201 and 231 Adrian Road, and 6 and 30 Rollins Road | ||||||||||||||||||||||||||||||||||||||||||||||||||
| 3825 and 3875 Fabian Way/Greater Stanford | 100 | % | 137,076 | — | — | 250,000 | 228,000 | 478,000 | ||||||||||||||||||||||||||||||||||||||||||
Mega Campus: Alexandria Center® for Life Science – San Carlos/Greater Stanford | 100 | % | 397,323 | — | 105,000 | 700,000 | 692,830 | 1,497,830 | ||||||||||||||||||||||||||||||||||||||||||
| 960 Industrial Road, 987 and 1075 Commercial Street, and 888 Bransten Road | ||||||||||||||||||||||||||||||||||||||||||||||||||
| 901 California Avenue/Greater Stanford | 100 | % | 11,698 | — | 56,924 | — | — | 56,924 | ||||||||||||||||||||||||||||||||||||||||||
| Mega Campus: 88 Bluxome Street/SoMa | 100 | % | 348,135 | — | 1,070,925 | — | — | 1,070,925 | ||||||||||||||||||||||||||||||||||||||||||
| Mega Campus: 1122, 1150, and 1178 El Camino Real/South San Francisco | 100 | % | 350,590 | — | — | — | 1,930,000 | 1,930,000 | ||||||||||||||||||||||||||||||||||||||||||
Mega Campus: 211(3), 213(3), 249, 259, 269, and 279 East Grand Avenue/ South San Francisco | 100 | % | 6,655 | — | — | — | 90,000 | 90,000 | ||||||||||||||||||||||||||||||||||||||||||
| 211 East Grand Avenue | ||||||||||||||||||||||||||||||||||||||||||||||||||
| Other value-creation projects | 100 | % | — | — | — | — | 25,000 | 25,000 | ||||||||||||||||||||||||||||||||||||||||||
| 2,004,392 | 743,398 | 1,866,596 | 950,000 | 3,256,830 | 6,816,824 | |||||||||||||||||||||||||||||||||||||||||||||
| New York City | ||||||||||||||||||||||||||||||||||||||||||||||||||
Mega Campus: Alexandria Center® for Life Science – New York City/New York City | 100 | % | 133,505 | — | — | 550,000 | (4) | — | 550,000 | |||||||||||||||||||||||||||||||||||||||||
| 219 East 42nd Street/New York City | 100 | % | — | — | — | 579,947 | — | 579,947 | ||||||||||||||||||||||||||||||||||||||||||
| $ | 133,505 | — | — | 1,129,947 | — | 1,129,947 | ||||||||||||||||||||||||||||||||||||||||||||
Refer to the definition of “Mega campus” in the “Definitions and reconciliations” in the “Non-GAAP measures and definitions” section under Item 7 in this annual report on Form 10-K for additional information. (1)Represents total square footage upon completion of development or redevelopment of one or more new Class A properties. Square footage presented includes RSF of buildings currently in operation at properties that also have inherent future development or redevelopment opportunities. Upon expiration of existing in-place leases, we have the intent to demolish or redevelop the existing property and commence future construction. Refer to the definition of “Investments in real estate – value-creation square footage currently in rental properties” in the “Non-GAAP measures and definitions” section under Item 7 in this annual report on Form 10-K for additional information. (2)We have a 50.0% ownership interest in 651 Gateway Boulevard aggregating 300,010 RSF and a 51.0% ownership interest in 751 Gateway Boulevard aggregating 230,592 RSF. (3)We own a partial interest in this property through a real estate joint venture. Refer to Note 4 – “Consolidated and unconsolidated real estate joint ventures” to our consolidated financial statements under Item 15 of this annual report on Form 10-K for additional details. (4)Pursuant to an option agreement, we are currently negotiating a long-term ground lease with the City of New York for the future site of a new building of approximately 550,000 SF. | ||||||||||||||||||||||||||||||||||||||||||||||||||
Market Property/Submarket | Our Ownership Interest | Book Value | Square Footage | |||||||||||||||||||||||||||||||||||||||||||||||
| Development and Redevelopment | Total(1) | |||||||||||||||||||||||||||||||||||||||||||||||||
| Under Construction | Near Term | Intermediate Term | Future | |||||||||||||||||||||||||||||||||||||||||||||||
| San Diego | ||||||||||||||||||||||||||||||||||||||||||||||||||
| Mega Campus: SD Tech by Alexandria/Sorrento Mesa | 50.0 | % | $ | 116,330 | 254,771 | — | 160,000 | 333,845 | 748,616 | |||||||||||||||||||||||||||||||||||||||||
| 9805 Scranton Road and 10065 and 10075 Barnes Canyon Road | ||||||||||||||||||||||||||||||||||||||||||||||||||
| Mega Campus: One Alexandria Square and One Alexandria North/Torrey Pines | 100 | % | 262,456 | — | 608,252 | 125,280 | — | 733,532 | ||||||||||||||||||||||||||||||||||||||||||
| 10931, 10933, 11255, and 11355 North Torrey Pines Road and 10975 and 10995 Torreyana Road | ||||||||||||||||||||||||||||||||||||||||||||||||||
| Mega Campus: Campus Point by Alexandria/University Town Center | 55.0 | % | 259,044 | — | 598,029 | — | 1,074,445 | 1,672,474 | ||||||||||||||||||||||||||||||||||||||||||
10010(2), 10140(2), and 10260 Campus Point Drive and 4110, 4150, 4161, and 4275(2) Campus Point Court | ||||||||||||||||||||||||||||||||||||||||||||||||||
| Mega Campus: Sequence District by Alexandria/Sorrento Mesa | 100 | % | 43,100 | — | 200,000 | 509,000 | 1,089,915 | 1,798,915 | ||||||||||||||||||||||||||||||||||||||||||
| 6260, 6290, 6310, 6340, 6350, and 6450 Sequence Drive | ||||||||||||||||||||||||||||||||||||||||||||||||||
| Scripps Science Park by Alexandria/Sorrento Mesa | 100 | % | 69,978 | — | 105,000 | 175,041 | 164,000 | 444,041 | ||||||||||||||||||||||||||||||||||||||||||
| 10048 and 10219 Meanley Drive, and 10277 Scripps Ranch Boulevard | ||||||||||||||||||||||||||||||||||||||||||||||||||
| Mega Campus: University District/University Town Center | 100 | % | 143,990 | — | — | 937,000 | — | 937,000 | ||||||||||||||||||||||||||||||||||||||||||
| 9363, 9373, and 9393 Towne Centre Drive, 8410-8750 Genesee Avenue, and 4282 Esplanade Court | ||||||||||||||||||||||||||||||||||||||||||||||||||
| Pacific Technology Park/Sorrento Mesa | 50.0 | % | 21,981 | — | — | 149,000 | — | 149,000 | ||||||||||||||||||||||||||||||||||||||||||
| 9444 Waples Street | ||||||||||||||||||||||||||||||||||||||||||||||||||
| Mega Campus: 5200 Illumina Way/University Town Center | 51.0 | % | 16,652 | — | — | — | 451,832 | 451,832 | ||||||||||||||||||||||||||||||||||||||||||
| 4025, 4031, 4045, and 4075 Sorrento Valley Boulevard/Sorrento Valley | 100 | % | 21,282 | — | — | — | 247,000 | 247,000 | ||||||||||||||||||||||||||||||||||||||||||
| Other value-creation projects | 100 | % | 68,606 | — | — | — | 475,000 | 475,000 | ||||||||||||||||||||||||||||||||||||||||||
| 1,023,419 | 254,771 | 1,511,281 | 2,055,321 | 3,836,037 | 7,657,410 | |||||||||||||||||||||||||||||||||||||||||||||
| Seattle | ||||||||||||||||||||||||||||||||||||||||||||||||||
| Mega Campus: The Eastlake Life Science Campus by Alexandria/Lake Union | 100 | % | 213,339 | 311,631 | — | — | — | 311,631 | ||||||||||||||||||||||||||||||||||||||||||
| 1150 Eastlake Avenue East | ||||||||||||||||||||||||||||||||||||||||||||||||||
Alexandria Center® for Advanced Technologies – Monte Villa Parkway/Bothell | 100 | % | 99,001 | 213,976 | 50,552 | — | — | 264,528 | ||||||||||||||||||||||||||||||||||||||||||
| 3301, 3555, and 3755 Monte Villa Parkway | ||||||||||||||||||||||||||||||||||||||||||||||||||
Mega Campus: Alexandria Center® for Life Science – South Lake Union/ Lake Union | (3) | 377,870 | — | 1,095,586 | — | 188,400 | 1,283,986 | |||||||||||||||||||||||||||||||||||||||||||
| 601 and 701 Dexter Avenue North and 800 Mercer Street | ||||||||||||||||||||||||||||||||||||||||||||||||||
| 830 and 1010 4th Avenue South/SoDo | 100 | % | $ | 53,937 | — | — | — | 597,313 | 597,313 | |||||||||||||||||||||||||||||||||||||||||
Refer to the definition of “Mega campus” in the “Definitions and reconciliations” in the “Non-GAAP measures and definitions” section under Item 7 in this annual report on Form 10-K for additional information. (1)Represents total square footage upon completion of development or redevelopment of one or more new Class A properties. Square footage presented includes RSF of buildings currently in operation at properties that also have inherent future development or redevelopment opportunities. Upon expiration of existing in-place leases, we have the intent to demolish or redevelop the existing property and commence future construction. Refer to the definition of “Investments in real estate – value-creation square footage currently in rental properties” in the “Non-GAAP measures and definitions” section under Item 7 in this annual report on Form 10-K for additional information. (2)We have a 100% ownership interest in this property. (3)We have a 100% ownership interest in 601 and 701 Dexter Avenue North aggregating 414,986 SF and a 60% ownership interest in the near-term development project at 800 Mercer Street aggregating 869,000 SF. | ||||||||||||||||||||||||||||||||||||||||||||||||||
Market Property/Submarket | Our Ownership Interest | Book Value | Square Footage | |||||||||||||||||||||||||||||||||||||||||||||||
| Development and Redevelopment | Total(1) | |||||||||||||||||||||||||||||||||||||||||||||||||
| Under Construction | Near Term | Intermediate Term | Future | |||||||||||||||||||||||||||||||||||||||||||||||
| Seattle (continued) | ||||||||||||||||||||||||||||||||||||||||||||||||||
Mega Campus: Alexandria Center® for Advanced Technologies – Canyon Park/Bothell | 100 | % | $ | 14,059 | — | — | — | 230,000 | 230,000 | |||||||||||||||||||||||||||||||||||||||||
| 21660 20th Avenue Southeast | ||||||||||||||||||||||||||||||||||||||||||||||||||
| Other value-creation projects | 100 | % | 84,369 | — | — | — | 691,000 | 691,000 | ||||||||||||||||||||||||||||||||||||||||||
| 842,575 | 525,607 | 1,146,138 | — | 1,706,713 | 3,378,458 | |||||||||||||||||||||||||||||||||||||||||||||
| Maryland | ||||||||||||||||||||||||||||||||||||||||||||||||||
Mega Campus: Alexandria Center® for Life Science – Shady Grove/Rockville | 100 | % | 218,117 | 343,322 | 250,000 | 258,000 | 38,000 | 889,322 | ||||||||||||||||||||||||||||||||||||||||||
| 9601, 9603, and 9808 Medical Center Drive and 9810, 9820, and 9830 Darnestown Road | ||||||||||||||||||||||||||||||||||||||||||||||||||
| 20400 Century Boulevard/Gaithersburg | 100 | % | 7,584 | 29,812 | — | — | — | 29,812 | ||||||||||||||||||||||||||||||||||||||||||
| 225,701 | 373,134 | 250,000 | 258,000 | 38,000 | 919,134 | |||||||||||||||||||||||||||||||||||||||||||||
| Research Triangle | ||||||||||||||||||||||||||||||||||||||||||||||||||
Mega Campus: Alexandria Center® for Life Science – Durham/ Research Triangle | 100 | % | 271,547 | 376,871 | — | — | 2,060,000 | 2,436,871 | ||||||||||||||||||||||||||||||||||||||||||
| 40 and 41 Moore Drive and 14 TW Alexander Drive | ||||||||||||||||||||||||||||||||||||||||||||||||||
Mega Campus: Alexandria Center® for Advanced Technologies – Research Triangle/Research Triangle | 100 | % | 74,801 | 180,000 | — | — | 990,000 | 1,170,000 | ||||||||||||||||||||||||||||||||||||||||||
| 4 and 12 Davis Drive | ||||||||||||||||||||||||||||||||||||||||||||||||||
| 6040 George Watts Hill Drive, Phase II/Research Triangle | 100 | % | 20,583 | 88,038 | — | — | — | 88,038 | ||||||||||||||||||||||||||||||||||||||||||
Mega Campus: Alexandria Center® for NextGen Medicines/ Research Triangle | 100 | % | 100,290 | — | 100,000 | 100,000 | 855,000 | 1,055,000 | ||||||||||||||||||||||||||||||||||||||||||
| 3029 East Cornwallis Road | ||||||||||||||||||||||||||||||||||||||||||||||||||
| 120 TW Alexander Drive, 2752 East NC Highway 54, and 10 South Triangle Drive/Research Triangle | 100 | % | 51,083 | — | — | — | 750,000 | 750,000 | ||||||||||||||||||||||||||||||||||||||||||
| Other value-creation projects | 100 | % | 4,185 | — | — | — | 76,262 | 76,262 | ||||||||||||||||||||||||||||||||||||||||||
| $ | 522,489 | 644,909 | 100,000 | 100,000 | 4,731,262 | 5,576,171 | ||||||||||||||||||||||||||||||||||||||||||||
Refer to the definition of “Mega campus” in the “Definitions and reconciliations” in the “Non-GAAP measures and definitions” section under Item 7 in this annual report on Form 10-K for additional information. (1)Represents total square footage upon completion of development or redevelopment of one or more new Class A properties. Square footage presented includes RSF of buildings currently in operation at properties that also have inherent future development or redevelopment opportunities. Upon expiration of existing in-place leases, we have the intent to demolish or redevelop the existing property and commence future construction. Refer to the definition of “Investments in real estate – value-creation square footage currently in rental properties” in the “Non-GAAP measures and definitions” section under Item 7 in this annual report on Form 10-K for additional information. | ||||||||||||||||||||||||||||||||||||||||||||||||||
Market Property/Submarket | Our Ownership Interest | Book Value | Square Footage | |||||||||||||||||||||||||||||||||||||||||||||||
| Development and Redevelopment | Total(1) | |||||||||||||||||||||||||||||||||||||||||||||||||
| Under Construction | Near Term | Intermediate Term | Future | |||||||||||||||||||||||||||||||||||||||||||||||
| Texas | ||||||||||||||||||||||||||||||||||||||||||||||||||
| 8800 Technology Forest Place/Greater Houston | 100 | % | $ | 84,514 | 201,499 | — | — | 116,287 | 317,786 | |||||||||||||||||||||||||||||||||||||||||
| 1020 Red River Street/Austin | 100 | % | 9,197 | — | — | — | 177,072 | 177,072 | ||||||||||||||||||||||||||||||||||||||||||
| Other value-creation projects | 100 | % | 127,618 | — | — | — | 1,694,000 | 1,694,000 | ||||||||||||||||||||||||||||||||||||||||||
| 221,329 | 201,499 | — | — | 1,987,359 | 2,188,858 | |||||||||||||||||||||||||||||||||||||||||||||
| Canada | 100 | % | 17,376 | 107,081 | — | — | 124,000 | 231,081 | ||||||||||||||||||||||||||||||||||||||||||
| Other value-creation projects | 100 | % | 41,188 | — | — | — | 350,000 | 350,000 | ||||||||||||||||||||||||||||||||||||||||||
Total pipeline as of December 31, 2022 | $ | 8,715,335 | (2) | 5,597,537 | 6,248,830 | 4,780,268 | 20,716,308 | 37,342,943 | ||||||||||||||||||||||||||||||||||||||||||














| Year Ended December 31, | |||||||||||||||||
| 2022 | 2021 | ||||||||||||||||
| Net income attributable to Alexandria’s common stockholders – diluted: | |||||||||||||||||
In millions | $ | 513.3 | $ | 563.4 | |||||||||||||
Per share | $ | 3.18 | $ | 3.82 | |||||||||||||
| Funds from operations attributable to Alexandria’s common stockholders – diluted, as adjusted: | |||||||||||||||||
In millions | $ | 1,361.7 | $ | 1,144.9 | |||||||||||||
Per share | $ | 8.42 | $ | 7.76 | |||||||||||||
| Percentage of total annual rental revenue in effect from investment-grade or publicly traded large cap tenants | 48 | % | ||||||||||||
| Sustained strength in tenant collections: | ||||||||||||||
Tenant receivables as of December 31, 2022 | $ | 7.6 | million | |||||||||||
January 2023 tenant rent and receivables collected as of the date of this report | 99.4 | % | ||||||||||||
| Occupancy of operating properties in North America | 94.8 | % | ||||||||||||
| Operating margin | 70 | % | (1) | |||||||||||
| Adjusted EBITDA margin | 69 | % | (1) | |||||||||||
| Weighted-average remaining lease term: | ||||||||||||||
| All tenants | 7.1 | years | ||||||||||||
| Top 20 tenants | 9.4 | years | ||||||||||||
| 2022 | |||||||||||
| Total leasing activity – RSF | 8,405,587 | ||||||||||
| Leasing of development and redevelopment space – RSF | 2,828,539 | ||||||||||
| Lease renewals and re-leasing of space: | |||||||||||
| RSF (included in total leasing activity above) | 4,540,325 | ||||||||||
| Rental rate increases | 31.0% | ||||||||||
| Rental rate increases (cash basis) | 22.1% | ||||||||||
Value-creation pipeline of new Class A development and redevelopment projects as a percentage of gross assets | December 31, 2022 | ||||||||||||||||
Under construction projects 68% leased/negotiating | 10% | ||||||||||||||||
Near-term projects expected to commence construction in the next four quarters 88% leased | 2% | ||||||||||||||||
Income-producing/potential cash flows/covered land play(1) | 7% | ||||||||||||||||
| Land | 3% | ||||||||||||||||
| New Agreement | Change | |||||||||||||||||||
| Commitments available for borrowing | $4.0 billion | Up $1.0 billion | ||||||||||||||||||
| Maturity date | January 2028 | Extended by 2 years | ||||||||||||||||||
| Interest rate | SOFR+0.875% | Converted to SOFR from LIBOR | ||||||||||||||||||
Historical Same Property Net Operating Income Growth(1) | Favorable Lease Structure(3) | |||||||||||||||||||||||||||||||
![]() | ![]() | Strategic Lease Structure by Owner and Operator of Collaborative Life Science, Agtech, and Technology Campuses | ||||||||||||||||||||||||||||||
| Increasing cash flows | ||||||||||||||||||||||||||||||||
Percentage of leases containing annual rent escalations | 96% | |||||||||||||||||||||||||||||||
| Stable cash flows | ||||||||||||||||||||||||||||||||
Percentage of triple net leases | 93% | |||||||||||||||||||||||||||||||
| Lower capex burden | ||||||||||||||||||||||||||||||||
Percentage of leases providing for the recapture of capital expenditures | 93% | |||||||||||||||||||||||||||||||
| Historical Rental Rate Growth: Renewed/Re-Leased Space | Margins(4) | |||||||||||||||||||||||||||||||
![]() | ![]() | |||||||||||||||||||||||||||||||
| Operating | Adjusted EBITDA | |||||||||||||||||||||||||||||||
| 70% | 69% | |||||||||||||||||||||||||||||||
Net Debt and Preferred Stock to Adjusted EBITDA(5) | Fixed-Charge Coverage Ratio(5) | |||||||||||||||||||||||||||||||
![]() | ![]() | |||||||||||||||||||||||||||||||




| Year Ended December 31, | |||||||||||||||||||||||
(In millions, except per share amounts) | 2022 | 2021 | 2022 | 2021 | |||||||||||||||||||
| Amount | Per Share – Diluted | ||||||||||||||||||||||
| Impairment of real estate | $ | (65.0) | $ | (52.7) | $ | (0.40) | $ | (0.35) | |||||||||||||||
| Loss on early extinguishment of debt | (3.3) | (67.3) | (0.02) | (0.46) | |||||||||||||||||||
Gain on sales of real estate(1) | 537.9 | 126.6 | 3.33 | 0.86 | |||||||||||||||||||
| Acceleration of stock compensation expense due to executive officer resignation | (7.2) | — | (0.04) | — | |||||||||||||||||||
| Unrealized (losses) gains on non-real estate investments | (412.2) | 43.6 | (2.55) | 0.30 | |||||||||||||||||||
| Impairment of non-real estate investments | (20.5) | — | (0.13) | — | |||||||||||||||||||
| Significant realized gains on non-real estate investments | — | 110.1 | — | 0.75 | |||||||||||||||||||
| Total | $ | 29.7 | $ | 160.3 | $ | 0.19 | $ | 1.10 | |||||||||||||||
| December 31, | ||||||||||||||
| 2022 | 2021 | |||||||||||||
| Percentage change in net operating income over comparable period from prior year | 6.6% | 4.2 | % | |||||||||||
| Percentage change in net operating income (cash basis) over comparable period from prior year | 9.6% | 7.1 | % | |||||||||||
| Operating margin | 70% | 72% | ||||||||||||
| Number of Same Properties | 253 | 247 | ||||||||||||
| RSF | 26,121,796 | 23,490,412 | ||||||||||||
| Occupancy – current-period average | 95.7% | 96.6 | % | |||||||||||
| Occupancy – same-period prior-year average | 94.7% | 96.3 | % | |||||||||||
| Development – under construction | Properties | ||||||||||
| 4 Davis Drive | 1 | ||||||||||
| 201 Brookline Avenue | 1 | ||||||||||
| 15 Necco Street | 1 | ||||||||||
| 751 Gateway Boulevard | 1 | ||||||||||
| 325 Binney Street | 1 | ||||||||||
| 1150 Eastlake Avenue East | 1 | ||||||||||
| 9810 Darnestown Road | 1 | ||||||||||
| 99 Coolidge Avenue | 1 | ||||||||||
| 500 North Beacon Street and 4 Kingsbury Avenue | 2 | ||||||||||
| 9808 Medical Center Drive | 1 | ||||||||||
| 6040 George Watts Hill Drive | 1 | ||||||||||
| 1450 Owens Street | 1 | ||||||||||
| 10075 Barnes Canyon Road | 1 | ||||||||||
| 14 | |||||||||||
Development – placed into service after January 1, 2021 | Properties | ||||||||||
| 1165 Eastlake Avenue East | 1 | ||||||||||
| 201 Haskins Way | 1 | ||||||||||
| 825 and 835 Industrial Road | 2 | ||||||||||
| 9950 Medical Center Drive | 1 | ||||||||||
| 3115 Merryfield Row | 1 | ||||||||||
| 8 and 10 Davis Drive | 2 | ||||||||||
| 5 and 9 Laboratory Drive | 2 | ||||||||||
| 10055 Barnes Canyon Road | 1 | ||||||||||
| 10102 Hoyt Park Drive | 1 | ||||||||||
| 12 | |||||||||||
| Redevelopment – under construction | Properties | ||||||||||
| 2400 Ellis Road, 40 and 41 Moore Drive, and 14 TW Alexander Drive | 4 | ||||||||||
| 840 Winter Street | 1 | ||||||||||
| 20400 Century Boulevard | 1 | ||||||||||
| 9601 and 9603 Medical Center Drive | 2 | ||||||||||
| One Rogers Street | 1 | ||||||||||
| 40, 50, and 60 Sylvan Road | 3 | ||||||||||
Alexandria Center® for Advanced Technologies – Monte Villa Parkway | 6 | ||||||||||
| 651 Gateway Boulevard | 1 | ||||||||||
| 8800 Technology Forest Place | 1 | ||||||||||
| Canada | 2 | ||||||||||
| Other | 2 | ||||||||||
| 24 | |||||||||||
Redevelopment – placed into service after January 1, 2021 | Properties | ||||||||||
| 700 Quince Orchard Road | 1 | ||||||||||
| 3160 Porter Drive | 1 | ||||||||||
| 5505 Morehouse Drive | 1 | ||||||||||
| The Arsenal on the Charles | 11 | ||||||||||
| 30-02 48th Avenue | 1 | ||||||||||
| Other | 1 | ||||||||||
| 16 | |||||||||||
Acquisitions after January 1, 2021 | Properties | ||||||||||
| 3301, 3303, 3305, 3307, 3420, and 3440 Hillview Avenue | 6 | ||||||||||
| Sequence District by Alexandria | 5 | ||||||||||
Alexandria Center® for Life Science – Fenway | 1 | ||||||||||
| 550 Arsenal Street | 1 | ||||||||||
| 1501-1599 Industrial Road | 6 | ||||||||||
| One Investors Way | 2 | ||||||||||
| 2475 Hanover Street | 1 | ||||||||||
| 10975 and 10995 Torreyana Road | 2 | ||||||||||
| Pacific Technology Park | 5 | ||||||||||
| 1122 and 1150 El Camino Real | 2 | ||||||||||
| 12 Davis Drive | 1 | ||||||||||
| 8505 Costa Verde Boulevard and 4260 Nobel Drive | 2 | ||||||||||
| 225 and 235 Presidential Way | 2 | ||||||||||
| 104 TW Alexander Drive | 4 | ||||||||||
| One Hampshire Street | 1 | ||||||||||
| Intersection Campus | 12 | ||||||||||
| 100 Edwin H. Land Boulevard | 1 | ||||||||||
| 10010 and 10140 Campus Point Drive and 4275 Campus Point Court | 3 | ||||||||||
| 446 and 458 Arsenal Street | 2 | ||||||||||
| 35 Gatehouse Drive | 1 | ||||||||||
| 1001 Trinity Street and 1020 Red River Street | 2 | ||||||||||
| Other | 37 | ||||||||||
| 99 | |||||||||||
| Unconsolidated real estate joint ventures | 4 | ||||||||||
| Properties held for sale | 10 | ||||||||||
| Total properties excluded from Same Properties | 179 | ||||||||||
| Same Properties | 253 | ||||||||||
Total properties in North America as of December 31, 2022 | 432 | ||||||||||
| Year Ended December 31, | |||||||||||||||||||||||||||||
| (Dollars in thousands) | 2022 | 2021 | $ Change | % Change | |||||||||||||||||||||||||
| Income from rentals: | |||||||||||||||||||||||||||||
| Same Properties | $ | 1,385,380 | $ | 1,289,246 | $ | 96,134 | 7.5 | % | |||||||||||||||||||||
| Non-Same Properties | 564,718 | 329,346 | 235,372 | 71.5 | |||||||||||||||||||||||||
| Rental revenues | 1,950,098 | 1,618,592 | 331,506 | 20.5 | |||||||||||||||||||||||||
| Same Properties | 478,333 | 407,450 | 70,883 | 17.4 | |||||||||||||||||||||||||
| Non-Same Properties | 147,609 | 82,207 | 65,402 | 79.6 | |||||||||||||||||||||||||
| Tenant recoveries | 625,942 | 489,657 | 136,285 | 27.8 | |||||||||||||||||||||||||
| Income from rentals | 2,576,040 | 2,108,249 | 467,791 | 22.2 | |||||||||||||||||||||||||
| Same Properties | 620 | 479 | 141 | 29.4 | |||||||||||||||||||||||||
| Non-Same Properties | 12,302 | 5,422 | 6,880 | 126.9 | |||||||||||||||||||||||||
| Other income | 12,922 | 5,901 | 7,021 | 119.0 | |||||||||||||||||||||||||
| Same Properties | 1,864,333 | 1,697,175 | 167,158 | 9.8 | |||||||||||||||||||||||||
| Non-Same Properties | 724,629 | 416,975 | 307,654 | 73.8 | |||||||||||||||||||||||||
| Total revenues | 2,588,962 | 2,114,150 | 474,812 | 22.5 | |||||||||||||||||||||||||
| Same Properties | 561,301 | 475,209 | 86,092 | 18.1 | |||||||||||||||||||||||||
| Non-Same Properties | 221,852 | 148,346 | 73,506 | 49.6 | |||||||||||||||||||||||||
| Rental operations | 783,153 | 623,555 | 159,598 | 25.6 | |||||||||||||||||||||||||
| Same Properties | 1,303,032 | 1,221,966 | 81,066 | 6.6 | |||||||||||||||||||||||||
| Non-Same Properties | 502,777 | 268,629 | 234,148 | 87.2 | |||||||||||||||||||||||||
| Net operating income | $ | 1,805,809 | $ | 1,490,595 | $ | 315,214 | 21.1 | % | |||||||||||||||||||||
| Net operating income – Same Properties | $ | 1,303,032 | $ | 1,221,966 | $ | 81,066 | 6.6 | % | |||||||||||||||||||||
| Straight-line rent revenue | (54,991) | (79,602) | 24,611 | (30.9) | |||||||||||||||||||||||||
| Amortization of acquired below-market leases | (26,224) | (27,252) | 1,028 | (3.8) | |||||||||||||||||||||||||
| Net operating income – Same Properties (cash basis) | $ | 1,221,817 | $ | 1,115,112 | $ | 106,705 | 9.6 | % | |||||||||||||||||||||
| Year Ended December 31, | ||||||||||||||||||||
| Component | 2022 | 2021 | Change | |||||||||||||||||
| Gross interest | $ | 372,848 | $ | 312,806 | $ | 60,042 | ||||||||||||||
| Capitalized interest | (278,645) | (170,641) | (108,004) | |||||||||||||||||
| Interest expense | $ | 94,203 | $ | 142,165 | $ | (47,962) | ||||||||||||||
Average debt balance outstanding(1) | $ | 10,374,497 | $ | 9,071,513 | $ | 1,302,984 | ||||||||||||||
Weighted-average annual interest rate(2) | 3.6 | % | 3.4 | % | 0.2 | % | ||||||||||||||
| Component | Interest Rate(1) | Effective Date | Change | ||||||||||||||||||||||||||
| Increases in interest incurred due to: | |||||||||||||||||||||||||||||
| Issuances of debt: | |||||||||||||||||||||||||||||
| $850 million unsecured senior notes payable | 3.08 | % | February 2021 | $ | 3,342 | ||||||||||||||||||||||||
| $900 million unsecured senior notes payable – green bond | 2.12 | % | February 2021 | 2,384 | |||||||||||||||||||||||||
| $1.0 billion unsecured senior notes payable | 3.63 | % | February 2022 | 31,138 | |||||||||||||||||||||||||
| $800 million unsecured senior notes payable – green bond | 3.07 | % | February 2022 | 20,804 | |||||||||||||||||||||||||
| Fluctuation in interest rate and average balance: | |||||||||||||||||||||||||||||
| $2.0 billion commercial paper program | 7,167 | ||||||||||||||||||||||||||||
| Other increase in interest | 3,032 | ||||||||||||||||||||||||||||
| Total increases | 67,867 | ||||||||||||||||||||||||||||
| Decreases in interest incurred due to: | |||||||||||||||||||||||||||||
| Repayments of debt: | |||||||||||||||||||||||||||||
| $650 million unsecured senior notes payable – green bond | 4.03 | % | March 2021 | (2,945) | |||||||||||||||||||||||||
| Secured notes payable | 3.40 | % | April 2022 | (4,880) | |||||||||||||||||||||||||
| Total decreases | (7,825) | ||||||||||||||||||||||||||||
| Change in gross interest | 60,042 | ||||||||||||||||||||||||||||
| Increase in capitalized interest | (108,004) | ||||||||||||||||||||||||||||
| Total change in interest expense | $ | (47,962) | |||||||||||||||||||||||||||
| Year Ended December 31, 2022 | |||||||||||
| Construction Spending | |||||||||||
| Additions to real estate – consolidated projects | $ | 3,307,313 | |||||||||
| Investments in unconsolidated real estate joint ventures | 1,442 | ||||||||||
| Contributions from noncontrolling interests | (320,057) | ||||||||||
| Construction spending (cash basis) | 2,988,698 | ||||||||||
| Change in accrued construction | 102,801 | ||||||||||
| Construction spending | $ | 3,091,499 | |||||||||
| Year Ending December 31, 2023 | |||||||||||
| Projected Construction Spending | |||||||||||
| Development, redevelopment, and pre-construction projects | $ | 3,549,000 | |||||||||
| Contributions from noncontrolling interests (consolidated real estate joint ventures) | (794,000) | (1) | |||||||||
| Revenue-enhancing and repositioning capital expenditures | 160,000 | ||||||||||
| Non-revenue-enhancing capital expenditures | 60,000 | ||||||||||
| Guidance midpoint | $ | 2,975,000 | |||||||||
Projected 2023 Earnings per Share and Funds From Operations per Share Attributable to Alexandria’s Common Stockholders – Diluted | ||||||||||||||
Earnings per share(1) | $3.41 to $3.61 | |||||||||||||
Depreciation and amortization of real estate assets | 5.50 | |||||||||||||
Allocation of unvested restricted stock awards | (0.05) | |||||||||||||
Funds from operations per share(2) | $8.86 to $9.06 | |||||||||||||
Midpoint | $8.96 | |||||||||||||
Key Assumptions(1) (Dollars in millions) | 2023 Guidance | ||||||||||||||||
| Low | High | ||||||||||||||||
Occupancy percentage for operating properties in North America as of December 31, 2023 | 94.8% | 95.8% | |||||||||||||||
Lease renewals and re-leasing of space: | |||||||||||||||||
Rental rate increases | 27.0% | 32.0% | |||||||||||||||
Rental rate increases (cash basis) | 11.0% | 16.0% | |||||||||||||||
Same property performance: | |||||||||||||||||
Net operating income increase | 2.0% | 4.0% | |||||||||||||||
Net operating income increase (cash basis) | 4.0% | 6.0% | |||||||||||||||
| Straight-line rent revenue | $ | 130 | $ | 145 | |||||||||||||
General and administrative expenses | $ | 183 | $ | 193 | |||||||||||||
| Capitalization of interest | $ | 342 | $ | 362 | |||||||||||||
Interest expense | $ | 74 | $ | 94 | |||||||||||||
Key Credit Metrics | 2023 Guidance | ||||||||||
Net debt and preferred stock to Adjusted EBITDA – fourth quarter of 2023 annualized | Less than or equal to 5.1x | ||||||||||
Fixed-charge coverage ratio – fourth quarter of 2023 annualized | 4.5x to 5.0x | ||||||||||
| Consolidated Real Estate Joint Ventures | ||||||||||||||||||||||||||
| Property/Market/Submarket | Noncontrolling(1) Interest Share | Operating RSF at 100% | ||||||||||||||||||||||||
| 50 and 60 Binney Street/Greater Boston/Cambridge/Inner Suburbs | 66.0 | % | 532,395 | |||||||||||||||||||||||
| 75/125 Binney Street/Greater Boston/Cambridge/Inner Suburbs | 60.0 | % | 388,270 | |||||||||||||||||||||||
| 100 and 225 Binney Street and 300 Third Street/Greater Boston/Cambridge/Inner Suburbs | 70.0 | % | (2) | 870,106 | ||||||||||||||||||||||
| 99 Coolidge Avenue/Greater Boston/Cambridge/Inner Suburbs | 25.0 | % | — | (3) | ||||||||||||||||||||||
Alexandria Center® for Science and Technology – Mission Bay/San Francisco Bay Area/Mission Bay(4) | 75.0 | % | 1,005,989 | |||||||||||||||||||||||
| 1450 Owens Street/San Francisco Bay Area/Mission Bay | 40.3 | % | (2)(5) | — | (3) | |||||||||||||||||||||
| 601, 611, 651, 681, 685, and 701 Gateway Boulevard/San Francisco Bay Area/South San Francisco | 50.0 | % | 789,567 | |||||||||||||||||||||||
| 751 Gateway Boulevard/San Francisco Bay Area/South San Francisco | 49.0 | % | — | (3) | ||||||||||||||||||||||
| 211 and 213 East Grand Avenue/San Francisco Bay Area/South San Francisco | 70.0 | % | 300,930 | |||||||||||||||||||||||
| 500 Forbes Boulevard/San Francisco Bay Area/South San Francisco | 90.0 | % | 155,685 | |||||||||||||||||||||||
Alexandria Center® for Life Science – Millbrae/San Francisco Bay Area/South San Francisco | 54.7 | % | — | |||||||||||||||||||||||
| 3215 Merryfield Row/San Diego/Torrey Pines | 70.0 | % | (2) | 170,523 | ||||||||||||||||||||||
Campus Point by Alexandria/San Diego/University Town Center(6) | 45.0 | % | 1,337,916 | |||||||||||||||||||||||
| 5200 Illumina Way/San Diego/University Town Center | 49.0 | % | 792,687 | |||||||||||||||||||||||
| 9625 Towne Centre Drive/San Diego/University Town Center | 49.9 | % | 163,648 | |||||||||||||||||||||||
SD Tech by Alexandria/San Diego/Sorrento Mesa(7) | 50.0 | % | 876,869 | |||||||||||||||||||||||
| Pacific Technology Park/San Diego/Sorrento Mesa | 50.0 | % | 544,352 | |||||||||||||||||||||||
Summers Ridge Science Park/San Diego/Sorrento Mesa(8) | 70.0 | % | (2) | 316,531 | ||||||||||||||||||||||
| 1201 and 1208 Eastlake Avenue East and 199 East Blaine Street /Seattle/Lake Union | 70.0 | % | 321,218 | |||||||||||||||||||||||
| 400 Dexter Avenue North/Seattle/Lake Union | 70.0 | % | 290,754 | |||||||||||||||||||||||
| 800 Mercer Street/Seattle/Lake Union | 40.0 | % | (2) | — | ||||||||||||||||||||||
| Unconsolidated Real Estate Joint Ventures | ||||||||||||||||||||||||||
| Property/Market/Submarket | Our Ownership Share(9) | Operating RSF at 100% | ||||||||||||||||||||||||
| 1655 and 1725 Third Street/San Francisco Bay Area/Mission Bay | 10.0 | % | 586,208 | |||||||||||||||||||||||
| 1401/1413 Research Boulevard/Maryland/Rockville | 65.0 | % | (10) | (11) | ||||||||||||||||||||||
| 1450 Research Boulevard/Maryland/Rockville | 73.2 | % | (12) | 42,679 | ||||||||||||||||||||||
| 101 West Dickman Street/Maryland/Beltsville | 57.9 | % | (12) | 135,423 | ||||||||||||||||||||||
| Maturity Date | Stated Rate | Interest Rate(1) | At 100% | Our Share | ||||||||||||||||||||||||||||||||||||||||
| Unconsolidated Joint Venture | Aggregate Commitment | Debt Balance(2) | ||||||||||||||||||||||||||||||||||||||||||
| 1401/1413 Research Boulevard | 12/23/24 | 2.70% | 3.33 | % | $ | 28,500 | $ | 28,146 | 65.0% | |||||||||||||||||||||||||||||||||||
| 1655 and 1725 Third Street | 3/10/25 | 4.50% | 4.57 | % | 600,000 | 599,081 | 10.0% | |||||||||||||||||||||||||||||||||||||
| 101 West Dickman Street | 11/10/26 | SOFR+1.95% | (3) | 6.38 | % | 26,750 | 11,575 | 57.9% | ||||||||||||||||||||||||||||||||||||
| 1450 Research Boulevard | 12/10/26 | SOFR+1.95% | (3) | 6.44 | % | 13,000 | 3,802 | 73.2% | ||||||||||||||||||||||||||||||||||||
