Mack-Cali Realty Corporation
Condensed Consolidated Statements of Operations
(in thousands, except per share amounts)
Quarter Ended
March 31,
1998 1997
Total revenues $105,823 $52,155
Operating and other expenses (31,067) (15,574)
General and administrative (6,196) (3,173)
Depreciation and amortization (16,231) (7,493)
Interest expense (18,480) (7,820)
Total expense (71,974) (34,060)
Income from operations before
minority interest 33,849 18,095
Minority interest (7,306) (1,636)
Net income $26,543 $16,459
Basic weighted average common
shares outstanding 51,363 36,461
Basic earnings per common share $0.52 $0.45
Dividends declared per
common share $0.50 $0.45
Mack-Cali Realty Corporation
Statements of Funds from Operations and
Cash Available for Distribution
(in thousands, except per share/unit amounts)
Quarter Ended
March 31,
1998 1997
Income from operations before
minority interest $33,849 $18,095
Add:
Real estate depreciation
and amortization 16,120 7,479
Deduct:
Adjustment to rental income for
straight-lining of rents (3,203) (1,607)
Funds from operations(1) after
adjustment for straight-lining
of rents $46,766 $23,967
Deduct:
Non-incremental revenue generating
capital expenditures:
Capital improvements (362) (292)
Tenant improvements and leasing
commissions (5,746) (1,055)
Cash available for distribution $40,658 $22,620
Weighted average shares/units
outstanding (2) 64,622 40,085
Per share/unit:
Funds from operations $0.72 $0.60
Cash available for distribution $0.63 $0.56
Dividend per common share $0.50 $0.45
Dividend payout ratios:
Funds from operations 69.09% 75.26%
Cash available for distribution 79.47% 79.75%
(1) Funds from operations for both periods are calculated in accordance
with the National Association of Real Estate Investment Trusts
(NAREIT) definition, as published in March 1995.
(2) Assumes redemption/conversion of 13,258,527 (in 1998) and 3,624,095
(in 1997) weighted average limited partnership common and convertible
preferred units in Mack-Cali Realty, L.P. to common shares in
Mack-Cali Realty Corporation.
Mack-Cali Realty Corporation
Leasing Statistics
For Quarter Ended March 31, 1998
TOTAL SPACE LEASED
Square feet leased at December 31, 1997 21,045,625
Net leasing activity in 1st quarter 1998 76,793
Leased s.f. from first quarter 1998 acquisitions 3,036,090
Occupancy adjustment(1) (6,106)
Square feet leased at March 31, 1998 24,152,402
Percent leased at March 31, 1998 95.8%
OFFICE SPACE
Number Weighted Average
of Rentable Average Term
Leases S.F. Base Rent (Years)
New Leases:
First generation space - - N/A N/A
Second generation space 61 198,661 $19.88 4.3
Total new leasing: 61 198,661
Renewals & extensions 46 408,266 $15.55(2) 7.0
Other retained tenants 35 247,423 $21.19 7.4
Total leasing: 142 854,350
Capital Expenditures- Second Generation Space(3):
Tenant Leasing
Improvements(4) Commissions Total
Expend. committed-1st qtr. $3,401,364 $2,071,833 $5,473,197
Rentable s.f. leased-1st qtr. 854,350
Cap ex. committed per r.s.f. $3.98 $2.43 $6.41
(1) Represents the amount of space leased during the period in excess of
100% of the gross rentable area of certain properties in the
portfolio.
(2) Includes a 181,596 square foot "triple-net" lease at $9.49 per
square foot. Weighted average base rent for all lease renewals in
this period excluding this transaction is $20.35 per square foot.
(3) Represents amounts committed, but not necessarily expended during
period.
(4) Equals estimated workletter costs, net of estimated profit and
overhead.
Mack-Cali Realty Corporation
Leasing Statistics
For Quarter Ended March 31, 1998
(continued)
OFFICE/FLEX SPACE
Number Weighted Average
of Rentable Average Term
Leases S.F. Base Net Rent(1)(Years)
New leases:
First generation space - - N/A N/A
Second generation space 3 9,319 $13.24 3.4
Total new leasing: 3 9,319
Renewals and extensions 13 82,444 $12.43 8.1
Other retained tenants 2 4,743 $18.87 3.0
Total leasing: 18 96,506
Capital Expenditures - Second Generation Space (2)
Tenant Leasing
Improvements(3) Commissions Total
Expend. committed-1st qtr. $67,897 $117,312 $185,209
Rentable s.f. leased-1st qtr. 96,506
Cap ex. committed per r.s.f.: $0.70 $1.22 $1.92
INDUSTRIAL/WAREHOUSE SPACE
Number Weighted Average
of Rentable Average Term
Leases S.F. Base Rent(1) (Years)
New Leases:
First generation space - - N/A N/A
Second generation space 2 36,276 $9.43 5.8
Total new leasing: 2 36,276
Renewals & extensions 1 6,638 $8.13 3.0
Other retained tenants - -
Total leasing: 3 42,914
(1) Equals "triple net" rent plus common area costs and real estate taxes.
(2) Represents amounts committed, but not necessarily expended during period.
(3) Equals estimated workletter costs, net of estimated profit and
overhead Capital Expenditures- Second Generation Space(1)
Tenant Leasing
Improvements(2) Commissions Total
Expend. committed-1st qtr. $51,790 $111,449 $163,239
Rentable s.f. leased-1st qtr. 42,914
Cap ex. committed per r.s.f. $1.21 $2.59 $3.80
(1) Represents amounts committed, not necessarily expended during period.
(2) Equals estimated workletter costs, net of estimated profit and overhead.
LEASE RENEWALS
Number of
Leases Rentable S.F.
Leases expiring 197 990,744
Leases renewed & extended 60 497,348
Other retained tenants 37 252,166
Total leases retained 97 749,514
% Retained 49.2% 75.7%
Future expirations
renewed or relet
(included in totals above) 42 488,848
Executive Vice President and Chief Financial Officer
Mack-Cali Realty Corporation
T: 732.590.1000
Close
Forward this page.
Close