Exhibit 99.2

Table of Contents

Overview
Company Profile	3
Financial Statements
Combined Consolidated Balance Sheets	4
Combined Consolidated Statements of Operations and Comprehensive Income (Loss)	5
Summary of Financial Data	6
Reconciliations of Return on Invested Capital (ROIC)	7
Implied Enterprise Value	8
Operating Portfolio
Data Center Properties	9
Redevelopment Costs Summary	10
Redevelopment Summary	11
NOI by Facility and Capital Expenditure Summary	12
Leasing Statistics – Signed Leases	13
Leasing Statistics – Renewed Leases and Rental Churn	14
Leasing Statistics – Commenced Leases	15
Lease Expirations	16
Largest Customers	17
Industry Segmentation	18
Product Diversification	19
Capital Structure
Debt Summary and Debt Maturities	20
Interest Summary	21
Appendix	22

1    QTS Q2 Earnings 2014 Contact: IR@qtsdatacenters.com

Forward Looking Statements

Some of the statements contained in this document constitute forward-looking statements within the meaning of the federal securities laws. Forward-looking statements relate to expectations, beliefs, projections, future plans and strategies, anticipated events or trends and similar expressions concerning matters that are not historical facts. In particular, statements pertaining to the Company’s capital resources, portfolio performance and results of operations contain forward-looking statements. Likewise, all of the statements regarding anticipated growth in funds from operations and anticipated market conditions are forward-looking statements. In some cases, you can identify forward-looking statements by the use of forward-looking terminology such as “may,” “will,” “should,” “expects,” “intends,” “plans,” “anticipates,” “believes,” “estimates,” “predicts,” or “potential” or the negative of these words and phrases or similar words or phrases which are predictions of or indicate future events or trends and which do not relate solely to historical matters. You can also identify forward-looking statements by discussions of strategy, plans or intentions.

The forward-looking statements contained in this document reflect the Company’s current views about future events and are subject to numerous known and unknown risks, uncertainties, assumptions and changes in circumstances that may cause actual results to differ significantly from those expressed in any forward-looking statement. The Company does not guarantee that the transactions and events described will happen as described (or that they will happen at all). The following factors, among others, could cause actual results and future events to differ materially from those set forth or contemplated in the forward-looking statements: adverse economic or real estate developments in the Company’s markets or the technology industry; national and local economic conditions; difficulties in identifying properties to acquire and difficulties completing acquisitions; the Company’s failure to successfully develop, redevelop and operate acquired properties and operations; significant increases in construction and development costs; the increasingly competitive environment in which the Company operates; defaults on or non-renewal of leases by customers; increased interest rates and operating costs, including increased energy costs; financing risks, including the Company’s failure to obtain necessary outside financing; decreased rental rates or increased vacancy rates; dependence on third parties to provide Internet, telecommunications and network connectivity to the Company’s data centers; the Company’s failure to qualify and maintain its qualification as a real estate investment trust; environmental uncertainties and risks related to natural disasters; financial market fluctuations; and changes in real estate and zoning laws and increases in real property tax rates.

While forward-looking statements reflect the Company’s good faith beliefs, they are not guarantees of future performance. The Company disclaims any obligation to publicly update or revise any forward-looking statement to reflect changes in underlying assumptions or factors, of new information, data or methods, future events or other changes. For a further discussion of these and other factors that could cause the Company’s future results to differ materially from any forward-looking statements, see the section entitled “Risk Factors” in the Company’s Annual Report on Form 10-K for the year ended December 31, 2013.

2    QTS Q2 Earnings 2014 Contact: IR@qtsdatacenters.com

Company Profile

3    QTS Q2 Earnings 2014 Contact: IR@qtsdatacenters.com

Combined Consolidated Balance Sheets

(in thousands)

The following financial data as of June 30, 2014 and December 31, 2013 is that of the Company.

	June 30, 2014			December 31, 2013
ASSETS
Real Estate Assets
Land	$	48,576		$	30,601
Buildings and improvements		829,057			728,230
Less: Accumulated depreciation		(157,202	)		(137,725	)
		720,431			621,106
Construction in progress		183,516			146,904
Real Estate Assets, net		903,947			768,010
Cash and cash equivalents		7,489			5,210
Rents and other receivables, net		12,574			14,434
Acquired intangibles, net		19,554			5,396
Deferred costs, net (1)		23,076			19,150
Prepaid expenses		4,298			1,797
Other assets, net (2)		19,989			17,359
TOTAL ASSETS	$	990,927		$	831,356
LIABILITIES
Mortgage notes payable	$	87,739		$	88,839
Unsecured credit facility		439,000			256,500
Capital lease obligations		4,441			2,538
Accounts payable and accrued liabilities		47,584			63,204
Dividends payable		10,657			8,965
Advance rents, security deposits and other liabilities		3,197			3,261
Deferred income		8,177			7,892
Derivative liability		159			453
TOTAL LIABILITIES		600,954			431,652
EQUITY
Common stock, $0.01 par value, 450,133,000 shares authorized, 29,016,774 and 28,972,774 shares issued and outstanding as of June 30, 2014 and December 31, 2013, respectively		290			289
Additional paid-in capital		320,390			318,834
Accumulated other comprehensive loss		(124	)		(357	)
Accumulated deficit		(13,341	)		(3,799	)
Total stockholders’ equity		307,215			314,967
Noncontrolling interests		82,758			84,737
TOTAL EQUITY		389,973			399,704
TOTAL LIABILITIES AND EQUITY	$	990,927		$	831,356

(1) As of June 30, 2014 and December 31, 2013, deferred costs, net, included $6.9 million and $7.3 million of deferred financing costs, respectively, and $16.2 million and $11.9 million of deferred leasing costs, respectively.

(2) As of June 30, 2014 and December 31, 2013, other assets, net, primarily included $16.6 million and $14.2 million of corporate fixed assets, respectively, primarily relating to construction of corporate offices, leasehold improvements and corporate software related assets.

4    QTS Q2 Earnings 2014 Contact: IR@qtsdatacenters.com

Combined Consolidated Statements of Operations and Comprehensive Income (Loss)

(in thousands)

The following financial data for the three and six months ended June 30, 2014 and three months ended March 31, 2014 is that of the Company. The following financial data for the three and six months ended June 30, 2013 is that of its Predecessor.