| $ | 668,250 | $ | 642,604 | |||||||||||||||||||||||||||||||||||||||||
| Noncontrolling Interest Share of Consolidated Real Estate Joint Ventures | Our Share of Unconsolidated Real Estate Joint Ventures | ||||||||||||||||||||||
| December 31, 2022 | December 31, 2022 | ||||||||||||||||||||||
| Three Months Ended | Year Ended | Three Months Ended | Year Ended | ||||||||||||||||||||
| Total revenues | $ | 102,013 | $ | 366,794 | $ | 2,689 | $ | 11,130 | |||||||||||||||
| Rental operations | (31,176) | (109,358) | (753) | (3,197) | |||||||||||||||||||
| 70,837 | 257,436 | 1,936 | 7,933 | ||||||||||||||||||||
| General and administrative | (372) | (1,594) | (10) | (106) | |||||||||||||||||||
| Interest | (15) | (15) | (772) | (3,516) | |||||||||||||||||||
| Depreciation and amortization of real estate assets | (29,702) | (107,591) | (982) | (3,666) | |||||||||||||||||||
Fixed returns allocated to redeemable noncontrolling interests(1) | 201 | 805 | — | — | |||||||||||||||||||
| $ | 40,949 | $ | 149,041 | $ | 172 | $ | 645 | ||||||||||||||||
Straight-line rent and below-market lease revenue | $ | 3,858 | $ | 15,776 | $ | 274 | $ | 1,136 | |||||||||||||||
Funds from operations(2) | $ | 70,651 | $ | 256,632 | $ | 1,154 | $ | 4,311 | |||||||||||||||
| As of December 31, 2022 | ||||||||||||||
| Noncontrolling Interest Share of Consolidated Real Estate Joint Ventures | Our Share of Unconsolidated Real Estate Joint Ventures | |||||||||||||
| Investments in real estate | $ | 3,392,839 | $ | 114,664 | ||||||||||
| Cash, cash equivalents, and restricted cash | 129,186 | 4,729 | ||||||||||||
| Other assets | 386,667 | 11,346 | ||||||||||||
| Secured notes payable | (14,599) | (87,694) | ||||||||||||
| Other liabilities | (183,233) | (4,610) | ||||||||||||
Redeemable noncontrolling interests | (9,612) | — | ||||||||||||
| $ | 3,701,248 | $ | 38,435 | |||||||||||
| December 31, 2022 | |||||||||||||||||||||||||||||
| (In thousands) | Three Months Ended | Year Ended | Year Ended December 31, 2021 | ||||||||||||||||||||||||||
| Realized gains | $ | 4,464 | (1) | $ | 80,435 | (1) | $ | 215,845 | (2) | ||||||||||||||||||||
| Unrealized (losses) gains | (24,117) | (412,193) | 43,632 | ||||||||||||||||||||||||||
| Investment (loss) income | $ | (19,653) | $ | (331,758) | $ | 259,477 | |||||||||||||||||||||||
Investments (In thousands) | Cost | Unrealized Gains | Unrealized Losses | Carrying Amount | ||||||||||||||||||||||
| Publicly traded companies | $ | 210,986 | $ | 96,271 | $ | (100,118) | $ | 207,139 | ||||||||||||||||||
| Entities that report NAV | 452,391 | 315,071 | (7,710) | 759,752 | ||||||||||||||||||||||
| Entities that do not report NAV: | ||||||||||||||||||||||||||
| Entities with observable price changes | 100,296 | 95,062 | (1,574) | 193,784 | ||||||||||||||||||||||
| Entities without observable price changes | 388,940 | — | — | 388,940 | ||||||||||||||||||||||
| Investments accounted for under the equity method of accounting | N/A | N/A | N/A | 65,459 | ||||||||||||||||||||||
| December 31, 2022 | $ | 1,152,613 | (3) | $ | 506,404 | $ | (109,402) | $ | 1,615,074 | |||||||||||||||||
| December 31, 2021 | $ | 1,007,303 | $ | 830,863 | $ | (33,190) | $ | 1,876,564 | ||||||||||||||||||
| Public/Private Mix (Cost) | ||||||||
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| Tenant/Non-Tenant Mix (Cost) | ||||||||
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| Liquidity | Minimal Outstanding Borrowings and Significant Availability on Unsecured Senior Line of Credit | |||||||||||||||||||
| (in millions) | ||||||||||||||||||||
| $5.3B | ![]() | |||||||||||||||||||
| (In millions) | ||||||||||||||||||||
Availability under our unsecured senior line of credit, net of amounts outstanding under our commercial paper program | $ | 4,000 | ||||||||||||||||||
Outstanding forward equity sales agreements(1) | 102 | |||||||||||||||||||
| Cash, cash equivalents, and restricted cash | 858 | |||||||||||||||||||
| Remaining construction loan commitments | 136 | |||||||||||||||||||
| Investments in publicly traded companies | 207 | |||||||||||||||||||
Liquidity as of December 31, 2022 | $ | 5,303 | ||||||||||||||||||
| Description | Stated Rate | Aggregate Commitments | Outstanding Balance(1) | Remaining Commitments/Liquidity | ||||||||||||||||||||||
| Availability under our unsecured senior line of credit, net of amounts outstanding under our commercial paper program | SOFR+0.875% | $ | 4,000,000 | $ | — | $ | 4,000,000 | |||||||||||||||||||
Outstanding forward equity sales agreements(2) | 102,427 | |||||||||||||||||||||||||
Cash, cash equivalents, and restricted cash | 857,975 | |||||||||||||||||||||||||
| Remaining construction loan commitments | SOFR+2.70% | $ | 195,300 | $ | 58,396 | 135,583 | ||||||||||||||||||||
Investments in publicly traded companies | 207,139 | |||||||||||||||||||||||||
Liquidity as of December 31, 2022 | $ | 5,303,124 | ||||||||||||||||||||||||
| Year Ended December 31, | |||||||||||||||||
| 2022 | 2021 | Change | |||||||||||||||
| Net cash provided by operating activities | $ | 1,294,321 | $ | 1,010,197 | $ | 284,124 | |||||||||||
| Net cash used in investing activities | $ | (5,080,458) | $ | (7,107,324) | $ | 2,026,866 | |||||||||||
| Net cash provided by financing activities | $ | 4,229,772 | $ | 5,916,361 | $ | (1,686,589) | |||||||||||
| Year Ended December 31, | |||||||||||||||||
| 2022 | 2021 | Increase (Decrease) | |||||||||||||||
Sources of cash from investing activities: | |||||||||||||||||
| Proceeds from sales of real estate | $ | 994,331 | $ | 190,576 | $ | 803,755 | |||||||||||
| Change in escrow deposits | 155,968 | — | 155,968 | ||||||||||||||
Return of capital from unconsolidated real estate joint ventures | 471 | — | 471 | ||||||||||||||
| Sale of interests in unconsolidated real estate joint ventures | — | 394,952 | (394,952) | ||||||||||||||
| Sales of and distributions from non-real estate investments | 198,320 | 424,623 | (226,303) | ||||||||||||||
| 1,349,090 | 1,010,151 | 338,939 | |||||||||||||||
Uses of cash for investing activities: | |||||||||||||||||
Purchases of real estate | 2,877,861 | 5,434,652 | (2,556,791) | ||||||||||||||
Additions to real estate | 3,307,313 | 2,089,849 | 1,217,464 | ||||||||||||||
| Change in escrow deposits | — | 161,696 | (161,696) | ||||||||||||||
| Acquisition of interest in unconsolidated real estate joint venture | — | 9,048 | (9,048) | ||||||||||||||
Investments in unconsolidated real estate joint ventures | 1,442 | 13,666 | (12,224) | ||||||||||||||
Additions to non-real estate investments | 242,932 | 408,564 | (165,632) | ||||||||||||||
| 6,429,548 | 8,117,475 | (1,687,927) | |||||||||||||||
| Net cash used in investing activities | $ | 5,080,458 | $ | 7,107,324 | $ | (2,026,866) | |||||||||||
| Year Ended December 31, | |||||||||||||||||
| 2022 | 2021 | Change | |||||||||||||||
| Borrowings from secured notes payable | $ | 49,715 | $ | 10,005 | $ | 39,710 | |||||||||||
Repayments of borrowings from secured notes payable | (934) | (17,979) | 17,045 | ||||||||||||||
| Payment for the defeasance of secured notes payable | (198,304) | — | (198,304) | ||||||||||||||
Proceeds from issuance of unsecured senior notes payable | 1,793,318 | 1,743,716 | 49,602 | ||||||||||||||
Repayments of unsecured senior notes payable | — | (650,000) | 650,000 | ||||||||||||||
Premium paid for early extinguishment of debt | — | (66,829) | 66,829 | ||||||||||||||
Borrowings from unsecured senior line of credit | 1,181,000 | 3,521,000 | (2,340,000) | ||||||||||||||
Repayments of borrowings from unsecured senior line of credit | (1,181,000) | (3,521,000) | 2,340,000 | ||||||||||||||
| Proceeds from issuances under commercial paper program | 14,641,500 | 30,951,300 | (16,309,800) | ||||||||||||||
Repayments of borrowings from commercial paper program | (14,911,500) | (30,781,300) | 15,869,800 | ||||||||||||||
Payments of loan fees | (35,612) | (18,938) | (16,674) | ||||||||||||||
Changes related to debt | 1,338,183 | 1,169,975 | 168,208 | ||||||||||||||
Contributions from and sales of noncontrolling interests | 1,542,347 | 2,026,486 | (484,139) | ||||||||||||||
| Distributions to and purchases of noncontrolling interests | (192,171) | (118,891) | (73,280) | ||||||||||||||
Proceeds from the issuance of common stock | 2,346,444 | 3,529,097 | (1,182,653) | ||||||||||||||
Dividend payments | (757,742) | (655,968) | (101,774) | ||||||||||||||
Taxes paid related to net settlement of equity awards | (47,289) | (34,338) | (12,951) | ||||||||||||||
| Net cash provided by financing activities | $ | 4,229,772 | $ | 5,916,361 | $ | (1,686,589) | |||||||||||
Key Sources and Uses of Capital (In millions) | 2023 Guidance | ||||||||||||||||||||||
| Range | Midpoint | ||||||||||||||||||||||
| Sources of capital: | |||||||||||||||||||||||
| Incremental debt | $ | 550 | $ | 850 | $ | 700 | |||||||||||||||||
| Excess 2022 bond capital held as cash at December 31, 2022 | 300 | 300 | 300 | ||||||||||||||||||||
| Net cash provided by operating activities after dividends | 350 | 400 | 375 | ||||||||||||||||||||
| Real estate dispositions, sales of partial interests, and issuances of common equity | 1,400 | 2,400 | 1,900 | (1) | |||||||||||||||||||
| Total sources of capital | $ | 2,600 | $ | 3,950 | $ | 3,275 | |||||||||||||||||
| Uses of capital: | |||||||||||||||||||||||
Construction | $ | 2,400 | $ | 3,550 | $ | 2,975 | |||||||||||||||||
| Acquisitions | 200 | 400 | 300 | ||||||||||||||||||||
| Total uses of capital | $ | 2,600 | $ | 3,950 | $ | 3,275 | |||||||||||||||||
Incremental debt (included above): | |||||||||||||||||||||||
| Issuance of unsecured senior notes payable | $ | 500 | $ | 1,000 | $ | 750 | |||||||||||||||||
| Unsecured senior line of credit, commercial paper program, and other | 50 | (150) | (50) | ||||||||||||||||||||
| Incremental debt | $ | 550 | $ | 850 | $ | 700 | |||||||||||||||||
| Year Ended December 31, 2022 | |||||||||||||||||
| Average Debt Outstanding | Weighted-Average Interest Rate | ||||||||||||||||
| Long-term fixed-rate debt | $ | 9,999,145 | 3.50 | % | |||||||||||||
| Short-term variable-rate unsecured senior line of credit and commercial paper program debt | 564,649 | 1.72 | |||||||||||||||
| Blended average interest rate | $ | 10,563,794 | 3.40 | ||||||||||||||
| Loan fee amortization and annual facility fee related to unsecured senior line of credit | N/A | 0.11 | |||||||||||||||
| Total/weighted average | $ | 10,563,794 | 3.51 | % | |||||||||||||
Covenant Ratios(1) | Requirement | December 31, 2022 | ||||||||||||
| Total Debt to Total Assets | Less than or equal to 60% | 27% | ||||||||||||
| Secured Debt to Total Assets | Less than or equal to 40% | 0.2% | ||||||||||||
Consolidated EBITDA(2) to Interest Expense | Greater than or equal to 1.5x | 18.2x | ||||||||||||
| Unencumbered Total Asset Value to Unsecured Debt | Greater than or equal to 150% | 363% | ||||||||||||
Covenant Ratios (1) | Requirement | December 31, 2022 | |||||||||||||||
| Leverage Ratio | Less than or equal to 60.0% | 26.6% | |||||||||||||||
| Secured Debt Ratio | Less than or equal to 45.0% | 0.1% | |||||||||||||||
| Fixed-Charge Coverage Ratio | Greater than or equal to 1.50x | 4.34x | |||||||||||||||
| Unsecured Interest Coverage Ratio | Greater than or equal to 1.75x | 18.87x | |||||||||||||||
| (In thousands) | Total | |||||||
| Balance as of December 31, 2021 | $ | (7,294) | ||||||
| Other comprehensive loss before reclassifications | (13,518) | |||||||
| Net other comprehensive loss | (13,518) | |||||||
| Balance as of December 31, 2022 | $ | (20,812) | ||||||
| December 31, | ||||||||||||||
| (in thousands) | 2022 | 2021 | ||||||||||||
| Assets: | ||||||||||||||
| Cash, cash equivalents, and restricted cash | $ | 465,707 | $ | 78,856 | ||||||||||
| Other assets | 107,287 | 101,956 | ||||||||||||
| Total assets | $ | 572,994 | $ | 180,812 | ||||||||||
| Liabilities: | ||||||||||||||
| Unsecured senior notes payable | $ | 10,100,717 | $ | 8,316,678 | ||||||||||
| Unsecured senior line of credit and commercial paper | — | 269,990 | ||||||||||||
| Other liabilities | 466,369 | 401,721 | ||||||||||||
| Total liabilities | $ | 10,567,086 | $ | 8,988,389 | ||||||||||
| Year Ended December 31, | ||||||||||||||
| (in thousands) | 2022 | 2021 | ||||||||||||
| Total revenues | $ | 33,052 | $ | 26,798 | ||||||||||
| Total expenses | (277,647) | (363,525) | ||||||||||||
| Net loss | (244,595) | (336,727) | ||||||||||||
| Net income attributable to unvested restricted stock awards | (8,392) | (7,848) | ||||||||||||
Net loss attributable to Alexandria Real Estate Equities, Inc.’s common stockholders | $ | (252,987) | $ | (344,575) | ||||||||||
| Noncontrolling Interest Share of Consolidated Real Estate Joint Ventures | Our Share of Unconsolidated Real Estate Joint Ventures | ||||||||||||||||||||||
| December 31, 2022 | December 31, 2022 | ||||||||||||||||||||||
| Three Months Ended | Year Ended | Three Months Ended | Year Ended | ||||||||||||||||||||
| Net income | $ | 40,949 | $ | 149,041 | $ | 172 | $ | 645 | |||||||||||||||
| Depreciation and amortization of real estate assets | 29,702 | 107,591 | 982 | 3,666 | |||||||||||||||||||
| Funds from operations | $ | 70,651 | $ | 256,632 | $ | 1,154 | $ | 4,311 | |||||||||||||||
| Year Ended December 31, | |||||||||||||||||
| (In thousands) | 2022 | 2021 | 2020 | ||||||||||||||
| Net income attributable to Alexandria Real Estate Equities, Inc.’s common stockholders – basic and diluted | $ | 513,268 | $ | 563,399 | $ | 760,791 | |||||||||||
| Depreciation and amortization of real estate assets | 988,363 | 804,633 | 684,682 | ||||||||||||||
Noncontrolling share of depreciation and amortization from consolidated real estate JVs | (107,591) | (70,880) | (61,933) | ||||||||||||||
Our share of depreciation and amortization from unconsolidated real estate JVs | 3,666 | 13,734 | 11,413 | ||||||||||||||
| Gain on sales of real estate | (537,918) | (126,570) | (154,089) | ||||||||||||||
Impairment of real estate – rental properties | 20,899 | (1) | 25,485 | 40,501 | |||||||||||||
Allocation to unvested restricted stock awards | (1,118) | (6,315) | (7,018) | ||||||||||||||
Funds from operations attributable to Alexandria Real Estate Equities, Inc.’s common stockholders – diluted(2) | 879,569 | 1,203,486 | 1,274,347 | ||||||||||||||
| Unrealized losses (gains) on non-real estate investments | 412,193 | (43,632) | (374,033) | ||||||||||||||
| Significant realized gains on non-real estate investments | — | (110,119) | — | ||||||||||||||
Impairment of non-real estate investments | 20,512 | (3) | — | 24,482 | |||||||||||||
| Impairment of real estate | 44,070 | (4) | 27,190 | 15,221 | |||||||||||||
Loss on early extinguishment of debt | 3,317 | 67,253 | 60,668 | ||||||||||||||
| Termination fee | — | — | (86,179) | ||||||||||||||
| Acceleration of stock compensation expense due to executive officer resignation | 7,185 | (5) | — | 4,499 | |||||||||||||
Allocation to unvested restricted stock awards | (5,137) | 710 | 4,790 | ||||||||||||||
Funds from operations attributable to Alexandria Real Estate Equities, Inc.’s common stockholders – diluted, as adjusted | $ | 1,361,709 | $ | 1,144,888 | $ | 923,795 | |||||||||||
| Year Ended December 31, | ||||||||||||||||||||
| (Per share) | 2022 | 2021 | 2020 | |||||||||||||||||
| Net income per share attributable to Alexandria Real Estate Equities, Inc.’s common stockholders – diluted | $ | 3.18 | $ | 3.82 | $ | 6.01 | ||||||||||||||
| Depreciation and amortization of real estate assets | 5.47 | 5.07 | 5.01 | |||||||||||||||||
| Gain on sales of real estate | (3.33) | (0.86) | (1.22) | |||||||||||||||||
Impairment of real estate – rental properties | 0.13 | (1) | 0.17 | 0.32 | ||||||||||||||||
Allocation to unvested restricted stock awards | (0.01) | (0.04) | (0.05) | |||||||||||||||||
| Funds from operations per share attributable to Alexandria Real Estate Equities, Inc.’s common stockholders – diluted | 5.44 | 8.16 | 10.07 | |||||||||||||||||
| Unrealized losses (gains) on non-real estate investments | 2.55 | (0.30) | (2.96) | |||||||||||||||||
| Significant realized gains on non-real estate investments | — | (0.75) | — | |||||||||||||||||
Impairment of non-real estate investments | 0.13 | (1) | — | 0.19 | ||||||||||||||||
| Impairment of real estate | 0.27 | (1) | 0.18 | 0.12 | ||||||||||||||||
Loss on early extinguishment of debt | 0.02 | 0.46 | 0.48 | |||||||||||||||||
| Termination fee | — | — | (0.68) | |||||||||||||||||
| Acceleration of stock compensation expense due to executive officer resignation | 0.04 | (1) | — | 0.04 | ||||||||||||||||
Allocation to unvested restricted stock awards | (0.03) | 0.01 | 0.04 | |||||||||||||||||
Funds from operations per share attributable to Alexandria Real Estate Equities, Inc.’s common stockholders – diluted, as adjusted | $ | 8.42 | $ | 7.76 | $ | 7.30 | ||||||||||||||
| Weighted-average shares of common stock outstanding for calculations of: | ||||||||||||||||||||
EPS – diluted | 161,659 | 147,460 | 126,490 | |||||||||||||||||
Funds from operations – diluted, per share | 161,659 | 147,460 | 126,490 | |||||||||||||||||
Funds from operations – diluted, as adjusted, per share | 161,659 | 147,460 | 126,490 | |||||||||||||||||
| Three Months Ended December 31, | Year Ended December 31, | |||||||||||||||||||||||||
| 2022 | 2021 | 2022 | 2021 | |||||||||||||||||||||||
| Net income | $ | 95,268 | $ | 99,796 | $ | 670,701 | $ | 654,282 | ||||||||||||||||||
| Interest expense | 17,522 | 34,862 | 94,203 | 142,165 | ||||||||||||||||||||||
Income taxes | 2,063 | 4,156 | 9,673 | 12,054 | ||||||||||||||||||||||
Depreciation and amortization | 264,480 | 239,254 | 1,002,146 | 821,061 | ||||||||||||||||||||||
Stock compensation expense | 11,586 | 14,253 | 57,740 | 48,669 | ||||||||||||||||||||||
Loss on early extinguishment of debt | — | — | 3,317 | 67,253 | ||||||||||||||||||||||
| Gain on sales of real estate | — | (124,226) | (537,918) | (126,570) | ||||||||||||||||||||||
| Significant realized gains on non-real estate investments | — | — | — | (110,119) | ||||||||||||||||||||||
| Unrealized losses (gains) on non-real estate investments | 24,117 | 139,716 | 412,193 | (43,632) | ||||||||||||||||||||||
Impairment of real estate | 26,186 | — | 64,969 | 52,675 | ||||||||||||||||||||||
| Impairment of non-real estate investments | 20,512 | — | 20,512 | — | ||||||||||||||||||||||
Adjusted EBITDA | $ | 461,734 | $ | 407,811 | $ | 1,797,536 | $ | 1,517,838 | ||||||||||||||||||
| Total revenues | $ | 670,281 | $ | 576,923 | $ | 2,588,962 | $ | 2,114,150 | ||||||||||||||||||
Adjusted EBITDA margin | 69% | 71% | 69% | 72% | ||||||||||||||||||||||
| Three Months Ended December 31, | Year Ended December 31, | |||||||||||||||||||||||||
| 2022 | 2021 | 2022 | 2021 | |||||||||||||||||||||||
| Adjusted EBITDA | $ | 461,734 | $ | 407,811 | $ | 1,797,536 | $ | 1,517,838 | ||||||||||||||||||
| Interest expense | $ | 17,522 | $ | 34,862 | $ | 94,203 | $ | 142,165 | ||||||||||||||||||
| Capitalized interest | 79,491 | 44,078 | 278,645 | 170,641 | ||||||||||||||||||||||
| Amortization of loan fees | (3,975) | (2,911) | (13,549) | (11,441) | ||||||||||||||||||||||
| Amortization of debt (discounts) premiums | (272) | 502 | (384) | 2,041 | ||||||||||||||||||||||
| Cash interest and fixed charges | $ | 92,766 | $ | 76,531 | $ | 358,915 | $ | 303,406 | ||||||||||||||||||
| Fixed-charge coverage ratio: | ||||||||||||||||||||||||||
| – period annualized | 5.0x | 5.3x | 5.0x | 5.0x | ||||||||||||||||||||||
| – trailing 12 months | 5.0x | 5.0x | 5.0x | 5.0x | ||||||||||||||||||||||
| December 31, | |||||||||||
| 2022 | 2021 | ||||||||||
| Total assets | $ | 35,523,399 | $ | 30,219,373 | |||||||
| Accumulated depreciation | 4,354,063 | 3,771,241 | |||||||||
| Gross assets | $ | 39,877,462 | $ | 33,990,614 | |||||||
| Dev/Redev | RSF of Lease Expirations Targeted for Development and Redevelopment | |||||||||||||||||||||||||||||||
| Property/Submarket | 2023 | 2024 | Thereafter(1) | Total | ||||||||||||||||||||||||||||
| Near-term projects: | ||||||||||||||||||||||||||||||||
| 100 Edwin H. Land Boulevard/Cambridge/Inner Suburbs | Redev | — | 104,500 | — | 104,500 | |||||||||||||||||||||||||||
| 40 Sylvan Road/Route 128 | Redev | 312,845 | — | — | 312,845 | |||||||||||||||||||||||||||
| 275 Grove Street/Route 128 | Redev | — | — | 160,251 | 160,251 | |||||||||||||||||||||||||||
| 840 Winter Street/Route 128 | Redev | 10,265 | 17,965 | — | 28,230 | |||||||||||||||||||||||||||
| 3301 Monte Villa Parkway/Bothell | Redev | — | 50,552 | — | 50,552 | |||||||||||||||||||||||||||
| 323,110 | 173,017 | 160,251 | 656,378 | |||||||||||||||||||||||||||||
| Intermediate-term projects: | ||||||||||||||||||||||||||||||||
| 219 East 42nd Street/New York City | Dev | — | 349,947 | — | 349,947 | |||||||||||||||||||||||||||
| 10975 and 10995 Torreyana Road/Torrey Pines | Dev | — | 84,829 | — | 84,829 | |||||||||||||||||||||||||||
| — | 434,776 | — | 434,776 | |||||||||||||||||||||||||||||
| Future projects: | ||||||||||||||||||||||||||||||||
| 311 Arsenal Street/Cambridge/Inner Suburbs | Redev | — | — | 308,446 | 308,446 | |||||||||||||||||||||||||||
| 550 Arsenal Street/Cambridge/Inner Suburbs | Dev | — | — | 260,867 | 260,867 | |||||||||||||||||||||||||||
| 446 and 458 Arsenal Street/Cambridge/Inner Suburbs | Dev | — | — | 38,200 | 38,200 | |||||||||||||||||||||||||||
| 380 and 420 E Street/Seaport Innovation District | Dev | — | — | 195,506 | 195,506 | |||||||||||||||||||||||||||
| Other/Greater Boston | Redev | — | — | 167,549 | 167,549 | |||||||||||||||||||||||||||
| 1122 and 1150 El Camino Real/South San Francisco | Dev | — | — | 655,172 | 655,172 | |||||||||||||||||||||||||||
| 3875 Fabian Way/Greater Stanford | Dev | — | — | 228,000 | 228,000 | |||||||||||||||||||||||||||
| 960 Industrial Road/Greater Stanford | Dev | — | — | 110,000 | 110,000 | |||||||||||||||||||||||||||
| Campus Point by Alexandria/University Town Center | Dev | — | 495,192 | — | 495,192 | |||||||||||||||||||||||||||
| Sequence District by Alexandria/Sorrento Mesa | Dev/Redev | — | — | 688,034 | 688,034 | |||||||||||||||||||||||||||
| 4025 and 4045 Sorrento Valley Boulevard/Sorrento Valley | Dev | — | — | 22,886 | 22,886 | |||||||||||||||||||||||||||
| 601 Dexter Avenue North/Lake Union | Dev | 18,680 | — | — | 18,680 | |||||||||||||||||||||||||||
| 830 4th Avenue South/SoDo | Dev | — | — | 42,380 | 42,380 | |||||||||||||||||||||||||||
| Other/Seattle | Dev | — | — | 102,437 | 102,437 | |||||||||||||||||||||||||||
| 1020 Red River Street/Austin | Redev | — | 126,034 | — | 126,034 | |||||||||||||||||||||||||||
| 18,680 | 621,226 | 2,819,477 | 3,459,383 | |||||||||||||||||||||||||||||
| 341,790 | 1,229,019 | 2,979,728 | 4,550,537 | |||||||||||||||||||||||||||||
| Operating RSF | ||||||||
| Mega campus | 28,554,356 | |||||||
| Non-mega campus | 13,219,366 | |||||||
| Total | 41,773,722 | |||||||
| Mega campus RSF as a percentage of total operating property RSF | 68 | % | ||||||
| December 31, | |||||||||||
| 2022 | 2021 | ||||||||||
| Secured notes payable | $ | 59,045 | $ | 205,198 | |||||||
| Unsecured senior notes payable | 10,100,717 | 8,316,678 | |||||||||
| Unsecured senior line of credit and commercial paper | — | 269,990 | |||||||||
| Unamortized deferred financing costs | 74,918 | 65,476 | |||||||||
| Cash and cash equivalents | (825,193) | (361,348) | |||||||||
| Restricted cash | (32,782) | (53,879) | |||||||||
| Preferred stock | — | — | |||||||||
| Net debt and preferred stock | $ | 9,376,705 | $ | 8,442,115 | |||||||
Adjusted EBITDA: | |||||||||||
– quarter annualized | $ | 1,846,936 | $ | 1,631,244 | |||||||
| – trailing 12 months | $ | 1,797,536 | $ | 1,517,838 | |||||||
| Net debt and preferred stock to Adjusted EBITDA: | |||||||||||
| – quarter annualized | 5.1 | x | 5.2 | x | |||||||
| – trailing 12 months | 5.2 | x | 5.6 | x | |||||||
| Year Ended December 31, | ||||||||||||||||||||
| 2022 | 2021 | 2020 | ||||||||||||||||||
| Net income | $ | 670,701 | $ | 654,282 | $ | 827,171 | ||||||||||||||
| Equity in earnings of unconsolidated real estate joint ventures | (645) | (12,255) | (8,148) | |||||||||||||||||
| General and administrative expenses | 177,278 | 151,461 | 133,341 | |||||||||||||||||
| Interest expense | 94,203 | 142,165 | 171,609 | |||||||||||||||||
Depreciation and amortization | 1,002,146 | 821,061 | 698,104 | |||||||||||||||||
| Impairment of real estate | 64,969 | 52,675 | 48,078 | |||||||||||||||||
| Loss on early extinguishment of debt | 3,317 | 67,253 | 60,668 | |||||||||||||||||
| Gain on sales of real estate | (537,918) | (126,570) | (154,089) | |||||||||||||||||
| Investment loss (income) | 331,758 | (259,477) | (421,321) | |||||||||||||||||
| Net operating income | 1,805,809 | 1,490,595 | 1,355,413 | |||||||||||||||||
| Straight-line rent revenue | (118,003) | (115,145) | (96,676) | |||||||||||||||||
| Amortization of acquired below-market leases | (74,346) | (54,780) | (57,244) | |||||||||||||||||
| Net operating income (cash basis) | $ | 1,613,460 | $ | 1,320,670 | $ | 1,201,493 | ||||||||||||||
| Net operating income (from above) | $ | 1,805,809 | $ | 1,490,595 | $ | 1,355,413 | ||||||||||||||
| Total revenues | $ | 2,588,962 | $ | 2,114,150 | $ | 1,885,637 | ||||||||||||||
| Operating margin | 70% | 71% | 72% | |||||||||||||||||
| Year Ended December 31, | ||||||||||||||||||||
| 2022 | 2021 | 2020 | ||||||||||||||||||
| Income from rentals | $ | 2,576,040 | $ | 2,108,249 | $ | 1,878,208 | ||||||||||||||
| Rental revenues | (1,950,098) | (1,618,592) | (1,471,840) | |||||||||||||||||
| Tenant recoveries | $ | 625,942 | $ | 489,657 | $ | 406,368 | ||||||||||||||
| Year Ended December 31, | |||||||||||||||||
| 2022 | 2021 | 2020 | |||||||||||||||
Unencumbered net operating income | $ | 1,790,033 | $ | 1,444,307 | $ | 1,295,520 | |||||||||||
Encumbered net operating income | 15,776 | 46,288 | 59,893 | ||||||||||||||
| Total net operating income | $ | 1,805,809 | $ | 1,490,595 | $ | 1,355,413 | |||||||||||
Unencumbered net operating income as a percentage of total net operating income | 99% | 97% | 96% | ||||||||||||||
| Year Ended December 31, | |||||||||||||||||
| 2022 | 2021 | 2020 | |||||||||||||||
| Basic shares for earnings per share | 161,659 | 146,921 | 126,106 | ||||||||||||||
| Forward Agreements | — | 539 | 384 | ||||||||||||||
| Diluted shares for earnings per share | 161,659 | 147,460 | 126,490 | ||||||||||||||
| Basic shares for funds from operations per share and funds from operations per share, as adjusted | 161,659 | 146,921 | 126,106 | ||||||||||||||
| Forward Agreements | — | 539 | 384 | ||||||||||||||
| Diluted shares for funds from operations per share and funds from operations per share, as adjusted | 161,659 | 147,460 | 126,490 | ||||||||||||||
| Unvested restricted shares used in the allocation of net income, funds from operations, and funds from operations, as adjusted | 1,723 | 1,782 | 1,728 | ||||||||||||||
| December 31, | |||||||||||
| 2022 | 2021 | ||||||||||
| Annualized effect on future earnings due to variable-rate debt: | |||||||||||
| Rate increase of 1% | $ | (597) | $ | (527) | |||||||
| Rate decrease of 1% | $ | 597 | $ | 106 | |||||||
| Effect on fair value of total consolidated debt: | |||||||||||
| Rate increase of 1% | $ | (668,639) | $ | (811,028) | |||||||
| Rate decrease of 1% | $ | 759,638 | $ | 944,392 | |||||||
| December 31, | |||||||||||
| 2022 | 2021 | ||||||||||
| Equity price risk: | |||||||||||
| Fair value increase of 10% | $ | 161,507 | $ | 187,656 | |||||||
| Fair value decrease of 10% | $ | (161,507) | $ | (187,656) | |||||||
| December 31, | |||||||||||
| 2022 | 2021 | ||||||||||
| Effect on potential future earnings due to foreign currency exchange rate: | |||||||||||
| Rate increase of 10% | $ | 147 | $ | 120 | |||||||
| Rate decrease of 10% | $ | (147) | $ | (120) | |||||||
| Effect on the fair value of net investment in foreign subsidiaries due to foreign currency exchange rate: | |||||||||||
| Rate increase of 10% | $ | 22,523 | $ | 18,790 | |||||||
| Rate decrease of 10% | $ | (22,523) | $ | (18,790) | |||||||
| Number of securities to be issued upon exercise of outstanding options, warrants, and rights (a) | Weighted-average exercise price of outstanding options, warrants, and rights (b) | Number of securities remaining available for future issuance under equity compensation plans (excluding securities reflected in column (a)) (c) | ||||||||||||||||||
Equity Compensation Plan Approved by Stockholders — Amended and Restated 1997 Stock Award and Incentive Plan | — | — | 3,838,370 | |||||||||||||||||
| Page | |||||
Report of Independent Registered Public Accounting Firm (PCAOB ID: 000 | F-1 | ||||
| Audited Consolidated Financial Statements of Alexandria Real Estate Equities, Inc.: | |||||
Consolidated Balance Sheets as of December 31, 2022 and 2021 | F-3 | ||||
Consolidated Financial Statements for the Years Ended December 31, 2022, 2021, and 2020: | |||||
F-4 | |||||
F-5 | |||||
F-6 | |||||
F-8 | |||||
F-10 | |||||
F-50 | |||||
| Exhibit Number | Exhibit Title | Incorporated by Reference to: | Date Filed | |||||||||||||||||
| 3.1* | Form 10-Q | August 14, 1997 | ||||||||||||||||||
| 3.2* | Form 10-Q | August 14, 1997 | ||||||||||||||||||
| 3.3* | Form 8-K | May 12, 2017 | ||||||||||||||||||
| 3.4* | Form 8-K | May 19, 2022 | ||||||||||||||||||
| 3.5* | Form 10-Q | August 13, 1999 | ||||||||||||||||||
| 3.6* | Form 8-K | February 10, 2000 | ||||||||||||||||||
| 3.7* | Form 8-K | February 10, 2000 | ||||||||||||||||||
| 3.8* | Form 8-A | January 18, 2002 | ||||||||||||||||||
| 3.9* | Form 8-A | June 28, 2004 | ||||||||||||||||||
| 3.10* | Form 8-K | March 25, 2008 | ||||||||||||||||||
| 3.11* | Form 8-K | March 14, 2012 | ||||||||||||||||||
| 3.12* | Form 8-K | May 12, 2017 | ||||||||||||||||||
| 3.13* | Form 8-K | August 2, 2018 | ||||||||||||||||||
| 4.1* | Form 10-Q | May 5, 2011 | ||||||||||||||||||
| 4.2* | Form 8-K | February 29, 2012 | ||||||||||||||||||
| Exhibit Number | Exhibit Title | Incorporated by Reference to: | Date Filed | |||||||||||||||||
| 4.3* | Form 8-K | July 18, 2014 | ||||||||||||||||||
| 4.4* | Form 8-K | July 18, 2014 | ||||||||||||||||||
| 4.5* | Form 8-K | November 17, 2015 | ||||||||||||||||||
| 4.6* | Form 8-K | November 17, 2015 | ||||||||||||||||||
| 4.7* | Form 8-K | November 17, 2015 | ||||||||||||||||||
| 4.8* | Form 8-K | June 10, 2016 | ||||||||||||||||||
| 4.9* | Form 8-K | June 10, 2016 | ||||||||||||||||||
| 4.10* | Form 8-K | March 3, 2017 | ||||||||||||||||||
| 4.11* | Form 8-K | March 3, 2017 | ||||||||||||||||||
| 4.12* | Form 8-K | March 3, 2017 | ||||||||||||||||||
| 4.13* | Form 8-K | November 20, 2017 | ||||||||||||||||||
| 4.14* | Form 8-K | November 20, 2017 | ||||||||||||||||||
| 4.15* | Form 8-K | June 21, 2018 | ||||||||||||||||||
| 4.16* | Form 8-K | June 21, 2018 | ||||||||||||||||||
| 4.17* | Form 8-K | June 21, 2018 | ||||||||||||||||||
| 4.18* | Form 8-K | March 21, 2019 | ||||||||||||||||||
| 4.19* | Form 8-K | March 21, 2019 | ||||||||||||||||||
| 4.20* | Form 8-K | March 21, 2019 | ||||||||||||||||||
| 4.21* | Form 8-K | March 21, 2019 | ||||||||||||||||||
| 4.22* | Form 8-K | July 15, 2019 | ||||||||||||||||||
| 4.23* | Form 8-K | July 15, 2019 | ||||||||||||||||||
| 4.24* | Form 8-K | July 15, 2019 | ||||||||||||||||||
| 4.25* | Form 8-K | September 12, 2019 | ||||||||||||||||||
| 4.26* | Form 8-K | July 15, 2019 | ||||||||||||||||||
| Exhibit Number | Exhibit Title | Incorporated by Reference to: | Date Filed | |||||||||||||||||
| 4.27* | Form 8-K | September 12, 2019 | ||||||||||||||||||
| 4.28* | Form 8-K | September 12, 2019 | ||||||||||||||||||
| 4.29* | Form 8-K | March 26, 2020 | ||||||||||||||||||
| 4.30* | Form 8-K | March 26, 2020 | ||||||||||||||||||
| 4.31* | Form 8-K | August 5, 2020 | ||||||||||||||||||
| 4.32* | Form 8-K | August 5, 2020 | ||||||||||||||||||
| 4.33* | Form 8-K | February 18, 2021 | ||||||||||||||||||
| 4.34* | Form 8-K | February 18, 2021 | ||||||||||||||||||
| 4.35* | Form 8-K | February 18, 2021 | ||||||||||||||||||
| 4.36* | Form 8-K | February 18, 2021 | ||||||||||||||||||
| 4.37* | Form 8-K | February 16, 2022 | ||||||||||||||||||
| 4.38* | Form 8-K | February 16, 2022 | ||||||||||||||||||
| 4.39* | Form 8-K | February 16, 2022 | ||||||||||||||||||
| 4.40* | Form 8-K | February 16, 2022 | ||||||||||||||||||
| 4.41 | N/A | Filed herewith | ||||||||||||||||||
| 10.1* | Form 10-Q | October 24, 2022 | ||||||||||||||||||
| 10.2* | (1) | Form 8-K | May 19, 2022 | |||||||||||||||||
| 10.3* | (1) | Form S-11 | May 5, 1997 | |||||||||||||||||
| 10.4* | (1) | Form S-11 | May 5, 1997 | |||||||||||||||||
| 10.5* | (1) | Form S-11 | May 5, 1997 | |||||||||||||||||
| Exhibit Number | Exhibit Title | Incorporated by Reference to: | Date Filed | |||||||||||||||||
| 10.6* | (1) | Form 10-K | January 30, 2018 | |||||||||||||||||
| 10.7* | (1) | Form 10-K | January 30, 2018 | |||||||||||||||||
| 10.8* | (1) | Form 10-K | January 30, 2018 | |||||||||||||||||
| 10.9* | (1) | Form 10-K | January 30, 2018 | |||||||||||||||||
| 10.10* | (1) | Form 10-K | March 1, 2011 | |||||||||||||||||
| 10.11* | (1) | Form 10-K | March 1, 2011 | |||||||||||||||||
| 10.12* | (1) | Form 8-K | April 7, 2015 | |||||||||||||||||
| 10.13* | (1) | Form 8-K | July 3, 2017 | |||||||||||||||||
