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Deferred Leasing Costs and Acquisition-related Intangible Assets and Liabilities, net (Tables)
 3 Months Ended
Mar. 31, 2012
Goodwill and Intangible Assets Disclosure [Abstract]  
Summary of identified deferred leasing costs and acquisition-related intangible assets
The following table summarizes our deferred leasing costs and acquisition-related intangible assets (acquired value of leasing costs, above-market operating leases, in-place leases and below-market ground lease obligation) and intangible liabilities (acquired value of below-market operating leases and above-market ground lease obligation) as of March 31, 2012 and December 31, 2011:
 
 
March 31, 2012
 
December 31, 2011
 
(in thousands)
Deferred Leasing Costs and Acquisition-related Intangible Assets, net(1):
 
 
 
Deferred leasing costs
$
139,693

 
$
142,652

Accumulated amortization
(48,131
)
 
(52,974
)
Deferred leasing costs, net
91,562

 
89,678

Above-market operating leases
26,637

 
28,143

Accumulated amortization
(7,857
)
 
(8,101
)
Above-market operating leases, net
18,780

 
20,042

In-place leases
63,465

 
61,355

Accumulated amortization
(15,825
)
 
(15,753
)
In-place leases, net
47,640

 
45,602

Below-market ground lease obligation
200

 
200

Accumulated amortization
(50
)
 
—

Below-market ground lease obligation, net
150

 
200

Total deferred leasing costs and acquisition-related intangible assets, net
$
158,132

 
$
155,522

Acquisition-related Intangible Liabilities, net(1)(2):
 
 
 
Below-market operating leases
$
46,966

 
$
37,582

Accumulated amortization
(7,058
)
 
(6,158
)
Below-market operating leases, net
39,908

 
31,424

Above-market ground lease obligation
5,200

 
5,200

Accumulated amortization
(53
)
 
(37
)
Above-market ground lease obligation, net
5,147

 
5,163

Total acquisition-related intangible liabilities, net
$
45,055

 
$
36,587

________________________
(1)
Balances and accumulated amortization amounts at March 31, 2012 reflect the write-off of the following fully amortized amounts at January 1, 2012: deferred leasing costs (approximately $9.5 million), above-market leases (approximately $1.6 million), in-place leases (approximately $3.7 million), and below-market leases (approximately $1.0 million).
(2)
Included in deferred revenue and acquisition-related intangible liabilities, net in the consolidated balance sheets.
Amortization for the period related to deferred leasing costs and acquisition-related intangibles
The following table sets forth amortization related to deferred leasing costs and acquisition-related intangibles for the three months ended March 31, 2012 and 2011:
 
Three Months Ended March 31,
 
2012
 
2011
 
(in thousands)
Deferred leasing costs(1)
$
4,498

 
$
3,768

Net (below) above-market operating leases(2)
(525
)
 
653

In-place leases(1)
3,781

 
2,173

Net below-market ground lease obligation(3)
34

 
—

Total
$
7,788

 
$
6,594

_________________________
(1)
The amortization of deferred leasing costs and in-place leases is recorded to depreciation and amortization expense in the consolidated statements of operations for the periods presented.
(2)
The amortization of net below−market operating leases is recorded as an increase to rental income for the three months ended March 31, 2012, and the amortization of the net above-market operating leases is recorded as a decrease to rental income for the three months ended March 31, 2011 in the consolidated statements of operations.
(3)
The amortization of the net below-market ground lease obligation is recorded as an increase to ground lease expense in the consolidated statements of operations for the period presented.
Estimated annual amortization related to deferred leasing costs and acquisition-related intangibles
The following table sets forth the estimated annual amortization expense related to deferred leasing costs and acquisition−related intangibles as of March 31, 2012 for future periods:
Year Ending
Deferred Leasing Costs
 
Net Below-Market Operating Leases(1)
 
In-Place Leases
 
Net Below/(Above)-Market Ground Lease Obligation(2)
 
(in thousands)
Remaining 2012
$
14,535

 
$
(2,196
)
 
$
11,111

 
$
103

2013
17,541

 
(3,091
)
 
12,616

 
(63
)
2014
15,392

 
(2,897
)
 
9,173

 
(63
)
2015
11,828

 
(2,285
)
 
5,317

 
(63
)
2016
9,426

 
(1,393
)
 
2,903

 
(63
)
Thereafter
22,840

 
(9,266
)
 
6,520

 
(4,848
)
Total
$
91,562

 
$
(21,128
)
 
$
47,640

 
$
(4,997
)
_______________________
(1)
Represents estimated annual amortization related to net below-market operating leases. Amounts shown represent net below-market operating leases which will be recorded as an increase to rental income in the consolidated statements of operations.
(2)
Represents estimated annual net amortization related to (above)/below−market ground lease obligations. Amounts shown for 2012 represent net below−market ground lease obligations which will be recorded as an increase to ground lease expense in the consolidated statements of operations. Amounts shown for 2013−2016 and for the periods thereafter represent net above−market ground lease obligations which will be recorded as a decrease to ground lease expense in the consolidated statements of operations.