	Three Months Ended (unaudited)									Six months ended
	June 30,			March 31,			June 30,			June 30,
	2014			2014			2013			2014			2013
Revenues:
Rental	$	41,966		$	40,579		$	34,783		$	82,545		$	68,589
Recoveries from customers		3,852			3,691			3,456			7,543			6,322
Cloud and managed services		4,970			4,231			4,325			9,201			8,435
Other (1)		550			442			376			992			1,092
Total revenues		51,338			48,943			42,940			100,281			84,438
Operating expenses:
Property operating costs		16,529			16,223			14,884			32,752			29,292
Real estate taxes and insurance		1,118			1,218			1,090			2,336			2,203
Depreciation and amortization		13,817			13,247			11,246			27,064			22,061
General and administrative (2)		11,473			10,778			9,696			22,251			19,290
Restructuring (3)		1,046			—			—			1,046			—
Transaction costs (4)		1,089			64			—			1,153			—
Total operating expenses		45,072			41,530			36,916			86,602			72,846
Operating income		6,266			7,413			6,024			13,679			11,592
Other income and expense:
Interest income		—			8			7			8			13
Interest expense		(2,208	)		(2,065	)		(5,084	)		(4,273	)		(11,634	)
Other income (expense), net (5)		(110	)		—			(2,179	)		(110	)		(3,277	)
Income (loss) before taxes		3,948			5,356			(1,232	)		9,304			(3,306	)
Tax expense of taxable REIT subsidiaries		(27	)		(28	)		—			(55	)		—
Net income (loss)		3,921			5,328			(1,232	)		9,249			(3,306	)
Net income attributable to noncontrolling interests (6)		(831	)		(1,130	)		—			(1,961	)		—
Net income (loss) attributable to QTS Realty Trust, Inc		3,090			4,198			(1,232	)		7,288			(3,306	)
Unrealized gain on swap (7)		127			105			140			232			212
Comprehensive income (loss)	$	3,217		$	4,303		$	(1,092	)	$	7,520		$	(3,094	)

(1) Other revenue – Includes straight line rent, sales of scrap metals and other unused materials and various other income items.

(2) General and administrative expenses – Includes personnel costs, sales and marketing costs, professional fees, travel costs, and other corporate general and administrative expenses. General and administrative expenses were 22.3%, 22.0%, and 22.6% of total revenues for the three month periods ended June 30, 2014, March 31, 2014, and June 30, 2013, respectively. General and administrative expenses were 22.2%, and 22.8% of total revenues for the six month periods ended June 30, 2014, and 2013, respectively.

(3) Restructuring costs – For the three and six months ended June 30, 2014, the Company incurred $1.0 million in restructuring costs related to severance costs associated with various remote employees.

(4) Transaction costs – For the three and six months ended June 30, 2014, we incurred $1.1 million and $1.2 million, respectively, in costs related to the examination of actual and potential acquisitions. There were no such costs incurred for the three and six months ended June 30, 2013.

(5) Other income (expense), net – Generally includes write offs of unamortized deferred financing costs associated with the early extinguishment of certain debt instruments.

(6) Noncontrolling interest – Concurrently with the completion of the initial public offering, QTS Realty Trust, Inc. consummated a series of transactions pursuant to which QTS became the sole general partner and majority owner of QualityTech, LP, which then became its operating partnership. Certain prior owners of QualityTech, LP retained 21.2% of ownership in the operating partnership.

(7) Unrealized gain (loss) on swap – For derivative instruments that are accounted for as hedges, or for the effective portions of qualifying hedges, the change in fair value is recorded as unrealized gains (losses) on swap and is included in other comprehensive income (loss).

5    QTS Q2 Earnings 2014 Contact: IR@qtsdatacenters.com

Summary of Financial Data

(in thousands, except share, per share and operating portfolio statistics data)

Our financial and operating data for the three and six months ended June 30, 2014, three months ended March 31, 2014, and as of June 30, 2014 and December 31, 2013 is that of the Company. The financial data for the three and six months ended June 30, 2013, and as of June 30, 2013 is that of the Predecessor.

	Three Months Ended									Six months ended
	June 30,			March 31,			June 30,			June 30,
Summary of Results	2014			2014			2013			2014			2013
Total revenue	$	51,338		$	48,943		$	42,940		$	100,281		$	84,438
Net income (loss)		3,921			5,328			(1,232	)		9,249			(3,306	)
Other Data
FFO	$	16,124		$	17,192		$	8,878		$	33,316		$	16,311
Operating FFO		18,369			17,256			11,057			35,625			19,588
Adjusted Operating FFO		18,714			17,732			9,773			36,446			18,133
Recognized MRR in the period		45,215			43,155			37,448			88,370			73,785
MRR (at period end)		16,035			14,574			12,743			16,035			12,743
EBITDA		19,973			20,660			15,091			40,633			30,376
Adjusted EBITDA		23,283			21,635			17,690			44,918			34,448
NOI		33,691			31,502			26,966			65,193			52,943
NOI as a % of revenue		65.6	%		64.4	%		62.8	%		65.0	%		62.7	%
Adjusted EBITDA as a % of revenue		45.4	%		44.2	%		41.2	%		44.8	%		40.8	%
Annualized ROIC		15.5	%		15.8	%		15.1	%		15.2	%		15.2	%
General and administrative expenses as a % of revenue		22.3	%		22.0	%		22.6	%		22.2	%		22.8	%

Balance Sheet Data	June 30, 2014			December 31, 2013
Real estate at cost	$	1,061,149		$	905,735
Net investment in real estate		903,947			768,010
Total assets		990,927			831,356
Credit facilities, mortgages payables, and capital leases		531,180			347,877
Debt to last quarter annualized Adjusted EBITDA *		5.7x			4.1x
Debt to Undepreciated real estate assets		50.1	%		38.4	%
Debt to Implied Enterprise Value		33.3	%		27.6	%

The debt balance includes the acquisition of the New Jersey facility of $75 million on June 30, 2014, however, adjusted EBITDA does not reflect the EBITDA impact associated with the acquisition. Assuming a projected $8 million of annualized adjusted EBITDA associated with the New Jersey acquisition and also adding the estimated total debt associated with the acquisition of the Chicago facility of $18 million, the resulting debt to adjusted EBITDA would be 5.4x.