| 10.14* | (1) | Form 10-Q | May 1, 2018 | |||||||||||||||||
| 10.15* | (1) | Form 8-K | January 18, 2019 | |||||||||||||||||
| 10.16* | (1) | Form 10-Q | July 27, 2020 | |||||||||||||||||
| 10.17* | (1) | Form 10-Q | May 1, 2018 | |||||||||||||||||
| 10.18* | (1) | Form 10-Q | July 31, 2018 | |||||||||||||||||
| 10.19* | (1) | Form 10-Q | May 1, 2018 | |||||||||||||||||
| 10.20* | (1) | Form 10-Q | July 31, 2018 | |||||||||||||||||
| 10.21* | (1) | Form 10-K | February 1, 2021 | |||||||||||||||||
| 10.22* | (1) | Form 10-K | February 1, 2021 | |||||||||||||||||
| 10.23* | (1) | Form 10-K | January 31, 2022 | |||||||||||||||||
| 10.24* | (1) | Form 10-Q | November 9, 2011 | |||||||||||||||||
| 10.25 | (1) | N/A | Filed herewith | |||||||||||||||||
| 10.26* | (1) | Form 8-K | June 17, 2010 | |||||||||||||||||
| Exhibit Number | Exhibit Title | Incorporated by Reference to: | Date Filed | |||||||||||||||||
| 10.27* | (1) | Form 10-K | March 1, 2011 | |||||||||||||||||
| 14.1 | N/A | Filed herewith | ||||||||||||||||||
| 21.1 | N/A | Filed herewith | ||||||||||||||||||
| 22.1 | N/A | Filed herewith | ||||||||||||||||||
| 23.1 | N/A | Filed herewith | ||||||||||||||||||
| 31.1 | N/A | Filed herewith | ||||||||||||||||||
| 31.2 | N/A | Filed herewith | ||||||||||||||||||
| 31.3 | N/A | Filed herewith | ||||||||||||||||||
| 32.0 | N/A | Filed herewith | ||||||||||||||||||
| 101.1 | The following materials from the Company’s annual report on Form 10-K for the year ended December 31, 2022, formatted in iXBRL (Inline eXtensible Business Reporting Language): (i) Consolidated Balance Sheets as of December 31, 2022 and 2021, (ii) Consolidated Statements of Operations for the years ended December 31, 2022, 2021, and 2020, (iii) Consolidated Statements of Comprehensive Income for the years ended December 31, 2022, 2021, and 2020, (iv) Consolidated Statements of Changes in Stockholders’ Equity and Noncontrolling Interests for the years ended December 31, 2022, 2021, and 2020, (v) Consolidated Statements of Cash Flows for the years ended December 31, 2022, 2021, and 2020, (vi) Notes to Consolidated Financial Statements, and (vii) Schedule III — Consolidated Financial Statement Schedule of Real Estate and Accumulated Depreciation of the Company. | N/A | Filed herewith | |||||||||||||||||
| 104 | Cover Page Interactive Data File (embedded within the Inline XBRL document) | N/A | Filed herewith | |||||||||||||||||
| ALEXANDRIA REAL ESTATE EQUITIES, INC. | |||||||||||
| Dated: | January 30, 2023 | By: | /s/ Joel S. Marcus | ||||||||
Joel S. Marcus Executive Chairman (Principal Executive Officer) | |||||||||||
/s/ Peter M. Moglia | |||||||||||
Peter M. Moglia Chief Executive Officer and Co-Chief Investment Officer (Principal Executive Officer) | |||||||||||
| Signature | Title | Date | ||||||||||||
| /s/ Joel S. Marcus | Executive Chairman (Principal Executive Officer) | January 30, 2023 | ||||||||||||
| Joel S. Marcus | ||||||||||||||
| /s/ Peter M. Moglia | Chief Executive Officer and Co-Chief Investment Officer (Principal Executive Officer) | January 30, 2023 | ||||||||||||
| Peter M. Moglia | ||||||||||||||
| /s/ Dean A. Shigenaga | President and Chief Financial Officer (Principal Financial Officer) | January 30, 2023 | ||||||||||||
| Dean A. Shigenaga | ||||||||||||||
| /s/ Andres R. Gavinet | Chief Accounting Officer (Principal Accounting Officer) | January 30, 2023 | ||||||||||||
| Andres R. Gavinet | ||||||||||||||
| /s/ Steven R. Hash | Lead Director | January 30, 2023 | ||||||||||||
| Steven R. Hash | ||||||||||||||
| /s/ James P. Cain | Director | January 30, 2023 | ||||||||||||
| James P. Cain | ||||||||||||||
| /s/ Cynthia L. Feldmann | Director | January 30, 2023 | ||||||||||||
| Cynthia L. Feldmann | ||||||||||||||
| /s/ Maria C. Freire | Director | January 30, 2023 | ||||||||||||
| Maria C. Freire | ||||||||||||||
| /s/ Jennifer Friel Goldstein | Director | January 30, 2023 | ||||||||||||
| Jennifer Friel Goldstein | ||||||||||||||
| /s/ Richard H. Klein | Director | January 30, 2023 | ||||||||||||
| Richard H. Klein | ||||||||||||||
| /s/ Michael A. Woronoff | Director | January 30, 2023 | ||||||||||||
| Michael A. Woronoff | ||||||||||||||
Description of the Matter | As more fully disclosed in Notes 2 and 3 to the consolidated financial statements, during 2022, the Company completed the acquisition of 42 properties for a total purchase price of $2.8 billion. The transactions were accounted for as asset acquisitions, and the purchase prices were allocated based on the relative fair values of the assets acquired (including land, buildings and improvements, right-of-use assets, and the intangible value of acquired above-market leases, acquired in-place leases, tenant relationships, and other intangible assets) and liabilities assumed (including the intangible value of acquired below-market leases and other intangible liabilities). The fair value of tangible and intangible assets and liabilities is based on available comparable market information, including estimated replacement costs, rental rates, recent market transactions, and estimated cash flow projections that utilize appropriate discount and capitalization rates. Estimates of future cash flows are based on a number of factors, including the historical operating results, known and anticipated trends, and market or economic conditions, that may affect the property. Auditing the Company’s estimate of the fair value of the acquired tangible and intangible assets and liabilities involves significant estimation uncertainty due to the judgment used by management in selecting key assumptions based on recent comparable transactions or market data, which are primarily unobservable inputs, and the sensitivity of the estimates to changes in assumptions. The allocation of purchase price to the components of properties acquired could have an effect on the Company’s net income due to the useful depreciable and amortizable lives applicable to each component, and the recognition and classification of the related depreciation or amortization expense in the Company’s consolidated statements of operations. | |||||||
How we Addressed the Matter in Our Audit | Our audit procedures related to the key assumptions utilized in the Company’s purchase price accounting for acquired real estate included the following procedures, among others: We tested the design and operating effectiveness of controls over the Company’s process for determining and reviewing the key inputs and assumptions used in estimating the fair value of acquired assets and liabilities and allocating purchase price to the various components. We evaluated the incorporation of the key assumptions in the purchase price accounting model and recalculated the model’s results. To test the fair values of acquired tangible and intangible assets and liabilities used in the purchase price allocation, we performed procedures to evaluate the valuation methods and significant assumptions used by management. We evaluated the completeness and accuracy of the underlying data supporting the determination of the various inputs. Our internal valuation specialists assisted us in evaluating the methodology used by the Company and considered the consistency of the land and building values, estimated replacement costs, market rental rates, ground lease rates, and discount rates with external data sources. | |||||||
| December 31, | |||||||||||
| 2022 | 2021 | ||||||||||
| Assets | |||||||||||
Investments in real estate | $ | $ | |||||||||
Investments in unconsolidated real estate joint ventures | |||||||||||
Cash and cash equivalents | |||||||||||
Restricted cash | |||||||||||
Tenant receivables | |||||||||||
Deferred rent | |||||||||||
Deferred leasing costs | |||||||||||
Investments | |||||||||||
Other assets | |||||||||||
Total assets | $ | $ | |||||||||
| Liabilities, Noncontrolling Interests, and Equity | |||||||||||
Secured notes payable | $ | $ | |||||||||
Unsecured senior notes payable | |||||||||||
| Unsecured senior line of credit and commercial paper | |||||||||||
Accounts payable, accrued expenses, and other liabilities | |||||||||||
Dividends payable | |||||||||||
Total liabilities | |||||||||||
Commitments and contingencies | |||||||||||
Redeemable noncontrolling interests | |||||||||||
Alexandria Real Estate Equities, Inc.’s stockholders’ equity: | |||||||||||
Common stock, $ | |||||||||||
| Additional paid-in capital | |||||||||||
| Accumulated other comprehensive loss | ( | ( | |||||||||
Alexandria Real Estate Equities, Inc.’s stockholders’ equity | |||||||||||
Noncontrolling interests | |||||||||||
Total equity | |||||||||||
Total liabilities, noncontrolling interests, and equity | $ | $ | |||||||||
| Year Ended December 31, | |||||||||||||||||
| 2022 | 2021 | 2020 | |||||||||||||||
Revenues: | |||||||||||||||||
Income from rentals | $ | $ | $ | ||||||||||||||
Other income | |||||||||||||||||
Total revenues | |||||||||||||||||
Expenses: | |||||||||||||||||
Rental operations | |||||||||||||||||
General and administrative | |||||||||||||||||
Interest | |||||||||||||||||
Depreciation and amortization | |||||||||||||||||
Impairment of real estate | |||||||||||||||||
Loss on early extinguishment of debt | |||||||||||||||||
Total expenses | |||||||||||||||||
| Equity in earnings of unconsolidated real estate joint ventures | |||||||||||||||||
| Investment (loss) income | ( | ||||||||||||||||
| Gain on sales of real estate | |||||||||||||||||
| Net income | |||||||||||||||||
Net income attributable to noncontrolling interests | ( | ( | ( | ||||||||||||||
| Net income attributable to Alexandria Real Estate Equities, Inc.’s stockholders | |||||||||||||||||
Net income attributable to unvested restricted stock awards | ( | ( | ( | ||||||||||||||
| Net income attributable to Alexandria Real Estate Equities, Inc.’s common stockholders | $ | $ | $ | ||||||||||||||
| Net income per share attributable to Alexandria Real Estate Equities, Inc.’s common stockholders: | |||||||||||||||||
| Basic | $ | $ | $ | ||||||||||||||
| Diluted | $ | $ | $ | ||||||||||||||
| Year Ended December 31, | |||||||||||||||||
| 2022 | 2021 | 2020 | |||||||||||||||
| Net income | $ | $ | $ | ||||||||||||||
| Other comprehensive (loss) income | |||||||||||||||||
| Unrealized (losses) gains on foreign currency translation: | |||||||||||||||||
| Unrealized foreign currency translation (losses) gains arising during the period | ( | ( | |||||||||||||||
| Unrealized (losses) gains on foreign currency translation, net | ( | ( | |||||||||||||||
| Total other comprehensive (loss) income | ( | ( | |||||||||||||||
| Comprehensive income | |||||||||||||||||
| Less: comprehensive income attributable to noncontrolling interests | ( | ( | ( | ||||||||||||||
| Comprehensive income attributable to Alexandria Real Estate Equities, Inc.’s stockholders | $ | $ | $ | ||||||||||||||
| Alexandria Real Estate Equities, Inc.’s Stockholders’ Equity | ||||||||||||||||||||||||||||||||||||||||||||||||||
| Number of Common Shares | Common Stock | Additional Paid-In Capital | Retained Earnings | Accumulated Other Comprehensive Loss | Noncontrolling Interests | Total Equity | Redeemable Noncontrolling Interests | |||||||||||||||||||||||||||||||||||||||||||
| Balance as of December 31, 2019 | $ | $ | $ | $ | ( | $ | $ | $ | ||||||||||||||||||||||||||||||||||||||||||
| Net income | — | — | — | — | ||||||||||||||||||||||||||||||||||||||||||||||
| Total other comprehensive income | — | — | — | — | — | — | ||||||||||||||||||||||||||||||||||||||||||||
Contributions from and sales of noncontrolling interests | — | — | — | — | ||||||||||||||||||||||||||||||||||||||||||||||
| Distributions to and redemption of noncontrolling interests | — | — | — | — | — | ( | ( | ( | ||||||||||||||||||||||||||||||||||||||||||
Issuance of common stock | — | — | — | — | ||||||||||||||||||||||||||||||||||||||||||||||
Issuance pursuant to stock plan | — | — | — | — | ||||||||||||||||||||||||||||||||||||||||||||||
| Taxes related to net settlement of equity awards | ( | ( | ( | — | — | — | ( | — | ||||||||||||||||||||||||||||||||||||||||||
Dividends declared on common stock ($ | — | — | — | ( | — | — | ( | — | ||||||||||||||||||||||||||||||||||||||||||
| Cumulative effect of adjustment upon adoption of credit loss ASU on January 1, 2020 | — | — | — | ( | — | — | ( | — | ||||||||||||||||||||||||||||||||||||||||||
| Reclassification of earnings in excess of distributions | — | — | ( | — | — | — | — | |||||||||||||||||||||||||||||||||||||||||||
| Balance as of December 31, 2020 | ( | |||||||||||||||||||||||||||||||||||||||||||||||||
| Net income | — | — | — | — | ||||||||||||||||||||||||||||||||||||||||||||||
| Total other comprehensive loss | — | — | — | — | ( | — | ( | — | ||||||||||||||||||||||||||||||||||||||||||
Contributions from and sales of noncontrolling interests | — | — | — | — | ||||||||||||||||||||||||||||||||||||||||||||||
| Distributions to and redemption of noncontrolling interests | — | — | — | — | — | ( | ( | ( | ||||||||||||||||||||||||||||||||||||||||||
Issuance of common stock | — | — | — | — | ||||||||||||||||||||||||||||||||||||||||||||||
Issuance pursuant to stock plan | — | — | — | — | ||||||||||||||||||||||||||||||||||||||||||||||
| Taxes related to net settlement of equity awards | ( | ( | ( | — | — | — | ( | — | ||||||||||||||||||||||||||||||||||||||||||
Dividends declared on common stock ($ | — | — | — | ( | — | — | ( | — | ||||||||||||||||||||||||||||||||||||||||||
| Reclassification of distributions in excess of earnings | — | — | ( | — | — | — | — | |||||||||||||||||||||||||||||||||||||||||||
| Balance as of December 31, 2021 | $ | $ | $ | $ | ( | $ | $ | $ | ||||||||||||||||||||||||||||||||||||||||||
| Alexandria Real Estate Equities, Inc.’s Stockholders’ Equity | ||||||||||||||||||||||||||||||||||||||||||||||||||
| Number of Common Shares | Common Stock | Additional Paid-In Capital | Retained Earnings | Accumulated Other Comprehensive Loss | Noncontrolling Interests | Total Equity | Redeemable Noncontrolling Interests | |||||||||||||||||||||||||||||||||||||||||||
| Balance as of December 31, 2021 | $ | $ | $ | $ | ( | $ | $ | $ | ||||||||||||||||||||||||||||||||||||||||||
| Net income | — | — | — | — | ||||||||||||||||||||||||||||||||||||||||||||||
| Total other comprehensive loss | — | — | — | — | ( | — | ( | — | ||||||||||||||||||||||||||||||||||||||||||
Contributions from and sales of noncontrolling interests | — | — | — | — | — | |||||||||||||||||||||||||||||||||||||||||||||
| Distributions to and redemption of noncontrolling interests | — | — | ( | — | — | ( | ( | ( | ||||||||||||||||||||||||||||||||||||||||||
Issuance of common stock | — | — | — | — | ||||||||||||||||||||||||||||||||||||||||||||||
Issuance pursuant to stock plan | — | — | — | — | ||||||||||||||||||||||||||||||||||||||||||||||
| Taxes related to net settlement of equity awards | ( | ( | ( | — | — | — | ( | — | ||||||||||||||||||||||||||||||||||||||||||
Dividends declared on common stock ($ | — | — | — | ( | — | — | ( | — | ||||||||||||||||||||||||||||||||||||||||||
| Reclassification of distributions in excess of earnings | — | — | ( | — | — | — | — | |||||||||||||||||||||||||||||||||||||||||||
| Balance as of December 31, 2022 | $ | $ | $ | $ | ( | $ | $ | $ | ||||||||||||||||||||||||||||||||||||||||||
Alexandria Real Estate Equities, Inc. Consolidated Statements of Cash Flows (In thousands) | |||||||||||||||||
| Year Ended December 31, | |||||||||||||||||
| 2022 | 2021 | 2020 | |||||||||||||||
Operating Activities | |||||||||||||||||
| Net income | $ | $ | $ | ||||||||||||||
| Adjustments to reconcile net income to net cash provided by operating activities: | |||||||||||||||||
| Depreciation and amortization | |||||||||||||||||
| Impairment of real estate | |||||||||||||||||
| Gain on sales of real estate | ( | ( | ( | ||||||||||||||
| Loss on early extinguishment of debt | |||||||||||||||||
| Equity in earnings of unconsolidated real estate joint ventures | ( | ( | ( | ||||||||||||||
| Distributions of earnings from unconsolidated real estate joint ventures | |||||||||||||||||
| Amortization of loan fees | |||||||||||||||||
| Amortization of debt discounts (premiums) | ( | ( | |||||||||||||||
| Amortization of acquired above- and below-market leases | ( | ( | ( | ||||||||||||||
| Deferred rent | ( | ( | ( | ||||||||||||||
| Stock compensation expense | |||||||||||||||||
| Investment loss (income) | ( | ( | |||||||||||||||
Changes in operating assets and liabilities: | |||||||||||||||||
| Tenant receivables | ( | ( | |||||||||||||||
| Deferred leasing costs | ( | ( | ( | ||||||||||||||
| Other assets | ( | ( | ( | ||||||||||||||
| Accounts payable, accrued expenses, and other liabilities | ( | ||||||||||||||||
| Net cash provided by operating activities | |||||||||||||||||
Investing Activities | |||||||||||||||||
| Proceeds from sales of real estate | |||||||||||||||||
| Additions to real estate | ( | ( | ( | ||||||||||||||
| Purchases of real estate | ( | ( | ( | ||||||||||||||
| Change in escrow deposits | ( | ||||||||||||||||
| Sales of interest in unconsolidated real estate joint ventures | |||||||||||||||||
| Acquisitions of interest in unconsolidated real estate joint venture | ( | ||||||||||||||||
| Investments in unconsolidated real estate joint ventures | ( | ( | ( | ||||||||||||||
| Return of capital from unconsolidated real estate joint ventures | |||||||||||||||||
| Additions to non-real estate investments | ( | ( | ( | ||||||||||||||
| Sales of and distributions from non-real estate investments | |||||||||||||||||
| Net cash used in investing activities | $ | ( | $ | ( | $ | ( | |||||||||||
| The accompanying notes are an integral part of these consolidated financial statements. | |||||||||||||||||
Alexandria Real Estate Equities, Inc. Consolidated Statements of Cash Flows (In thousands) | |||||||||||||||||
| Year Ended December 31, | |||||||||||||||||
| 2022 | 2021 | 2020 | |||||||||||||||
Financing Activities | |||||||||||||||||
| Borrowings from secured notes payable | $ | $ | $ | ||||||||||||||
| Repayments of borrowings from secured notes payable | ( | ( | ( | ||||||||||||||
| Payment for the defeasance of secured note payable | ( | ( | |||||||||||||||
| Proceeds from issuances of unsecured senior notes payable | |||||||||||||||||
| Repayments of unsecured senior notes payable | ( | ( | |||||||||||||||
| Borrowings from unsecured senior line of credit | |||||||||||||||||
| Repayments of borrowings from unsecured senior line of credit | ( | ( | ( | ||||||||||||||
| Proceeds from issuance under commercial paper program | |||||||||||||||||
| Repayments of borrowings from commercial paper program | ( | ( | ( | ||||||||||||||
| Premium paid for early extinguishment of debt | ( | ( | |||||||||||||||
| Payments of loan fees | ( | ( | ( | ||||||||||||||
| Taxes paid related to net settlement of equity awards | ( | ( | ( | ||||||||||||||
| Proceeds from issuance of common stock | |||||||||||||||||
| Dividends on common stock | ( | ( | ( | ||||||||||||||
| Contributions from and sales of noncontrolling interests | |||||||||||||||||
| Distributions to and purchases of noncontrolling interests | ( | ( | ( | ||||||||||||||
Net cash provided by financing activities | |||||||||||||||||
| Effect of foreign exchange rate changes on cash, cash equivalents, and restricted cash | ( | ( | |||||||||||||||
| Net increase (decrease) in cash, cash equivalents, and restricted cash | ( | ||||||||||||||||
Cash, cash equivalents, and restricted cash as of the beginning of period | |||||||||||||||||
Cash, cash equivalents, and restricted cash as of the end of period | $ | $ | $ | ||||||||||||||
Supplemental Disclosure and Non-Cash Investing and Financing Activities: | |||||||||||||||||
| Cash paid during the period for interest, net of interest capitalized | $ | $ | $ | ||||||||||||||
| Accrued construction for current-period additions to real estate | $ | $ | $ | ||||||||||||||
| Right-of-use asset | $ | $ | $ | ||||||||||||||
| Lease liability | $ | ( | $ | ( | $ | ( | |||||||||||
| Contribution of assets from real estate joint venture partner | $ | $ | $ | ||||||||||||||
| Issuance of noncontrolling interest to joint venture partner | $ | ( | $ | ( | $ | ( | |||||||||||
| Consolidation of real estate assets in connection with our acquisition of partner’s interest in unconsolidated real estate joint venture | $ | $ | $ | ||||||||||||||
| Assumption of secured note payable in connection with acquisition of partner’s interest in unconsolidated real estate joint venture | $ | $ | ( | $ | |||||||||||||
| Deferred purchase price in connection with acquisitions of real estate | $ | $ | ( | $ | |||||||||||||
| Assignment of secured notes payable in connection with sale of real estate | $ | $ | $ | ||||||||||||||
| Year Ended December 31, | ||||||||||||||||||||
| 2022 | 2021 | 2020 | ||||||||||||||||||
| Income from rentals: | ||||||||||||||||||||
| Revenues subject to the lease accounting standard: | ||||||||||||||||||||
| Operating leases | $ | $ | $ | |||||||||||||||||
| Direct financing and sales-type leases | ||||||||||||||||||||
| Revenues subject to the lease accounting standard | ||||||||||||||||||||
Revenues subject to the revenue recognition accounting standard | ||||||||||||||||||||
| Income from rentals | ||||||||||||||||||||
| Other income | ||||||||||||||||||||
| Total revenues | $ | $ | $ | |||||||||||||||||
| December 31, | ||||||||||||||
| 2022 | 2021 | |||||||||||||
| Rental properties: | ||||||||||||||
| Land (related to rental properties) | $ | $ | ||||||||||||
| Buildings and building improvements | ||||||||||||||
| Other improvements | ||||||||||||||
| Rental properties | ||||||||||||||
| Development and redevelopment projects | ||||||||||||||
| Gross investments in real estate – North America | ||||||||||||||
| Less: accumulated depreciation – North America | ( | ( | ||||||||||||
Net investments in real estate – North America | ||||||||||||||
Net investments in real estate – Asia | ||||||||||||||
| Investments in real estate | $ | $ | ||||||||||||
| Square Footage | |||||||||||||||||||||||||||||||||||
| Market | Number of Properties | Future Development | Operating With Future Development/Redevelopment | Operating | Purchase Price | ||||||||||||||||||||||||||||||
| Greater Boston | $ | ||||||||||||||||||||||||||||||||||
| San Francisco Bay Area | |||||||||||||||||||||||||||||||||||
| San Diego | |||||||||||||||||||||||||||||||||||
| Seattle | |||||||||||||||||||||||||||||||||||
| Research Triangle | |||||||||||||||||||||||||||||||||||
| Texas | |||||||||||||||||||||||||||||||||||
| Other | |||||||||||||||||||||||||||||||||||
Year ended December 31, 2022 | $ | (1) | |||||||||||||||||||||||||||||||||
| December 31, | ||||||||||||||
| 2022 | 2021 | |||||||||||||
| Acquired below-market leases | $ | $ | ||||||||||||
| Accumulated amortization | ( | ( | ||||||||||||
| $ | $ | |||||||||||||
| Year | Amount | |||||||
| 2023 | $ | |||||||
| 2024 | ||||||||
| 2025 | ||||||||
| 2026 | ||||||||
| 2027 | ||||||||
| Thereafter | ||||||||
| Total | $ | |||||||
| December 31, | ||||||||||||||
| 2022 | 2021 | |||||||||||||
| Acquired in-place leases | $ | $ | ||||||||||||
| Accumulated amortization | ( | ( | ||||||||||||
| $ | $ | |||||||||||||
| Year | Amount | |||||||
| 2023 | $ | |||||||
| 2024 | ||||||||
| 2025 | ||||||||
| 2026 | ||||||||
| 2027 | ||||||||
| Thereafter | ||||||||
| Total | $ | |||||||
| Gain on Sale of Real Estate | Consideration in Excess of Book Value(1) | |||||||||||||||||||||||||||||||||||||||||||
| Property | Submarket/Market | Date of Sale | Interest Sold | RSF | Sales Price | |||||||||||||||||||||||||||||||||||||||
Three months ended March 31, 2022: | ||||||||||||||||||||||||||||||||||||||||||||
| 100 Binney Street | Cambridge/Inner Suburbs/Greater Boston | 3/30/22 | % | $ | N/A | $ | ||||||||||||||||||||||||||||||||||||||
Three months ended June 30, 2022: | ||||||||||||||||||||||||||||||||||||||||||||
| 300 Third Street | Cambridge/Inner Suburbs/Greater Boston | 6/27/22 | % | N/A | ||||||||||||||||||||||||||||||||||||||||
| Alexandria Park at 128, 285 Bear Hill Road, 111 and 130 Forbes Boulevard, and 20 Walkup Drive | Route 128 and Route 495/Greater Boston | 6/8/22 | % | $ | N/A | |||||||||||||||||||||||||||||||||||||||
| Other | N/A | |||||||||||||||||||||||||||||||||||||||||||
Three months ended September 30, 2022: | ||||||||||||||||||||||||||||||||||||||||||||
| 1450 Owens Street | Mission Bay/San Francisco Bay Area | 7/1/22 | % | N/A | ||||||||||||||||||||||||||||||||||||||||
| 341 and 343 Oyster Point Boulevard, 7000 Shoreline Court, and Shoreway Science Center | South San Francisco and Greater Stanford/San Francisco Bay Area | 9/15/22 | % | N/A | ||||||||||||||||||||||||||||||||||||||||
| 3215 Merryfield Row | Torrey Pines/San Diego | 9/1/22 | % | N/A | ||||||||||||||||||||||||||||||||||||||||
| Summers Ridge Science Park | Sorrento Mesa/San Diego | 9/15/22 | % | N/A | ||||||||||||||||||||||||||||||||||||||||
| 7330 and 7360 Carroll Road | Sorrento Mesa/San Diego | 9/15/22 | % | N/A | ||||||||||||||||||||||||||||||||||||||||
| Other | Various | N/A | ||||||||||||||||||||||||||||||||||||||||||
| Year ended December 31, 2022 | $ | (2) | $ | $ | ||||||||||||||||||||||||||||||||||||||||
| Property | Market | Submarket | Our Ownership Interest(1) | ||||||||||||||||||||||||||
Consolidated real estate joint ventures(2): | |||||||||||||||||||||||||||||
| 50 and 60 Binney Street | Greater Boston | Cambridge/Inner Suburbs | % | ||||||||||||||||||||||||||
| 75/125 Binney Street | Greater Boston | Cambridge/Inner Suburbs | % | ||||||||||||||||||||||||||
| 100 and 225 Binney Street and 300 Third Street | Greater Boston | Cambridge/Inner Suburbs | % | (3) | |||||||||||||||||||||||||
| 99 Coolidge Avenue | Greater Boston | Cambridge/Inner Suburbs | % | ||||||||||||||||||||||||||
Alexandria Center® for Science and Technology – Mission Bay(4) | San Francisco Bay Area | Mission Bay | % | ||||||||||||||||||||||||||
| 1450 Owens Street | San Francisco Bay Area | Mission Bay | % | (5) | |||||||||||||||||||||||||
| 601, 611, 651, 681, 685, and 701 Gateway Boulevard | San Francisco Bay Area | South San Francisco | % | ||||||||||||||||||||||||||
| 751 Gateway Boulevard | San Francisco Bay Area | South San Francisco | % | ||||||||||||||||||||||||||
| 211 and 213 East Grand Avenue | San Francisco Bay Area | South San Francisco | % | ||||||||||||||||||||||||||
| 500 Forbes Boulevard | San Francisco Bay Area | South San Francisco | % | ||||||||||||||||||||||||||
Alexandria Center® for Life Science – Millbrae | San Francisco Bay Area | South San Francisco | % | ||||||||||||||||||||||||||
| 3215 Merryfield Row | San Diego | Torrey Pines | % | ||||||||||||||||||||||||||
Campus Point by Alexandria(6) | San Diego | University Town Center | % | ||||||||||||||||||||||||||
5200 Illumina Way | San Diego | University Town Center | % | ||||||||||||||||||||||||||
9625 Towne Centre Drive | San Diego | University Town Center | % | ||||||||||||||||||||||||||
SD Tech by Alexandria(7) | San Diego | Sorrento Mesa | % | ||||||||||||||||||||||||||
| Pacific Technology Park | San Diego | Sorrento Mesa | % | ||||||||||||||||||||||||||
Summers Ridge Science Park(8) | San Diego | Sorrento Mesa | % | ||||||||||||||||||||||||||
| 1201 and 1208 Eastlake Avenue East and 199 East Blaine Street | Seattle | Lake Union | % | ||||||||||||||||||||||||||
| 400 Dexter Avenue North | Seattle | Lake Union | % | ||||||||||||||||||||||||||
| 800 Mercer Street | Seattle | Lake Union | % | ||||||||||||||||||||||||||
Unconsolidated real estate joint ventures(2): | |||||||||||||||||||||||||||||
1655 and 1725 Third Street | San Francisco Bay Area | Mission Bay | % | ||||||||||||||||||||||||||
| 1401/1413 Research Boulevard | Maryland | Rockville | % | (9) | |||||||||||||||||||||||||
| 1450 Research Boulevard | Maryland | Rockville | % | (10) | |||||||||||||||||||||||||
| 101 West Dickman Street | Maryland | Beltsville | % | (10) | |||||||||||||||||||||||||
Property(1) | Consolidation Model | Voting Interest | Consolidation Analysis | Conclusion | |||||||||||||||||||||||||
| 50 and 60 Binney Street | VIE model | Not applicable under VIE model | Consolidated | ||||||||||||||||||||||||||
| 75/125 Binney Street | We have: | ||||||||||||||||||||||||||||
| 100 and 225 Binney Street and 300 Third Street | |||||||||||||||||||||||||||||
| 99 Coolidge Avenue | (i) | The power to direct the activities of the joint venture that most significantly affect its economic performance; and | |||||||||||||||||||||||||||
Alexandria Center® for Science and Technology – Mission Bay | |||||||||||||||||||||||||||||
| 1450 Owens Street | |||||||||||||||||||||||||||||
| 601, 611, 651, 681, 685, and 701 Gateway Boulevard | |||||||||||||||||||||||||||||
| 751 Gateway Boulevard | |||||||||||||||||||||||||||||
| 211 and 213 East Grand Avenue | (ii) | Benefits that can be significant to the joint venture. | |||||||||||||||||||||||||||
| 500 Forbes Boulevard | |||||||||||||||||||||||||||||
Alexandria Center® for Life Science – Millbrae | |||||||||||||||||||||||||||||
| 3215 Merryfield Row | |||||||||||||||||||||||||||||
| Campus Point by Alexandria | |||||||||||||||||||||||||||||
5200 Illumina Way | Therefore, we are the primary beneficiary of each VIE | ||||||||||||||||||||||||||||
9625 Towne Centre Drive | |||||||||||||||||||||||||||||
SD Tech by Alexandria | |||||||||||||||||||||||||||||
| Pacific Technology Park | |||||||||||||||||||||||||||||
| Summers Ridge Science Park | |||||||||||||||||||||||||||||
| 1201 and 1208 Eastlake Avenue East and 199 East Blaine Street | |||||||||||||||||||||||||||||
| 400 Dexter Avenue North | |||||||||||||||||||||||||||||
| 800 Mercer Street | |||||||||||||||||||||||||||||
| 1401/1413 Research Boulevard | We do not control the joint venture and are therefore not the primary beneficiary | Equity method of accounting | |||||||||||||||||||||||||||
| 1450 Research Boulevard | |||||||||||||||||||||||||||||
| 101 West Dickman Street | |||||||||||||||||||||||||||||
| 1655 and 1725 Third Street | Voting model | Does not exceed 50% | Our voting interest is 50% or less | ||||||||||||||||||||||||||
| December 31, | ||||||||||||||
| 2022 | 2021 | |||||||||||||
| Investments in real estate | $ | $ | ||||||||||||
| Cash and cash equivalents | ||||||||||||||
| Other assets | ||||||||||||||
| Total assets | $ | $ | ||||||||||||
| Secured notes payable | $ | $ | ||||||||||||
| Other liabilities | ||||||||||||||
| Total liabilities | ||||||||||||||
| Alexandria Real Estate Equities, Inc.’s share of equity | ||||||||||||||
| Noncontrolling interests’ share of equity | ||||||||||||||
| Total liabilities and equity | $ | $ | ||||||||||||
| December 31, | ||||||||||||||
| Property | 2022 | 2021 | ||||||||||||
| 1655 and 1725 Third Street | $ | $ | ||||||||||||
| 1450 Research Boulevard | ||||||||||||||
| 101 West Dickman Street | ||||||||||||||
Other | ||||||||||||||
| $ | $ | |||||||||||||
| At 100% | Our Share | |||||||||||||||||||||||||||||||||||||||||||||||||
| Unconsolidated Joint Venture | Maturity Date | Stated Rate | Interest Rate(1) | Aggregate Commitment | Debt Balance(2) | |||||||||||||||||||||||||||||||||||||||||||||
| 1401/1413 Research Boulevard | $ | $ | ||||||||||||||||||||||||||||||||||||||||||||||||
| 1655 and 1725 Third Street | ||||||||||||||||||||||||||||||||||||||||||||||||||
| 101 West Dickman Street | SOFR + | (3) | ||||||||||||||||||||||||||||||||||||||||||||||||
| 1450 Research Boulevard | SOFR + | (3) | ||||||||||||||||||||||||||||||||||||||||||||||||
| $ | $ | |||||||||||||||||||||||||||||||||||||||||||||||||
| Year | Amount | |||||||
| 2023 | $ | |||||||
| 2024 | ||||||||
| 2025 | ||||||||
| 2026 | ||||||||
| 2027 | ||||||||
| Thereafter | ||||||||
| Total | $ | |||||||
| December 31, | ||||||||||||||
| 2022 | 2021 | |||||||||||||
| Gross investment in direct financing and sales-type leases | $ | $ | ||||||||||||
| Add: estimated unguaranteed residual value of the underlying assets related to sales-type leases | ||||||||||||||
| Less: unearned income on direct financing lease | ( | ( | ||||||||||||
| Less: effect of discounting on sales-type leases | ( | |||||||||||||
| Less: allowance for credit losses | ( | ( | ||||||||||||
| Net investment in direct financing and sales-type leases | $ | $ | ||||||||||||
| Year | Total | |||||||
| 2023 | $ | |||||||
| 2024 | ||||||||
| 2025 | ||||||||
| 2026 | ||||||||
| 2027 | ||||||||
| Thereafter | ||||||||
| Total | $ | |||||||
| Year Ended December 31, | ||||||||||||||||||||
| 2022 | 2021 | 2020 | ||||||||||||||||||
| Income from rentals: | ||||||||||||||||||||
| Revenues subject to the lease accounting standard: | ||||||||||||||||||||
| $ | $ | $ | ||||||||||||||||||
| Direct financing and sales-type leases | ||||||||||||||||||||
| Revenues subject to the lease accounting standard | ||||||||||||||||||||
| Revenues subject to the revenue recognition accounting standard | ||||||||||||||||||||
| Income from rentals | $ | $ | $ | |||||||||||||||||
| December 31, | ||||||||||||||
| 2022 | 2021 | |||||||||||||
| Deferred leasing costs | $ | $ | ||||||||||||
| Accumulated amortization | ( | ( | ||||||||||||
| Deferred leasing costs, net | $ | $ | ||||||||||||
| Year | Total | |||||||
