Acquisitions

3 Months Ended

Mar. 31, 2014

Business Combinations [Abstract]

Acquisitions

Acquisitions

Operating Properties

During the three months ended March 31, 2014, we acquired the one operating office property, listed below, from an unrelated third party. The acquisition was funded with proceeds from the 2013 and 2014 dispositions (see Note 13).

Property	Date of Acquisition	Number of Buildings	Rentable Square Feet	Occupancy as of March 31, 2014	Purchase Price (in millions)
401 Terry Avenue North, Seattle, WA	March 13, 2014	1	140,605	100.0%	$	106.1

The related assets, liabilities and results of operations of the acquired property are included in the consolidated financial statements as of the date of acquisition. The following table summarizes the estimated fair values of the assets acquired and liabilities assumed on the acquisition date:

	Total 2014 Acquisitions
	(in thousands)
Assets
Land and improvements	$	22,500
Buildings and improvements (1)	77,046
Deferred leasing costs and acquisition-related intangible assets (2)	11,199
Total assets acquired	110,745
Liabilities
Deferred revenue and acquisition-related intangible liabilities (3)	4,620
Total liabilities assumed	4,620
Net assets and liabilities acquired	$	106,125

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(1) Represents buildings, building improvements and tenant improvements.

(2) Represents in-place leases of approximately $9.3 million (with a weighted average amortization period of seven years) and leasing commissions of approximately $1.9 million (with a weighted average amortization period of seven years).

(3) Represents below-market leases of approximately $4.6 million (with a weighted average amortization period of seven years).