Operating Portfolio Statistics	June 30, 2014 (1)			December 31, 2013
Built out square footage:
Raised floor		843,684			689,587
Leasable raised floor (2)		616,616			485,546
Leased raised floor		557,212			446,353
Total Raw Shell:
Total		4,652,949			3,779,519
Basis-of-design raised floor space (2)		2,097,373			1,804,777
Data center properties		12			10
Basis of design raised floor % developed		40.2	%		38.2	%
Data center % occupied		90.4	%		91.9	%

(1) Includes the Chicago facility which was acquired after June 30, 2014.

(2) See definition in Appendix.

6    QTS Q2 Earnings 2014 Contact: IR@qtsdatacenters.com

Reconciliations of Return on Invested Capital (ROIC)

(in thousands)

Our financial data for the three and six months ended June 30, 2014, three months ended March 31, 2014, and as of June 30, 2014 and December 31, 2013 is that of the Company. The financial data for the three and six months ended June 30, 2013, and as of June 30, 2013 is that of the Predecessor.

NOTE: While undepreciated real estate assets and other net assets includes the basis of the recently acquired New Jersey property, the property’s NOI contribution is minimal as this acquisition closed on June 30, 2014. If the capital associated with this acquisition were excluded from the calculation below, the resulting Annualized ROIC would be 16.2% for the three months ended June 30, 2014 and 15.9% for the six months ended June 30, 2014.

Return on Invested Capital (ROIC)	Three Months Ended									Six Months Ended
	June 30,			March 31,			June 30,			June 30,
	2014			2014			2013			2014			2013
NOI (1)	$	33,691		$	31,502		$	26,966		$	65,193		$	52,943
Annualized NOI		134,764			126,008			107,865			130,386			105,887
Average Undepreciated Real Estate Assets and other Net Fixed Assets Placed in Service		868,746			795,423			713,508			860,141			697,967
Annualized ROIC		15.5	%		15.8	%		15.1	%		15.2	%		15.2	%

(1) Includes facility level G&A allocation charges of 4% of revenue which aggregated to $2.0 million, $2.0 million and $1.7 million, for the three month periods ended June 30, 2014, March 31, 2014, and June 30, 2013, respectively, and $4.0 million and $3.4 million for the six month periods ended June 30, 2014, and 2013, respectively.

Calculation of Average Undepreciated Real Estate Assets and other Net Fixed Assets Placed in Service	As of									As of
Undepreciated Real Estate Assets and other Net Fixed Assets Placed in Service	June 30, 2014			March 31, 2014			June 30, 2013			June 30, 2014			June 30, 2013
Real Estate Assets, net	$	903,947		$	809,065		$	701,760		$	903,947		$	701,760
Less: Construction in progress		(183,516	)		(182,699	)		(120,036	)		(183,516	)		(120,036	)
Plus: Accumulated depreciation		157,202			147,336			119,576			157,202			119,576
Plus: Other fixed assets, net		16,663			17,273			7,389			16,663			7,389
Plus: Acquired intangibles, net		19,554			4,413			7,721			19,554			7,721
Plus: Leasing Commissions, net		16,174			12,081			10,145			16,174			10,145
Total as of period end	$	930,024		$	807,469		$	726,555		$	930,024		$	726,555
Average undepreciated real estate assets and other net assets as of reporting period (2)	$	868,746		$	795,423		$	713,508		$	860,141		$	697,967

(2) Calculated by using average quarterly balance of each account.

7    QTS Q2 Earnings 2014 Contact: IR@qtsdatacenters.com

Implied Enterprise Value

Implied Enterprise Value as of June 30, 2014:
Total Shares Outstanding:
Class A Common Stock		28,883,774
Class B Common Stock		133,000
Total Shares Outstanding		29,016,774
Units of Limited Partnership (1)		8,037,102
Options to purchase Class A Common Stock (2)		123,173
Fully Diluted Total Shares and Units of Limited Partnership outstanding as of June 30, 2014 (3)		37,177,049
Share price as of June 30, 2014	$	28.63
Market equity capitalization (in thousands)	$	1,064,379
Debt (in thousands)		531,180
Implied Enterprise Value (in thousands)	$	1,595,559

(1) Includes 240,102 of operating partnership units representing the “in the money” value of Class O LTIP units on an “as if” converted basis

(2) Represents options to purchase 123,173 shares of Class A Common Stock of QTS Realty Trust Inc. options representing the “in the money” value options on an “as if” converted basis.

(3) Weighted average fully diluted shares and units for the three and six month periods ended June 30, 2014 were 37,009,746 and 36,934,210, respectively.

8    QTS Q2 Earnings 2014 Contact: IR@qtsdatacenters.com

Data Center Properties

(in thousands, except NRSF data)

The following table presents an overview of the portfolio of data center properties that the Company owns or leases, referred to herein as our data center properties, based on information as of June 30, 2014:

Property	Year Acquired (1)		Gross Square Feet (2)		Operating Net Rentable Square Feet (Operating NRSF) (3)								% Leased (7)			Annualized Rent (8)		Available Utility Power (MW) (9)		Basis of Design NRSF		% Raised Floor
					Raised Floor (4)		Office & Other (5)		Supporting Infrastructure (6)		Total
Richmond, VA		2010		1,318,353		84,511		24,678		115,627		224,816		81.6	%	$	16,621,091		110		556,595		15.2	%
Atlanta, GA (Metro)		2006		968,695		382,986		36,953		315,676		735,615		95.9	%	$	69,609,290		72		527,186		72.6	%
Dallas, TX		2013		698,000		—		—		—		—		N/A	%	$	—		140		292,000		—	%
New Jersey		2014		553,930		58,157		—		123,478		181,635		100.0	%	$	8,290,975		22		158,157		36.8	%
Suwanee, GA		2005		369,822		160,422		5,981		99,943		266,346		79.8	%	$	45,388,851		36		214,422		74.8	%
Santa Clara, CA**		2007		135,322		55,494		944		45,687		102,125		88.8	%	$	22,161,128		11		80,347		69.1	%
Jersey City, NJ*		2006		122,448		31,503		14,208		41,901		87,612		78.0	%	$	11,202,107		6.7		52,744		59.7	%
Sacramento, CA		2012		92,644		45,595		2,794		23,916		72,305		88.1	%	$	13,593,150		8.4		57,906		78.7	%
Overland Park, KS*		2003		32,706		2,493		0		5,338		7,831		86.4	%	$	698,267		0.5		2,493		100.0	%
Miami, FL		2008		30,029		19,887		0		6,592		26,479		59.8	%	$	4,619,400		4		19,887		100.0	%
Wichita, KS		2005		14,000		2,636		2,854		8,510		14,000		100.0	%	$	239,220		1		2,636		100.0	%
Total as of June 30, 2014				4,335,949		843,684		88,412		786,668		1,718,764		90.4	%	$	192,423,479		412		1,964,373		42.9	%
Chicago, IL		2014		317,000		—		—		—		—		N/A	%	$	—		8		133,000		—	%
Total				4,652,949		843,684		88,412		786,668		1,718,764		90.4	%	$	192,423,479		420		2,097,373		40.2	%