| 2023 | $ | |||||||
| 2024 | ||||||||
| 2025 | ||||||||
| 2026 | ||||||||
| 2027 | ||||||||
| Thereafter | ||||||||
| Total future payments under our operating leases in which we are the lessee | ||||||||
| Effect of discounting | ( | |||||||
| Operating lease liability | $ | |||||||
| Year Ended December 31, | ||||||||||||||||||||
| 2022 | 2021 | 2020 | ||||||||||||||||||
| Gross operating lease costs | $ | $ | $ | |||||||||||||||||
| Capitalized lease costs | ( | ( | ( | |||||||||||||||||
| Expenses for operating leases in which we are the lessee | $ | $ | $ | |||||||||||||||||
| December 31, | |||||||||||
| 2022 | 2021 | ||||||||||
| Cash and cash equivalents | $ | $ | |||||||||
| Restricted cash: | |||||||||||
| Funds held in trust under the terms of certain secured notes payable | |||||||||||
| Funds held in escrow for real estate acquisitions | |||||||||||
| Other | |||||||||||
| Total | $ | $ | |||||||||
| December 31, 2022 | |||||||||||||||||||||||
| Cost | Unrealized Gains | Unrealized Losses | Carrying Amount | ||||||||||||||||||||
| Publicly traded companies | $ | $ | $ | ( | $ | ||||||||||||||||||
| Entities that report NAV | ( | ||||||||||||||||||||||
| Entities that do not report NAV: | |||||||||||||||||||||||
Entities with observable price changes | ( | ||||||||||||||||||||||
Entities without observable price changes | |||||||||||||||||||||||
| Investments accounted for under the equity method | N/A | N/A | N/A | ||||||||||||||||||||
| Total investments | $ | $ | $ | ( | $ | ||||||||||||||||||
| December 31, 2021 | |||||||||||||||||||||||
| Cost | Unrealized Gains | Unrealized Losses | Carrying Amount | ||||||||||||||||||||
| Publicly traded companies | $ | $ | $ | ( | $ | ||||||||||||||||||
| Entities that report NAV | ( | ||||||||||||||||||||||
| Entities that do not report NAV: | |||||||||||||||||||||||
Entities with observable price changes | ( | ||||||||||||||||||||||
Entities without observable price changes | |||||||||||||||||||||||
| Investments accounted for under the equity method | N/A | N/A | N/A | ||||||||||||||||||||
| Total investments | $ | $ | $ | ( | $ | ||||||||||||||||||
| Year Ended December 31, | ||||||||||||||||||||
| 2022 | 2021 | 2020 | ||||||||||||||||||
| Realized gains | $ | $ | $ | |||||||||||||||||
| Unrealized (losses) gains | ( | |||||||||||||||||||
| Investment (loss) income | $ | ( | $ | $ | ||||||||||||||||
| December 31, | |||||||||||
| 2022 | 2021 | ||||||||||
| Acquired in-place leases | $ | $ | |||||||||
| Deferred compensation plan | |||||||||||
| Deferred financing costs – unsecured senior line of credit | |||||||||||
| Deposits | |||||||||||
| Furniture, fixtures, and equipment | |||||||||||
Net investment in direct financing and sales-type leases(1) | |||||||||||
| Notes receivable | |||||||||||
| Operating lease right-of-use assets | |||||||||||
| Other assets | |||||||||||
| Prepaid expenses | |||||||||||
| Property, plant, and equipment | |||||||||||
| Total | $ | $ | |||||||||
| Fair Value Measurement Using | ||||||||||||||||||||||||||
| Description | Total | Quoted Prices in Active Markets for Identical Assets (Level 1) | Significant Other Observable Inputs (Level 2) | Significant Unobservable Inputs (Level 3) | ||||||||||||||||||||||
| Investments in publicly traded companies: | ||||||||||||||||||||||||||
| As of December 31, 2022 | $ | $ | $ | $ | ||||||||||||||||||||||
| As of December 31, 2021 | $ | $ | $ | $ | ||||||||||||||||||||||
| Fair Value Measurement Using | ||||||||||||||||||||||||||||||||
| Description | Total | Quoted Prices in Active Markets for Identical Assets (Level 1) | Significant Other Observable Inputs (Level 2) | Significant Unobservable Inputs (Level 3)(1) | ||||||||||||||||||||||||||||
| Investments in privately held entities that do not report NAV | ||||||||||||||||||||||||||||||||
| As of December 31, 2022 | $ | $ | $ | (2) | $ | |||||||||||||||||||||||||||
| As of December 31, 2021 | $ | $ | $ | $ | ||||||||||||||||||||||||||||
| December 31, 2022 | |||||||||||||||||||||||||||||
| Book Value | Fair Value Hierarchy | Estimated Fair Value | |||||||||||||||||||||||||||
| Quoted Prices in Active Markets for Identical Assets (Level 1) | Significant Other Observable Inputs (Level 2) | Significant Unobservable Inputs (Level 3) | |||||||||||||||||||||||||||
| Liabilities: | |||||||||||||||||||||||||||||
| Secured notes payable | $ | $ | — | $ | $ | — | $ | ||||||||||||||||||||||
| Unsecured senior notes payable | $ | $ | — | $ | $ | — | $ | ||||||||||||||||||||||
Unsecured senior line of credit | $ | $ | $ | $ | $ | ||||||||||||||||||||||||
| Commercial paper program | $ | $ | $ | $ | $ | ||||||||||||||||||||||||
| December 31, 2021 | |||||||||||||||||||||||||||||
| Book Value | Fair Value Hierarchy | Estimated Fair Value | |||||||||||||||||||||||||||
| Quoted Prices in Active Markets for Identical Assets (Level 1) | Significant Other Observable Inputs (Level 2) | Significant Unobservable Inputs (Level 3) | |||||||||||||||||||||||||||
| Liabilities: | |||||||||||||||||||||||||||||
| Secured notes payable | $ | $ | — | $ | $ | — | $ | ||||||||||||||||||||||
| Unsecured senior notes payable | $ | $ | — | $ | $ | — | $ | ||||||||||||||||||||||
Unsecured senior line of credit | $ | $ | $ | $ | $ | ||||||||||||||||||||||||
| Commercial paper program | $ | $ | $ | $ | $ | ||||||||||||||||||||||||
| Stated Rate | Interest Rate (1) | Maturity Date (2) | Principal Payments Remaining for the Periods Ending December 31, | Unamortized (Deferred Financing Cost), (Discount) Premium | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Debt | 2023 | 2024 | 2025 | 2026 | 2027 | Thereafter | Principal | Total | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Secured notes payable | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Greater Boston(3) | SOFR+ | % | % | $ | $ | $ | $ | $ | $ | $ | ( | $ | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| San Francisco Bay Area | % | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Secured debt weighted average interest rate/subtotal | ( | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Unsecured senior line of credit and commercial paper program(4) | (4) | N/A | (4) | (4) | (4) | (4) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Unsecured senior notes payable | % | ( | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Unsecured senior notes payable | % | ( | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Unsecured senior notes payable – green bond | % | ( | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Unsecured senior notes payable | % | ( | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Unsecured senior notes payable | % | ( | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Unsecured senior notes payable | % | ( | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Unsecured senior notes payable | % | ( | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Unsecured senior notes payable | % | ( | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Unsecured senior notes payable | % | ( | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Unsecured senior notes payable | % | ( | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Unsecured senior notes payable – green bond | % | ( | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Unsecured senior notes payable | % | ( | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Unsecured senior notes payable – green bond | % | ( | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Unsecured senior notes payable | % | ( | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Unsecured senior notes payable | % | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Unsecured senior notes payable | % | ( | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Unsecured senior notes payable | % | ( | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Unsecured debt weighted average interest rate/subtotal | ( | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Weighted-average interest rate/total | % | $ | $ | $ | $ | $ | $ | $ | $ | ( | $ | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Fixed-Rate Debt | Variable-Rate Debt | Weighted-Average | ||||||||||||||||||||||||||||||||||||
Interest Rate(1) | Remaining Term (in years) | |||||||||||||||||||||||||||||||||||||
| Total | Percentage | |||||||||||||||||||||||||||||||||||||
| Secured notes payable | $ | $ | $ | % | % | |||||||||||||||||||||||||||||||||
| Unsecured senior notes payable | ||||||||||||||||||||||||||||||||||||||
Unsecured senior line of credit and commercial paper program(2) | N/A | (3) | ||||||||||||||||||||||||||||||||||||
| Total/weighted average | $ | $ | $ | % | % | (3) | ||||||||||||||||||||||||||||||||
| Percentage of total debt | % | % | % | |||||||||||||||||||||||||||||||||||
| New Agreement | Change | |||||||||||||||||||
| Commitments available for borrowing | $ | Up $1.0 billion | ||||||||||||||||||
| Maturity date | Extended by 2 years | |||||||||||||||||||
| Interest rate | SOFR+ | Converted to SOFR from LIBOR | ||||||||||||||||||
| Year Ended December 31, | ||||||||||||||||||||
| 2022 | 2021 | 2020 | ||||||||||||||||||
| Interest incurred | $ | $ | $ | |||||||||||||||||
| Capitalized interest | ( | ( | ( | |||||||||||||||||
| Interest expense | $ | $ | $ | |||||||||||||||||
| December 31, | |||||||||||
| 2022 | 2021 | ||||||||||
| Accounts payable and accrued expenses | $ | $ | |||||||||
| Accrued construction | |||||||||||
| Acquired below-market leases | |||||||||||
| Conditional asset retirement obligations | |||||||||||
| Deferred rent liabilities | |||||||||||
| Operating lease liability | |||||||||||
| Unearned rent and tenant security deposits | |||||||||||
| Other liabilities | |||||||||||
| Total | $ | $ | |||||||||
| Year Ended December 31, | |||||||||||||||||
| 2022 | 2021 | 2020 | |||||||||||||||
| Net income | $ | $ | $ | ||||||||||||||
Net income attributable to noncontrolling interests | ( | ( | ( | ||||||||||||||
Net income attributable to unvested restricted stock awards | ( | ( | ( | ||||||||||||||
| Numerator for basic and diluted EPS – net income attributable to Alexandria Real Estate Equities, Inc.’s common stockholders | $ | $ | $ | ||||||||||||||
Denominator for basic EPS – weighted-average shares of common stock outstanding | |||||||||||||||||
Dilutive effect of forward equity sales agreements | |||||||||||||||||
Denominator for diluted EPS – weighted-average shares of common stock outstanding | |||||||||||||||||
| Net income per share attributable to Alexandria Real Estate Equities, Inc.’s common stockholders: | |||||||||||||||||
Basic | $ | $ | $ | ||||||||||||||
Diluted | $ | $ | $ | ||||||||||||||
| Year Ended December 31, | |||||||||||||||||
| 2022 | 2021 | 2020 | |||||||||||||||
| Ordinary income | % | % | % | ||||||||||||||
| Return of capital | |||||||||||||||||
| Capital gains at 25% | |||||||||||||||||
| Capital gains at 20% | |||||||||||||||||
| Total | % | % | % | ||||||||||||||
| Dividends declared | $ | $ | $ | ||||||||||||||
| Year Ended December 31, | ||||||||||||||
| 2021 | 2020 | |||||||||||||
| Net income | $ | $ | ||||||||||||
| Net income attributable to noncontrolling interests | ( | ( | ||||||||||||
| Book/tax differences: | ||||||||||||||
| Rental revenue recognition | ( | ( | ||||||||||||
| Depreciation and amortization | ||||||||||||||
| Share-based compensation | ||||||||||||||
| Interest expense | ( | ( | ||||||||||||
| Sales of property | ( | ( | ||||||||||||
| Impairments | ||||||||||||||
| Non-real estate investment expense (income) | ( | |||||||||||||
| Other | ||||||||||||||
| Taxable income before dividend deduction | ||||||||||||||
Dividend deduction necessary to eliminate taxable income(1) | ( | ( | ||||||||||||
| Estimated income subject to federal income tax | $ | $ | ||||||||||||
| Number of Share Awards | Weighted-Average Grant Date Fair Value Per Share | |||||||||||||||||||||||||
| Outstanding at December 31, 2019 | $ | |||||||||||||||||||||||||
| Granted | $ | |||||||||||||||||||||||||
| Vested | ( | $ | ||||||||||||||||||||||||
| Forfeited | ( | $ | ||||||||||||||||||||||||
| Outstanding at December 31, 2020 | $ | |||||||||||||||||||||||||
| Granted | $ | |||||||||||||||||||||||||
| Vested | ( | $ | ||||||||||||||||||||||||
| Forfeited | ( | $ | ||||||||||||||||||||||||
| Outstanding at December 31, 2021 | $ | |||||||||||||||||||||||||
| Granted | $ | |||||||||||||||||||||||||
| Vested | ( | $ | ||||||||||||||||||||||||
| Forfeited | ( | $ | ||||||||||||||||||||||||
| Outstanding at December 31, 2022 | $ | |||||||||||||||||||||||||
| Year Ended December 31, | ||||||||||||||||||||||||||
| 2022 | 2021 | 2020 | ||||||||||||||||||||||||
Total grant date fair value of stock awards vested | $ | $ | $ | |||||||||||||||||||||||
Total gross compensation recognized for stock awards | $ | $ | $ | |||||||||||||||||||||||
| Capitalized stock compensation | $ | $ | $ | |||||||||||||||||||||||
| December 31, | |||||||||||
| 2022 | 2021 | ||||||||||
| Total assets | $ | $ | |||||||||
| Total liabilities | ( | ( | |||||||||
| Total accumulated other comprehensive income (loss) | ( | ||||||||||
| Net assets classified as held for sale | $ | $ | |||||||||
| Initial Costs | Costs Capitalized Subsequent to Acquisitions | Total Costs | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Property | Market | Encumbrances | Land | Buildings & Improvements | Buildings & Improvements | Land | Buildings & Improvements | Total(1) | Accumulated Depreciation(2) | Net Cost Basis | Date of Construction(3) | Date Acquired | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Alexandria Center® at Kendall Square | Greater Boston | $ | $ | $ | $ | $ | $ | $ | $ | ( | $ | 1981 - 2017 | 2005 - 2022 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Alexandria Center® at One Kendall Square | Greater Boston | ( | 1985 - 2019 | 2016 - 2022 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Alexandria Technology Square® | Greater Boston | ( | 2001 - 2012 | 2006 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| The Arsenal on the Charles | Greater Boston | ( | 2000 - 2022 | 2019 - 2021 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 480 Arsenal Way and 446, 458, 500, and 550 Arsenal Street | Greater Boston | ( | 1962 - 2009 | 2000 - 2022 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 99 Coolidge Avenue | Greater Boston | N/A | 2020 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 640 Memorial Drive | Greater Boston | ( | 2011 | 2015 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 780 and 790 Memorial Drive | Greater Boston | ( | 2002 | 2001 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Alexandria Center® for Life Science – Fenway | Greater Boston | ( | 2019 - 2022 | 2021 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 380 and 420 E Street | Greater Boston | ( | 2013 | 2020 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 5, 10, and 15 Necco Street | Greater Boston | ( | 2019 | 2019 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 99 A Street | Greater Boston | ( | 1968 | 2018 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| One Moderna Way | Greater Boston | ( | 1999 - 2015 | 2018 - 2021 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 40, 50, and 60 Sylvan Road, 35 Gatehouse Drive, and 840 Winter Street | Greater Boston | ( | 1999 - 2010 | 2020 - 2022 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 275 Grove Street | Greater Boston | ( | 2000 | 2020 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 225, 266, and 275 Second Avenue | Greater Boston | ( | 2014 - 2018 | 2014 - 2017 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 19, 225, and 235 Presidential Way | Greater Boston | ( | 1999 - 2001 | 2005 - 2022 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 100 Beaver Street | Greater Boston | ( | 2006 | 2005 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Other | Greater Boston | ( | Various | Various | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Alexandria Center® for Science and Technology – Mission Bay | San Francisco | ( | 2007 - 2014 | 2004 - 2017 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Alexandria Technology Center® – Gateway | San Francisco | ( | 1984 - 2021 | 2002 - 2020 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Alexandria Center® for Life Science - Millbrae | San Francisco | N/A | 2021 - 2022 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 211, 213, 249, 259, 269, and 279 East Grand Avenue | San Francisco | ( | 2008 - 2019 | 2004 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 1122, 1150, and 1178 El Camino Real | San Francisco | ( | 1971 - 2007 | 2021 - 2022 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Alexandria Center® for Life Science – South San Francisco | San Francisco | ( | 2012 - 2022 | 2002 - 2017 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 500 Forbes Boulevard | San Francisco | ( | 2001 | 2007 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Initial Costs | Costs Capitalized Subsequent to Acquisitions | Total Costs | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Property | Market | Encumbrances | Land | Buildings & Improvements | Buildings & Improvements | Land | Buildings & Improvements | Total(1) | Accumulated Depreciation(2) | Net Cost Basis | Date of Construction(3) | Date Acquired | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 849/863 Mitten Road/866 Malcolm Road | San Francisco | $ | $ | $ | $ | $ | $ | $ | $ | ( | $ | 2012 | 1998 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Alexandria Center® for Life Science – San Carlos | San Francisco | ( | 1970 - 2022 | 2017 - 2021 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 3825 and 3875 Fabian Way | San Francisco | ( | 1969 - 2014 | 2019 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Alexandria Stanford Life Science District | San Francisco | ( | 2002 - 2022 | 2003 - 2022 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 3330, 3412, 3420, 3440, 3450, and 3460 Hillview Avenue | San Francisco | ( | 1978 - 2018 | 2020 - 2021 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 2100, 2200, 2300, and 2400 Geng Road | San Francisco | ( | 1984 - 2019 | 2018 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 2475 and 2625/2627/2631 Hanover Street and 1450 Page Mill Road | San Francisco | ( | 2000 - 2017 | 1999 - 2021 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 2425 Garcia Avenue/2400/2450 Bayshore Parkway | San Francisco | ( | 2008 | 1999 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 3350 West Bayshore Road | San Francisco | ( | 1982 | 2005 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 901 California Avenue | San Francisco | N/A | 2021 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 88 Bluxome Street | San Francisco | ( | N/A | 2017 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Alexandria Center® for Life Science – New York City | New York City | ( | 2010 - 2016 | 2006 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 219 East 42nd Street | New York City | ( | 1995 | 2018 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Alexandria Center® for Life Science – Long Island City | New York City | ( | 2022 | 2018 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| One Alexandria Square and One Alexandria North | San Diego | ( | 1980 - 2022 | 1994 - 2021 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| ARE Torrey Ridge | San Diego | ( | 2004 - 2021 | 2016 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| ARE Nautilus | San Diego | ( | 2009 - 2012 | 1994 - 1997 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Campus Point by Alexandria | San Diego | ( | 1988 - 2019 | 2010 - 2022 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 5200 Illumina Way | San Diego | ( | 2004 - 2017 | 2010 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| University District | San Diego | ( | 1988 - 2018 | 1998 - 2022 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| SD Tech by Alexandria | San Diego | ( | 1988 - 2022 | 2013 - 2020 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Sequence District by Alexandria | San Diego | ( | 1997 - 2000 | 2020 - 2021 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Pacific Technology Park | San Diego | ( | 1989 - 1991 | 2021 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Summers Ridge Science Park | San Diego | ( | 2005 | 2018 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Scripps Science Park by Alexandria | San Diego | ( | 2001 - 2022 | 2021 - 2022 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| ARE Portola | San Diego | ( | 2005 - 2012 | 2007 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 5810/5820 Nancy Ridge Drive | San Diego | ( | 2021 | 2004 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 9877 Waples Street | San Diego | ( | 2020 | 2020 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 5871 Oberlin Drive | San Diego | ( | 2021 | 2010 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Initial Costs | Costs Capitalized Subsequent to Acquisitions | Total Costs | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Property | Market | Encumbrances | Land | Buildings & Improvements | Buildings & Improvements | Land | Buildings & Improvements | Total(1) | Accumulated Depreciation(2) | Net Cost Basis | Date of Construction(3) | Date Acquired | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 3911, 3931, 3985, 4025, 4031, 4045, and 4075 Sorrento Valley Boulevard | San Diego | $ | $ | $ | $ | $ | $ | $ | $ | ( | $ | 2007 - 2015 | 2010 - 2019 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 11025, 11035, 11045, 11055, 11065, and 11075 Roselle Street | San Diego | ( | 2006 - 2014 | 1997 - 2014 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Other | San Diego | ( | Various | Various | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| The Eastlake Life Science Campus by Alexandria | Seattle | ( | 1997 - 2021 | 2002 - 2022 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Alexandria Center® for Life Science – South Lake Union | Seattle | ( | 1984 - 2017 | 2007 - 2022 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 219 Terry Avenue North | Seattle | ( | 2012 | 2007 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 830 and 1010 4th Avenue South | Seattle | ( | 1995 | 2020 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 3000/3018 Western Avenue | Seattle | ( | 2000 | 1998 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 410 West Harrison Street and 410 Elliott Avenue West | Seattle | ( | 2006 - 2008 | 2004 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Alexandria Center® for Advanced Technologies – Canyon Park | Seattle | ( | 1985 - 2007 | 2021 - 2022 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Alexandria Center® for Advanced Technologies – Monte Villa Parkway | Seattle | ( | 1994 - 1997 | 2020 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Other | Seattle | ( | Various | Various | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Alexandria Center® for Life Science – Shady Grove | Maryland | ( | 1988 - 2022 | 2004 - 2021 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 1330 Piccard Drive | Maryland | ( | 2005 | 1997 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 1405 Research Boulevard | Maryland | ( | 2006 | 1997 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 1500 and 1550 East Gude Drive | Maryland | ( | 1995 - 2003 | 1997 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 5 Research Place | Maryland | ( | 2010 | 2001 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 5 Research Court | Maryland | ( | 2007 | 2004 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 12301 Parklawn Drive | Maryland | ( | 2007 | 2004 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Alexandria Technology Center® – Gaithersburg I | Maryland | ( | 1992 - 2019 | 1997 - 2019 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Alexandria Technology Center® – Gaithersburg II | Maryland | ( | 2000 - 2021 | 1997 - 2020 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 20400 Century Boulevard | Maryland | ( | 2022 | 2021 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 401 Professional Drive | Maryland | ( | 2007 | 1996 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 950 Wind River Lane | Maryland | ( | 2009 | 2010 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 620 Professional Drive | Maryland | ( | 2012 | 2005 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 8000/9000/10000 Virginia Manor Road | Maryland | ( | 2003 | 1998 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 14225 Newbrook Drive | Maryland | ( | 2006 | 1997 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Alexandria Center® for Life Science – Durham | Research Triangle | ( | 1985 - 2021 | 2020 - 2022 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Initial Costs | Costs Capitalized Subsequent to Acquisitions | Total Costs | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Property | Market | Encumbrances | Land | Buildings & Improvements | Buildings & Improvements | Land | Buildings & Improvements | Total(1) | Accumulated Depreciation(2) | Net Cost Basis | Date of Construction(3) | Date Acquired | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Alexandria Center® for Advanced Technologies – Research Triangle | Research Triangle | $ | $ | $ | $ | $ | $ | $ | $ | ( | $ | 2007 - 2022 | 2012 - 2021 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Alexandria Center® for AgTech | Research Triangle | ( | 2018 - 2022 | 2017 - 2018 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 104, 108, 110, 112, 114, and 120 TW Alexander Drive, 2752 East NC Highway 54, and 10 South Triangle Drive | Research Triangle | ( | 1966 - 2016 | 1999 - 2022 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Alexandria Technology Center® – Alston | Research Triangle | ( | 1985 - 2009 | 1998 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 6040 George Watts Hill Drive | Research Triangle | ( | 2015 | 2014 - 2022 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Alexandria Innovation Center® – Research Triangle | Research Triangle | ( | 2005 - 2008 | 2000 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 7 Triangle Drive | Research Triangle | ( | 2022 | 2005 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 2525 East NC Highway 54 | Research Triangle | ( | 1995 | 2004 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 407 Davis Drive | Research Triangle | ( | 1998 | 2013 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 601 Keystone Park Drive | Research Triangle | ( | 2009 | 2006 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 5 Triangle Drive | Research Triangle | ( | 1981 | 1998 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 6101 Quadrangle Drive | Research Triangle | ( | 2012 | 2008 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Alexandria Center® for NextGen Medicines | Research Triangle | N/A | 2021 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Intersection Campus | Texas | ( | 2000 - 2019 | 2021 - 2022 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 1020 Red River Street and 1001 Trinity Street | Texas | ( | 1987 - 1990 | 2022 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 8800 Technology Forest Place | Texas | ( | 2002 - 2003 | 2020 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Other | Texas | ( | Various | Various | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Canada | Canada | ( | 1998 - 2020 | 2005 - 2022 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Various | Various | ( | Various | Various | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| North America | ( | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Asia | ( | 2015 | 2008 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| $ | $ | $ | $ | $ | $ | $ | $ | ( | $ | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| December 31, | ||||||||||||||||||||
| Real Estate | 2022 | 2021 | 2020 | |||||||||||||||||
Balance at beginning of period | $ | $ | $ | |||||||||||||||||
Acquisitions (including real estate, land, and joint venture consolidation) | ||||||||||||||||||||
Additions to real estate | ||||||||||||||||||||
Deductions (including dispositions and direct financing leases) | ( | ( | ( | |||||||||||||||||
Balance at end of period | $ | $ | $ | |||||||||||||||||
| December 31, | ||||||||||||||||||||
| Accumulated Depreciation | 2022 | 2021 | 2020 | |||||||||||||||||
Balance at beginning of period | $ | $ | $ | |||||||||||||||||
Depreciation expense on properties | ||||||||||||||||||||
Sale of properties | ( | ( | ( | |||||||||||||||||
Balance at end of period | $ | $ | $ | |||||||||||||||||
| Lead Independent Director | $ | 50,000 | |||
| Audit Committee Chairperson | $ | 40,000 | |||
| Compensation Committee Chairperson | $ | 35,000 | |||
| Nominating & Governance Committee Chairperson | $ | 35,000 | |||
| Science, Agtech, and Technology Committee Chairperson | $ | 35,000 | |||
| Audit Committee Member | $ | 20,000 | |||
| Compensation Committee Member | $ | 20,000 | |||
| Nominating & Governance Committee Member | $ | 20,000 | |||
| Science, Agtech, and Technology Committee Chairperson | $ | 20,000 | |||
| Pricing Committee Member | $ | 6,000 | |||
| Name of Subsidiary | Jurisdiction of Organization | |||||||
| ARE - QRS Corp. | Maryland | |||||||
| Alexandria Real Estate Equities, L.P. | Delaware | |||||||
| Alexandria Venture Investments, LLC | Delaware | |||||||
| Name of Subsidiary | Jurisdiction of Organization | ||||||||||
| Alexandria Real Estate Equities, L.P. | Delaware | ||||||||||
| /s/ Joel S. Marcus | |||||
| Joel S. Marcus | |||||
| Executive Chairman | |||||
| /s/ Peter M. Moglia | |||||
| Peter M. Moglia | |||||
| Chief Executive Officer and Co-Chief Investment Officer | |||||
| /s/ Dean A. Shigenaga | |||||
| Dean A. Shigenaga | |||||
| President and Chief Financial Officer | |||||
| /s/ Joel S. Marcus | |||||
| Joel S. Marcus | |||||
| Executive Chairman | |||||
| /s/ Peter M. Moglia | |||||
| Peter M. Moglia | |||||
| Chief Executive Officer and Co-Chief Investment Officer | |||||
| /s/ Dean A. Shigenaga | |||||
| Dean A. Shigenaga | |||||
| President and Chief Financial Officer | |||||
Audit Information |
12 Months Ended |
|---|---|
Dec. 31, 2022 | |
| Audit Information [Abstract] | |
| Auditor Name | Ernst & Young LLP |
| Auditor Location | Los Angeles, California |
| Auditor Firm ID | 42 |
Consolidated Balance Sheet (Parentheticals) |
Dec. 31, 2022
$ / shares
shares
|
|---|---|
| Statement of Financial Position [Abstract] | |
| Shares of common stock authorized | 400,000,000 |
| Common stock, outstanding (shares) | 170,748,395 |
| Common stock, issued (shares) | 170,748,395 |
| Common Stock, Par or Stated Value Per Share | $ / shares | $ 0.01 |
Consolidated Statements of Comprehensive Income - USD ($) $ in Thousands |
12 Months Ended | ||
|---|---|---|---|
Dec. 31, 2022 |
Dec. 31, 2021 |
Dec. 31, 2020 |
|
| Statement of Comprehensive Income [Abstract] | |||
| Net income | $ 670,701 | $ 654,282 | $ 827,171 |
| Unrealized (losses) gains on foreign currency translation: | |||
| Unrealized foreign currency translation (losses) gains arising during the period | (13,518) | (669) | 3,124 |
| Unrealized (losses) gains on foreign currency translation, net | (13,518) | (669) | 3,124 |
| Total other comprehensive (loss) income | (13,518) | (669) | 3,124 |
| Comprehensive income | 657,183 | 653,613 | 830,295 |
| Less: comprehensive income attributable to noncontrolling interests | (149,041) | (83,035) | (56,212) |
| Comprehensive income attributable to Alexandria Real Estate Equities, Inc.’s stockholders | $ 508,142 | $ 570,578 | $ 774,083 |
Organization and basis of presentation (Notes) |
12 Months Ended |
|---|---|
Dec. 31, 2022 | |
| Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
| Organization and basis of presentation | ORGANIZATION AND BASIS OF PRESENTATION Alexandria Real Estate Equities, Inc. (NYSE: ARE), an S&P 500® life science REIT, is the pioneer of the life science real estate niche since its founding in 1994. Alexandria is the preeminent and longest-tenured owner, operator, and developer of collaborative life science, agtech, and technology campuses in AAA innovation cluster locations, including Greater Boston, the San Francisco Bay Area, New York City, San Diego, Seattle, Maryland, and Research Triangle. With approximately 1,000 tenants, Alexandria has a total market capitalization of $35.0 billion and an asset base in North America of 74.6 million SF as of December 31, 2022. As used in this annual report on Form 10-K, references to the “Company,” “Alexandria,” “ARE,” “we,” “us,” and “our” refer to Alexandria Real Estate Equities, Inc. and its consolidated subsidiaries. The accompanying consolidated financial statements include the accounts of Alexandria Real Estate Equities, Inc. and its consolidated subsidiaries. All significant intercompany balances and transactions have been eliminated. Any references to our market capitalization, number or quality of buildings or tenants, quality of location, square footage, number of leases, or occupancy percentage, and any amounts derived from these values in these notes to consolidated financial statements are unaudited.
|
Summary of significant accounting policies |
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| Organization, Consolidation and Presentation of Financial Statements [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Summary of significant accounting policies | SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES On an ongoing basis, as circumstances indicate the need for reconsideration, we evaluate each legal entity that is not wholly owned by us in accordance with the consolidation accounting guidance. Our evaluation considers all of our variable interests, including equity ownership, as well as fees paid to us for our involvement in the management of each partially owned entity. To fall within the scope of the consolidation guidance, an entity must meet both of the following criteria: •The entity has a legal structure that has been established to conduct business activities and to hold assets; such entity can be in the form of a partnership, limited liability company, or corporation, among others; and •We have a variable interest in the legal entity — i.e., variable interests that are contractual, such as equity ownership, or other financial interests that change with changes in the fair value of the entity’s net assets. If an entity does not meet both criteria above, we apply other accounting literature, such as the cost or equity method of accounting. If an entity does meet both criteria above, we evaluate such entity for consolidation under either the variable interest model if the legal entity meets any of the following characteristics to qualify as a VIE, or under the voting model for all other legal entities that are not VIEs. A legal entity is determined to be a VIE if it has any of the following three characteristics: 1)The entity does not have sufficient equity to finance its activities without additional subordinated financial support; 2)The entity is established with non-substantive voting rights (i.e., the entity deprives the majority economic interest holder(s) of voting rights); or 3)The equity holders, as a group, lack the characteristics of a controlling financial interest. Equity holders meet this criterion if they lack any of the following: •The power, through voting rights or similar rights, to direct the activities of the entity that most significantly influence the entity’s economic performance, as evidenced by: •Substantive participating rights in day-to-day management of the entity’s activities; or •Substantive kick-out rights over the party responsible for significant decisions; •The obligation to absorb the entity’s expected losses; or •The right to receive the entity’s expected residual returns. Our real estate joint ventures consist of limited partnerships or limited liability companies. For an entity structured as a limited partnership or a limited liability company, our evaluation of whether the equity holders (equity partners other than the general partner or the managing member of a joint venture) lack the characteristics of a controlling financial interest includes the evaluation of whether the limited partners or non-managing members (the noncontrolling equity holders) lack both substantive participating rights and substantive kick-out rights, defined as follows: •Participating rights provide the noncontrolling equity holders the ability to direct significant financial and operating decisions made in the ordinary course of business that most significantly influence the entity’s economic performance. •Kick-out rights allow the noncontrolling equity holders to remove the general partner or managing member without cause. If we conclude that any of the three characteristics of a VIE are met, including that the equity holders lack the characteristics of a controlling financial interest because they lack both substantive participating rights and substantive kick-out rights, we conclude that the entity is a VIE and evaluate it for consolidation under the variable interest model. Variable interest model If an entity is determined to be a VIE, we evaluate whether we are the primary beneficiary. The primary beneficiary analysis is a qualitative analysis based on power and benefits. We consolidate a VIE if we have both power and benefits — that is, (i) we have the power to direct the activities of a VIE that most significantly influence the VIE’s economic performance (power) and (ii) we have the obligation to absorb losses of or the right to receive benefits from the VIE that could potentially be significant to the VIE (benefits). We consolidate VIEs whenever we determine that we are the primary beneficiary. If we have a variable interest in a VIE but are not the primary beneficiary, we account for our investment using the equity method of accounting. Voting model If a legal entity fails to meet any of the three characteristics of a VIE (i.e., insufficiency of equity, existence of non-substantive voting rights, or lack of a controlling financial interest), we then evaluate such entity under the voting model. Under the voting model, we consolidate the entity if we determine that we, directly or indirectly, have greater than 50% of the voting shares and that other equity holders do not have substantive participating rights. Refer to Note 4 – “Consolidated and unconsolidated real estate joint ventures” to our consolidated financial statements for information on specific joint ventures that qualify as VIEs and unconsolidated real estate joint ventures that qualify for evaluation under the voting model. Use of estimates The preparation of consolidated financial statements in conformity with GAAP requires us to make estimates and assumptions that affect the reported amounts of assets, liabilities, and equity; the disclosure of contingent assets and liabilities as of the date of the consolidated financial statements; and the amounts of revenues and expenses during the reporting period. Actual results could materially differ from those estimates. Reportable segment We are engaged in the business of providing space for lease to life science, agtech, and technology tenants. Our properties are similar in that they provide space for lease to the aforementioned industries, consist of improvements that are generic and reusable, are primarily located in AAA urban innovation cluster locations, and have similar economic characteristics. Our chief operating decision makers review financial information for our entire consolidated operations when making decisions related to assessing our operating performance, and review financial information for our individual properties when determining how to allocate resources related to capital expenditures. We have aggregated the properties into one reportable segment as the properties share similar long-term economic characteristics and have other similarities, including the fact that they are operated using consistent business strategies, are typically located in major metropolitan areas, and have similar tenant mixes. The financial information disclosed herein represents all of the financial information related to our one reportable segment. Investments in real estate Evaluation of business combination or asset acquisition We evaluate each acquisition of real estate or in-substance real estate (including equity interests in entities that predominantly hold real estate assets) to determine whether the integrated set of assets and activities acquired meets the definition of a business and needs to be accounted for as a business combination. An acquisition of an integrated set of assets and activities that does not meet the definition of a business is accounted for as an asset acquisition. If either of the following criteria is met, the integrated set of assets and activities acquired would not qualify as a business: •Substantially all of the fair value of the gross assets acquired is concentrated in either a single identifiable asset or a group of similar identifiable assets; or •The integrated set of assets and activities is lacking, at a minimum, an input and a substantive process that together significantly contribute to the ability to create outputs (i.e., revenue generated before and after the transaction). An acquired process is considered substantive if: •The process includes an organized workforce (or includes an acquired contract that provides access to an organized workforce) that is skilled, knowledgeable, and experienced in performing the process; •The process cannot be replaced without significant cost, effort, or delay; or •The process is considered unique or scarce. Generally, our acquisitions of real estate or in-substance real estate do not meet the definition of a business because substantially all of the fair value is concentrated in a single identifiable asset or group of similar identifiable assets (i.e., land, buildings, and related intangible assets) or because the acquisition does not include a substantive process in the form of an acquired workforce or an acquired contract that cannot be replaced without significant cost, effort, or delay. When evaluating acquired service or management contracts, we consider the nature of the services performed, the terms of the contract relative to similar arm’s-length contracts, and the availability of comparable vendors in evaluating whether the acquired contract constitutes a substantive process. Recognition of real estate acquired We evaluate each acquisition of real estate or in-substance real estate (including equity interests in entities that predominantly hold real estate assets) to determine whether the integrated set of assets and activities acquired meets the definition of a business and needs to be accounted for as a business combination. An acquisition of an integrated set of assets and activities that does not meet the definition of a business is accounted for as an asset acquisition. For acquisitions of real estate or in-substance real estate that are accounted for as business combinations, we allocate the acquisition consideration (excluding acquisition costs) to the assets acquired, liabilities assumed, noncontrolling interests, and previously existing ownership interests at fair value as of the acquisition date. Assets include intangible assets such as tenant relationships, acquired in-place leases, and favorable intangibles associated with in-place leases in which we are the lessor. Liabilities include unfavorable intangibles associated with in-place leases in which we are the lessor. In addition, for acquired in-place finance or operating leases in which we are the lessee, acquisition consideration is allocated to lease liabilities and related right-of-use assets, adjusted to reflect favorable or unfavorable terms of the lease when compared with market terms. Any excess (deficit) of the consideration transferred relative to the fair value of the net assets acquired is accounted for as goodwill (bargain purchase gain). Acquisition costs related to business combinations are expensed as incurred. Generally, we expect that acquisitions of real estate or in-substance real estate will not meet the definition of a business because substantially all of the fair value is concentrated in a single identifiable asset or group of similar identifiable assets (i.e., land, buildings, and related intangible assets). The accounting model for asset acquisitions is similar to the accounting model for business combinations, except that the acquisition consideration (including acquisition costs) is allocated to the individual assets acquired and liabilities assumed on a relative fair value basis. Any excess (deficit) of the consideration transferred relative to the sum of the fair value of the assets acquired and liabilities assumed is allocated to the individual assets and liabilities based on their relative fair values. As a result, asset acquisitions do not result in the recognition of goodwill or a bargain purchase gain. Incremental and external direct acquisition costs related to acquisitions of real estate or in-substance real estate (such as legal and other third-party services) are capitalized. We exercise judgment to determine the key assumptions used to allocate the purchase price of real estate acquired among its components. The allocation of the consideration to the various components of properties acquired during the year can have an effect on our net income due to the useful depreciable and amortizable lives applicable to each component and the recognition of the related depreciation and amortization expense in our consolidated statements of operations. We apply judgment in utilizing available comparable market information to assess relative fair value. We assess the relative fair values of tangible and intangible assets and liabilities based on available comparable market information, including estimated replacement costs, rental rates, and recent market transactions. In addition, we may use estimated cash flow projections that utilize appropriate discount and capitalization rates. Estimates of future cash flows are based on a number of factors, including the historical operating results, known and anticipated trends, and market/economic conditions that may affect the property. The value of tangible assets acquired is based upon our estimation of fair value on an “as if vacant” basis. The value of acquired in-place leases includes the estimated costs during the hypothetical lease-up period and other costs that would have been incurred in the execution of similar leases under the market conditions at the acquisition date of the acquired in-place lease. If there is a bargain fixed-rate renewal option for the period beyond the noncancelable lease term of an in-place lease, we evaluate intangible factors, such as the business conditions in the industry in which the lessee operates, the economic conditions in the area in which the property is located, and the ability of the lessee to sublease the property during the renewal term, in order to determine the likelihood that the lessee will renew. When we determine that there is reasonable assurance that such bargain purchase option will be exercised, we consider the option in determining the intangible value of such lease and its related amortization period. We also recognize the relative fair values of assets acquired, the liabilities assumed, and any noncontrolling interest in acquisitions of less than a 100% interest when the acquisition constitutes a change in control of the acquired entity. Depreciation and amortization The values allocated to buildings and building improvements, land improvements, tenant improvements, and equipment are depreciated on a straight-line basis. For buildings and building improvements, we depreciate using the shorter of the respective ground lease terms or their estimated useful lives, not to exceed 40 years. Land improvements are depreciated over their estimated useful lives, not to exceed 20 years. Tenant improvements are depreciated over their respective lease terms or estimated useful lives, and equipment is depreciated over the shorter of the lease term or its estimated useful life. The values of the right-of-use assets are amortized on a straight-line basis over the remaining terms of each related lease. The values of acquired in-place leases and associated favorable intangibles (i.e., acquired above-market leases) are classified in other assets in our consolidated balance sheets and are amortized over the remaining terms of the related leases as a reduction of income from rentals in our consolidated statements of operations. The values of unfavorable intangibles (i.e., acquired below-market leases) associated with acquired in-place leases are classified in accounts payable, accrued expenses, and other liabilities in our consolidated balance sheets and are amortized over the remaining terms of the related leases as an increase in income from rentals in our consolidated statements of operations. Capitalized project costs We capitalize project costs, including pre-construction costs, interest, property taxes, insurance, and other costs directly related and essential to the development, redevelopment, pre-construction, or construction of a project. Capitalization of development, redevelopment, pre-construction, and construction costs is required while activities are ongoing to prepare an asset for its intended use. Fluctuations in our development, redevelopment, pre-construction, and construction activities could result in significant changes to total expenses and net income. Costs incurred after a project is substantially complete and ready for its intended use are expensed as incurred. Should development, redevelopment, pre-construction, or construction activity cease, interest, property taxes, insurance, and certain other costs would no longer be eligible for capitalization and would be expensed as incurred. Expenditures for repairs and maintenance are expensed as incurred. Real estate sales A property is classified as held for sale when all of the following criteria for a plan of sale have been met: (i) management, having the authority to approve the action, commits to a plan to sell the property; (ii) the property is available for immediate sale in its present condition, subject only to terms that are usual and customary; (iii) an active program to locate a buyer and other actions required to complete the plan to sell have been initiated; (iv) the sale of the property is probable and is expected to be completed within one year; (v) the property is being actively marketed for sale at a price that is reasonable in relation to its current fair value; and (vi) actions necessary to complete the plan of sale indicate that it is unlikely that significant changes to the plan will be made or that the plan will be withdrawn. Depreciation of assets ceases upon designation of a property as held for sale. For additional details, refer to Note 18 – “Assets classified as held for sale” to our consolidated financial statements. If the disposal of a property represents a strategic shift that has (or will have) a major effect on our operations or financial results, such as (i) a major line of business, (ii) a major geographic area, (iii) a major equity method investment, or (iv) other major parts of an entity, then the operations of the property, including any interest expense directly attributable to it, are classified as discontinued operations in our consolidated statements of operations, and amounts for all prior periods presented are reclassified from continuing operations to discontinued operations. The disposal of an individual property generally will not represent a strategic shift and therefore will typically not meet the criteria for classification as a discontinued operation. We recognize gains or losses on real estate sales in accordance with the accounting standard on the derecognition of nonfinancial assets arising from contracts with noncustomers. Our ordinary output activities consist of the leasing of space to our tenants in our operating properties, not the sales of real estate. Therefore, sales of real estate (in which we are the seller) qualify as contracts with noncustomers. In our transactions with noncustomers, we apply certain recognition and measurement principles consistent with our method of recognizing revenue arising from contracts with customers. Derecognition of the asset is based on the transfer of control. If a real estate sales contract includes our ongoing involvement with the property, then we evaluate each promised good or service under the contract to determine whether it represents a separate performance obligation, constitutes a guarantee, or prevents the transfer of control. If a good or service is considered a separate performance obligation, an allocated portion of the transaction price is recognized as revenue as we transfer the related good or service to the buyer. The recognition of gain or loss on the sale of a partial interest also depends on whether we retain a controlling or noncontrolling interest in the property. If we retain a controlling interest in the property upon completion of the sale, we continue to reflect the asset at its book value, record a noncontrolling interest for the book value of the partial interest sold, and recognize additional paid-in capital for the difference between the consideration received and the partial interest at book value. Conversely, if we retain a noncontrolling interest upon completion of the sale of a partial interest of real estate, we recognize a gain or loss as if 100% of the asset were sold. Impairment of long-lived assets Prior to and subsequent to the end of each quarter, we review current activities and changes in the business conditions of all of our long-lived assets to determine the existence of any triggering events or impairment indicators requiring an impairment analysis. If triggering events or impairment indicators are identified, we review an estimate of the future undiscounted cash flows, including, if necessary, a probability-weighted approach if multiple outcomes are under consideration. Long-lived assets to be held and used, including our rental properties, CIP, land held for development, right-of-use assets related to operating leases in which we are the lessee, and intangibles, are individually evaluated for impairment when conditions exist that may indicate that the carrying amount of a long-lived asset may not be recoverable. The carrying amount of a long-lived asset to be held and used is not recoverable if it exceeds the sum of the undiscounted cash flows expected to result from the use and eventual disposition of the asset. Triggering events or impairment indicators for long-lived assets to be held and used are assessed by project and include significant fluctuations in estimated net operating income, occupancy changes, significant near-term lease expirations, current and historical operating and/or cash flow losses, construction costs, estimated completion dates, rental rates, and other market factors. We assess the expected undiscounted cash flows based upon numerous factors, including, but not limited to, construction costs, available market information, current and historical operating results, known trends, current market/economic conditions that may affect the asset, and our assumptions about the use of the asset, including, if necessary, a probability-weighted approach if multiple outcomes are under consideration. Upon determination that an impairment has occurred, a write-down is recognized to reduce the carrying amount of the asset to its estimated fair value. If an impairment charge is not required to be recognized, the recognition of depreciation or amortization is adjusted prospectively, as necessary, to reduce the carrying amount of the asset to its estimated disposition value over the remaining period that the asset is expected to be held and used. We may adjust depreciation of properties that are expected to be disposed of or redeveloped prior to the end of their useful lives. We use the held for sale impairment model for our properties classified as held for sale, which is different from the held and used impairment model. Under the held for sale impairment model, an impairment charge is recognized if the carrying amount of the long-lived asset classified as held for sale exceeds its fair value less cost to sell. Because of these two different models, it is possible for a long-lived asset previously classified as held and used to require the recognition of an impairment charge upon classification as held for sale. International operations In addition to operating properties in the U.S., we have eight properties in Canada and one operating property in China. The functional currency for our subsidiaries operating in the U.S. is the U.S. dollar. The functional currencies for our foreign subsidiaries are the local currencies in each respective country. The assets and liabilities of our foreign subsidiaries are translated into U.S. dollars at the exchange rate in effect as of the financial statement date. Revenue and expense accounts of our foreign subsidiaries are translated using the weighted-average exchange rate for the periods presented. Gains or losses resulting from the translation are classified in accumulated other comprehensive income (loss) as a separate component of total equity and are excluded from net income (loss). Whenever a foreign investment meets the criteria for classification as held for sale, we evaluate the recoverability of the investment under the held for sale impairment model. We may recognize an impairment charge if the carrying amount of the investment exceeds its fair value less cost to sell. In determining an investment’s carrying amount, we consider its net book value and any cumulative unrealized foreign currency translation adjustment related to the investment. The appropriate amounts of foreign exchange rate gains or losses classified in accumulated other comprehensive income (loss) are reclassified to net income when realized upon the sale of our investment or upon the complete or substantially complete liquidation of our investment. nvestmentsWe hold strategic investments in publicly traded companies and privately held entities primarily involved in the life science, agtech, and technology industries. As a REIT, we generally limit our ownership of each individual entity’s voting stock to less than 10%. We evaluate each investment to determine whether we have the ability to exercise significant influence, but not control, over an investee. We evaluate investments in which our ownership is equal to or greater than 20%, but less than or equal to 50%, of an investee’s voting stock with a presumption that we have this ability. For our investments in limited partnerships that maintain specific ownership accounts, we presume that such ability exists when our ownership interest exceeds 3% to 5%. In addition to our ownership interest, we consider whether we have a board seat or whether we participate in the policy-making process, among other criteria, to determine if we have the ability to exert significant influence, but not control, over an investee. If we determine that we have such ability, we account for the investment under the equity method of accounting, as described below. Investments accounted for under the equity method Under the equity method of accounting, we initially recognize our investment at cost and subsequently adjust the carrying amount of the investment for our share of earnings or losses reported by the investee, distributions received, and other-than-temporary impairments. For more information about our investments accounted for under the equity method, refer to Note 7 – “Investments” to our consolidated financial statements. Investments that do not qualify for the equity method of accounting For investees over which we determine that we do not have the ability to exercise significant influence or control, we account for each investment depending on whether it is an investment in a (i) publicly traded company, (ii) privately held entity that reports NAV per share, or (iii) privately held entity that does not report NAV per share, as described below. Investments in publicly traded companies Our investments in publicly traded companies are classified as investments with readily determinable fair values and are presented at fair value in our consolidated balance sheets, with changes in fair value classified in investment income (loss) in our consolidated statements of operations. The fair values for our investments in publicly traded companies are determined based on sales prices or quotes available on securities exchanges. Investments in privately held companies Our investments in privately held entities without readily determinable fair values consist of (i) investments in privately held entities that report NAV per share and (ii) investments in privately held entities that do not report NAV per share. These investments are accounted for as follows: Investments in privately held entities that report NAV per share Investments in privately held entities that report NAV per share, such as our privately held investments in limited partnerships, are presented at fair value using NAV as a practical expedient, with changes in fair value recognized in net income. We use NAV per share reported by limited partnerships generally without adjustment, unless we are aware of information indicating that the NAV reported by a limited partnership does not accurately reflect the fair value of the investment at our reporting date. Investments in privately held entities that do not report NAV per share Investments in privately held entities that do not report NAV per share are accounted for using a measurement alternative, under which these investments are measured at cost, adjusted for observable price changes and impairments, with changes recognized in net income. An observable price arises from an orderly transaction for an identical or similar investment of the same issuer, which is observed by an investor without expending undue cost and effort. Observable price changes result from, among other things, equity transactions of the same issuer executed during the reporting period, including subsequent equity offerings or other reported equity transactions related to the same issuer. To determine whether these transactions are indicative of an observable price change, we evaluate, among other factors, whether these transactions have similar rights and obligations, including voting rights, distribution preferences, and conversion rights to the investments we hold. Impairment evaluation of equity method investments and investments in privately held entities that do not report NAV per share We monitor equity method investments and investments in privately held entities that do not report NAV per share for new developments, including operating results, prospects and results of clinical trials, new product initiatives, new collaborative agreements, capital-raising events, and merger and acquisition activities. These investments are evaluated on the basis of a qualitative assessment for indicators of impairment by monitoring the presence of the following triggering events or impairment indicators: (i)a significant deterioration in the earnings performance, credit rating, asset quality, or business prospects of the investee; (ii)a significant adverse change in the regulatory, economic, or technological environment of the investee; (iii)a significant adverse change in the general market condition, including the research and development of technology and products that the investee is bringing or attempting to bring to the market; (iv)significant concerns about the investee’s ability to continue as a going concern; and/or (v)a decision by investors to cease providing support or reduce their financial commitment to the investee. If such indicators are present, we are required to estimate the investment’s fair value and immediately recognize an impairment charge in an amount equal to the investment’s carrying value in excess of its estimated fair value. Investment income/loss recognition and classification We recognize both realized and unrealized gains and losses in our consolidated statements of operations, classified within investment income. Unrealized gains and losses represent: (i)changes in fair value for investments in publicly traded companies; (ii)changes in NAV for investments in privately held entities that report NAV per share; (iii)observable price changes for investments in privately held entities that do not report NAV per share; and (iv)our share of unrealized gains or losses reported by our equity method investees. Realized gains and losses on our investments represent the difference between proceeds received upon disposition of investments and their historical or adjusted cost basis. For our equity method investments, realized gains and losses represent our share of realized gains or losses reported by the investee. Impairments are realized losses, which result in an adjusted cost basis, and represent charges to reduce the carrying values of investments in privately held entities that do not report NAV per share and equity method investments, if impairments are deemed other than temporary, to their estimated fair value. Revenues The table below provides details of our consolidated total revenues for the years ended December 31, 2022 and 2021 (in thousands):
During the year ended December 31, 2022, revenues that were subject to the lease accounting standard aggregated $2.5 billion, or 98.0% of our total revenues. During the year ended December 31, 2022, our total revenues also included $51.0 million, or 2.0%, subject to other accounting guidance. Our other income consisted primarily of construction management fees and interest income earned during the year ended December 31, 2022. For a detailed discussion related to our revenue streams, refer to the “Lease accounting” and “Recognition of revenue arising from contracts with customers” sections within this Note 2 to our consolidated financial statements. Lease accounting Definition and classification of a lease When we enter into a contract or amend an existing contract, we evaluate whether the contract meets the definition of a lease. To meet the definition of a lease, the contract must meet all three criteria: (i)One party (lessor) must hold an identified asset; (ii)The counterparty (lessee) must have the right to obtain substantially all of the economic benefits from the use of the asset throughout the period of the contract; and (iii)The counterparty (lessee) must have the right to direct the use of the identified asset throughout the period of the contract. We classify our leases as either finance leases or operating leases if we are the lessee, or sales-type, direct financing, or operating leases if we are the lessor. We use the following criteria to determine if a lease is a finance lease (as a lessee) or sales-type or direct financing lease (as a lessor): (i)Ownership is transferred from lessor to lessee by the end of the lease term; (ii)An option to purchase is reasonably certain to be exercised; (iii)The lease term is for the major part of the underlying asset’s remaining economic life; (iv)The present value of lease payments equals or exceeds substantially all of the fair value of the underlying asset; or (v)The underlying asset is specialized and is expected to have no alternative use at the end of the lease term. If we meet any of the above criteria, we account for the lease as a finance, a sales-type, or a direct financing lease. If we do not meet any of the criteria, we account for the lease as an operating lease. A lease is accounted for as a sales-type lease if it is considered to transfer control of the underlying asset to the lessee. A lease is accounted for as a direct financing lease if risks and rewards are conveyed without the transfer of control, which is normally indicated by the existence of a residual value guarantee from an unrelated third party other than the lessee. This classification will determine the method of recognition of the lease: •For an operating lease, we recognize income from rentals if we are the lessor, or rental operations expense if we are the lessee, over the term of the lease on a straight-line basis. •For a sales-type lease or a direct financing lease, we recognize the income from rentals, or for a finance lease, we recognize rental operations expense, over the term of the lease using the effective interest method. •At inception of a sales-type lease or a direct financing lease, if we determine the fair value of the leased property is lower than its carrying amount, we recognize a selling loss immediately at lease commencement. If fair value exceeds the carrying amount of a lease, a gain is recognized at lease commencement on a sales-type lease. For a direct financing lease, a gain is deferred at lease commencement and amortized over the lease term. Lessor accounting Costs to execute leases We capitalize initial direct costs, which represent only incremental costs of a lease that would not have been incurred if the lease had not been obtained. Costs that we incur to negotiate or arrange a lease, regardless of its outcome, such as for fixed employee compensation, tax, or legal advice to negotiate lease terms, and other costs, are expensed as incurred. Operating leases We account for the revenue from our lease contracts by utilizing the single component accounting policy. This policy requires us to account for, by class of underlying asset, the lease component and nonlease component(s) associated with each lease as a single component if two criteria are met: (i)The timing and pattern of transfer of the lease component and the nonlease component(s) are the same; and (ii)The lease component would be classified as an operating lease if it were accounted for separately. Lease components consist primarily of fixed rental payments, which represent scheduled rental amounts due under our leases, and contingent rental payments. Nonlease components consist primarily of tenant recoveries representing reimbursements of rental operating expenses under our triple net lease structure, including recoveries for utilities, repairs and maintenance, and common area expenses. If the lease component is the predominant component, we account for all revenues under such lease as a single component in accordance with the lease accounting standard. Conversely, if the nonlease component is the predominant component, all revenues under such lease are accounted for in accordance with the revenue recognition accounting standard. Our operating leases qualify for the single component accounting, and the lease component in each of our leases is predominant. Therefore, we account for all revenues from our operating leases under the lease accounting standard and classify these revenues as income from rentals in our consolidated statements of operations. We commence recognition of income from rentals related to the operating leases at the date the property is ready for its intended use by the tenant and the tenant takes possession or controls the physical use of the leased asset. Income from rentals related to fixed rental payments under operating leases is recognized on a straight-line basis over the respective operating lease terms. We classify amounts expected to be received in later periods as deferred rent in our consolidated balance sheets. Amounts received currently but recognized as revenue in future periods are classified in accounts payable, accrued expenses, and other liabilities in our consolidated balance sheets. Income from rentals related to variable payments includes tenant recoveries and contingent rental payments. Tenant recoveries, including reimbursements of utilities, repairs and maintenance, common area expenses, real estate taxes and insurance, and other operating expenses, are recognized as revenue in the period during which the applicable expenses are incurred and the tenant’s obligation to reimburse us arises. Income from rentals related to other variable payments is recognized when associated contingencies are removed. We assess collectibility from our tenants of future lease payments for each of our operating leases. If we determine that collectibility is probable, we recognize income from rentals based on the methodology described above. If we determine that collectibility is not probable, we recognize an adjustment to lower our income from rentals. Furthermore, we may recognize a general allowance at a portfolio level (not the individual level) if we do not expect to collect future lease payments in full. For each lease for which we determine that collectibility of future lease payments is not probable, we cease the recognition of income from rentals on a straight-line basis, and limit the recognition of income to the payments collected from the lessee. We do not resume straight-line recognition of income from rentals for these leases until we determine that the collectibility of future payments related to these leases is probable. We also record a general allowance related to the deferred rent balances that at the portfolio level (not the individual level) are not expected to be collected in full through the lease term. During the year ended December 31, 2022, we recorded adjustments aggregating $13.6 million, to increase the general allowance balance. As of December 31, 2022, our general allowance balance aggregated $20.4 million. Direct financing and sales-type leases Income from rentals related to our direct financing and sales-type leases is recognized over the lease term using the effective interest rate method. At lease commencement, we record an asset within other assets in our consolidated balance sheets, which represents our net investment in the lease. This initial net investment is determined by aggregating the present values of the total future lease payments attributable to the lease and the estimated residual value of the property, less any unearned income related to our direct financing lease. Over the lease term, the investment in the lease accretes in value, producing a constant periodic rate of return on the net investment in the lease. Income from these leases is classified in income from rentals in our consolidated statements of operations. Our net investment is reduced over time as lease payments are received. We evaluate our net investment in direct financing and sales-type leases for impairment under the current expected credit loss standard. For more information, refer to the “Allowance for credit losses” section within this Note 2 to our consolidated financial statements. On January 1, 2022, we adopted an accounting standard that requires lessors to classify a lease with variable lease payments that do not depend on an index or a rate as an operating lease on the commencement date of the lease if both of the following criteria are met: (i)The lease would have been classified as a sales-type lease or direct financing lease under the current lease standard; and (ii)The sales-type lease or direct financing lease classification would have resulted in a selling loss at lease commencement. Under this accounting standard, the lessor does not derecognize the underlying asset and does not recognize a loss upon lease commencement but continues to depreciate the underlying asset over its useful life. We elected a prospective application of this accounting standard to leases that commence or are modified on or after the date this standard was adopted. Historically, substantially all our leases in which we are the lessor have been operating leases; therefore, our adoption of this accounting standard has not had and is not expected to have a material effect on our consolidated financial statements. Lessee accounting We have operating lease agreements in which we are the lessee consisting of ground and office leases. At the lease commencement date (or at the acquisition date if the lease is acquired as part of a real estate acquisition), we are required to recognize a liability to account for our future obligations under these operating leases, and a corresponding right-of-use asset. The lease liability is measured based on the present value of the future lease payments, including payments during the term under our extension options that we are reasonably certain to exercise. The present value of the future lease payments is calculated for each operating lease using each respective remaining lease term and a corresponding estimated incremental borrowing rate, which is the interest rate that we estimate we would have to pay to borrow on a collateralized basis over a similar term for an amount equal to the lease payments. Subsequently, the lease liability is accreted by applying a discount rate established at the lease commencement date to the lease liability balance as of the beginning of the period and is reduced by the payments made during the period. We classify the operating lease liability in accounts payable, accrued expenses, and other liabilities in our consolidated balance sheets. The right-of-use asset is measured based on the corresponding lease liability, adjusted for initial direct leasing costs and any other consideration exchanged with the landlord prior to the commencement of the lease, as well as adjustments to reflect favorable or unfavorable terms of an acquired lease when compared with market terms at the time of acquisition. Subsequently, the right-of-use asset is amortized on a straight-line basis during the lease term. We classify the right-of-use asset in other assets in our consolidated balance sheets. Recognition of revenue arising from contracts with customers We recognize revenues associated with transactions arising from contracts with customers, excluding revenues subject to the lease accounting standard discussed in the “Lease accounting” section above, in accordance with the revenue recognition accounting standard. A customer is distinguished from a noncustomer by the nature of the goods or services that are transferred. Customers are provided with goods or services that are generated by a company’s ordinary output activities, whereas noncustomers are provided with nonfinancial assets that are outside of a company’s ordinary output activities. We generally recognize revenue representing the transfer of goods and services to customers in an amount that reflects the consideration to which we expect to be entitled in the exchange. In order to determine the recognition of revenue from customer contracts, we use a five-step model to (i) identify the contract with the customer, (ii) identify the performance obligations in the contract, (iii) determine the transaction price, including variable consideration to the extent that it is probable that a significant future reversal will not occur, (iv) allocate the transaction price to the performance obligations in the contract, and (v) recognize revenue when (or as) we satisfy the performance obligation. We identify contractual performance obligations and determine whether revenue should be recognized at a point in time or over time, based on when control of goods and services transfers to a customer. We consider whether we control the goods or services prior to the transfer to the customer in order to determine whether we should account for the arrangement as a principal or agent. If we determine that we control the goods or services provided to the customer, then we are the principal to the transaction, and we recognize the gross amount of consideration expected in the exchange. If we simply arrange but do not control the goods or services being transferred to the customer, then we are considered to be an agent to the transaction, and we recognize the net amount of consideration we are entitled to retain in the exchange. Total revenues subject to the revenue recognition accounting standard and classified within income from rentals in our consolidated statements of operations for the years ended December 31, 2022 and 2021 included $38.1 million and $23.4 million, respectively, primarily related to short-term parking revenues associated with long-term lease agreements. Short-term parking revenues do not qualify for the single component accounting policy, as discussed in the “Lessor accounting” subsection of the “Lease accounting” section within this Note 2, due to the difference in the timing and pattern of transfer of our parking service obligations and associated lease components within the same lease agreement. We recognize short-term parking revenues in accordance with the revenue recognition accounting standard when the service is provided and the performance obligation is satisfied, which normally occurs at a point in time. Monitoring of tenant credit quality During the term of each lease, we monitor the credit quality and any related material changes of our tenants by (i) monitoring the credit rating of tenants that are rated by a nationally recognized credit rating agency, (ii) reviewing financial statements of the tenants that are publicly available or that are required to be delivered to us pursuant to the applicable lease, (iii) monitoring news reports regarding our tenants and their respective businesses, and (iv) monitoring the timeliness of lease payments. Allowance for credit losses We are required to estimate and recognize lifetime expected losses, rather than incurred losses, for most of our financial assets measured at amortized cost and certain other instruments, including trade and other receivables (excluding receivables arising from operating leases), loans, held-to-maturity debt securities, net investments in leases arising from sales-type and direct financing leases, and off-balance-sheet credit exposures (e.g., loan commitments). The recognition of such expected losses, even if the expected risk of credit loss is remote, typically results in earlier recognition of credit losses. An assessment of the collectibility of operating lease payments and the recognition of an adjustment to lease income based on this assessment is governed by the lease accounting standard discussed in the “Lease accounting” section earlier within this Note 2 to our consolidated financial statements. At each reporting date, we reassess our credit loss allowances on the aggregate net investment of our direct financing and sales-type leases and our trade receivables. If necessary, we recognize a credit loss adjustment for our current estimate of expected credit losses, which is classified within rental operations in our consolidated statements of operations. For further details, refer to Note 5 – “Leases” to our consolidated financial statements. Income taxes We are organized and operate as a REIT pursuant to the Internal Revenue Code (the “Code”). Under the Code, a REIT that distributes at least 90% of its REIT taxable income to its stockholders annually (excluding net capital gains) and meets certain other conditions is not subject to federal income tax on its distributed taxable income, but could be subject to certain federal, foreign, state, and local taxes. We distribute 100% of our taxable income annually; therefore, a provision for federal income taxes is not required. In addition to our REIT returns, we file federal, foreign, state, and local tax returns for our subsidiaries. We file with jurisdictions located in the U.S., Canada, China, and other international locations. Our tax returns are subject to routine examination in various jurisdictions for the 2016 through 2021 calendar years. Employee and non-employee share-based payments We have implemented an entity-wide accounting policy to account for forfeitures of share-based awards granted to employees and non-employees when they occur. As a result of this policy, we recognize expense on share-based awards with time-based vesting conditions without reductions for an estimate of forfeitures. This accounting policy only applies to service condition awards. For performance condition awards, we continue to assess the probability that such conditions will be achieved. Expenses related to forfeited awards are reversed as forfeitures occur. All nonforfeitable dividends paid on share-based payment awards are initially classified in retained earnings and reclassified to compensation cost only if forfeitures of the underlying awards occur. Our employee and non-employee share-based awards are measured at fair value on the grant date and recognized over the recipient’s required service period. Forward equity sales agreements We account for our forward equity sales agreements in accordance with the accounting guidance governing financial instruments and derivatives. As of December 31, 2022, none of our forward equity sales agreements were deemed to be liabilities as they did not embody obligations to repurchase our shares, nor did they embody obligations to issue a variable number of shares for which the monetary value was predominantly fixed, varied with something other than the fair value of our shares, or varied inversely in relation to our shares. We also evaluated whether the agreements met the derivatives and hedging guidance scope exception to be accounted for as equity instruments and concluded that the agreements can be classified as equity contracts based on the following assessment: (i) none of the agreements’ exercise contingencies were based on observable markets or indices besides those related to the market for our own stock price and operations; and (ii) none of the settlement provisions precluded the agreements from being indexed to our own stock. Issuer and guarantor subsidiaries of guaranteed securities Generally, a parent entity must provide separate subsidiary issuer or guarantor financial statements, unless it qualifies for disclosure exceptions. A parent entity may be eligible for disclosure exceptions if it meets the following criteria: (i)The subsidiary issuer or guarantor is a consolidated subsidiary of the parent company, and (ii)The subsidiary issues a registered security that is: •Issued jointly and severally with the parent company, or •Fully and unconditionally guaranteed by the parent company. A parent entity that meets the above criteria may instead present summarized financial information (“alternative disclosures”) either within the consolidated financial statements or within the “Management’s discussion and analysis of financial condition and results of operations” section in Item 7. We evaluated the criteria and determined that we are eligible for the disclosure exceptions, which allow us to provide alternative disclosures; as such, we present alternative disclosures within the “Management’s discussion and analysis of financial condition and results of operations” section in Item 7. Loan fees Fees incurred in obtaining long-term financing are capitalized and classified with the corresponding debt instrument appearing on our consolidated balance sheet. Loan fees related to our unsecured senior line of credit are capitalized and classified within other assets. Capitalized amounts are amortized over the term of the related loan, and the amortization is classified in interest expense in our consolidated statements of operations. Distributions from equity method investments We use the “nature of the distribution” approach to determine the classification within our consolidated statements of cash flows of cash distributions received from equity method investments, including our unconsolidated real estate joint ventures and equity method non-real estate investments. Under this approach, distributions are classified based on the nature of the underlying activity that generated the cash distributions. If we lack the information necessary to apply this approach in the future, we will be required to apply the “cumulative earnings” approach as an accounting change on a retrospective basis. Under the cumulative earnings approach, distributions up to the amount of cumulative equity in earnings recognized are classified as cash inflows from operating activities, and those in excess of that amount are classified as cash inflows from investing activities. Restricted cashWe present cash and cash equivalents separately from restricted cash within our consolidated balance sheets. However, we include restricted cash with cash and cash equivalents when reconciling the beginning-of-period and end-of-period total amounts shown in the consolidated statements of cash flows. We provide a reconciliation between the consolidated balance sheets and the consolidated statements of cash flows, as required when the balance includes more than one line item for cash, cash equivalents, and restricted cash. We also provide a disclosure of the nature of the restrictions related to material restricted cash balances.On June 30, 2022, the FASB issued an ASU to clarify the guidance on fair value measurement of an equity security that is subject to a contractual sale restriction. Currently, some entities apply a discount to the price of an equity security, subject to a contractual sale restriction, whereas others do not. This update eliminates the diversity in practice by clarifying that a recognition of a discount related to a contractual sale restriction is not permitted. This update does not change the application of existing measurement guidance on share-based compensation. We hold certain equity investments in publicly held entities that are subject to trading restrictions. We do not recognize a discount related to such trading restrictions; therefore, the adoption of this standard will have no impact on our consolidated financial statements. Pursuant to the disclosure requirements of this new standard, the footnotes to our consolidated financial statements will contain incremental disclosures related to equity securities that are subject to contractual sale restrictions, including (i) the fair value of such equity securities reflected in the balance sheet, (ii) the nature and remaining duration of the corresponding restrictions, and (iii) any circumstances that could cause a lapse in the restrictions. The accounting standard will become effective for us on January 1, 2024, with early adoption permitted.
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Investments in real estate (Notes) |
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| Real Estate [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Investments in real estate, net | Our consolidated investments in real estate, including real estate assets classified as held for sale as described in Note 18 – “Assets classified as held for sale” to our consolidated financial statements, consisted of the following as of December 31, 2022 and 2021 (in thousands):
Acquisitions Our real estate asset acquisitions during the year ended December 31, 2022 consisted of the following (dollars in thousands):
(1)Represents the aggregate contractual purchase price of our acquisitions, which differs from purchases of real estate in our consolidated statements of cash flows due to the timing of payment, closing costs, and other acquisition adjustments such as prorations of rents and expenses. Based upon our evaluation of each acquisition, we determined that substantially all of the fair value related to each acquisition was concentrated in a single identifiable asset or a group of similar identifiable assets, or was associated with a land parcel with no operations. Accordingly, each transaction did not meet the definition of a business and therefore was accounted for as an asset acquisition. In each of these transactions, we allocated the total consideration for each acquisition to the individual assets and liabilities acquired on a relative fair value basis. During the year ended December 31, 2022, we acquired 42 properties for an aggregate purchase price of $2.8 billion. In connection with our acquisitions, we recorded in-place lease assets aggregating $180.5 million and below-market lease liabilities in which we are the lessor aggregating $156.1 million. As of December 31, 2022, the weighted-average amortization period remaining on our in-place leases and below-market leases acquired during the year ended December 31, 2022 was 7.4 years and 12.2 years, respectively, and 9.7 years in total. Acquired below-market leases The balances of acquired below-market tenant leases existing as of December 31, 2022 and 2021, and related accumulated amortization, classified in accounts payable, accrued expenses, and other liabilities in our consolidated balance sheets as of December 31, 2022 and 2021 were as follows (in thousands):
For the years ended December 31, 2022, 2021, and 2020, we recognized in rental revenues approximately $78.0 million, $57.7 million, and $57.8 million, respectively, related to the amortization of acquired below-market leases existing as of the end of each respective year. The weighted-average amortization period of the value of acquired below-market leases existing as of December 31, 2022 was approximately 6.4 years, and the estimated annual amortization of the value of acquired below-market leases as of December 31, 2022 is as follows (in thousands):
Acquired in-place leases The balances of acquired in-place leases, and related accumulated amortization, classified in other assets in our consolidated balance sheets as of December 31, 2022 and 2021 were as follows (in thousands):
Amortization for these intangible assets, classified in depreciation and amortization expense in our consolidated statements of operations, was approximately $169.5 million, $146.6 million, and $105.4 million for the years ended December 31, 2022, 2021, and 2020, respectively. The weighted-average amortization period of the value of acquired in-place leases was approximately 8.5 years, and the estimated annual amortization of the value of acquired in-place leases as of December 31, 2022 is as follows (in thousands):
Sales of real estate assets and impairment charges Our completed dispositions of and sales of partial interests in real estate assets during the year ended December 31, 2022 consisted of the following (dollars in thousands):
(1)Relates to sales of partial interests in real estate assets over which we retained control and therefore continue to consolidate. We recognized the difference between the consideration received and the book value of partial interests sold in additional paid-in capital, with no gain or loss recognized in earnings. (2)Represents the aggregate contractual sales price of our sales, which differs from proceeds from sales of real estate and contributions from and sales of noncontrolling interests in our consolidated statements of cash flows under “Investing activities” and “Financing activities,” respectively, primarily due to the timing of payment, closing costs, and other sales adjustments such as prorations of rents and expenses. During the year ended December 31, 2022, we completed dispositions of and sales of partial interests in real estate assets for an aggregate sales price of $2.2 billion, as described below. •We completed dispositions of real estate assets for sales prices aggregating $1.0 billion and recognized gains on sales of real estate aggregating $537.9 million within our consolidated statements of operations. •We completed sales of partial interests in real estate assets for an aggregate sales price of $1.2 billion, where these partial interest sales resulted in proceeds in excess of book values aggregating $644.0 million. We accounted for our sales of partial interests as equity transactions, with the excess recognized in additional paid-in capital within our consolidated statements of changes in stockholders’ equity and no gain or loss recognized in earnings since we continue to consolidate the resulting real estate joint ventures. For more detail, refer to the “Formation of consolidated real estate joint ventures and sales of partial interests” section in Note 4 – “Consolidated and unconsolidated real estate joint ventures” to our consolidated financial statements. Impairment charges During the year ended December 31, 2022, we recognized impairment charges aggregating $65.0 million, as detailed below: •Impairment charges aggregating $44.1 million, which consisted of write-offs of pre-acquisition costs, including the $38.3 million write-off of our entire investment in a future development project aggregating over 600,000 RSF in one of our existing submarkets in California. This impairment was recognized upon our decision to no longer proceed with this project as a result of a deteriorated macroeconomic environment that negatively impacted the financial outlook for this project. •Impairment charges aggregating $20.9 million to reduce the carrying amounts of 10 properties and a land parcel located in multiple submarkets to their respective estimated fair values, less costs to sell, upon their classification as held for sale. We expect to sell these real estate assets in 2023. Refer to Note 18 – “Assets classified as held for sale” to our consolidated financial statements for additional information.
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Consolidated and unconsolidated real estate joint ventures (Notes) |
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| Equity Method Investments and Joint Ventures [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Consolidated and unconsolidated real estate joint ventures | From time to time, we enter into joint venture agreements through which we own a partial interest in real estate entities that own, develop, and operate real estate properties. As of December 31, 2022, our real estate joint ventures held the following properties:
(1)Refer to the table on the next page that shows the categorization of our joint ventures under the consolidation framework. (2)In addition to the real estate joint ventures listed, various partners hold insignificant noncontrolling interests in three other consolidated real estate joint ventures in North America and we hold an interest in one other insignificant unconsolidated real estate joint venture in North America. (3)225 Binney Street is owned through a tenancy in common arrangement. We directly own 26.3% of the tenancy in common and a real estate joint venture owns the remaining 73.7% of the tenancy in common. We own 5% of this real estate joint venture, resulting in an aggregate ownership of 30% of this property. We determined that we are the primary beneficiary of the real estate joint venture and as such, we consolidate this joint venture under the variable interest entity model. (4)Includes 409 and 499 Illinois Street, 1500 and 1700 Owens Street, and 455 Mission Bay Boulevard South. (5)The noncontrolling interest share of our joint venture partner is anticipated to increase to 75% as our partner contributes 100% of the remaining cost to complete the project over time. (6)Includes 10210, 10260, 10290, and 10300 Campus Point Drive and 4110, 4150, 4161, 4224, and 4242 Campus Point Court. (7)Includes 9605, 9645, 9675, 9685, 9725, 9735, 9808, 9855, and 9868 Scranton Road and 10055, 10065, and 10075 Barnes Canyon Road. (8)Includes 9965, 9975, 9985, and 9995 Summers Ridge Road. (9)Represents our ownership interest; our voting interest is limited to 50%. (10)Represents a joint venture with a local real estate operator in which our partner manages the day-to-day activities that significantly affect the economic performance of the joint venture. Our consolidation policy is described under the “Consolidation” section in Note 2 – “Summary of significant accounting policies” to our consolidated financial statements. Consolidation accounting is highly technical, but its framework is primarily based on the controlling financial interests and benefits of the joint ventures. We generally consolidate a joint venture that is a legal entity that we control (i.e., we have the power to direct the activities of the joint venture that most significantly affect its economic performance) through contractual rights, regardless of our ownership interest, and where we determine that we have benefits through the allocation of earnings or losses and fees paid to us that could be significant to the joint venture (the “VIE model”). We also generally consolidate joint ventures when we have a controlling financial interest through voting rights and where our voting interest is greater than 50% (the “voting model”). Voting interest differs from ownership interest for some joint ventures. We account for joint ventures that do not meet the consolidation criteria under the equity method of accounting by recognizing our share of income and losses. The table below shows the categorization of our real estate joint ventures under the consolidation framework:
(1) In addition to the real estate joint ventures listed, various partners hold insignificant noncontrolling interests in three other consolidated real estate joint ventures in North America and we hold an interest in one other insignificant unconsolidated real estate joint venture in North America. Formation of consolidated real estate joint ventures and sales of partial interests In each of the real estate joint ventures described below, we are contractually responsible for activities that most significantly impact the economic performance of the joint venture. In addition, our joint venture partner(s) in each of the following real estate joint ventures lacks kick-out rights over our role as property manager. Therefore, we determined that our joint venture partner does not have a controlling financial interest, and consequently each real estate joint venture should be accounted for as a VIE. We also determined that we are the primary beneficiary of each real estate joint venture because we are responsible for activities that most significantly impact their economic performance, and also have the obligation to absorb losses of, or the right to receive benefits from, each joint venture that could potentially be significant to the joint venture. Accordingly, we consolidate each real estate joint venture under the variable interest model. Refer to the “Consolidation” section in Note 2 – “Summary of significant accounting policies” to our consolidated financial statements for additional information. For a summary of our completed dispositions and sales of partial interests in real estate assets during the year ended December 31, 2022, refer to the “Sales of real estate assets and impairment charges” section in Note 3 – “Investments in real estate” to our consolidated financial statements. 800 Mercer Street In March 2022, we formed a real estate joint venture with an institutional investor to acquire a land parcel aggregating 869,000 SF at 800 Mercer Street in our Lake Union submarket. We have a 60% ownership interest in the joint venture, and our share of the contractual purchase price aggregated $87.6 million. Upon completion of the transaction in March 2022, we determined that we had control over the newly formed real estate joint venture and therefore consolidated the real estate asset. Sales of partial interests Upon completion of each transaction described below, we determined that we had control over each newly formed real estate joint venture and therefore continued to consolidate each property. Accordingly, we accounted for these sales of partial interests as equity transactions, with no gain or loss recognized in earnings. 100 Binney Street In March 2022, we formed a real estate joint venture in our Cambridge/Inner Suburbs submarket by contributing our 100 Binney Street property and sold to our joint venture partner a 70% interest in the joint venture for an aggregate sales price of $713.2 million, or $2,353 per RSF, representing $413.6 million of consideration in excess of the book value of our 70% interest sold. 300 Third Street In June 2022, we sold a 70% interest in our 300 Third Street property located in our Cambridge/Inner Suburbs submarket for an aggregate sales price of $166.5 million, or $1,802 per RSF, representing $113.0 million of consideration in excess of the book value of our 70% interest sold. 1450 Owens Street In July 2022, we formed a real estate joint venture in our Mission Bay submarket by contributing a land parcel aggregating 191,000 SF at 1450 Owens Street with an aggregate fair market value of $125.2 million. At the formation of the joint venture, we received proceeds of $25.0 million from our joint venture partner for a noncontrolling interest share of 20%, which is anticipated to increase to 75% as our partner contributes capital for construction over time. The proceeds represent $10.1 million of consideration in excess of the book value of our 20% interest sold. As of December 31, 2022, the noncontrolling interest share of our joint venture partner was 40.3%. 3215 Merryfield Row In September 2022, we formed a real estate joint venture in our Torrey Pines submarket by selling a 70% interest in our 3215 Merryfield Row property for an aggregate sales price of $149.9 million, or $1,256 per RSF, representing $42.2 million of consideration in excess of the book value of our 70% interest sold. Summers Ridge Science Park In September 2022, we sold a 70% interest in our Summers Ridge Science Park campus at 9965, 9975, 9985, and 9995 Summers Ridge Road located in our Sorrento Mesa submarket for an aggregate sales price of $159.6 million, or $720 per RSF, representing $65.1 million of consideration in excess of the book value of our 70% interest sold, and formed a new real estate joint venture with our institutional partner. Consolidated VIEs’ balance sheet information The table below aggregates the balance sheet information of our consolidated VIEs as of December 31, 2022 and 2021 (in thousands):
In determining whether to aggregate the balance sheet information of consolidated VIEs, we considered the similarity of each VIE, including the primary purpose of these entities to own, manage, operate, and lease real estate properties owned by the VIEs, and the similar nature of our involvement in each VIE as a managing member. Due to the similarity of the characteristics, we present the balance sheet information of these entities on an aggregated basis. None of our consolidated VIEs’ assets have restrictions that limit their use to settle specific obligations of the VIE. There are no creditors or other partners of our consolidated VIEs that have recourse to our general credit, and our maximum exposure to our consolidated VIEs is limited to our variable interests in each VIE, except for our 99 Coolidge Avenue real estate joint venture in which the VIE’s secured construction loan is guaranteed by us. For additional information, refer to Note 10 – “Secured and unsecured senior debt” to our consolidated financial statements. Unconsolidated real estate joint ventures Our maximum exposure to our unconsolidated VIEs is limited to our investment in each VIE. Our investments in unconsolidated real estate joint ventures, accounted for under the equity method of accounting presented in our consolidated balance sheets as of December 31, 2022 and 2021, consisted of the following (in thousands):
The following table presents key terms related to our unconsolidated real estate joint ventures’ secured loans as of December 31, 2022 (dollars in thousands):
(1)Includes interest expense and amortization of loan fees. (2)Represents outstanding principal, net of unamortized deferred financing costs, as of December 31, 2022. (3)This loan is subject to a fixed SOFR floor rate of 0.75%.