(1) Represents the year a property was acquired or, in the case of a property under lease, the year our initial lease commenced for the property.

(2) With respect to our owned properties, gross square feet represents the entire building area. With respect to leased properties, gross square feet represents that portion of the gross square feet subject to our lease. This includes 169,468 square feet of QTS office and support space, which is not included in operating NRSF.

(3) Represents the total square feet of a building that is currently leased or available for lease plus developed supporting infrastructure, based on engineering drawings and estimates, but does not include space held for redevelopment or space used for our own office space.

(4) Represents management’s estimate of the portion of NRSF of the facility with available power and cooling capacity that is currently leased or readily available to be leased to customers as data center space based on engineering drawings.

(5) Represents the operating NRSF of the facility other than data center space (typically office and storage space) that is currently leased or available to be leased.

(6) Represents required data center support space, including mechanical, telecommunications and utility rooms, as well as building common areas.

(7) Calculated as data center raised floor that is subject to a signed lease for which billing has commenced as of June 30, 2014 divided by leasable raised floor based on the current configuration of the properties (557,212 square feet as of June 30, 2014), expressed as a percentage.

(8) The Company defines annualized rent as MRR multiplied by 12. The Company calculates MRR as monthly contractual revenue under executed contracts as of a particular date, which includes revenue from our C1, C2 and C3 rental activities and cloud and managed services, but excludes customer recoveries, deferred set up fees and other one-time and variable revenues. MRR does not include the impact from booked not billed contracts as of a particular date, unless otherwise specifically noted.

(9) Represents installed utility power and transformation capacity that is available for use by the facility as of June 30, 2014.

* Represents facilities that we lease.

** Subject to long term ground lease.

NOTE: Excludes our facility at Lenexa, Kansas, which is not an operating data center.

9    QTS Q2 Earnings 2014 Contact: IR@qtsdatacenters.com

Redevelopment Costs Summary

(in thousands, except NRSF data)

During the second quarter of 2014, approximately 45,000 square feet was placed in service. The under construction table below summarizes our outlook for development projects which we expect to complete by December 31, 2014 (in millions). The majority of capital in this plan is discretionary. In addition to the projects completed in the second quarter of 2014, this table reflects modifications to our capital plan as of June 30, 2014, relating to our plan to operate our facilities at higher efficiency levels and to better match new capacity with lease-up at each facility. In order to properly facilitate the needs of customers which have signed contracts, some capital for facilities such as Richmond and Dallas-Fort Worth which were previously forecasted to be placed in service in the second half of 2014 are now expected be placed into service during 2015.

	Under Construction Costs (1)
Property	Actual (2)		Estimated Cost to Completion (3)		Total		Expected Completion date
Dallas - Fort Worth	$	41	$	1	$	42		Q3 2014
Richmond		17		1		18		Q3 2014
Sacramento		5		3		8		Q3 2014
Atlanta - Metro		1		4		5		Q3 2014
Atlanta - Suwanee		—		1		1		Q3 2014
Totals	$	64	$	10	$	74

(1) In addition to projects currently under construction, our near-term redevelopment projects are expected to be delivered in a modular manner, and we currently expect to invest additional capital to complete these near term projects. The ultimate timing and completion of, and the commitment of capital to, our future redevelopment projects are within our discretion and will depend upon a variety of factors, including the actual contracts executed, availability of financing and our estimation of the future market for data center space in each particular market.

(2) Actual costs under construction through June 30, 2014. In addition to the $64 million of construction costs incurred through June 30, 2014 for redevelopment expected to be completed by December 31, 2014, as of June 30, 2014 we incurred approximately $120 million of additional costs (including acquisition costs and other capitalized costs) for other redevelopment projects that are expected to be completed after December 31, 2014.

(3) Represents management’s estimate of the additional costs required to complete the current NRSF under development. There may be an increase in costs if customers’ requirements exceed our current basis of design.

10    QTS Q2 Earnings 2014 Contact: IR@qtsdatacenters.com

Redevelopment Summary

(in thousands, except NRSF data)

The following redevelopment table presents an overview of our redevelopment pipeline, based on information as of June 30, 2014. This table shows our ability to increase our raised floor of 843,684 square feet by approximately 2.3 times to 2.0 million square feet as of June 30, 2014 and to over 2.1 million square feet when adjusted for the Chicago acquisition:

Raised Floor NRSF Overview as of June 30, 2014
Property	Current NRSF in Service		Under Construction (1)		Future Available (2)		Basis of Design NRSF		Approximate Adjacent Acreage of Land (3)
Richmond		84,511		11,042		461,042		556,595		111.1
Atlanta Metro		382,986		10,000		134,200		527,186		6.0
Dallas Fort Worth		—		26,000		266,000		292,000		15.0
New Jersey		58,157		—		100,000		158,157		65.0
Atlanta Suwanee		160,422		25,000		29,000		214,422		15.4
Santa Clara		55,494		—		24,853		80,347		—
Sacramento		45,595		9,000		3,311		57,906		—
Jersey City		31,503		—		21,241		52,744		—
Miami		19,887		—		—		19,887		—
Wichita		2,636		—		—		2,636		—
Overland Park		2,493		—		—		2,493		—
Totals as of June 30, 2014		843,684		81,042		1,039,647		1,964,373		212.5
Chicago		—		—		133,000		133,000		23.0
Totals as of June 30, 2014		843,684		81,042		1,172,647		2,097,373		235.5

(1) Reflects NRSF at a facility for which the initiation of substantial activities has begun to prepare the property for its intended use on or before December 31, 2014.

(2) Reflects NRSF at a facility for which the initiation of substantial activities has begun to prepare the property for its intended use on or after December 31, 2014.

(3) The total cost basis of adjacent land, excluding Chicago, which is land available for the future development, is approximately $10 million. This is included in land on the Combined Consolidated Balance Sheets. The Basis of Design NRSF does not include any buildout on the adjacent land.

11    QTS Q2 Earnings 2014 Contact: IR@qtsdatacenters.com

NOI by Facility and Capital Expenditure Summary

(in thousands, except NRSF data)

The Company calculates net operating income, or NOI, as net income (loss), excluding: interest expense, interest income, depreciation and amortization, write-off of unamortized deferred financing costs, tax expense of taxable REIT subsidiaries, gain on extinguishment of debt, transaction costs, gain on legal settlement, gain on sale of real estate, restructuring charge and general and administrative expenses. The Company believes that NOI is another metric that is often utilized to evaluate returns on operating real estate from period to period and also, in part, to assess the value of the operating real estate. The breakdown of NOI by facility is shown below:

	Three Months Ended								Six Months Ended
	June 30,		March 31,			June 30,			June 30,
	2014		2014			2013			2014			2013
Net Operating Income (NOI)
Net income (loss)	$	3,921	$	5,328		$	(1,232	)	$	9,249		$	(3,306	)
Interest expense		2,208		2,065			5,084			4,273			11,634
Interest income		—		(8	)		(7	)		(8	)		(13	)
Depreciation and amortization		13,817		13,247			11,246			27,064			22,061
Write off of unamortized deferred finance costs		110		—			2,179			110			3,277
Tax expense of taxable REIT subsidiaries		27		28			—			55			—
Restructuring costs		1,046		—			—			1,046			—
Transaction costs		1,089		64			—			1,153			—
General and administrative expenses		11,473		10,778			9,696			22,251			19,290
NOI (1)	$	33,691	$	31,502		$	26,966		$	65,193		$	52,943
Breakdown of NOI by facility:
Atlanta-Metro data center	$	15,194	$	14,402		$	12,816		$	29,596		$	25,000
Atlanta-Suwanee data center		8,578		8,174			6,644			16,752			13,428
Santa Clara data center		3,318		2,730			2,751			6,048			5,498
Richmond data center		3,339		3,047			2,412			6,386			4,679
Sacramento data center		2,339		2,324			1,962			4,663			3,886
Other data centers		923		825			381			1,748			452
NOI (1)	$	33,691	$	31,502		$	26,966		$	65,193		$	52,943

(1) Includes facility level G&A allocation charges of 4% of revenue which aggregated to $2.0 million, $2.0 million and $1.7 million, for the three month periods ended June 30, 2014, March 31, 2014, and June 30, 2013, respectively, and $4.0 million and $3.4 million for the six month periods ended June 30, 2014, and 2013, respectively.

Capital expenditures related to real estate assets are summarized as follows:

	Real Estate Capital Expenditures (1)
	Three Months Ended June 30,				Six months ended June 30,
	2014		2013		2014		2013
Redevelopment	$	46,195	$	25,193	$	92,519	$	56,867
Acquisitions (2)		53,550		—		53,550		21,173
Maintenance capital expenditures		22		989		95		1,748
Other capitalized costs		4,981		3,727		9,249		6,720
Total capital expenditures	$	104,748	$	29,909	$	155,413	$	86,508

(1) Does not include capitalized leasing commissions included in deferred costs, acquired intangibles or other management-related fixed assets included in other assets.

(2) Reflects real estate asset portion of preliminary purchase price allocation associated with this New Jersey acquisition on June 30, 2014. Additional purchase price consideration is included in intangible assets.

12    QTS Q2 Earnings 2014 Contact: IR@qtsdatacenters.com

Leasing Statistics – Signed Leases

(in thousands)

The mix of sales has significant impact on quarterly rates, both within major product segments and for overall blended leasing rates. QTS rate performance will vary quarter to quarter based on the mix of deals sold – C1 Custom Data Center, C2 Colocation (Cabinet, Cage and Suite), and C3 Cloud and Managed Services categories all vary on a rate per square foot basis. The amounts below include renewals when there was a change in square footage rented, but not renewals where square footage remained consistent before and after renewal (See renewal table on page 14 for such renewals). Please note that leasing activities discussed below do not include the lease associated with the acquisition of the New Jersey facility which was completed on June 30, 2014.

During the second quarter of 2014, the Company signed 335 new and modified leases aggregating to $21.7 million of annualized rent which includes new leased revenue plus revenue from modified renewals. Removing annualized modified renewal MRR and deducting period downgrades results in $17.7 million in incremental annualized rent. In addition, given the magnitude of C1 leases, the average new C1 and C2/C3 lease rates executed during the quarter are higher than the trailing four quarter average for the respective products. The average rent per square foot was approximately $329 per square foot which compares to a trailing four quarter average rate per square foot of approximately $572. The lower rate per square foot is attributable to the significance of C1 leases executed (see table below).

Annualized Rent of New and Modified Leases represent total MRR associated with all new and modified leases for the respective periods for the purposes of computing annualized rent rates per square foot during the period. Incremental Annualized Rent, Net of Downgrades reflects net incremental MRR signed during the period for purposes of tracking incremental revenue contribution.