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Leases (Notes) |
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| Leases [Abstract] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Leases | Refer to the “Lease accounting” section in Note 2 – “Summary of significant accounting policies” to our consolidated financial statements for information about lease accounting standards that set principles for the recognition, measurement, presentation, and disclosure of leases for both parties to a lease agreement (i.e., lessees and lessors). Leases in which we are the lessor As of December 31, 2022, we had 432 properties aggregating 41.8 million operating RSF located in key clusters, including Greater Boston, the San Francisco Bay Area, New York City, San Diego, Seattle, Maryland, and Research Triangle. We focus on developing Class A properties in AAA innovation cluster locations, which we consider to be highly desirable for tenancy by life science, agtech, and technology entities. Such locations are generally characterized by high barriers to entry for new landlords, high barriers to exit for tenants, and a limited supply of available space. As of December 31, 2022, all leases in which we are the lessor were classified as operating leases, with the exception of one direct financing lease. Our leases are described below. Operating leases As of December 31, 2022, our 432 properties were subject to operating lease agreements. Two of these properties, representing two land parcels, are subject to lease agreements that each contain an option for the lessee to purchase the underlying asset from us at fair market value during each of the 30-day periods commencing on the dates that are 15 years, 30 years, and 74.5 years after the rent commencement date of October 1, 2017. The remaining lease term related to each of the two land parcels is 69.9 years. Our leases generally contain options to extend lease terms at prevailing market rates at the time of expiration. Certain operating leases contain early termination options that require advance notification and payment of a penalty, which in most cases is substantial enough to be deemed economically disadvantageous by a tenant to exercise. Future lease payments to be received under the terms of our operating lease agreements, excluding expense reimbursements, in effect as of December 31, 2022 are outlined in the table below (in thousands):
Refer to Note 3 – “Investments in real estate” to our consolidated financial statements for additional information about our owned real estate assets, which are the underlying assets under our operating leases. Direct financing and sales-type leases As of December 31, 2022, we had one direct financing lease agreement, with a net investment balance of $39.4 million, for a parking structure with a remaining lease term of 69.9 years. The lessee has an option to purchase the underlying asset at fair market value during each of the 30-day periods commencing on the dates that are 15 years, 30 years, and 74.5 years after the rent commencement date of October 1, 2017. In May 2022, we completed the sale of land at 9609, 9613, and 9615 Medical Center Drive in our Rockville submarket, which was subject to long-term sales-type leases, for the sales price of $47.8 million and recognized a gain of $11.9 million classified in gain on sales of real estate within our consolidated statements of operations for the year ended December 31, 2022. As of December 31, 2022, we had no sales-type leases. The components of our aggregate net investment in our direct financing and sales-type leases as of December 31, 2022 and 2021 are summarized in the table below (in thousands):
As of December 31, 2022, our estimated credit loss related to our direct financing lease was $2.8 million. No adjustment to the estimated credit loss balance was required during the year ended December 31, 2022. For further details, refer to the “Allowance for credit losses” section in Note 2 – “Summary of significant accounting policies” to our consolidated financial statements. Future lease payments to be received under the terms of our direct financing lease as of December 31, 2022 are outlined in the table below (in thousands):
Income from rentals Our income from rentals includes revenue related to agreements for the rental of our real estate, which primarily includes revenues subject to the lease accounting standard and the revenue recognition accounting standard as shown below (in thousands):
Our revenues that are subject to the revenue recognition accounting standard and are classified in income from rentals consist primarily of short-term parking revenues that are not considered lease revenues under the lease accounting standard. Refer to the “Revenues” and “Recognition of revenue arising from contracts with customers” sections in Note 2 – “Summary of significant accounting policies” to our consolidated financial statements for additional information. Deferred leasing costs The following table summarizes our deferred leasing costs as of December 31, 2022 and 2021 (in thousands):
Residual value risk management strategy Our leases do not have guarantees of residual value on the underlying assets. We manage risk associated with the residual value of our leased assets by (i) evaluating each potential acquisition of real estate to determine whether it meets our business objective to invest primarily in high-demand markets with limited supply of available space, (ii) directly managing our leased properties, conducting frequent property inspections, proactively addressing potential maintenance issues before they arise, and timely resolving any occurring issues, and (iii) carefully selecting our tenants and monitoring their credit quality throughout their respective lease terms. Leases in which we are the lessee Operating lease agreements We have operating lease agreements in which we are the lessee consisting of ground and office leases. Certain of these leases have options to extend or terminate the contract terms upon meeting certain criteria. There are no notable restrictions or covenants imposed by the leases, nor guarantees of residual value. We recognize a right-of-use asset, which is classified within in our consolidated balance sheets, and a related liability, which is classified within in our consolidated balance sheets, to account for our future obligations under ground and office lease arrangements in which we are the lessee. Refer to the “Lessee accounting” subsection of the “Lease accounting” section in Note 2 – “Summary of significant accounting policies” to our consolidated financial statements. As of December 31, 2022, the present value of the remaining contractual payments aggregating $904.2 million under our operating lease agreements, including our extension options that we are reasonably certain to exercise, was $406.7 million. Our corresponding operating lease right-of-use assets, adjusted for initial direct leasing costs and other consideration exchanged with the landlord prior to the commencement of the lease, aggregated $558.3 million. As of December 31, 2022, the weighted-average remaining lease term of operating leases in which we are the lessee was approximately 42 years, and the weighted-average discount rate was 4.6%. The weighted-average discount rate is based on the incremental borrowing rate estimated for each lease, which is the interest rate that we estimate we would have to pay to borrow on a collateralized basis over a similar term for an amount equal to the lease payments. Ground lease obligations as of December 31, 2022, included leases for 40 of our properties, which accounted for approximately 9% of our total number of properties. Excluding one ground lease that expires in 2036 related to one operating property with a net book value of $6.3 million as of December 31, 2022, our ground lease obligations have remaining lease terms ranging from approximately 31 years to 99 years, including extension options which we are reasonably certain to exercise. The reconciliation of future lease payments under noncancelable operating ground and office leases in which we are the lessee, to the operating lease liability reflected in our consolidated balance sheet as of December 31, 2022 is presented in the table below (in thousands):
Lessee operating costs Operating lease costs relate to our ground and office leases in which we are the lessee. Ground leases generally require fixed annual rent payments and may also include escalation clauses and renewal options. Our operating lease obligations related to our office leases have remaining terms of up to 13 years, exclusive of extension options. For the years ended December 31, 2022, 2021, and 2020, our costs for operating leases in which we are the lessee were as follows (in thousands):
For the years ended December 31, 2022, 2021, and 2020, amounts paid and classified as operating activities in our consolidated statements of cash flows for leases in which we are the lessee were $55.2 million, $24.7 million, and $20.8 million, respectively. The increase in 2022 primarily relates to a $26.3 million payment made during the three months ended March 31, 2022 in connection with the execution of ground lease extensions at two properties in our Greater Stanford submarket.
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| Leases | Refer to the “Lease accounting” section in Note 2 – “Summary of significant accounting policies” to our consolidated financial statements for information about lease accounting standards that set principles for the recognition, measurement, presentation, and disclosure of leases for both parties to a lease agreement (i.e., lessees and lessors). Leases in which we are the lessor As of December 31, 2022, we had 432 properties aggregating 41.8 million operating RSF located in key clusters, including Greater Boston, the San Francisco Bay Area, New York City, San Diego, Seattle, Maryland, and Research Triangle. We focus on developing Class A properties in AAA innovation cluster locations, which we consider to be highly desirable for tenancy by life science, agtech, and technology entities. Such locations are generally characterized by high barriers to entry for new landlords, high barriers to exit for tenants, and a limited supply of available space. As of December 31, 2022, all leases in which we are the lessor were classified as operating leases, with the exception of one direct financing lease. Our leases are described below. Operating leases As of December 31, 2022, our 432 properties were subject to operating lease agreements. Two of these properties, representing two land parcels, are subject to lease agreements that each contain an option for the lessee to purchase the underlying asset from us at fair market value during each of the 30-day periods commencing on the dates that are 15 years, 30 years, and 74.5 years after the rent commencement date of October 1, 2017. The remaining lease term related to each of the two land parcels is 69.9 years. Our leases generally contain options to extend lease terms at prevailing market rates at the time of expiration. Certain operating leases contain early termination options that require advance notification and payment of a penalty, which in most cases is substantial enough to be deemed economically disadvantageous by a tenant to exercise. Future lease payments to be received under the terms of our operating lease agreements, excluding expense reimbursements, in effect as of December 31, 2022 are outlined in the table below (in thousands):
Refer to Note 3 – “Investments in real estate” to our consolidated financial statements for additional information about our owned real estate assets, which are the underlying assets under our operating leases. Direct financing and sales-type leases As of December 31, 2022, we had one direct financing lease agreement, with a net investment balance of $39.4 million, for a parking structure with a remaining lease term of 69.9 years. The lessee has an option to purchase the underlying asset at fair market value during each of the 30-day periods commencing on the dates that are 15 years, 30 years, and 74.5 years after the rent commencement date of October 1, 2017. In May 2022, we completed the sale of land at 9609, 9613, and 9615 Medical Center Drive in our Rockville submarket, which was subject to long-term sales-type leases, for the sales price of $47.8 million and recognized a gain of $11.9 million classified in gain on sales of real estate within our consolidated statements of operations for the year ended December 31, 2022. As of December 31, 2022, we had no sales-type leases. The components of our aggregate net investment in our direct financing and sales-type leases as of December 31, 2022 and 2021 are summarized in the table below (in thousands):
As of December 31, 2022, our estimated credit loss related to our direct financing lease was $2.8 million. No adjustment to the estimated credit loss balance was required during the year ended December 31, 2022. For further details, refer to the “Allowance for credit losses” section in Note 2 – “Summary of significant accounting policies” to our consolidated financial statements. Future lease payments to be received under the terms of our direct financing lease as of December 31, 2022 are outlined in the table below (in thousands):
Income from rentals Our income from rentals includes revenue related to agreements for the rental of our real estate, which primarily includes revenues subject to the lease accounting standard and the revenue recognition accounting standard as shown below (in thousands):
Our revenues that are subject to the revenue recognition accounting standard and are classified in income from rentals consist primarily of short-term parking revenues that are not considered lease revenues under the lease accounting standard. Refer to the “Revenues” and “Recognition of revenue arising from contracts with customers” sections in Note 2 – “Summary of significant accounting policies” to our consolidated financial statements for additional information. Deferred leasing costs The following table summarizes our deferred leasing costs as of December 31, 2022 and 2021 (in thousands):
Residual value risk management strategy Our leases do not have guarantees of residual value on the underlying assets. We manage risk associated with the residual value of our leased assets by (i) evaluating each potential acquisition of real estate to determine whether it meets our business objective to invest primarily in high-demand markets with limited supply of available space, (ii) directly managing our leased properties, conducting frequent property inspections, proactively addressing potential maintenance issues before they arise, and timely resolving any occurring issues, and (iii) carefully selecting our tenants and monitoring their credit quality throughout their respective lease terms. Leases in which we are the lessee Operating lease agreements We have operating lease agreements in which we are the lessee consisting of ground and office leases. Certain of these leases have options to extend or terminate the contract terms upon meeting certain criteria. There are no notable restrictions or covenants imposed by the leases, nor guarantees of residual value. We recognize a right-of-use asset, which is classified within in our consolidated balance sheets, and a related liability, which is classified within in our consolidated balance sheets, to account for our future obligations under ground and office lease arrangements in which we are the lessee. Refer to the “Lessee accounting” subsection of the “Lease accounting” section in Note 2 – “Summary of significant accounting policies” to our consolidated financial statements. As of December 31, 2022, the present value of the remaining contractual payments aggregating $904.2 million under our operating lease agreements, including our extension options that we are reasonably certain to exercise, was $406.7 million. Our corresponding operating lease right-of-use assets, adjusted for initial direct leasing costs and other consideration exchanged with the landlord prior to the commencement of the lease, aggregated $558.3 million. As of December 31, 2022, the weighted-average remaining lease term of operating leases in which we are the lessee was approximately 42 years, and the weighted-average discount rate was 4.6%. The weighted-average discount rate is based on the incremental borrowing rate estimated for each lease, which is the interest rate that we estimate we would have to pay to borrow on a collateralized basis over a similar term for an amount equal to the lease payments. Ground lease obligations as of December 31, 2022, included leases for 40 of our properties, which accounted for approximately 9% of our total number of properties. Excluding one ground lease that expires in 2036 related to one operating property with a net book value of $6.3 million as of December 31, 2022, our ground lease obligations have remaining lease terms ranging from approximately 31 years to 99 years, including extension options which we are reasonably certain to exercise. The reconciliation of future lease payments under noncancelable operating ground and office leases in which we are the lessee, to the operating lease liability reflected in our consolidated balance sheet as of December 31, 2022 is presented in the table below (in thousands):
Lessee operating costs Operating lease costs relate to our ground and office leases in which we are the lessee. Ground leases generally require fixed annual rent payments and may also include escalation clauses and renewal options. Our operating lease obligations related to our office leases have remaining terms of up to 13 years, exclusive of extension options. For the years ended December 31, 2022, 2021, and 2020, our costs for operating leases in which we are the lessee were as follows (in thousands):
For the years ended December 31, 2022, 2021, and 2020, amounts paid and classified as operating activities in our consolidated statements of cash flows for leases in which we are the lessee were $55.2 million, $24.7 million, and $20.8 million, respectively. The increase in 2022 primarily relates to a $26.3 million payment made during the three months ended March 31, 2022 in connection with the execution of ground lease extensions at two properties in our Greater Stanford submarket.
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| Leases | Refer to the “Lease accounting” section in Note 2 – “Summary of significant accounting policies” to our consolidated financial statements for information about lease accounting standards that set principles for the recognition, measurement, presentation, and disclosure of leases for both parties to a lease agreement (i.e., lessees and lessors). Leases in which we are the lessor As of December 31, 2022, we had 432 properties aggregating 41.8 million operating RSF located in key clusters, including Greater Boston, the San Francisco Bay Area, New York City, San Diego, Seattle, Maryland, and Research Triangle. We focus on developing Class A properties in AAA innovation cluster locations, which we consider to be highly desirable for tenancy by life science, agtech, and technology entities. Such locations are generally characterized by high barriers to entry for new landlords, high barriers to exit for tenants, and a limited supply of available space. As of December 31, 2022, all leases in which we are the lessor were classified as operating leases, with the exception of one direct financing lease. Our leases are described below. Operating leases As of December 31, 2022, our 432 properties were subject to operating lease agreements. Two of these properties, representing two land parcels, are subject to lease agreements that each contain an option for the lessee to purchase the underlying asset from us at fair market value during each of the 30-day periods commencing on the dates that are 15 years, 30 years, and 74.5 years after the rent commencement date of October 1, 2017. The remaining lease term related to each of the two land parcels is 69.9 years. Our leases generally contain options to extend lease terms at prevailing market rates at the time of expiration. Certain operating leases contain early termination options that require advance notification and payment of a penalty, which in most cases is substantial enough to be deemed economically disadvantageous by a tenant to exercise. Future lease payments to be received under the terms of our operating lease agreements, excluding expense reimbursements, in effect as of December 31, 2022 are outlined in the table below (in thousands):
Refer to Note 3 – “Investments in real estate” to our consolidated financial statements for additional information about our owned real estate assets, which are the underlying assets under our operating leases. Direct financing and sales-type leases As of December 31, 2022, we had one direct financing lease agreement, with a net investment balance of $39.4 million, for a parking structure with a remaining lease term of 69.9 years. The lessee has an option to purchase the underlying asset at fair market value during each of the 30-day periods commencing on the dates that are 15 years, 30 years, and 74.5 years after the rent commencement date of October 1, 2017. In May 2022, we completed the sale of land at 9609, 9613, and 9615 Medical Center Drive in our Rockville submarket, which was subject to long-term sales-type leases, for the sales price of $47.8 million and recognized a gain of $11.9 million classified in gain on sales of real estate within our consolidated statements of operations for the year ended December 31, 2022. As of December 31, 2022, we had no sales-type leases. The components of our aggregate net investment in our direct financing and sales-type leases as of December 31, 2022 and 2021 are summarized in the table below (in thousands):
As of December 31, 2022, our estimated credit loss related to our direct financing lease was $2.8 million. No adjustment to the estimated credit loss balance was required during the year ended December 31, 2022. For further details, refer to the “Allowance for credit losses” section in Note 2 – “Summary of significant accounting policies” to our consolidated financial statements. Future lease payments to be received under the terms of our direct financing lease as of December 31, 2022 are outlined in the table below (in thousands):
Income from rentals Our income from rentals includes revenue related to agreements for the rental of our real estate, which primarily includes revenues subject to the lease accounting standard and the revenue recognition accounting standard as shown below (in thousands):
Our revenues that are subject to the revenue recognition accounting standard and are classified in income from rentals consist primarily of short-term parking revenues that are not considered lease revenues under the lease accounting standard. Refer to the “Revenues” and “Recognition of revenue arising from contracts with customers” sections in Note 2 – “Summary of significant accounting policies” to our consolidated financial statements for additional information. Deferred leasing costs The following table summarizes our deferred leasing costs as of December 31, 2022 and 2021 (in thousands):
Residual value risk management strategy Our leases do not have guarantees of residual value on the underlying assets. We manage risk associated with the residual value of our leased assets by (i) evaluating each potential acquisition of real estate to determine whether it meets our business objective to invest primarily in high-demand markets with limited supply of available space, (ii) directly managing our leased properties, conducting frequent property inspections, proactively addressing potential maintenance issues before they arise, and timely resolving any occurring issues, and (iii) carefully selecting our tenants and monitoring their credit quality throughout their respective lease terms. Leases in which we are the lessee Operating lease agreements We have operating lease agreements in which we are the lessee consisting of ground and office leases. Certain of these leases have options to extend or terminate the contract terms upon meeting certain criteria. There are no notable restrictions or covenants imposed by the leases, nor guarantees of residual value. We recognize a right-of-use asset, which is classified within in our consolidated balance sheets, and a related liability, which is classified within in our consolidated balance sheets, to account for our future obligations under ground and office lease arrangements in which we are the lessee. Refer to the “Lessee accounting” subsection of the “Lease accounting” section in Note 2 – “Summary of significant accounting policies” to our consolidated financial statements. As of December 31, 2022, the present value of the remaining contractual payments aggregating $904.2 million under our operating lease agreements, including our extension options that we are reasonably certain to exercise, was $406.7 million. Our corresponding operating lease right-of-use assets, adjusted for initial direct leasing costs and other consideration exchanged with the landlord prior to the commencement of the lease, aggregated $558.3 million. As of December 31, 2022, the weighted-average remaining lease term of operating leases in which we are the lessee was approximately 42 years, and the weighted-average discount rate was 4.6%. The weighted-average discount rate is based on the incremental borrowing rate estimated for each lease, which is the interest rate that we estimate we would have to pay to borrow on a collateralized basis over a similar term for an amount equal to the lease payments. Ground lease obligations as of December 31, 2022, included leases for 40 of our properties, which accounted for approximately 9% of our total number of properties. Excluding one ground lease that expires in 2036 related to one operating property with a net book value of $6.3 million as of December 31, 2022, our ground lease obligations have remaining lease terms ranging from approximately 31 years to 99 years, including extension options which we are reasonably certain to exercise. The reconciliation of future lease payments under noncancelable operating ground and office leases in which we are the lessee, to the operating lease liability reflected in our consolidated balance sheet as of December 31, 2022 is presented in the table below (in thousands):
Lessee operating costs Operating lease costs relate to our ground and office leases in which we are the lessee. Ground leases generally require fixed annual rent payments and may also include escalation clauses and renewal options. Our operating lease obligations related to our office leases have remaining terms of up to 13 years, exclusive of extension options. For the years ended December 31, 2022, 2021, and 2020, our costs for operating leases in which we are the lessee were as follows (in thousands):
For the years ended December 31, 2022, 2021, and 2020, amounts paid and classified as operating activities in our consolidated statements of cash flows for leases in which we are the lessee were $55.2 million, $24.7 million, and $20.8 million, respectively. The increase in 2022 primarily relates to a $26.3 million payment made during the three months ended March 31, 2022 in connection with the execution of ground lease extensions at two properties in our Greater Stanford submarket.
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Cash, cash equivalents, and restricted cash (Notes) |
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| Cash, cash equivalents, and restricted cash | Cash, cash equivalents, and restricted cash consisted of the following as of December 31, 2022 and 2021 (in thousands):
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Investments (Notes) |
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| Investment | We hold strategic investments in publicly traded companies and privately held entities primarily involved in the life science, agtech, and technology industries. As a REIT, we generally limit our ownership of each individual entity’s voting stock to less than 10%. We evaluate each investment to determine whether we have the ability to exercise significant influence, but not control, over an investee. We evaluate investments in which our ownership is equal to or greater than 20%, but less than or equal to 50%, of an investee’s voting stock with a presumption that we have this ability. For our investments in limited partnerships that maintain specific ownership accounts, we presume that such ability exists when our ownership interest exceeds 3% to 5%. In addition to our ownership interest, we consider whether we have a board seat or whether we participate in the policy-making process, among other criteria, to determine if we have the ability to exert significant influence, but not control, over an investee. If we determine that we have such ability, we account for the investment under the equity method of accounting, as described below. Investments accounted for under the equity method Under the equity method of accounting, we initially recognize our investment at cost and subsequently adjust the carrying amount of the investment for our share of earnings or losses reported by the investee, distributions received, and other-than-temporary impairments. As of December 31, 2022, we had seven investments in limited partnerships aggregating $65.5 million that maintain specific ownership accounts for each investor, which were accounted for under the equity method. Our ownership interest in each of these seven investments was greater than 5%. Investments that do not qualify for the equity method of accounting For investees over which we determine that we do not have the ability to exercise significant influence or control, we account for each investment depending on whether it is an investment in a (i) publicly traded company, (ii) privately held entity that reports NAV per share, or (iii) privately held entity that does not report NAV per share, as described below. Investments in publicly traded companies Our investments in publicly traded companies are classified as investments with readily determinable fair values and are presented at fair value in our consolidated balance sheets, with changes in fair value classified in investment income (loss) in our consolidated statements of operations. The fair values for our investments in publicly traded companies are determined based on sales prices or quotes available on securities exchanges. Investments in privately held companies Our investments in privately held entities without readily determinable fair values consist of (i) investments in privately held entities that report NAV per share and (ii) investments in privately held entities that do not report NAV per share. These investments are accounted for as follows: Investments in privately held entities that report NAV per share Investments in privately held entities that report NAV per share, such as our privately held investments in limited partnerships, are presented at fair value using NAV as a practical expedient, with changes in fair value recognized in net income. We use NAV per share reported by limited partnerships generally without adjustment, unless we are aware of information indicating that the NAV reported by a limited partnership does not accurately reflect the fair value of the investment at our reporting date. Investments in privately held entities that do not report NAV per share Investments in privately held entities that do not report NAV per share are accounted for using a measurement alternative, under which these investments are measured at cost, adjusted for observable price changes and impairments, with changes recognized in net income. An observable price arises from an orderly transaction for an identical or similar investment of the same issuer, which is observed by an investor without expending undue cost and effort. Observable price changes result from, among other things, equity transactions of the same issuer executed during the reporting period, including subsequent equity offerings or other reported equity transactions related to the same issuer. To determine whether these transactions are indicative of an observable price change, we evaluate, among other factors, whether these transactions have similar rights and obligations, including voting rights, distribution preferences, and conversion rights to the investments we hold. Impairment evaluation of equity method investments and investments in privately held entities that do not report NAV per share We monitor equity method investments and investments in privately held entities that do not report NAV per share for new developments, including operating results, prospects and results of clinical trials, new product initiatives, new collaborative agreements, capital-raising events, and merger and acquisition activities. These investments are evaluated on the basis of a qualitative assessment for indicators of impairment by monitoring the presence of the following triggering events or impairment indicators: (i)a significant deterioration in the earnings performance, credit rating, asset quality, or business prospects of the investee; (ii)a significant adverse change in the regulatory, economic, or technological environment of the investee; (iii)a significant adverse change in the general market condition, including the research and development of technology and products that the investee is bringing or attempting to bring to the market; (iv)significant concerns about the investee’s ability to continue as a going concern; and/or (v)a decision by investors to cease providing support or reduce their financial commitment to the investee. If such indicators are present, we are required to estimate the investment’s fair value and immediately recognize an impairment charge in an amount equal to the investment’s carrying value in excess of its estimated fair value. Investment income/loss recognition and classification We recognize both realized and unrealized gains and losses in our consolidated statements of operations, classified within investment income. Unrealized gains and losses represent: (i)changes in fair value for investments in publicly traded companies; (ii)changes in NAV for investments in privately held entities that report NAV per share; (iii)observable price changes for investments in privately held entities that do not report NAV per share; and (iv)our share of unrealized gains or losses reported by our equity method investees. Realized gains and losses on our investments represent the difference between proceeds received upon disposition of investments and their historical or adjusted cost basis. For our equity method investments, realized gains and losses represent our share of realized gains or losses reported by the investee. Impairments are realized losses, which result in an adjusted cost basis, and represent charges to reduce the carrying values of investments in privately held entities that do not report NAV per share and equity method investments, if impairments are deemed other than temporary, to their estimated fair value. Funding commitments to investments in privately held entities that report NAV We are committed to funding approximately $380.7 million for our investments in privately held entities that report NAV. Our funding commitments expire at various dates over the next 12 years, with a weighted-average expiration of 8.6 years as of December 31, 2022. These investments are not redeemable by us, but we may receive distributions from these investments throughout their terms. Our investments in privately held entities that report NAV generally have expected initial terms in excess of 10 years. The weighted-average remaining term during which these investments are expected to be liquidated was 5.4 years as of December 31, 2022. The following tables summarize our investments as of December 31, 2022 and 2021 (in thousands):
Cumulative gains and losses (realized and unrealized) on investments in privately held entities that do not report NAV still held as of December 31, 2022 aggregated to a gain of $22.9 million, which consisted of upward adjustments aggregating $95.1 million, downward adjustments aggregating $1.6 million, and impairments aggregating $70.6 million. Our investment (loss) income for the years ended December 31, 2022, 2021, and 2020 consisted of the following (in thousands):
During the year ended December 31, 2022, gains and losses on investments in privately held entities that do not report NAV still held as of December 31, 2022 aggregated to a loss of $18.3 million, which consisted of upward adjustments aggregating $26.3 million, downward adjustments aggregating $5.8 million, and impairments aggregating $38.8 million. During the year ended December 31, 2021, gains and losses on investments in privately held entities that do not report NAV still held as of December 31, 2021 aggregated to a loss of $33.3 million, which consisted of upward adjustments aggregating $32.7 million and downward adjustments and impairments aggregating $66.0 million. During the year ended December 31, 2020, gains and losses on investments in privately held entities that do not report NAV still held as of December 31, 2020 aggregated to a gain of $3.1 million, which consisted of upward adjustments aggregating $36.7 million and downward adjustments and impairments aggregating $33.6 million. Unrealized gains or losses related to investments still held (excluding investments accounted for under the equity method of accounting) as of December 31, 2022, 2021, and 2020 aggregated to a loss of $276.5 million and gains of $109.4 million and $392.7 million, respectively. Our investment losses for the year ended December 31, 2022 also included $2.1 million of equity in earnings of our equity method investments. Refer to the “Investments” section in Note 2 – “Summary of significant accounting policies” to our consolidated financial statements for additional information.
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Other assets (Notes) |
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| Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Other Assets | The following table summarizes the components of other assets as of December 31, 2022 and 2021 (in thousands):
(1)We completed the sale of our real estate assets subject to sales-type leases in May 2022. As of December 31, 2022, we had no remaining sales-type leases. Refer to Note 5 – “Leases” to our consolidated financial statements for additional information.
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Fair value measurements (Notes) |
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| Fair Value Disclosures [Abstract] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Fair value measurements | We provide fair value information about all financial instruments for which it is practicable to estimate fair value. We measure and disclose the estimated fair value of financial assets and liabilities by utilizing a fair value hierarchy that distinguishes between data obtained from sources independent of the reporting entity and the reporting entity’s own assumptions about market participant assumptions. This hierarchy consists of three broad levels, as follows: (i) quoted prices in active markets for identical assets or liabilities (Level 1), (ii) significant other observable inputs (Level 2), and (iii) significant unobservable inputs (Level 3). Significant other observable inputs can include quoted prices for similar assets or liabilities in active markets, as well as inputs that are observable for the asset or liability, such as interest rates, foreign exchange rates, and yield curves. Significant unobservable inputs are typically based on an entity’s own assumptions, since there is little, if any, related market activity. In instances in which the determination of the fair value measurement is based on inputs from different levels of the fair value hierarchy, the level in the fair value hierarchy within which the entire fair value measurement falls is based on the lowest level of input that is significant to the fair value measurement in its entirety. Our assessment of the significance of a particular input to the fair value measurement in its entirety requires judgment and considers factors specific to the asset or liability. Assets and liabilities measured at fair value on a recurring basis The following table sets forth the assets that we measure at fair value on a recurring basis by level in the fair value hierarchy (in thousands). There were no liabilities measured at fair value on a recurring basis as of December 31, 2022 and 2021. In addition, there were no transfers of assets measured at fair value on a recurring basis to or from Level 3 in the fair value hierarchy during the year ended December 31, 2022.
Our investments in publicly traded companies represent investments with readily determinable fair values, and are carried at fair value, with changes in fair value classified in investment income in our consolidated financial statements. We also hold investments in privately held entities, which consist of (i) investments that report NAV, and (ii) investments that do not report NAV, as further described below. Our investments in privately held entities that report NAV, such as our privately held investments in limited partnerships, are carried at fair value using NAV as a practical expedient, with changes in fair value classified in net income. As of December 31, 2022 and 2021, the carrying values of investments in privately held entities that report NAV aggregated $759.8 million and $829.9 million, respectively. These investments are excluded from the fair value hierarchy above as required by the fair value accounting standards. We estimate the fair value of each of our investments in limited partnerships based on the most recent NAV reported by each limited partnership. As a result, the determination of fair values of our investments in privately held entities that report NAV generally does not involve significant estimates, assumptions, or judgments. Assets and liabilities measured at fair value on a nonrecurring basis The following table sets forth the assets measured at fair value on a nonrecurring basis by level within the fair value hierarchy as of December 31, 2022 and 2021 (in thousands). These investments were measured at various times during the period from January 1, 2018 to December 31, 2022.
(1)These amounts are included in the investments in privately held entities without observable price changes balances aggregating $388.9 million and $362.1 million as of December 31, 2022 and 2021, respectively, disclosed in Note 7 – “Investments” to our consolidated financial statements. The aforementioned balances represent the carrying amounts of investments in privately held entities that do not report NAV for which impairments have been recognized in accordance with the measurement alternative guidance described in the “Investments” section in Note 2 – “Summary of significant accounting policies” to our consolidated financial statements. (2)This balance represents the total carrying amount of our equity investments in privately held entities with observable price changes, included in the investments balance of $1.6 billion in our consolidated balance sheets as of December 31, 2022. For more information, refer to Note 7 – “Investments” to our consolidated financial statements. Our investments in privately held entities that do not report NAV are measured at cost, adjusted for observable price changes and impairments, with changes recognized in net income. These investments are adjusted based on the observable price changes in orderly transactions for the identical or similar investment of the same issuer. Further adjustments are not made until another observable transaction occurs. Therefore, the determination of fair values of our investments in privately held entities that do not report NAV does not involve significant estimates and assumptions or subjective and complex judgments. We also subject our investments in privately held entities that do not report NAV to a qualitative assessment for indicators of impairment. If indicators of impairment are present, we are required to estimate the investment’s fair value and immediately recognize an impairment charge in an amount equal to the investment’s carrying value in excess of its estimated fair value. The estimates of fair value typically incorporate valuation techniques that include an income approach reflecting a discounted cash flow analysis, and a market approach that includes a comparative analysis of acquisition multiples and pricing multiples generated by market participants. In certain instances, we may use multiple valuation techniques for a particular investment and estimate its fair value based on an average of multiple valuation results. Refer to Note 7 – “Investments” to our consolidated financial statements for additional information. Our real estate assets classified as held for sale are measured at fair value less cost to sell, with changes recognized in net income. We evaluate these assets utilizing an agreed-upon contractual sales price and available comparable market information. If this information is not available, we use estimated replacement costs or estimated cash flow projections that utilize appropriate discount and capitalization rates. As of December 31, 2022, the carrying amounts of our real estate investments classified as held for sale aggregated $116.1 million, which is included in the investments in real estate balance in our consolidated balance sheet. For our assets classified as held for sale during 2022, the estimated fair values were primarily based on unobservable inputs categorized within Level 3 of the fair value hierarchy. During the year ended December 31, 2022, we recognized impairment charges aggregating $20.9 million to reduce the carrying amounts of these assets to their respective estimated fair values less costs to sell. We expect to sell these real estate assets in 2023. Refer to Note 18 – “Assets classified as held for sale” to our consolidated financial statements for additional information. The carrying values of cash and cash equivalents, restricted cash, tenant receivables, deposits, notes receivable, accounts payable, accrued expenses, and other short-term liabilities approximate their fair value. The fair values of our secured notes payable and unsecured senior notes payable, and the amounts outstanding on our unsecured senior line of credit and commercial paper program, were estimated using widely accepted valuation techniques, including discounted cash flow analyses using significant other observable inputs such as available market information on discount and borrowing rates with similar terms, maturities, and credit ratings. Because the valuations of our financial instruments are based on these types of estimates, the actual fair value of our financial instruments may differ materially if our estimates do not prove to be accurate. Additionally, the use of different market assumptions or estimation methods may have a material effect on the estimated fair value amounts. As of December 31, 2022 and 2021, the book and estimated fair values of our secured notes payable and unsecured senior notes payable, and the amounts outstanding under our unsecured senior line of credit and commercial paper program, including the level within the fair value hierarchy for which the estimates were derived, were as follows (in thousands):
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Secured and unsecured senior debt (Notes) |
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| Debt Disclosure [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Secured and unsecured senior debt | The following table summarizes our outstanding indebtedness and respective principal payments as of December 31, 2022 (dollars in thousands):
(1)Represents the weighted-average interest rate as of the end of the applicable period, including amortization of loan fees, amortization of debt premiums (discounts), and other bank fees. (2)Reflects any extension options that we control. (3)Represents a secured construction loan held by our consolidated real estate joint venture at 99 Coolidge Avenue, of which we own a 75.0% interest. As of December 31, 2022, this joint venture has $135.6 million available under existing lender commitments. The interest rate shall be reduced from SOFR+2.70% to SOFR+2.10% over time upon the completion of certain leasing, construction, and financial covenant milestones. (4)Refer to “Amendment of our unsecured senior line of credit” and “$2.0 billion commercial paper program” on the next page. The following table summarizes our secured and unsecured senior debt and amounts outstanding under our unsecured senior line of credit and commercial paper program as of December 31, 2022 (dollars in thousands):
(1)Represents the weighted-average interest rate as of the end of the applicable period, including expense/income related to the amortization of loan fees, amortization of debt premiums (discounts), and other bank fees. (2)As of December 31, 2022, we had no outstanding balance on our unsecured senior line of credit. Our unsecured senior line of credit has aggregate commitments of $4.0 billion and bears an interest rate of SOFR plus 0.875%. In addition, the rate is subject to a sustainability adjustment of +/- four basis points based upon our ability to achieve certain annual sustainability targets. As of December 31, 2022, we had no commercial paper notes outstanding. (3)We calculate the weighted-average remaining term of our commercial paper notes by using the maturity date of our unsecured senior line of credit. Using the maturity date of our outstanding commercial paper, the consolidated weighted-average maturity of our debt is 13.2 years. The commercial paper notes sold during the year ended December 31, 2022 were issued at a weighted-average yield to maturity of 1.91% and had a weighted-average maturity term of 13 days. Unsecured senior notes payable In February 2022, we issued $1.8 billion of unsecured senior notes payable with a weighted-average interest rate of 3.28% and a weighted-average maturity of 22.0 years. The unsecured senior notes consisted of $800.0 million of 2.95% green unsecured senior notes due 2034 and $1.0 billion of 3.55% unsecured senior notes due 2052. Amendment of our unsecured senior line of credit On September 22, 2022, we amended our unsecured senior line of credit, and the key changes are summarized below:
In addition, the interest rate under our amended unsecured senior line of credit is subject to upward or downward adjustments of up to four basis points based upon our ability to achieve certain annual sustainability targets. As of December 31, 2022, we had no outstanding balance on our unsecured senior line of credit. $2.0 billion commercial paper program In September 2022, we increased the aggregate amount we may issue from time to time under our commercial paper program to $2.0 billion from $1.5 billion. Our commercial paper program provides us with the ability to issue up to $2.0 billion of commercial paper notes that bear interest at short-term fixed rates with a maturity of generally 30 days or less and a maximum maturity of 397 days from the date of issuance. Our commercial paper program is backed by our unsecured senior line of credit, and at all times we expect to retain a minimum undrawn amount of borrowing capacity under our unsecured senior line of credit equal to any outstanding notes issued under our commercial paper program. We use the net proceeds from the issuances of the notes for general working capital and other general corporate purposes. General corporate purposes may include, but are not limited to, the repayment of other debt and selective development, redevelopment, or acquisition of properties. As of December 31, 2022, we had no outstanding balance under our commercial paper program. Extinguishment of secured notes payable In April 2022, we repaid two secured notes payable aggregating $195.0 million due in 2024 with an effective interest rate of 3.40% and recognized a loss on early extinguishment of debt of $3.3 million, including a prepayment penalty and the write-off of unamortized loan fees. Interest expense The following table summarizes interest expense for the years ended December 31, 2022, 2021, and 2020 (in thousands):
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Accounts payable, accrued expenses, and other liabilities (Notes) |
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| Payables and Accruals [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Accounts payable, accrued expenses, and tenant security deposits | The following table summarizes the components of accounts payable, accrued expenses, and other liabilities as of December 31, 2022 and 2021 (in thousands):
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Earnings per share (Notes) |
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| Earnings Per Share [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Earnings per share | From time to time, we enter into forward equity sales agreements, which are discussed in Note 15 – “Stockholders’ equity” to our consolidated financial statements. We consider the potential dilution resulting from the forward equity sales agreements on the EPS calculations. At inception, the agreements do not have an effect on the computation of basic EPS as no shares are delivered until settlement. The common shares issued upon the settlement of the forward equity sales agreements, weighted for the period these common shares were outstanding, are included in the denominator of basic EPS. To determine the dilution resulting from the forward equity sales agreements during the period of time prior to settlement, we calculate the number of weighted-average shares outstanding – diluted using the treasury stock method. We account for unvested restricted stock awards that contain nonforfeitable rights to dividends as participating securities and include these securities in the computation of EPS using the two-class method. Our forward equity sales agreements are not participating securities and are therefore not included in the computation of EPS using the two-class method. Under the two-class method, we allocate net income (after amounts attributable to noncontrolling interests) to common stockholders and unvested restricted stock awards by using the weighted-average shares of each class outstanding for quarter-to-date and year-to-date periods independently, based on their respective participation rights to dividends declared (or accumulated) and undistributed earnings. The table reconciles the numerators and denominators of the basic and diluted EPS computations for the years ended December 31, 2022, 2021, and 2020 (in thousands, except per share amounts):
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Income taxes (Notes) |
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| Income Tax Disclosure [Abstract] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Income taxes | We have elected to be taxed as a REIT, under the Code. We believe we have qualified and continue to qualify as a REIT. Under the Code, a REIT that distributes at least 90% of its REIT taxable income to its shareholders annually and meets certain other conditions is not subject to federal income taxes, but could be subject to certain state, local, and foreign taxes. We distribute 100% of our taxable income annually; therefore, a provision for federal income taxes is not required. We distributed all of our REIT taxable income in 2021 and 2020 and, as a result, did not incur federal income tax in those years on such income. For the year ended December 31, 2022, we expect to distribute all of our REIT taxable income and, as a result, do not expect to incur federal income tax. We expect to finalize our 2022 REIT taxable income when we file our 2022 federal income tax return in 2023. The income tax treatment of distributions and dividends declared on our common stock for the years ended December 31, 2022, 2021, and 2020 was as follows (unaudited):
Beginning in 2018, the Tax Cuts and Jobs Act of 2017 added Section 199A to allow for a new tax deduction based on certain qualified business income. Section 199A provides eligible individual taxpayers a deduction of up to 20% of their qualified REIT dividends. Our dividends declared in a given quarter are generally paid during the subsequent quarter. The taxability information presented above for our dividends paid in 2022 is based upon management’s estimate. Our federal tax return for 2022 is due on or before October 15, 2023, assuming we file for an extension of the due date. Our federal tax returns for previous tax years have not been examined by the IRS. Consequently, the taxability of distributions and dividends is subject to change. In addition to our REIT tax returns, we file federal, state, and local tax returns for our subsidiaries. We file with jurisdictions located in the U.S., Canada, China, and other international locations and may be subject to audits, assessments, or other actions by local taxing authorities. We recognize tax benefits of uncertain tax positions only if it is more likely than not that the tax position will be sustained, based solely on its technical merits, with the taxing authority having full knowledge of all relevant information. The measurement of a tax benefit for an uncertain tax position that meets the “more likely than not” threshold is based on a cumulative probability model under which the largest amount of tax benefit recognized is the amount with a greater than 50% likelihood of being realized upon ultimate settlement with the taxing authority that has full knowledge of all relevant information. As of December 31, 2022, there were no material unrecognized tax benefits. We do not anticipate a significant change to the total amount of unrecognized tax benefits within the next 12 months. Interest expense and penalties, if any, are recognized in the first period during which the interest or penalties begin accruing, according to the provisions of the relevant tax law at the applicable statutory rate of interest. We did not incur any significant tax-related interest expense or penalties for the years ended December 31, 2022, 2021, and 2020. The following reconciles net income (determined in accordance with GAAP) to taxable income as filed with the IRS for the years ended December 31, 2021 and 2020 (in thousands and unaudited):
(1)Total common stock dividend distributions paid were approximately $656.0 million and $533.0 million during the years ended December 31, 2021 and 2020, respectively.