	Period			Number of Leases		Total Leased sq ft			Annualized Rent per Leased sq ft			Annualized Rent of New and Modified Leases		Incremental Annualized Rent, Net of Downgrades
New/modified leases signed – Total		Q2 2014			335		66,009		$	329		$	21,688,736	$	17,717,391
		P4QA	*		323		23,429			572			13,410,593		9,080,620
		Q1 2014			301		12,793	**		1,055	**		13,492,159		10,514,660
		Q4 2013			285		40,632			351			14,241,606		9,252,764
		Q3 2013			351		23,138			566			13,086,021		8,230,201
		Q2 2013			355		17,151			748			12,822,584		8,324,853
New/modified leases signed – C1		Q2 2014			7		59,340		$	230		$	13,633,836
		P4QA	*		13		13,648			221			3,022,198
		Q1 2014			14		872			753			656,784
		Q4 2013			15		34,354			187			6,434,898
		Q3 2013			11		11,446			235			2,695,290
		Q2 2013			11		7,920			291			2,301,818
New/modified leases signed – C2/C3		Q2 2014			328		6,669		$	1,208		$	8,054,900
		P4QA	*		310		9,781			1,062			10,388,387
		Q1 2014			287		11,921	**		1,077	**		12,835,341
		Q4 2013			270		6,278			1,244			7,806,708
		Q3 2013			340		11,692			889			10,390,731
		Q2 2013			344		9,231			1,140			10,520,766

* Average of prior 4 quarters

** Prior quarter numbers slighlty adjusted to reflect square footage modification.

Note: Figures above do not include cost recoveries. In general, C1 customers reimburse QTS for certain operating costs whereas C2/C3 customers are on a gross lease basis. As a result, pricing and resulting per square foot rates for the C2/C3 customers includes the recovery of such operating costs.

The following table outlines the booked-not-billed (“BNB”) balance as of June 30, 2014 and how that will affect revenue in 2014 and subsequent years:

Booked-not-billed (“BNB”)	2014		2015		Thereafter		Total
MRR	$	1,128,471	$	1,132,958	$	1,159,169	$	3,420,598
Incremental revenue		4,697,899		7,119,901		13,910,026
Annualized revenue		13,541,647		13,595,502		13,910,026		41,047,175

We estimate the cost to provide the space, power, connectivity and other service to the customer contracts which had not billed as of June 30, 2014 would be approximately $45 million. This estimate generally includes C1 customers with newly contracted space of more than 3,300 square feet. The space, power, connectivity and other service provided to customers that contract for smaller amounts of space is generally provided by existing space which was previously developed.

13    QTS Q2 Earnings 2014 Contact: IR@qtsdatacenters.com

Leasing Statistics – Renewed Leases and Rental Churn

(in thousands)

The mix of sales has significant impact on quarterly rates, both within major product segments and for overall blended renewal rates. QTS’ rate performance will vary quarter to quarter based on the mix of deals sold – C1 Custom Data Center, C2 Colocation, and C3 Cloud and Managed Services categories all vary on a rate per square foot basis.

Consistent with our 3C strategy and business model, the renewal rates below reflect total MRR per square foot including all subscribed services. For comparability, we include only those customers that have maintained consistent space footprints in the computations below. All customers with space changes are incorporated into new/modified leasing statistics and rates.

The overall blended rate for renewals signed in the second quarter of 2014 was 1.0% higher than the rates for those customers immediately prior to renewal. The actual change in the second quarter of 2014 renewal rates compares to a prior four quarter average increase of 3.1%. Year to date 2014 average renewal rate increase is 4.0% which compares favorably to full-year 2013 average that was effectively flat (-0.2%).

There were no C1 renewals in the second quarter of 2014. C2/C3 rates were up 1.0% in the second quarter of 2014 and up 4.2% over preceding four quarters. Year to date 2014 C2/C3 average renewal rate increase is 4.2% which compares favorably to full year 2013 C2/C3 average that was down slightly (-0.6%).

Rental Churn (which we define as MRR lost to complete termination of customer services in a given period compared to total MRR at the beginning of the period) for the second quarter of 2014 was 1.9%.

	Period			Number of renewed leases		Total Leased sq ft		Annualized rent per leased sq ft		Annualized Rent		Rent Change (1)
Renewed Leases – Total		Q2 2014			74		10,199	$	735	$	7,495,879		1.0	%
		P4QA	*		55		6,220		817		5,002,842		3.1	%
		Q1 2014			56		6,558		770		5,049,624		8.9	%
		Q4 2013			50		3,795		922		3,497,992		-1.1	%
		Q3 2013			47		6,812		783		5,335,293		8.0	%
		Q2 2013			68		7,713		795		6,128,460		-1.8	%
Renewed Leases – C1		Q2 2014			0		—	$	—	$	—		0.0	%
		P4QA	*		2		2,810		389		1,118,703		4.9	%
		Q1 2014			1		2,500		301		753,240		0.0	%
		Q4 2013			0		—		—		—		0.0	%
		Q3 2013			2		3,119		476		1,484,166		8.3	%
		Q2 2013			0		—		—		—		0.0	%
Renewed Leases – C2/C3		Q2 2014			74		10,199	$	735	$	7,495,879		1.0	%
		P4QA	*		55		4,815		954		4,443,491		4.2	%
		Q1 2014			55		4,058		1,059		4,296,384		10.6	%
		Q4 2013			50		3,795		922		3,497,992		-1.1	%
		Q3 2013			45		3,693		1,043		3,851,127		8.0	%
		Q2 2013			68		7,713		795		6,128,460		-1.8	%

* Average of prior 4 quarters

(1) Calculated as the percentage change of the rent per square foot immediately before renewal when compared to the rent per square foot immediately after renewal.

14    QTS Q2 Earnings 2014 Contact: IR@qtsdatacenters.com

Leasing Statistics – Commenced Leases

(in thousands)

The mix of sales across C1, C2 and C3 has significant impact on quarterly rates, both within major product segments and for overall blended commencement rates. QTS’ rate performance will vary quarter to quarter based on the mix of deals sold. C1 Custom Data Center, C2 Colocation , and C3 Cloud and Managed Services categories all vary on a rate per square foot basis. Please note that leasing activities discussed below do not include acquisition of the New Jersey which was completed on June 30, 2014.

During the second quarter of 2014, we commenced customer leases (which includes both new customers and existing customers that extended their lease terms) representing approximately $19.2 million of annualized rent at $584 per square foot. This compares to customer leases representing an aggregate trailing four quarter average of approximately $19.2 million of annualized rent at $365 per square foot. The trailing four-quarter average rates reflect the impact of significant C1 lease commencements (higher volume at lower rates).

Initial commencements from a large C1 deal booked in the second quarter of 2013 impacted average C1 commencement rates for the trailing four quarters as well as the second quarter of 2014. Pricing for this strategic customer reflects the unique power commitment and lease size.