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Commitments and contingencies (Notes) |
12 Months Ended |
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Dec. 31, 2022 | |
| Commitments and Contingencies Disclosure [Abstract] | |
| Commitments and contingencies | COMMITMENTS AND CONTINGENCIES Employee retirement savings plan We have a retirement savings plan pursuant to Section 401(k) of the Code whereby our employees may contribute a portion of their compensation to their respective retirement accounts in an amount not to exceed the maximum allowed under the Code. In addition to employee contributions, we have elected to provide company discretionary profit-sharing contributions (subject to statutory limitations), which amounted to approximately $8.7 million, $5.0 million, and $6.2 million for the years ended December 31, 2022, 2021, and 2020, respectively. Employees who participate in the plan are immediately vested in their contributions and in the contributions made on their behalf by the Company. Concentration of credit risk We maintain our cash and cash equivalents at insured financial institutions. The combined account balances at each institution periodically exceed the FDIC insurance coverage of $250,000, and, as a result, there is a concentration of credit risk related to amounts in excess of FDIC insurance coverage. We have not experienced any losses to date on our invested cash. Our rental revenue is generated by a diverse array of many tenants. As of December 31, 2022, we had over 1,000 leases with a total of approximately 1,000 tenants. The inability of any single tenant to make its lease payments is unlikely to have a severe or financially disruptive effect on our operations. As of December 31, 2022, our three largest tenants accounted for 3.5%, 2.6%, and 2.5% of our aggregate annual rental revenue individually, or 8.6% in the aggregate.Commitments As of December 31, 2022, remaining aggregate costs under contract for the construction of properties undergoing development, redevelopment, and improvements under the terms of leases approximated $3.5 billion. We expect payments for these obligations to occur over to three years, subject to capital planning adjustments from time to time. We may have the ability to cease the construction of certain properties, which would result in the reduction of our commitments. In addition, we have letters of credit and performance obligations aggregating $22.4 million primarily related to deposits for acquisitions in our Greater Boston and San Francisco Bay Area markets. We are committed to funding approximately $415.4 million related to our non-real estate investments. These funding commitments are primarily associated with our investments in privately held entities that report NAV, which expire at various dates over the next 12 years, with a weighted-average expiration of 8.6 years as of December 31, 2022.
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Stockholders' equity (Notes) |
12 Months Ended |
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Dec. 31, 2022 | |
| Stockholders' Equity Note [Abstract] | |
| Stockholders' equity | Common equity transactions During the year ended December 31, 2022, our common equity transactions included the following: •In January 2022, we entered into new forward equity sales agreements aggregating $1.7 billion to sell 8.1 million shares of our common stock (including the exercise of an underwriters’ option) at a public offering price of $210.00 per share, before underwriting discounts and commissions. •In March 2022, we settled a portion of our forward equity sales agreements by issuing 3.2 million shares and received net proceeds of $648.2 million. •In September 2022, we settled a portion of our outstanding forward equity agreements by issuing 1.0 million shares and received net proceeds of $199.7 million. •In November 2022, we settled the remaining of our outstanding forward equity agreements by issuing 3.8 million shares and received net proceeds of $763.3 million. •In December 2021, we entered into a new ATM common stock offering program, which allows us to sell up to an aggregate of $1.0 billion of our common stock. •We entered into new forward equity sales agreements aggregating $858.1 million to sell 4.9 million shares under our ATM program at an average price of $175.12 per share (before underwriting discounts). •During the three months ended December 31, 2022, we settled a portion of our outstanding forward equity agreements by issuing 4.2 million shares and received net proceeds of $737.4 million. •We expect to settle the remaining outstanding forward equity agreements by issuing 699,274 shares and receive net proceeds of approximately $102.4 million in 2023. •As of December 31, 2022, the remaining aggregate amount available under our ATM program for future sales of common stock was $141.9 million. Accumulated other comprehensive loss The change in accumulated other comprehensive loss attributable to Alexandria Real Estate Equities, Inc.’s stockholders during the year ended December 31, 2022, was entirely due to net unrealized losses of $13.5 million on foreign currency translation related to our operations in Canada and China. Common stock, preferred stock, and excess stock authorizations In May 2022, our stockholders approved an amendment to our charter to increase the authorized number of shares of common stock from 200.0 million to 400.0 million, of which 170.7 million shares were issued and outstanding as of December 31, 2022. Our charter also authorizes the issuance of up to 100.0 million shares of preferred stock, none of which were issued and outstanding as of December 31, 2022. In addition, 200.0 million shares of “excess stock” (as defined in our charter) are authorized, none of which were issued and outstanding as of December 31, 2022.
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Share-based compensation (Notes) |
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| Share-Based Payment Arrangement [Abstract] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Share-based compensation | Stock award and incentive plan For the purpose of attracting and retaining the highest-quality personnel, providing for additional incentives, and promoting the success of our Company, we generally issue share-based compensation in the form of restricted stock, pursuant to our stock award and incentive plan. We have not granted any options since 2002. Each restricted share issued reduced our share reserve by three shares (3:1 ratio) prior to March 23, 2018 and by one share (1:1 ratio) on and after March 23, 2018. As of December 31, 2022, there were 3,838,370 shares reserved for the granting of future stock-based awards under our stock award and incentive plan. In addition, our stock award and incentive plan permits us to issue share awards to our employees, non-employees, and non-employee directors. A share award is an award of common stock that (i) may be fully vested upon issuance or (ii) may be subject to the risk of forfeiture under Section 83 of the Code. Shares issued generally vest over a four-year period from the date of issuance, and the sale of the shares is restricted prior to the date of vesting. Certain restricted share awards are also subject to an additional one-year holding period after vesting. The unearned portion of time-based share awards is amortized as stock compensation expense on a straight-line basis over the vesting period. Certain restricted share awards are subject to vesting based upon the satisfaction of levels of performance or market conditions. Failure to satisfy the threshold performance conditions will result in the forfeiture of shares and in a reversal of previously recognized share-based compensation expense. Failure to satisfy the market condition results in the forfeiture of shares but does not result in a reversal of previously recognized share-based compensation expense, provided that the requisite service has been rendered. Forfeiture of time-based, performance-based, or market-based awards due to the failure to meet the service requirement results in the reversal of previously recognized share-based compensation expense. Departure of co-chief executive officer effective July 31, 2022 On July 1, 2022, Stephen A. Richardson, co-chief executive officer, tendered his resignation from all of his positions with the Company and its subsidiaries, which became effective July 31, 2022, and notified the Company of his intent to retire from full-time employment and his professional career for family and personal reasons. Following the effective date of Mr. Richardson’s resignation, his duties and responsibilities were allocated to other members of the Company’s executive management team. Mr. Richardson continues to assist the Company as a strategic consultant for internal growth. Mr. Richardson’s outstanding unvested stock awards continue to vest pursuant to the terms effective on each respective grant date. Due to the reduction in the level of Mr. Richardson’s services to the Company following his resignation from the co-CEO role, applicable stock compensation accounting standards required the acceleration of unamortized compensation of approximately $7.2 million classified in general and administrative expenses in consolidated statements of operations for the year ended December 31, 2022, representing the difference between compensation expense recognized in connection with the unvested awards and the fair value of these awards. The following is a summary of the stock awards activity under our equity incentive plan and related information for the years ended December 31, 2022, 2021, and 2020 (dollars in thousands, except per share information):
Certain restricted stock awards granted during 2022, 2021, and 2020 are subject to performance and market conditions. The grant date fair value of these awards is determined using a Monte Carlo simulation pricing model using the following assumptions for 2022, 2021, and 2020, respectively: (i) expected term of 2.8 years, 3.0 years, and 3.0 years (equal to the remaining performance measurement period at the grant date), (ii) volatility of 30.0%, 29.0%, and 17.0% (approximating a blended average of implied and historical volatilities), (iii) dividend yield of 2.5%, 2.8%, and 2.8%, and (iv) risk-free rate of 2.47%, 0.23%, and 1.63%. As of December 31, 2022, there was $256.5 million of unrecognized compensation related to unvested share awards under the equity incentive plan, which is expected to be recognized over the next four years and has a weighted-average vesting period of approximately 21 months.
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Noncontrolling interests (Notes) |
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Dec. 31, 2022 | |
| Noncontrolling Interest [Abstract] | |
| Noncontrolling interests | Noncontrolling interests represent the third-party interests in certain entities in which we have a controlling interest. These entities owned 64 properties as of December 31, 2022 and are included in our consolidated financial statements. Noncontrolling interests are adjusted for additional contributions and distributions, the proportionate share of the net earnings or losses, and other comprehensive income or loss. Distributions, profits, and losses related to these entities are allocated in accordance with the respective operating agreements. During the years ended December 31, 2022 and 2021, we distributed $192.2 million and $112.4 million, respectively, to our consolidated real estate joint venture partners. Certain of our noncontrolling interests have the right to require us to redeem their ownership interests in the respective entities. We classify these ownership interests in the entities as redeemable noncontrolling interests outside of total equity in our consolidated balance sheets. Redeemable noncontrolling interests are adjusted for additional contributions and distributions, the proportionate share of the net earnings or losses, and other comprehensive income or loss. If the amount of a redeemable noncontrolling interest is less than the maximum redemption value at the balance sheet date, such amount is adjusted to the maximum redemption value. Subsequent declines in the redemption value are recognized only to the extent that previous increases have been recognized. Refer to the “Formation of consolidated real estate joint ventures and sales of partial interests” section in Note 4 – “Consolidated and unconsolidated real estate joint ventures” to our consolidated financial statements for additional information.
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Assets Classified As Held for Sale (Notes) |
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| Discontinued Operations and Disposal Groups [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Assets Held for Sale | As of December 31, 2022, we had 10 properties and a land parcel in North America aggregating 297,284 RSF, including eight contiguous properties aggregating 128,870 RSF in a non-core submarket, and one property in Asia aggregating 334,144 RSF, which were classified as held for sale in our consolidated financial statements. The disposal of properties classified as held for sale does not represent a strategic shift and therefore does not meet the criteria for classification as a discontinued operation. We cease depreciation of our properties upon their classification as held for sale. Refer to the “Real estate sales” subsection of the “Investments in real estate” section in Note 2 – “Summary of significant accounting policies” and the “Sales of real estate assets and impairment charges” section in Note 3 – “Investment in real estate” for information about impairment charges related to our assets classified as held for sale recognized during the year ended December 31, 2022. The following is a summary of net assets as of December 31, 2022 and 2021 for our real estate investments that were classified as held for sale as of each respective date (in thousands):
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Schedule III - Consolidated Financial Statement Schedule of Rental Properties and Accumulated Depreciation (Notes) |
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| SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation Disclosure [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Schedule III - Consolidated Financial Statement Schedule of Rental Properties and Accumulated Depreciation | Alexandria Real Estate Equities, Inc. and Subsidiaries Schedule III Consolidated Financial Statement Schedule of Real Estate and Accumulated Depreciation December 31, 2022 (Dollars in thousands)
Alexandria Real Estate Equities, Inc. Consolidated Financial Statement Schedule of Rental Properties and Accumulated Depreciation December 31, 2022 (Dollars in thousands) (1)As of December 31, 2022, the total cost of our real estate assets aggregated $34.3 billion, which exceeded the cost of real estate for federal income tax purposes aggregating $33.7 billion by approximately $562.3 million. (2)The depreciable life ranges up to 40 years for buildings and improvements, up to 20 years for land improvements, and the term of the respective lease for tenant improvements. (3)Represents the later of the date of original construction or the date of the latest renovation. Alexandria Real Estate Equities, Inc. Consolidated Financial Statement Schedule of Real Estate and Accumulated Depreciation December 31, 2022 (In thousands) A summary of activity of consolidated investments in real estate and accumulated depreciation is as follows:
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Summary of significant accounting policies (Policies) |
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| Organization, Consolidation and Presentation of Financial Statements [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Consolidation | On an ongoing basis, as circumstances indicate the need for reconsideration, we evaluate each legal entity that is not wholly owned by us in accordance with the consolidation accounting guidance. Our evaluation considers all of our variable interests, including equity ownership, as well as fees paid to us for our involvement in the management of each partially owned entity. To fall within the scope of the consolidation guidance, an entity must meet both of the following criteria: •The entity has a legal structure that has been established to conduct business activities and to hold assets; such entity can be in the form of a partnership, limited liability company, or corporation, among others; and •We have a variable interest in the legal entity — i.e., variable interests that are contractual, such as equity ownership, or other financial interests that change with changes in the fair value of the entity’s net assets. If an entity does not meet both criteria above, we apply other accounting literature, such as the cost or equity method of accounting. If an entity does meet both criteria above, we evaluate such entity for consolidation under either the variable interest model if the legal entity meets any of the following characteristics to qualify as a VIE, or under the voting model for all other legal entities that are not VIEs. A legal entity is determined to be a VIE if it has any of the following three characteristics: 1)The entity does not have sufficient equity to finance its activities without additional subordinated financial support; 2)The entity is established with non-substantive voting rights (i.e., the entity deprives the majority economic interest holder(s) of voting rights); or 3)The equity holders, as a group, lack the characteristics of a controlling financial interest. Equity holders meet this criterion if they lack any of the following: •The power, through voting rights or similar rights, to direct the activities of the entity that most significantly influence the entity’s economic performance, as evidenced by: •Substantive participating rights in day-to-day management of the entity’s activities; or •Substantive kick-out rights over the party responsible for significant decisions; •The obligation to absorb the entity’s expected losses; or •The right to receive the entity’s expected residual returns. Our real estate joint ventures consist of limited partnerships or limited liability companies. For an entity structured as a limited partnership or a limited liability company, our evaluation of whether the equity holders (equity partners other than the general partner or the managing member of a joint venture) lack the characteristics of a controlling financial interest includes the evaluation of whether the limited partners or non-managing members (the noncontrolling equity holders) lack both substantive participating rights and substantive kick-out rights, defined as follows: •Participating rights provide the noncontrolling equity holders the ability to direct significant financial and operating decisions made in the ordinary course of business that most significantly influence the entity’s economic performance. •Kick-out rights allow the noncontrolling equity holders to remove the general partner or managing member without cause. If we conclude that any of the three characteristics of a VIE are met, including that the equity holders lack the characteristics of a controlling financial interest because they lack both substantive participating rights and substantive kick-out rights, we conclude that the entity is a VIE and evaluate it for consolidation under the variable interest model. Variable interest model If an entity is determined to be a VIE, we evaluate whether we are the primary beneficiary. The primary beneficiary analysis is a qualitative analysis based on power and benefits. We consolidate a VIE if we have both power and benefits — that is, (i) we have the power to direct the activities of a VIE that most significantly influence the VIE’s economic performance (power) and (ii) we have the obligation to absorb losses of or the right to receive benefits from the VIE that could potentially be significant to the VIE (benefits). We consolidate VIEs whenever we determine that we are the primary beneficiary. If we have a variable interest in a VIE but are not the primary beneficiary, we account for our investment using the equity method of accounting. Voting model If a legal entity fails to meet any of the three characteristics of a VIE (i.e., insufficiency of equity, existence of non-substantive voting rights, or lack of a controlling financial interest), we then evaluate such entity under the voting model. Under the voting model, we consolidate the entity if we determine that we, directly or indirectly, have greater than 50% of the voting shares and that other equity holders do not have substantive participating rights. Refer to Note 4 – “Consolidated and unconsolidated real estate joint ventures” to our consolidated financial statements for information on specific joint ventures that qualify as VIEs and unconsolidated real estate joint ventures that qualify for evaluation under the voting model.
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| Use of estimates | Use of estimates The preparation of consolidated financial statements in conformity with GAAP requires us to make estimates and assumptions that affect the reported amounts of assets, liabilities, and equity; the disclosure of contingent assets and liabilities as of the date of the consolidated financial statements; and the amounts of revenues and expenses during the reporting period. Actual results could materially differ from those estimates.
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| Reportable segment | Reportable segment We are engaged in the business of providing space for lease to life science, agtech, and technology tenants. Our properties are similar in that they provide space for lease to the aforementioned industries, consist of improvements that are generic and reusable, are primarily located in AAA urban innovation cluster locations, and have similar economic characteristics. Our chief operating decision makers review financial information for our entire consolidated operations when making decisions related to assessing our operating performance, and review financial information for our individual properties when determining how to allocate resources related to capital expenditures. We have aggregated the properties into one reportable segment as the properties share similar long-term economic characteristics and have other similarities, including the fact that they are operated using consistent business strategies, are typically located in major metropolitan areas, and have similar tenant mixes. The financial information disclosed herein represents all of the financial information related to our one reportable segment.
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| Investments in real estate | Investments in real estate Evaluation of business combination or asset acquisition We evaluate each acquisition of real estate or in-substance real estate (including equity interests in entities that predominantly hold real estate assets) to determine whether the integrated set of assets and activities acquired meets the definition of a business and needs to be accounted for as a business combination. An acquisition of an integrated set of assets and activities that does not meet the definition of a business is accounted for as an asset acquisition. If either of the following criteria is met, the integrated set of assets and activities acquired would not qualify as a business: •Substantially all of the fair value of the gross assets acquired is concentrated in either a single identifiable asset or a group of similar identifiable assets; or •The integrated set of assets and activities is lacking, at a minimum, an input and a substantive process that together significantly contribute to the ability to create outputs (i.e., revenue generated before and after the transaction). An acquired process is considered substantive if: •The process includes an organized workforce (or includes an acquired contract that provides access to an organized workforce) that is skilled, knowledgeable, and experienced in performing the process; •The process cannot be replaced without significant cost, effort, or delay; or •The process is considered unique or scarce. Generally, our acquisitions of real estate or in-substance real estate do not meet the definition of a business because substantially all of the fair value is concentrated in a single identifiable asset or group of similar identifiable assets (i.e., land, buildings, and related intangible assets) or because the acquisition does not include a substantive process in the form of an acquired workforce or an acquired contract that cannot be replaced without significant cost, effort, or delay. When evaluating acquired service or management contracts, we consider the nature of the services performed, the terms of the contract relative to similar arm’s-length contracts, and the availability of comparable vendors in evaluating whether the acquired contract constitutes a substantive process. Recognition of real estate acquired We evaluate each acquisition of real estate or in-substance real estate (including equity interests in entities that predominantly hold real estate assets) to determine whether the integrated set of assets and activities acquired meets the definition of a business and needs to be accounted for as a business combination. An acquisition of an integrated set of assets and activities that does not meet the definition of a business is accounted for as an asset acquisition. For acquisitions of real estate or in-substance real estate that are accounted for as business combinations, we allocate the acquisition consideration (excluding acquisition costs) to the assets acquired, liabilities assumed, noncontrolling interests, and previously existing ownership interests at fair value as of the acquisition date. Assets include intangible assets such as tenant relationships, acquired in-place leases, and favorable intangibles associated with in-place leases in which we are the lessor. Liabilities include unfavorable intangibles associated with in-place leases in which we are the lessor. In addition, for acquired in-place finance or operating leases in which we are the lessee, acquisition consideration is allocated to lease liabilities and related right-of-use assets, adjusted to reflect favorable or unfavorable terms of the lease when compared with market terms. Any excess (deficit) of the consideration transferred relative to the fair value of the net assets acquired is accounted for as goodwill (bargain purchase gain). Acquisition costs related to business combinations are expensed as incurred. Generally, we expect that acquisitions of real estate or in-substance real estate will not meet the definition of a business because substantially all of the fair value is concentrated in a single identifiable asset or group of similar identifiable assets (i.e., land, buildings, and related intangible assets). The accounting model for asset acquisitions is similar to the accounting model for business combinations, except that the acquisition consideration (including acquisition costs) is allocated to the individual assets acquired and liabilities assumed on a relative fair value basis. Any excess (deficit) of the consideration transferred relative to the sum of the fair value of the assets acquired and liabilities assumed is allocated to the individual assets and liabilities based on their relative fair values. As a result, asset acquisitions do not result in the recognition of goodwill or a bargain purchase gain. Incremental and external direct acquisition costs related to acquisitions of real estate or in-substance real estate (such as legal and other third-party services) are capitalized. We exercise judgment to determine the key assumptions used to allocate the purchase price of real estate acquired among its components. The allocation of the consideration to the various components of properties acquired during the year can have an effect on our net income due to the useful depreciable and amortizable lives applicable to each component and the recognition of the related depreciation and amortization expense in our consolidated statements of operations. We apply judgment in utilizing available comparable market information to assess relative fair value. We assess the relative fair values of tangible and intangible assets and liabilities based on available comparable market information, including estimated replacement costs, rental rates, and recent market transactions. In addition, we may use estimated cash flow projections that utilize appropriate discount and capitalization rates. Estimates of future cash flows are based on a number of factors, including the historical operating results, known and anticipated trends, and market/economic conditions that may affect the property. The value of tangible assets acquired is based upon our estimation of fair value on an “as if vacant” basis. The value of acquired in-place leases includes the estimated costs during the hypothetical lease-up period and other costs that would have been incurred in the execution of similar leases under the market conditions at the acquisition date of the acquired in-place lease. If there is a bargain fixed-rate renewal option for the period beyond the noncancelable lease term of an in-place lease, we evaluate intangible factors, such as the business conditions in the industry in which the lessee operates, the economic conditions in the area in which the property is located, and the ability of the lessee to sublease the property during the renewal term, in order to determine the likelihood that the lessee will renew. When we determine that there is reasonable assurance that such bargain purchase option will be exercised, we consider the option in determining the intangible value of such lease and its related amortization period. We also recognize the relative fair values of assets acquired, the liabilities assumed, and any noncontrolling interest in acquisitions of less than a 100% interest when the acquisition constitutes a change in control of the acquired entity. Depreciation and amortization The values allocated to buildings and building improvements, land improvements, tenant improvements, and equipment are depreciated on a straight-line basis. For buildings and building improvements, we depreciate using the shorter of the respective ground lease terms or their estimated useful lives, not to exceed 40 years. Land improvements are depreciated over their estimated useful lives, not to exceed 20 years. Tenant improvements are depreciated over their respective lease terms or estimated useful lives, and equipment is depreciated over the shorter of the lease term or its estimated useful life. The values of the right-of-use assets are amortized on a straight-line basis over the remaining terms of each related lease. The values of acquired in-place leases and associated favorable intangibles (i.e., acquired above-market leases) are classified in other assets in our consolidated balance sheets and are amortized over the remaining terms of the related leases as a reduction of income from rentals in our consolidated statements of operations. The values of unfavorable intangibles (i.e., acquired below-market leases) associated with acquired in-place leases are classified in accounts payable, accrued expenses, and other liabilities in our consolidated balance sheets and are amortized over the remaining terms of the related leases as an increase in income from rentals in our consolidated statements of operations. Capitalized project costs We capitalize project costs, including pre-construction costs, interest, property taxes, insurance, and other costs directly related and essential to the development, redevelopment, pre-construction, or construction of a project. Capitalization of development, redevelopment, pre-construction, and construction costs is required while activities are ongoing to prepare an asset for its intended use. Fluctuations in our development, redevelopment, pre-construction, and construction activities could result in significant changes to total expenses and net income. Costs incurred after a project is substantially complete and ready for its intended use are expensed as incurred. Should development, redevelopment, pre-construction, or construction activity cease, interest, property taxes, insurance, and certain other costs would no longer be eligible for capitalization and would be expensed as incurred. Expenditures for repairs and maintenance are expensed as incurred. Real estate sales A property is classified as held for sale when all of the following criteria for a plan of sale have been met: (i) management, having the authority to approve the action, commits to a plan to sell the property; (ii) the property is available for immediate sale in its present condition, subject only to terms that are usual and customary; (iii) an active program to locate a buyer and other actions required to complete the plan to sell have been initiated; (iv) the sale of the property is probable and is expected to be completed within one year; (v) the property is being actively marketed for sale at a price that is reasonable in relation to its current fair value; and (vi) actions necessary to complete the plan of sale indicate that it is unlikely that significant changes to the plan will be made or that the plan will be withdrawn. Depreciation of assets ceases upon designation of a property as held for sale. For additional details, refer to Note 18 – “Assets classified as held for sale” to our consolidated financial statements. If the disposal of a property represents a strategic shift that has (or will have) a major effect on our operations or financial results, such as (i) a major line of business, (ii) a major geographic area, (iii) a major equity method investment, or (iv) other major parts of an entity, then the operations of the property, including any interest expense directly attributable to it, are classified as discontinued operations in our consolidated statements of operations, and amounts for all prior periods presented are reclassified from continuing operations to discontinued operations. The disposal of an individual property generally will not represent a strategic shift and therefore will typically not meet the criteria for classification as a discontinued operation. We recognize gains or losses on real estate sales in accordance with the accounting standard on the derecognition of nonfinancial assets arising from contracts with noncustomers. Our ordinary output activities consist of the leasing of space to our tenants in our operating properties, not the sales of real estate. Therefore, sales of real estate (in which we are the seller) qualify as contracts with noncustomers. In our transactions with noncustomers, we apply certain recognition and measurement principles consistent with our method of recognizing revenue arising from contracts with customers. Derecognition of the asset is based on the transfer of control. If a real estate sales contract includes our ongoing involvement with the property, then we evaluate each promised good or service under the contract to determine whether it represents a separate performance obligation, constitutes a guarantee, or prevents the transfer of control. If a good or service is considered a separate performance obligation, an allocated portion of the transaction price is recognized as revenue as we transfer the related good or service to the buyer. The recognition of gain or loss on the sale of a partial interest also depends on whether we retain a controlling or noncontrolling interest in the property. If we retain a controlling interest in the property upon completion of the sale, we continue to reflect the asset at its book value, record a noncontrolling interest for the book value of the partial interest sold, and recognize additional paid-in capital for the difference between the consideration received and the partial interest at book value. Conversely, if we retain a noncontrolling interest upon completion of the sale of a partial interest of real estate, we recognize a gain or loss as if 100% of the asset were sold.
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| Impairment of long-lived assets | Impairment of long-lived assets Prior to and subsequent to the end of each quarter, we review current activities and changes in the business conditions of all of our long-lived assets to determine the existence of any triggering events or impairment indicators requiring an impairment analysis. If triggering events or impairment indicators are identified, we review an estimate of the future undiscounted cash flows, including, if necessary, a probability-weighted approach if multiple outcomes are under consideration. Long-lived assets to be held and used, including our rental properties, CIP, land held for development, right-of-use assets related to operating leases in which we are the lessee, and intangibles, are individually evaluated for impairment when conditions exist that may indicate that the carrying amount of a long-lived asset may not be recoverable. The carrying amount of a long-lived asset to be held and used is not recoverable if it exceeds the sum of the undiscounted cash flows expected to result from the use and eventual disposition of the asset. Triggering events or impairment indicators for long-lived assets to be held and used are assessed by project and include significant fluctuations in estimated net operating income, occupancy changes, significant near-term lease expirations, current and historical operating and/or cash flow losses, construction costs, estimated completion dates, rental rates, and other market factors. We assess the expected undiscounted cash flows based upon numerous factors, including, but not limited to, construction costs, available market information, current and historical operating results, known trends, current market/economic conditions that may affect the asset, and our assumptions about the use of the asset, including, if necessary, a probability-weighted approach if multiple outcomes are under consideration. Upon determination that an impairment has occurred, a write-down is recognized to reduce the carrying amount of the asset to its estimated fair value. If an impairment charge is not required to be recognized, the recognition of depreciation or amortization is adjusted prospectively, as necessary, to reduce the carrying amount of the asset to its estimated disposition value over the remaining period that the asset is expected to be held and used. We may adjust depreciation of properties that are expected to be disposed of or redeveloped prior to the end of their useful lives. We use the held for sale impairment model for our properties classified as held for sale, which is different from the held and used impairment model. Under the held for sale impairment model, an impairment charge is recognized if the carrying amount of the long-lived asset classified as held for sale exceeds its fair value less cost to sell. Because of these two different models, it is possible for a long-lived asset previously classified as held and used to require the recognition of an impairment charge upon classification as held for sale.
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| International operations | International operations In addition to operating properties in the U.S., we have eight properties in Canada and one operating property in China. The functional currency for our subsidiaries operating in the U.S. is the U.S. dollar. The functional currencies for our foreign subsidiaries are the local currencies in each respective country. The assets and liabilities of our foreign subsidiaries are translated into U.S. dollars at the exchange rate in effect as of the financial statement date. Revenue and expense accounts of our foreign subsidiaries are translated using the weighted-average exchange rate for the periods presented. Gains or losses resulting from the translation are classified in accumulated other comprehensive income (loss) as a separate component of total equity and are excluded from net income (loss). Whenever a foreign investment meets the criteria for classification as held for sale, we evaluate the recoverability of the investment under the held for sale impairment model. We may recognize an impairment charge if the carrying amount of the investment exceeds its fair value less cost to sell. In determining an investment’s carrying amount, we consider its net book value and any cumulative unrealized foreign currency translation adjustment related to the investment. The appropriate amounts of foreign exchange rate gains or losses classified in accumulated other comprehensive income (loss) are reclassified to net income when realized upon the sale of our investment or upon the complete or substantially complete liquidation of our investment.
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| Investments | Investments We hold strategic investments in publicly traded companies and privately held entities primarily involved in the life science, agtech, and technology industries. As a REIT, we generally limit our ownership of each individual entity’s voting stock to less than 10%. We evaluate each investment to determine whether we have the ability to exercise significant influence, but not control, over an investee. We evaluate investments in which our ownership is equal to or greater than 20%, but less than or equal to 50%, of an investee’s voting stock with a presumption that we have this ability. For our investments in limited partnerships that maintain specific ownership accounts, we presume that such ability exists when our ownership interest exceeds 3% to 5%. In addition to our ownership interest, we consider whether we have a board seat or whether we participate in the policy-making process, among other criteria, to determine if we have the ability to exert significant influence, but not control, over an investee. If we determine that we have such ability, we account for the investment under the equity method of accounting, as described below. Investments accounted for under the equity method Under the equity method of accounting, we initially recognize our investment at cost and subsequently adjust the carrying amount of the investment for our share of earnings or losses reported by the investee, distributions received, and other-than-temporary impairments. For more information about our investments accounted for under the equity method, refer to Note 7 – “Investments” to our consolidated financial statements. Investments that do not qualify for the equity method of accounting For investees over which we determine that we do not have the ability to exercise significant influence or control, we account for each investment depending on whether it is an investment in a (i) publicly traded company, (ii) privately held entity that reports NAV per share, or (iii) privately held entity that does not report NAV per share, as described below. Investments in publicly traded companies Our investments in publicly traded companies are classified as investments with readily determinable fair values and are presented at fair value in our consolidated balance sheets, with changes in fair value classified in investment income (loss) in our consolidated statements of operations. The fair values for our investments in publicly traded companies are determined based on sales prices or quotes available on securities exchanges. Investments in privately held companies Our investments in privately held entities without readily determinable fair values consist of (i) investments in privately held entities that report NAV per share and (ii) investments in privately held entities that do not report NAV per share. These investments are accounted for as follows: Investments in privately held entities that report NAV per share Investments in privately held entities that report NAV per share, such as our privately held investments in limited partnerships, are presented at fair value using NAV as a practical expedient, with changes in fair value recognized in net income. We use NAV per share reported by limited partnerships generally without adjustment, unless we are aware of information indicating that the NAV reported by a limited partnership does not accurately reflect the fair value of the investment at our reporting date. Investments in privately held entities that do not report NAV per share Investments in privately held entities that do not report NAV per share are accounted for using a measurement alternative, under which these investments are measured at cost, adjusted for observable price changes and impairments, with changes recognized in net income. An observable price arises from an orderly transaction for an identical or similar investment of the same issuer, which is observed by an investor without expending undue cost and effort. Observable price changes result from, among other things, equity transactions of the same issuer executed during the reporting period, including subsequent equity offerings or other reported equity transactions related to the same issuer. To determine whether these transactions are indicative of an observable price change, we evaluate, among other factors, whether these transactions have similar rights and obligations, including voting rights, distribution preferences, and conversion rights to the investments we hold. Impairment evaluation of equity method investments and investments in privately held entities that do not report NAV per share We monitor equity method investments and investments in privately held entities that do not report NAV per share for new developments, including operating results, prospects and results of clinical trials, new product initiatives, new collaborative agreements, capital-raising events, and merger and acquisition activities. These investments are evaluated on the basis of a qualitative assessment for indicators of impairment by monitoring the presence of the following triggering events or impairment indicators: (i)a significant deterioration in the earnings performance, credit rating, asset quality, or business prospects of the investee; (ii)a significant adverse change in the regulatory, economic, or technological environment of the investee; (iii)a significant adverse change in the general market condition, including the research and development of technology and products that the investee is bringing or attempting to bring to the market; (iv)significant concerns about the investee’s ability to continue as a going concern; and/or (v)a decision by investors to cease providing support or reduce their financial commitment to the investee. If such indicators are present, we are required to estimate the investment’s fair value and immediately recognize an impairment charge in an amount equal to the investment’s carrying value in excess of its estimated fair value. Investment income/loss recognition and classification We recognize both realized and unrealized gains and losses in our consolidated statements of operations, classified within investment income. Unrealized gains and losses represent: (i)changes in fair value for investments in publicly traded companies; (ii)changes in NAV for investments in privately held entities that report NAV per share; (iii)observable price changes for investments in privately held entities that do not report NAV per share; and (iv)our share of unrealized gains or losses reported by our equity method investees. Realized gains and losses on our investments represent the difference between proceeds received upon disposition of investments and their historical or adjusted cost basis. For our equity method investments, realized gains and losses represent our share of realized gains or losses reported by the investee. Impairments are realized losses, which result in an adjusted cost basis, and represent charges to reduce the carrying values of investments in privately held entities that do not report NAV per share and equity method investments, if impairments are deemed other than temporary, to their estimated fair value.
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| Revenues | Revenues The table below provides details of our consolidated total revenues for the years ended December 31, 2022 and 2021 (in thousands):
During the year ended December 31, 2022, revenues that were subject to the lease accounting standard aggregated $2.5 billion, or 98.0% of our total revenues. During the year ended December 31, 2022, our total revenues also included $51.0 million, or 2.0%, subject to other accounting guidance. Our other income consisted primarily of construction management fees and interest income earned during the year ended December 31, 2022. For a detailed discussion related to our revenue streams, refer to the “Lease accounting” and “Recognition of revenue arising from contracts with customers” sections within this Note 2 to our consolidated financial statements.
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| Leases Summary | Lease accounting Definition and classification of a lease When we enter into a contract or amend an existing contract, we evaluate whether the contract meets the definition of a lease. To meet the definition of a lease, the contract must meet all three criteria: (i)One party (lessor) must hold an identified asset; (ii)The counterparty (lessee) must have the right to obtain substantially all of the economic benefits from the use of the asset throughout the period of the contract; and (iii)The counterparty (lessee) must have the right to direct the use of the identified asset throughout the period of the contract. We classify our leases as either finance leases or operating leases if we are the lessee, or sales-type, direct financing, or operating leases if we are the lessor. We use the following criteria to determine if a lease is a finance lease (as a lessee) or sales-type or direct financing lease (as a lessor): (i)Ownership is transferred from lessor to lessee by the end of the lease term; (ii)An option to purchase is reasonably certain to be exercised; (iii)The lease term is for the major part of the underlying asset’s remaining economic life; (iv)The present value of lease payments equals or exceeds substantially all of the fair value of the underlying asset; or (v)The underlying asset is specialized and is expected to have no alternative use at the end of the lease term. If we meet any of the above criteria, we account for the lease as a finance, a sales-type, or a direct financing lease. If we do not meet any of the criteria, we account for the lease as an operating lease. A lease is accounted for as a sales-type lease if it is considered to transfer control of the underlying asset to the lessee. A lease is accounted for as a direct financing lease if risks and rewards are conveyed without the transfer of control, which is normally indicated by the existence of a residual value guarantee from an unrelated third party other than the lessee. This classification will determine the method of recognition of the lease: •For an operating lease, we recognize income from rentals if we are the lessor, or rental operations expense if we are the lessee, over the term of the lease on a straight-line basis. •For a sales-type lease or a direct financing lease, we recognize the income from rentals, or for a finance lease, we recognize rental operations expense, over the term of the lease using the effective interest method. •At inception of a sales-type lease or a direct financing lease, if we determine the fair value of the leased property is lower than its carrying amount, we recognize a selling loss immediately at lease commencement. If fair value exceeds the carrying amount of a lease, a gain is recognized at lease commencement on a sales-type lease. For a direct financing lease, a gain is deferred at lease commencement and amortized over the lease term.