C2/C3 average commencement rate for the second quarter of 2014 was $1,358, reflecting large C3 bookings from first quarter 2014 that commenced billing, versus the trailing four quarter average of $1,040 which included several large C2 commencements. Related metrics reflect the presence of these large C2 commencements and their larger footprint pricing economics as seen in higher leased square feet in Q3-Q4 2013. For second quarter 2014, new MRR totaled $1.2 million ($14.7 million annualized) versus trailing average of $1.1 million ($13.0 million annualized).

	Period			Number of leases		Total Leased sq ft		Annualized rent per leased sq ft		Annualized Rent
Leases commenced – Total		Q2 2014			421		32,838	$	584	$	19,172,568
		P4QA	*		367		52,618		365		19,214,638
		Q1 2014			307		21,941		558		12,246,796
		Q4 2013			356		99,123		280		27,714,462
		Q3 2013			417		72,516		324		23,524,566
		Q2 2013			387		16,891		792		13,372,729
Leases commenced – C1		Q2 2014			33		22,023	$	203	$	4,480,666
		P4QA	*		27		40,145		156		6,248,834
		Q1 2014			22		11,394		130		1,480,149
		Q4 2013			25		85,533		158		13,536,139
		Q3 2013			31		56,878		152		8,635,316
		Q2 2013			29		6,775		198		1,343,731
Leases commenced – C2/C3		Q2 2014			388		10,815	$	1,358	$	14,691,902
		P4QA	*		340		12,473		1,040		12,965,805
		Q1 2014			285		10,547		1,021		10,766,647
		Q4 2013			331		13,590		1,043		14,178,324
		Q3 2013			386		15,638		952		14,889,250
		Q2 2013			358		10,116		1,189		12,028,998

* Average of prior 4 quarters

15    QTS Q2 Earnings 2014 Contact: IR@qtsdatacenters.com

Lease Expirations

C1 leases are typically 5-10 years with the majority of C1 lease expirations occurring in 2016 and beyond. C2/C3 leases are typically 3 years in duration, thus the majority of C2/C3 lease expirations are in 2014, 2015 and 2016. The following table sets forth a summary schedule of the lease expirations as of June 30, 2014 at the properties in the Company’s portfolio. Unless otherwise stated in the footnotes, the information set forth in the table assumes that customers exercise no renewal options and all early termination rights are exercised:

Year of Lease Expiration (1)	Number of Leases Expiring (2)		Total Raised Floor of Expiring Leases		% of Portfolio Leased Raised Floor			Annualized Rent (3)		% of Portfolio Annualized Rent			C1 as % of Portfolio Annualized Rent			C2 as % of Portfolio Annualized Rent			C3 as % of Portfolio Annualized Rent
Month-to- Month (4)		326		18,385		3	%		13,661,874		7	%		1	%		5	%		1	%
2014		492		18,771		3	%		17,373,088		9	%		1	%		6	%		2	%
2015		842		51,568		9	%		40,860,991		21	%		2	%		18	%		1	%
2016		726		66,919		12	%		35,915,360		19	%		6	%		12	%		1	%
2017		252		61,127		11	%		24,913,775		13	%		7	%		4	%		2	%
2018		127		235,904		42	%		36,651,657		19	%		17	%		2	%		0	%
After 2018		76		103,946		20	%		23,046,732		12	%		10	%		1	%		1	%
Portfolio Total		2,841		556,620		100	%	$	192,423,479		100	%		44	%		48	%		8	%

(1) Does not include data for leases expiring in a particular year when leases for the same space have already been signed with replacement customers with future commencement dates. In those cases, the data is included in the year in which the future lease expires.

(2) Represents each agreement with a customer signed as of June 30, 2014 for which billing has commenced; a lease agreement could include multiple spaces and a customer could have multiple leases.

(3) Annualized rent is presented for leases commenced as of June 30, 2014. The Company defines annualized rent as MRR multiplied by 12. The Company calculates MRR as monthly contractual revenue under signed leases as of a particular date, which includes revenue from our C1, C2 and C3 rental and cloud and managed services activities, but excludes customer recoveries, deferred set-up fees, variable related revenues, non-cash revenues and other one-time revenues. MRR does not include the impact from booked-not-billed leases as of a particular date, unless otherwise specifically noted. This amount reflects the annualized cash rental payments. It does not reflect the accounting associated with any free rent, rent abatements or future scheduled rent increases and also excludes operating expense and power reimbursements.

(4) Consists of customers whose leases expired prior to June 30, 2014 and have continued on a month-to-month basis.

16    QTS Q2 Earnings 2014 Contact: IR@qtsdatacenters.com

Largest Customers

As of June 30, 2014, the Company’s portfolio was leased to over 800 customers comprised of companies of all sizes representing an array of industries, each with unique and varied business models and needs. The following table sets forth information regarding the ten largest customers in the portfolio based on annualized rent as of June 30, 2014:

Principal Customer Industry	Number of Locations		Annualized Rent (1)		% of Portfolio Annualized Rent			Weighted Average Remaining Lease Term (Months) (2)
Internet		1	$	15,372,137		8.0	%		52
Internet		1		9,644,400		5.0	%		52
Information Technology		1		8,290,975		4.3	%		120
Financial Services		1		4,318,740		2.2	%		31
Financial Services		1		4,200,045		2.2	%		13
Professional Services		1		3,274,860		1.7	%		11
Financial Services		2		3,244,109		1.7	%		42
Internet		2		3,239,749		1.7	%		8
Information Technology		1		3,175,608		1.7	%		20
Information Technology		2		3,139,770		1.6	%		13
Total / Weighted Average			$	57,900,393		30.1	%		48

(1) Annualized rent is presented for leases commenced as of June 30, 2014. We define annualized rent as MRR multiplied by 12. We calculate MRR as monthly contractual revenue under signed leases as of a particular date, which includes revenue from our C1, C2 and C3 rental and cloud and managed services activities, but excludes customer recoveries, deferred set-up fees, variable related revenues, non-cash revenues and other one-time revenues. MRR does not include the impact from booked-not-billed leases as of a particular date. This amount reflects the annualized cash rental payments. It does not reflect any free rent, rent abatements or future scheduled rent increases and also excludes operating expense and power reimbursements.