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| Leases, lessor accounting | Lessor accounting Costs to execute leases We capitalize initial direct costs, which represent only incremental costs of a lease that would not have been incurred if the lease had not been obtained. Costs that we incur to negotiate or arrange a lease, regardless of its outcome, such as for fixed employee compensation, tax, or legal advice to negotiate lease terms, and other costs, are expensed as incurred. Operating leases We account for the revenue from our lease contracts by utilizing the single component accounting policy. This policy requires us to account for, by class of underlying asset, the lease component and nonlease component(s) associated with each lease as a single component if two criteria are met: (i)The timing and pattern of transfer of the lease component and the nonlease component(s) are the same; and (ii)The lease component would be classified as an operating lease if it were accounted for separately. Lease components consist primarily of fixed rental payments, which represent scheduled rental amounts due under our leases, and contingent rental payments. Nonlease components consist primarily of tenant recoveries representing reimbursements of rental operating expenses under our triple net lease structure, including recoveries for utilities, repairs and maintenance, and common area expenses. If the lease component is the predominant component, we account for all revenues under such lease as a single component in accordance with the lease accounting standard. Conversely, if the nonlease component is the predominant component, all revenues under such lease are accounted for in accordance with the revenue recognition accounting standard. Our operating leases qualify for the single component accounting, and the lease component in each of our leases is predominant. Therefore, we account for all revenues from our operating leases under the lease accounting standard and classify these revenues as income from rentals in our consolidated statements of operations. We commence recognition of income from rentals related to the operating leases at the date the property is ready for its intended use by the tenant and the tenant takes possession or controls the physical use of the leased asset. Income from rentals related to fixed rental payments under operating leases is recognized on a straight-line basis over the respective operating lease terms. We classify amounts expected to be received in later periods as deferred rent in our consolidated balance sheets. Amounts received currently but recognized as revenue in future periods are classified in accounts payable, accrued expenses, and other liabilities in our consolidated balance sheets. Income from rentals related to variable payments includes tenant recoveries and contingent rental payments. Tenant recoveries, including reimbursements of utilities, repairs and maintenance, common area expenses, real estate taxes and insurance, and other operating expenses, are recognized as revenue in the period during which the applicable expenses are incurred and the tenant’s obligation to reimburse us arises. Income from rentals related to other variable payments is recognized when associated contingencies are removed. We assess collectibility from our tenants of future lease payments for each of our operating leases. If we determine that collectibility is probable, we recognize income from rentals based on the methodology described above. If we determine that collectibility is not probable, we recognize an adjustment to lower our income from rentals. Furthermore, we may recognize a general allowance at a portfolio level (not the individual level) if we do not expect to collect future lease payments in full. For each lease for which we determine that collectibility of future lease payments is not probable, we cease the recognition of income from rentals on a straight-line basis, and limit the recognition of income to the payments collected from the lessee. We do not resume straight-line recognition of income from rentals for these leases until we determine that the collectibility of future payments related to these leases is probable. We also record a general allowance related to the deferred rent balances that at the portfolio level (not the individual level) are not expected to be collected in full through the lease term. During the year ended December 31, 2022, we recorded adjustments aggregating $13.6 million, to increase the general allowance balance. As of December 31, 2022, our general allowance balance aggregated $20.4 million. Direct financing and sales-type leases Income from rentals related to our direct financing and sales-type leases is recognized over the lease term using the effective interest rate method. At lease commencement, we record an asset within other assets in our consolidated balance sheets, which represents our net investment in the lease. This initial net investment is determined by aggregating the present values of the total future lease payments attributable to the lease and the estimated residual value of the property, less any unearned income related to our direct financing lease. Over the lease term, the investment in the lease accretes in value, producing a constant periodic rate of return on the net investment in the lease. Income from these leases is classified in income from rentals in our consolidated statements of operations. Our net investment is reduced over time as lease payments are received. We evaluate our net investment in direct financing and sales-type leases for impairment under the current expected credit loss standard. For more information, refer to the “Allowance for credit losses” section within this Note 2 to our consolidated financial statements. On January 1, 2022, we adopted an accounting standard that requires lessors to classify a lease with variable lease payments that do not depend on an index or a rate as an operating lease on the commencement date of the lease if both of the following criteria are met: (i)The lease would have been classified as a sales-type lease or direct financing lease under the current lease standard; and (ii)The sales-type lease or direct financing lease classification would have resulted in a selling loss at lease commencement. Under this accounting standard, the lessor does not derecognize the underlying asset and does not recognize a loss upon lease commencement but continues to depreciate the underlying asset over its useful life. We elected a prospective application of this accounting standard to leases that commence or are modified on or after the date this standard was adopted. Historically, substantially all our leases in which we are the lessor have been operating leases; therefore, our adoption of this accounting standard has not had and is not expected to have a material effect on our consolidated financial statements.
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| Leases, lessee accounting | Lessee accounting We have operating lease agreements in which we are the lessee consisting of ground and office leases. At the lease commencement date (or at the acquisition date if the lease is acquired as part of a real estate acquisition), we are required to recognize a liability to account for our future obligations under these operating leases, and a corresponding right-of-use asset. The lease liability is measured based on the present value of the future lease payments, including payments during the term under our extension options that we are reasonably certain to exercise. The present value of the future lease payments is calculated for each operating lease using each respective remaining lease term and a corresponding estimated incremental borrowing rate, which is the interest rate that we estimate we would have to pay to borrow on a collateralized basis over a similar term for an amount equal to the lease payments. Subsequently, the lease liability is accreted by applying a discount rate established at the lease commencement date to the lease liability balance as of the beginning of the period and is reduced by the payments made during the period. We classify the operating lease liability in accounts payable, accrued expenses, and other liabilities in our consolidated balance sheets. The right-of-use asset is measured based on the corresponding lease liability, adjusted for initial direct leasing costs and any other consideration exchanged with the landlord prior to the commencement of the lease, as well as adjustments to reflect favorable or unfavorable terms of an acquired lease when compared with market terms at the time of acquisition. Subsequently, the right-of-use asset is amortized on a straight-line basis during the lease term. We classify the right-of-use asset in other assets in our consolidated balance sheets.
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| Recognition of revenue arising from contracts with customers | Recognition of revenue arising from contracts with customers We recognize revenues associated with transactions arising from contracts with customers, excluding revenues subject to the lease accounting standard discussed in the “Lease accounting” section above, in accordance with the revenue recognition accounting standard. A customer is distinguished from a noncustomer by the nature of the goods or services that are transferred. Customers are provided with goods or services that are generated by a company’s ordinary output activities, whereas noncustomers are provided with nonfinancial assets that are outside of a company’s ordinary output activities. We generally recognize revenue representing the transfer of goods and services to customers in an amount that reflects the consideration to which we expect to be entitled in the exchange. In order to determine the recognition of revenue from customer contracts, we use a five-step model to (i) identify the contract with the customer, (ii) identify the performance obligations in the contract, (iii) determine the transaction price, including variable consideration to the extent that it is probable that a significant future reversal will not occur, (iv) allocate the transaction price to the performance obligations in the contract, and (v) recognize revenue when (or as) we satisfy the performance obligation. We identify contractual performance obligations and determine whether revenue should be recognized at a point in time or over time, based on when control of goods and services transfers to a customer. We consider whether we control the goods or services prior to the transfer to the customer in order to determine whether we should account for the arrangement as a principal or agent. If we determine that we control the goods or services provided to the customer, then we are the principal to the transaction, and we recognize the gross amount of consideration expected in the exchange. If we simply arrange but do not control the goods or services being transferred to the customer, then we are considered to be an agent to the transaction, and we recognize the net amount of consideration we are entitled to retain in the exchange. Total revenues subject to the revenue recognition accounting standard and classified within income from rentals in our consolidated statements of operations for the years ended December 31, 2022 and 2021 included $38.1 million and $23.4 million, respectively, primarily related to short-term parking revenues associated with long-term lease agreements. Short-term parking revenues do not qualify for the single component accounting policy, as discussed in the “Lessor accounting” subsection of the “Lease accounting” section within this Note 2, due to the difference in the timing and pattern of transfer of our parking service obligations and associated lease components within the same lease agreement. We recognize short-term parking revenues in accordance with the revenue recognition accounting standard when the service is provided and the performance obligation is satisfied, which normally occurs at a point in time.
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| Monitoring of tenant credit quality | Monitoring of tenant credit quality During the term of each lease, we monitor the credit quality and any related material changes of our tenants by (i) monitoring the credit rating of tenants that are rated by a nationally recognized credit rating agency, (ii) reviewing financial statements of the tenants that are publicly available or that are required to be delivered to us pursuant to the applicable lease, (iii) monitoring news reports regarding our tenants and their respective businesses, and (iv) monitoring the timeliness of lease payments.
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| Allowance for credit losses | Allowance for credit losses We are required to estimate and recognize lifetime expected losses, rather than incurred losses, for most of our financial assets measured at amortized cost and certain other instruments, including trade and other receivables (excluding receivables arising from operating leases), loans, held-to-maturity debt securities, net investments in leases arising from sales-type and direct financing leases, and off-balance-sheet credit exposures (e.g., loan commitments). The recognition of such expected losses, even if the expected risk of credit loss is remote, typically results in earlier recognition of credit losses. An assessment of the collectibility of operating lease payments and the recognition of an adjustment to lease income based on this assessment is governed by the lease accounting standard discussed in the “Lease accounting” section earlier within this Note 2 to our consolidated financial statements. At each reporting date, we reassess our credit loss allowances on the aggregate net investment of our direct financing and sales-type leases and our trade receivables. If necessary, we recognize a credit loss adjustment for our current estimate of expected credit losses, which is classified within rental operations in our consolidated statements of operations. For further details, refer to Note 5 – “Leases” to our consolidated financial statements.
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| Income taxes | Income taxes We are organized and operate as a REIT pursuant to the Internal Revenue Code (the “Code”). Under the Code, a REIT that distributes at least 90% of its REIT taxable income to its stockholders annually (excluding net capital gains) and meets certain other conditions is not subject to federal income tax on its distributed taxable income, but could be subject to certain federal, foreign, state, and local taxes. We distribute 100% of our taxable income annually; therefore, a provision for federal income taxes is not required. In addition to our REIT returns, we file federal, foreign, state, and local tax returns for our subsidiaries. We file with jurisdictions located in the U.S., Canada, China, and other international locations. Our tax returns are subject to routine examination in various jurisdictions for the 2016 through 2021 calendar years.
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| Employee and non-employee share-based payments | Employee and non-employee share-based payments We have implemented an entity-wide accounting policy to account for forfeitures of share-based awards granted to employees and non-employees when they occur. As a result of this policy, we recognize expense on share-based awards with time-based vesting conditions without reductions for an estimate of forfeitures. This accounting policy only applies to service condition awards. For performance condition awards, we continue to assess the probability that such conditions will be achieved. Expenses related to forfeited awards are reversed as forfeitures occur. All nonforfeitable dividends paid on share-based payment awards are initially classified in retained earnings and reclassified to compensation cost only if forfeitures of the underlying awards occur. Our employee and non-employee share-based awards are measured at fair value on the grant date and recognized over the recipient’s required service period.
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| Forward equity sales agreements | Forward equity sales agreementsWe account for our forward equity sales agreements in accordance with the accounting guidance governing financial instruments and derivatives. As of December 31, 2022, none of our forward equity sales agreements were deemed to be liabilities as they did not embody obligations to repurchase our shares, nor did they embody obligations to issue a variable number of shares for which the monetary value was predominantly fixed, varied with something other than the fair value of our shares, or varied inversely in relation to our shares. We also evaluated whether the agreements met the derivatives and hedging guidance scope exception to be accounted for as equity instruments and concluded that the agreements can be classified as equity contracts based on the following assessment: (i) none of the agreements’ exercise contingencies were based on observable markets or indices besides those related to the market for our own stock price and operations; and (ii) none of the settlement provisions precluded the agreements from being indexed to our own stock. | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Issuer and guarantor subsidiaries of guaranteed securities | Issuer and guarantor subsidiaries of guaranteed securities Generally, a parent entity must provide separate subsidiary issuer or guarantor financial statements, unless it qualifies for disclosure exceptions. A parent entity may be eligible for disclosure exceptions if it meets the following criteria: (i)The subsidiary issuer or guarantor is a consolidated subsidiary of the parent company, and (ii)The subsidiary issues a registered security that is: •Issued jointly and severally with the parent company, or •Fully and unconditionally guaranteed by the parent company. A parent entity that meets the above criteria may instead present summarized financial information (“alternative disclosures”) either within the consolidated financial statements or within the “Management’s discussion and analysis of financial condition and results of operations” section in Item 7. We evaluated the criteria and determined that we are eligible for the disclosure exceptions, which allow us to provide alternative disclosures; as such, we present alternative disclosures within the “Management’s discussion and analysis of financial condition and results of operations” section in Item 7.
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| Loan fees | Loan fees Fees incurred in obtaining long-term financing are capitalized and classified with the corresponding debt instrument appearing on our consolidated balance sheet. Loan fees related to our unsecured senior line of credit are capitalized and classified within other assets. Capitalized amounts are amortized over the term of the related loan, and the amortization is classified in interest expense in our consolidated statements of operations.
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| Distributions from equity method investments | Distributions from equity method investments We use the “nature of the distribution” approach to determine the classification within our consolidated statements of cash flows of cash distributions received from equity method investments, including our unconsolidated real estate joint ventures and equity method non-real estate investments. Under this approach, distributions are classified based on the nature of the underlying activity that generated the cash distributions. If we lack the information necessary to apply this approach in the future, we will be required to apply the “cumulative earnings” approach as an accounting change on a retrospective basis. Under the cumulative earnings approach, distributions up to the amount of cumulative equity in earnings recognized are classified as cash inflows from operating activities, and those in excess of that amount are classified as cash inflows from investing activities.
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| Restricted Cash | Restricted cashWe present cash and cash equivalents separately from restricted cash within our consolidated balance sheets. However, we include restricted cash with cash and cash equivalents when reconciling the beginning-of-period and end-of-period total amounts shown in the consolidated statements of cash flows. We provide a reconciliation between the consolidated balance sheets and the consolidated statements of cash flows, as required when the balance includes more than one line item for cash, cash equivalents, and restricted cash. We also provide a disclosure of the nature of the restrictions related to material restricted cash balances. | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Recent accounting pronouncements | On June 30, 2022, the FASB issued an ASU to clarify the guidance on fair value measurement of an equity security that is subject to a contractual sale restriction. Currently, some entities apply a discount to the price of an equity security, subject to a contractual sale restriction, whereas others do not. This update eliminates the diversity in practice by clarifying that a recognition of a discount related to a contractual sale restriction is not permitted. This update does not change the application of existing measurement guidance on share-based compensation. We hold certain equity investments in publicly held entities that are subject to trading restrictions. We do not recognize a discount related to such trading restrictions; therefore, the adoption of this standard will have no impact on our consolidated financial statements. Pursuant to the disclosure requirements of this new standard, the footnotes to our consolidated financial statements will contain incremental disclosures related to equity securities that are subject to contractual sale restrictions, including (i) the fair value of such equity securities reflected in the balance sheet, (ii) the nature and remaining duration of the corresponding restrictions, and (iii) any circumstances that could cause a lapse in the restrictions. The accounting standard will become effective for us on January 1, 2024, with early adoption permitted. | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Summary of significant accounting policies (Tables) |
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| Organization, Consolidation and Presentation of Financial Statements [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Revenues subject to new accounting standards | The table below provides details of our consolidated total revenues for the years ended December 31, 2022 and 2021 (in thousands):
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Investments in real estate (Tables) |
12 Months Ended | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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| Real Estate Properties [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Investments in real estate | Our consolidated investments in real estate, including real estate assets classified as held for sale as described in Note 18 – “Assets classified as held for sale” to our consolidated financial statements, consisted of the following as of December 31, 2022 and 2021 (in thousands):
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| Real estate assets acquisitions | Our real estate asset acquisitions during the year ended December 31, 2022 consisted of the following (dollars in thousands):
(1)Represents the aggregate contractual purchase price of our acquisitions, which differs from purchases of real estate in our consolidated statements of cash flows due to the timing of payment, closing costs, and other acquisition adjustments such as prorations of rents and expenses.
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| Real estate assets dispositions | Our completed dispositions of and sales of partial interests in real estate assets during the year ended December 31, 2022 consisted of the following (dollars in thousands):
(1)Relates to sales of partial interests in real estate assets over which we retained control and therefore continue to consolidate. We recognized the difference between the consideration received and the book value of partial interests sold in additional paid-in capital, with no gain or loss recognized in earnings. (2)Represents the aggregate contractual sales price of our sales, which differs from proceeds from sales of real estate and contributions from and sales of noncontrolling interests in our consolidated statements of cash flows under “Investing activities” and “Financing activities,” respectively, primarily due to the timing of payment, closing costs, and other sales adjustments such as prorations of rents and expenses.
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| Acquired below-market leases | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Real Estate Properties [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Schedule of Finite-Lived Intangible Assets | The balances of acquired below-market tenant leases existing as of December 31, 2022 and 2021, and related accumulated amortization, classified in accounts payable, accrued expenses, and other liabilities in our consolidated balance sheets as of December 31, 2022 and 2021 were as follows (in thousands):
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| Schedule of Finite-Lived Intangible Assets, Future Amortization Expense | The weighted-average amortization period of the value of acquired below-market leases existing as of December 31, 2022 was approximately 6.4 years, and the estimated annual amortization of the value of acquired below-market leases as of December 31, 2022 is as follows (in thousands):
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| Acquired-in-Place Leases | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Real Estate Properties [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Schedule of Finite-Lived Intangible Assets | The balances of acquired in-place leases, and related accumulated amortization, classified in other assets in our consolidated balance sheets as of December 31, 2022 and 2021 were as follows (in thousands):
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| Schedule of Finite-Lived Intangible Assets, Future Amortization Expense | Amortization for these intangible assets, classified in depreciation and amortization expense in our consolidated statements of operations, was approximately $169.5 million, $146.6 million, and $105.4 million for the years ended December 31, 2022, 2021, and 2020, respectively. The weighted-average amortization period of the value of acquired in-place leases was approximately 8.5 years, and the estimated annual amortization of the value of acquired in-place leases as of December 31, 2022 is as follows (in thousands):
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Consolidated and unconsolidated real estate joint ventures (Tables) |
12 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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| Equity Method Investments and Joint Ventures [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Consolidated And Unconsolidated Real Estate Joint Venture Properties | From time to time, we enter into joint venture agreements through which we own a partial interest in real estate entities that own, develop, and operate real estate properties. As of December 31, 2022, our real estate joint ventures held the following properties:
(1)Refer to the table on the next page that shows the categorization of our joint ventures under the consolidation framework. (2)In addition to the real estate joint ventures listed, various partners hold insignificant noncontrolling interests in three other consolidated real estate joint ventures in North America and we hold an interest in one other insignificant unconsolidated real estate joint venture in North America. (3)225 Binney Street is owned through a tenancy in common arrangement. We directly own 26.3% of the tenancy in common and a real estate joint venture owns the remaining 73.7% of the tenancy in common. We own 5% of this real estate joint venture, resulting in an aggregate ownership of 30% of this property. We determined that we are the primary beneficiary of the real estate joint venture and as such, we consolidate this joint venture under the variable interest entity model. (4)Includes 409 and 499 Illinois Street, 1500 and 1700 Owens Street, and 455 Mission Bay Boulevard South. (5)The noncontrolling interest share of our joint venture partner is anticipated to increase to 75% as our partner contributes 100% of the remaining cost to complete the project over time. (6)Includes 10210, 10260, 10290, and 10300 Campus Point Drive and 4110, 4150, 4161, 4224, and 4242 Campus Point Court. (7)Includes 9605, 9645, 9675, 9685, 9725, 9735, 9808, 9855, and 9868 Scranton Road and 10055, 10065, and 10075 Barnes Canyon Road. (8)Includes 9965, 9975, 9985, and 9995 Summers Ridge Road. (9)Represents our ownership interest; our voting interest is limited to 50%. (10)Represents a joint venture with a local real estate operator in which our partner manages the day-to-day activities that significantly affect the economic performance of the joint venture.
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| Consolidated VIE's balance sheet information | The table below aggregates the balance sheet information of our consolidated VIEs as of December 31, 2022 and 2021 (in thousands):
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| Investment in unconsolidated real estate joint ventures | Our investments in unconsolidated real estate joint ventures, accounted for under the equity method of accounting presented in our consolidated balance sheets as of December 31, 2022 and 2021, consisted of the following (in thousands):
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| Summary of unconsolidated real estate joint ventures loans | The following table presents key terms related to our unconsolidated real estate joint ventures’ secured loans as of December 31, 2022 (dollars in thousands):
(1)Includes interest expense and amortization of loan fees. (2)Represents outstanding principal, net of unamortized deferred financing costs, as of December 31, 2022. (3)This loan is subject to a fixed SOFR floor rate of 0.75%.
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Leases (Tables) |
12 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Dec. 31, 2022 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Lessor Disclosure [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Operating Lease - Schedule of Future Minimum Lease Receivable |
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| Net investment in direct financing and sales-type leases | The components of our aggregate net investment in our direct financing and sales-type leases as of December 31, 2022 and 2021 are summarized in the table below (in thousands):
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| Direct Financing and Sales-Type Leases - Schedule of Future Minimum Payment Receivable |
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| Income from rentals | Our income from rentals includes revenue related to agreements for the rental of our real estate, which primarily includes revenues subject to the lease accounting standard and the revenue recognition accounting standard as shown below (in thousands):
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| Summary of deferred leasing costs | The following table summarizes our deferred leasing costs as of December 31, 2022 and 2021 (in thousands):
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| Lessee Disclosure [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Operating Lease - Schedule of Future Minimum Lease Payable | The reconciliation of future lease payments under noncancelable operating ground and office leases in which we are the lessee, to the operating lease liability reflected in our consolidated balance sheet as of December 31, 2022 is presented in the table below (in thousands):
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| Lesee operating costs | For the years ended December 31, 2022, 2021, and 2020, our costs for operating leases in which we are the lessee were as follows (in thousands):
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Cash, cash equivalents, and restricted cash (Tables) |
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Dec. 31, 2022 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Cash, cash equivalents, and restricted cash [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Cash, cash equivalents, and restricted cash summary | Cash, cash equivalents, and restricted cash consisted of the following as of December 31, 2022 and 2021 (in thousands):
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Investments (Tables) |
12 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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| Investments [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Summary of investments | The following tables summarize our investments as of December 31, 2022 and 2021 (in thousands):
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| Schedule of net investment income | Our investment (loss) income for the years ended December 31, 2022, 2021, and 2020 consisted of the following (in thousands):
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Other assets (Tables) |
12 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Dec. 31, 2022 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Schedule of Other Assets | The following table summarizes the components of other assets as of December 31, 2022 and 2021 (in thousands):
(1)We completed the sale of our real estate assets subject to sales-type leases in May 2022. As of December 31, 2022, we had no remaining sales-type leases. Refer to Note 5 – “Leases” to our consolidated financial statements for additional information.
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Fair value measurements (Tables) |
12 Months Ended | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Dec. 31, 2022 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Fair Value Disclosures [Abstract] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Schedule of assets and liabilities measured at fair value on a recurring basis | The following table sets forth the assets that we measure at fair value on a recurring basis by level in the fair value hierarchy (in thousands). There were no liabilities measured at fair value on a recurring basis as of December 31, 2022 and 2021. In addition, there were no transfers of assets measured at fair value on a recurring basis to or from Level 3 in the fair value hierarchy during the year ended December 31, 2022.
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| Schedule of assets and liabilities measured at fair value on a nonrecurring basis | The following table sets forth the assets measured at fair value on a nonrecurring basis by level within the fair value hierarchy as of December 31, 2022 and 2021 (in thousands). These investments were measured at various times during the period from January 1, 2018 to December 31, 2022.
(1)These amounts are included in the investments in privately held entities without observable price changes balances aggregating $388.9 million and $362.1 million as of December 31, 2022 and 2021, respectively, disclosed in Note 7 – “Investments” to our consolidated financial statements. The aforementioned balances represent the carrying amounts of investments in privately held entities that do not report NAV for which impairments have been recognized in accordance with the measurement alternative guidance described in the “Investments” section in Note 2 – “Summary of significant accounting policies” to our consolidated financial statements. (2)This balance represents the total carrying amount of our equity investments in privately held entities with observable price changes, included in the investments balance of $1.6 billion in our consolidated balance sheets as of December 31, 2022. For more information, refer to Note 7 – “Investments” to our consolidated financial statements. As of December 31, 2022 and 2021, the book and estimated fair values of our secured notes payable and unsecured senior notes payable, and the amounts outstanding under our unsecured senior line of credit and commercial paper program, including the level within the fair value hierarchy for which the estimates were derived, were as follows (in thousands):
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Secured and unsecured senior debt (Tables) |
12 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Dec. 31, 2022 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Debt Disclosure [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Schedule of maturities of secured and unsecured debt | The following table summarizes our outstanding indebtedness and respective principal payments as of December 31, 2022 (dollars in thousands):
(1)Represents the weighted-average interest rate as of the end of the applicable period, including amortization of loan fees, amortization of debt premiums (discounts), and other bank fees. (2)Reflects any extension options that we control. (3)Represents a secured construction loan held by our consolidated real estate joint venture at 99 Coolidge Avenue, of which we own a 75.0% interest. As of December 31, 2022, this joint venture has $135.6 million available under existing lender commitments. The interest rate shall be reduced from SOFR+2.70% to SOFR+2.10% over time upon the completion of certain leasing, construction, and financial covenant milestones. (4)Refer to “Amendment of our unsecured senior line of credit” and “$2.0 billion commercial paper program” on the next page.
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| Summary of secured and unsecured debt | The following table summarizes our secured and unsecured senior debt and amounts outstanding under our unsecured senior line of credit and commercial paper program as of December 31, 2022 (dollars in thousands):
(1)Represents the weighted-average interest rate as of the end of the applicable period, including expense/income related to the amortization of loan fees, amortization of debt premiums (discounts), and other bank fees. (2)As of December 31, 2022, we had no outstanding balance on our unsecured senior line of credit. Our unsecured senior line of credit has aggregate commitments of $4.0 billion and bears an interest rate of SOFR plus 0.875%. In addition, the rate is subject to a sustainability adjustment of +/- four basis points based upon our ability to achieve certain annual sustainability targets. As of December 31, 2022, we had no commercial paper notes outstanding. (3)We calculate the weighted-average remaining term of our commercial paper notes by using the maturity date of our unsecured senior line of credit. Using the maturity date of our outstanding commercial paper, the consolidated weighted-average maturity of our debt is 13.2 years. The commercial paper notes sold during the year ended December 31, 2022 were issued at a weighted-average yield to maturity of 1.91% and had a weighted-average maturity term of 13 days.
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| Schedule of Interest Incurred | The following table summarizes interest expense for the years ended December 31, 2022, 2021, and 2020 (in thousands):
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Accounts payable, accrued expenses, and other liabilities (Tables) |
12 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Dec. 31, 2022 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Payables and Accruals [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Summary of components of accounts payable, accrued expenses, and tenant security deposits | The following table summarizes the components of accounts payable, accrued expenses, and other liabilities as of December 31, 2022 and 2021 (in thousands):
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Earnings per share (Tables) |
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Dec. 31, 2022 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Earnings Per Share [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Reconciliation of the numerators and denominators of the basic and diluted earnings per share computations | The table reconciles the numerators and denominators of the basic and diluted EPS computations for the years ended December 31, 2022, 2021, and 2020 (in thousands, except per share amounts):
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Income taxes (Tables) |
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| Income Tax Disclosure [Abstract] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Schedule of income tax treatment of distribution and dividends declared | The income tax treatment of distributions and dividends declared on our common stock for the years ended December 31, 2022, 2021, and 2020 was as follows (unaudited):
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| Reconciliation of GAAP net income to taxable income as filed with the IRS | The following reconciles net income (determined in accordance with GAAP) to taxable income as filed with the IRS for the years ended December 31, 2021 and 2020 (in thousands and unaudited):
(1)Total common stock dividend distributions paid were approximately $656.0 million and $533.0 million during the years ended December 31, 2021 and 2020, respectively.
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Share-based compensation (Tables) |
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Dec. 31, 2022 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Share-Based Payment Arrangement [Abstract] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Schedule of nonvested share award activity | The following is a summary of the stock awards activity under our equity incentive plan and related information for the years ended December 31, 2022, 2021, and 2020 (dollars in thousands, except per share information):
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Assets Classified As Held for Sale (Tables) |
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Dec. 31, 2022 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Discontinued Operations and Disposal Groups [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Summary of net assets of discontinued operations and income from discontinued operations, net | The following is a summary of net assets as of December 31, 2022 and 2021 for our real estate investments that were classified as held for sale as of each respective date (in thousands):
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Organization and basis of presentation (Details) property in Thousands, Tenant in Thousands, ft² in Millions, $ in Billions |
12 Months Ended | |
|---|---|---|
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Dec. 31, 2022
USD ($)
ft²
property
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Dec. 31, 2022
USD ($)
ft²
Tenant
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| Organization, Consolidation and Presentation of Financial Statements [Abstract] | ||
| Number of client tenants | 1 | 1 |
| Market capitalization | $ | $ 35.0 | $ 35.0 |
| Area of Real Estate Property | ft² | 74.6 | 74.6 |
Investments in real estate - Schedule of investment in real estates (Details) - USD ($) $ in Thousands |
Dec. 31, 2022 |
Dec. 31, 2021 |
|---|---|---|
| Real Estate Properties [Line Items] | ||
| Investments in real estate | $ 29,945,440 | $ 24,980,669 |
| North America | ||
| Real Estate Properties [Line Items] | ||
| Land (related to rental properties) | 4,284,731 | 3,782,182 |
| Buildings and building improvements | 18,605,627 | 16,312,402 |
| Other improvements | 2,677,763 | 2,109,884 |
| Rental properties | 25,568,121 | 22,204,468 |
| Development and redevelopment projects | 8,715,335 | 6,528,640 |
| Gross investments in real estate | 34,283,456 | 28,733,108 |
| Less: accumulated depreciation | (4,349,780) | (3,766,758) |
| Investments in real estate | 29,933,676 | 24,966,350 |
| Asia | ||
| Real Estate Properties [Line Items] | ||
| Investments in real estate | $ 11,764 | $ 14,319 |
Cash, cash equivalents, and restricted cash (Details) - USD ($) $ in Thousands |
Dec. 31, 2022 |
Dec. 31, 2021 |
Dec. 31, 2020 |
Dec. 31, 2019 |
|---|---|---|---|---|
| Cash and Cash Equivalents [Line Items] | ||||
| Cash and cash equivalents | $ 825,193 | $ 361,348 | ||
| Restricted cash | 32,782 | 53,879 | ||
| Cash, cash equivalents, and restricted cash | 857,975 | 415,227 | $ 597,705 | $ 242,689 |
| Funds held in trust under the terms of certain secured notes payable | ||||
| Cash and Cash Equivalents [Line Items] | ||||
| Restricted cash | 0 | 17,264 | ||
| Funds held in escrow related to construction projects and investing activities | ||||
| Cash and Cash Equivalents [Line Items] | ||||
| Restricted cash | 30,112 | 30,000 | ||
| Other restricted cash | ||||
| Cash and Cash Equivalents [Line Items] | ||||
| Restricted cash | $ 2,670 | $ 6,615 |
Investments - Investment Income (Details) - USD ($) $ in Thousands |
12 Months Ended | ||
|---|---|---|---|
Dec. 31, 2022 |
Dec. 31, 2021 |
Dec. 31, 2020 |
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| Net Investment Income | |||
| Realized gains | $ 80,435 | $ 215,845 | $ 47,288 |
| Unrealized (losses) gains | (412,193) | 43,632 | 374,033 |
| Investment (loss) income | (331,758) | 259,477 | 421,321 |
| Total investments held | |||
| Net Investment Income | |||
| Unrealized (losses) gains | $ (276,500) | $ 109,400 | $ 392,700 |
Other assets (Details) - USD ($) $ in Thousands |
Dec. 31, 2022 |
Dec. 31, 2021 |
|---|---|---|
| Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract] | ||
| Acquired in-place leases | $ 615,638 | $ 609,872 |
| Deferred compensation plan | 33,534 | 38,937 |
| Deferred financing costs – unsecured senior line of credit | 31,747 | 19,294 |
| Deposits | 20,805 | 176,077 |
| Furniture, fixtures, and equipment | 23,186 | 26,429 |
| Net investment in direct financing and sales-type leases(1) | 39,352 | 70,656 |
| Notes receivable | 19,875 | 13,088 |
| Operating lease right-of-use assets | 558,255 | 474,299 |
| Other assets | 80,724 | 53,985 |
| Prepaid expenses | 28,294 | 24,806 |
| Property, plant, and equipment | 148,530 | 151,375 |
| Other assets | $ 1,599,940 | $ 1,658,818 |
Interest Expense Incurred (Details) - USD ($) $ in Thousands |
12 Months Ended | ||
|---|---|---|---|
Dec. 31, 2022 |
Dec. 31, 2021 |
Dec. 31, 2020 |
|
| Interest Costs Incurred [Abstract] | |||
| Interest incurred | $ 372,848 | $ 312,806 | $ 297,227 |
| Capitalized interest | (125,618) | ||
| Interest expense | 94,203 | 142,165 | $ 171,609 |
| Interest Costs Capitalized Adjustment | $ (278,645) | $ (170,641) | |
Accounts payable, accrued expenses, and other liabilities (Details) - USD ($) $ in Thousands |
Dec. 31, 2022 |
Dec. 31, 2021 |
|---|---|---|
| Payables and Accruals [Abstract] | ||
| Accounts payable and accrued expenses | $ 389,741 | $ 513,416 |
| Accrued construction | 624,440 | 438,866 |
| Acquired below-market leases | 417,656 | 341,585 |
| Conditional asset retirement obligations | 52,723 | 59,797 |
| Deferred rent liabilities | 18,321 | 12,384 |
| Operating lease liability | 406,700 | 434,745 |
| Unearned rent and tenant security deposits | 449,622 | 326,924 |
| Other liabilities | 112,056 | 82,693 |
| Accounts Payable and Accrued Liabilities | $ 2,471,259 | $ 2,210,410 |
Income Tax (Details) |
12 Months Ended |
|---|---|
Dec. 31, 2022 | |
| Income Tax Disclosure [Abstract] | |
| Minimum percentage of taxable income to be distributed | 90.00% |
| Percent of taxable income, generally distributed as dividend | 100.00% |
Income Tax Treatment of Distributions (Details) - $ / shares |
12 Months Ended | ||
|---|---|---|---|
Dec. 31, 2022 |
Dec. 31, 2021 |
Dec. 31, 2020 |
|
| Income Tax Treatment of Distributions and Dividends [Line Items] | |||
| Common stock dividends declared (per share) | $ 4.48 | $ 4.24 | |
| Common Stock | |||
| Income Tax Treatment of Distributions and Dividends [Line Items] | |||
| Ordinary income | 57.40% | 46.30% | 65.70% |
| Return of capital | 0.00% | 0.00% | 13.20% |
| Capital gains at 25% | 8.10% | 3.80% | 0.00% |
| Capital gains at 20% | 34.50% | 49.90% | 21.10% |
| Total | 100.00% | 100.00% | 100.00% |
| Common stock dividends declared (per share) | $ 4.72 | $ 4.48 | $ 4.24 |
Reconciliation of net income to taxable income (Details) - USD ($) $ in Thousands |
12 Months Ended | ||
|---|---|---|---|
Dec. 31, 2022 |
Dec. 31, 2021 |
Dec. 31, 2020 |
|
| Income Tax Disclosure [Abstract] | |||
| Net income | $ 670,701 | $ 654,282 | $ 827,171 |
| Net income attributable to noncontrolling interests | $ (149,041) | (83,035) | (56,212) |
| Rental revenue recognition | (23,306) | (165,091) | |
| Depreciation and amortization | 153,382 | 220,046 | |
| Share-based compensation | 34,265 | 30,695 | |
| Interest expense | (79,907) | (21,174) | |
| Sales of property | (100,449) | (69,048) | |
| Impairments | 23,130 | 40,398 | |
| Non-real estate investment expense (income) | 42,908 | (377,820) | |
| Other | 33,446 | 22,315 | |
| Taxable income before dividend deduction | 654,716 | 451,280 | |
| Dividend deduction necessary to eliminate taxable income | (654,716) | (451,280) | |
| Estimated income subject to federal income tax | 0 | 0 | |
| Common stock and preferred stock distributions paid | $ 656,000 | $ 533,000 | |
Stockholders' equity (Details) - shares |
12 Months Ended | |
|---|---|---|
Dec. 31, 2022 |
Dec. 31, 2021 |
|
| Stockholders' Equity Note [Abstract] | ||
| Shares of common stock authorized | 400,000,000 | 200,000,000 |
| Shares of common stock issued and outstanding | 170,748,395 | 158,043,880 |
| Shares of preferred stock authorized | 100,000,000 | |
| Shares of preferred stock issued and outstanding | 0 | |
| Number of "excess stock" authorized (in shares) | 200,000,000 | |
| Number of excess stock authorized issued and outstanding (in shares) | 0 |
Stockholders' equity - Accumulated other comprehensive loss (Details) - USD ($) $ in Thousands |
12 Months Ended | ||
|---|---|---|---|
Dec. 31, 2022 |
Dec. 31, 2021 |
Dec. 31, 2020 |
|
| Stockholders' Equity Note [Abstract] | |||
| Other Comprehensive Income (Loss), Foreign Currency Transaction and Translation Adjustment, Net of Tax | $ (13,518) | $ (669) | $ 3,124 |
Noncontrolling interests (Details) $ in Thousands |
12 Months Ended | ||
|---|---|---|---|
|
Dec. 31, 2022
USD ($)
property
|
Dec. 31, 2021
USD ($)
|
Dec. 31, 2020
USD ($)
|
|
| Noncontrolling interests | |||
| Payments to Noncontrolling Interests | $ 192,171 | $ 118,891 | $ 88,805 |
| Noncontrolling Interests | |||
| Noncontrolling interests | |||
| Number of real estate properties subject to ownership from noncontrolling interest | property | 64 | ||
| Payments to Noncontrolling Interests | $ 192,200 | $ 112,400 | |
Schedule III - Consolidated Financial Statement Schedule of Rental Properties and Accumulated Depreciation Rollforward (Details) - USD ($) |
12 Months Ended | |||||
|---|---|---|---|---|---|---|
Dec. 31, 2022 |
Dec. 31, 2021 |
Dec. 31, 2020 |
||||
| Rental Properties and Current, Near-Term and Future Value-Creation Projects | ||||||
| Balance at beginning of period | $ 28,751,910,000 | $ 21,274,810,000 | $ 17,552,956,000 | |||
| Acquisitions (including real estate, land, and joint venture consolidation) | 2,722,214,000 | 5,405,569,000 | 2,825,537,000 | |||
| Additions to real estate | 3,388,478,000 | 2,267,848,000 | 1,505,152,000 | |||
| Deductions (including dispositions and direct financing leases) | (563,099,000) | (196,317,000) | (608,835,000) | |||
| Balance at end of period | 34,299,503,000 | 28,751,910,000 | 21,274,810,000 | |||
| Accumulated Depreciation | ||||||
| Balance at beginning of period | 3,771,241,000 | 3,182,438,000 | 2,708,918,000 | |||
| Depreciation expense on properties | 751,584,000 | 607,927,000 | 530,226,000 | |||
| Sale of properties | (168,762,000) | (19,124,000) | (56,706,000) | |||
| Balance at end of period | $ 4,354,063,000 | [1] | $ 3,771,241,000 | $ 3,182,438,000 | ||
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