(2) Weighted average based on customer’s percentage of total annualized rent expiring and is as of June 30, 2014.

17    QTS Q2 Earnings 2014 Contact: IR@qtsdatacenters.com

Industry Segmentation

The following table sets forth information relating to the industry segmentation as of June 30, 2014:

The following table sets forth information relating to the industry segmentation as of December 31, 2013:

18    QTS Q2 Earnings 2014 Contact: IR@qtsdatacenters.com

Product Diversification

The following table sets forth information relating to the distribution of leases at the properties, by type of product offering, as of June 30, 2014:

(1) As of June 30, 2014, C1 customers renting over 6,600 square feet represented $46.1 million of annualized C1 MRR, C1 customers renting between 3,300 and 6,600 square feet represented $22.1 million of annualized C1 MRR and C1 customers renting below 3,300 square feet represented $16.3 million of annualized C1 MRR. As of June 30, 2014, C1 customers’ median used square footage was 3,523 square feet.

The following table sets forth information relating to the distribution of leases at the properties, by type of product offering, as of December 31, 2013:

(1) As of December 31, 2013, C1 customers renting over 6,600 square feet represented $34.5 million of annualized C1 MRR, C1 customers renting between 3,300 and 6,600 square feet represented $19.4 million of annualized C1 MRR and C1 customers renting below 3,300 square feet represented $14.3 million of annualized C1 MRR. As of December 31, 2013, C1 customers’ median used square footage was 3,271 square feet.

19    QTS Q2 Earnings 2014 Contact: IR@qtsdatacenters.com

Debt Summary and Debt Maturities

(in thousands)

	June 30, 2014		December 31, 2013
Unsecured Credit Facility	$	439,000	$	256,500
Richmond Credit Facility		70,000		70,000
Atlanta-Metro Equipment Loan		17,739		18,839
Total (1)	$	526,739	$	345,339

(1) Exclusive of capital lease obligations which totaled $4.4 million and $2.5 million as of June 30, 2014 and December 31, 2013, respectively.

As of June 30, 2014

Debt instruments	2014		2015		2016		2017		2018		Thereafter		Total
Unsecured Credit Facility (1)	$	—	$	—	$	—	$	214,000	$	225,000	$	—	$	439,000
Richmond Credit Facility		—		—		—		—		—		70,000		70,000
Atlanta-Metro Equipment Loan		1,139		2,397		2,567		2,748		2,943		5,945		17,739
Total	$	1,139	$	2,397	$	2,567	$	216,748	$	227,943	$	75,945	$	526,739

(1) Revolving portion of the Unsecured Credit Facility has a stated maturity of May 1, 2017 with an option to extend for one additional year.

On July 23, 2014, the Company closed on its offering of $300 million of unsecured 5.875% Senior Notes due 2022 (“the Notes”). The Notes have an interest rate of 5.875% per annum and were issued at a price equal to 99.211% of their face value. If the net proceeds from that issuance were applied to the debt outstanding as of June 30, 2014, QTS’ debt maturity schedule would appear as follows:

As of June 30, 2014

Debt instruments	2014		2015		2016		2017		2018		Thereafter		Total
Unsecured Credit Facility (1)	$	—	$	—	$	—	$	—	$	150,000	$	—	$	150,000
Senior Notes		—		—		—		—		—		297,633		297,633
Richmond Credit Facility		—		—		—		—		—		70,000		70,000
Atlanta-Metro Equipment Loan		1,139		2,397		2,567		2,748		2,943		5,945		17,739
Total	$	1,139	$	2,397	$	2,567	$	2,748	$	152,943	$	373,578	$	535,372

(1) Revolving portion of the Unsecured Credit Facility has a stated maturity of May 1, 2017 with an option to extend for one additional year.

20    QTS Q2 Earnings 2014 Contact: IR@qtsdatacenters.com

Interest Summary

(in thousands)

	Three Months Ended									Six Months Ended
	June 30,			March 31,			June 30,			June 30,			June 30,
	2014			2014			2013			2014			2013
Interest expense and fees	$	3,247		$	2,911		$	5,355		$	6,158		$	11,869
Swap interest		163			161			151			324			234
Amortization of deferred financing costs		621			582			693			1,203			1,605
Capitalized interest (1)		(1,823	)		(1,589	)		(1,115	)		(3,412	)		(2,074	)
Total interest expense	$	2,208		$	2,065		$	5,084		$	4,273		$	11,634

(1) The weighted average interest rate for the three months ended June 30, 2014, March 31, 2014, and June 30, 2013 was 3.47%, 3.75%, and 4.36%, respectively. As of June 30, 2014 and December 31, 2013 our weighted average coupon interest rate was 2.41% and 2.90%, respectively.

21    QTS Q2 Earnings 2014 Contact: IR@qtsdatacenters.com

Appendix

Non-GAAP Financial Measures

This document includes certain non-GAAP financial measures that management believes are helpful in understanding the Company’s business, as further described below.

The Company considers the following non-GAAP financial measures to be useful to investors as key supplemental measures of the Company’s performance: (1) FFO; (2) Operating FFO; (3) Adjusted Operating FFO; (4) MRR; (5) EBITDA; and (6) Adjusted EBITDA. These non-GAAP financial measures should be considered along with, but not as alternatives to, net income or loss and cash flows from operating activities as a measure of the Company’s operating performance and liquidity. FFO, Operating FFO, MRR, NOI, EBITDA and Adjusted EBITDA, as calculated by us, may not be comparable to FFO, Operating FFO, MRR, NOI, EBITDA and Adjusted EBITDA as reported by other companies that do not use the same definition or implementation guidelines or interpret the standards differently from us.

Definitions

C1 – Custom Data Center. Power costs are passed on to customers (metered power); generally 3,000 square feet or more of raised floor; lease term of 5 to 10 years; customers are large corporations, government agencies, and global Internet businesses.

C2 – Colocation. Power overages charged separately; specified kW included in lease; up to 3,000 square feet of raised floor; lease term of up to 3 years; customers are large corporations, small and medium businesses and government agencies.

C3 – Cloud and Managed Services. Power bundled with service; Small amounts of space; customers rent managed virtual servers; lease term up to 3 years; customers are large corporations, small and medium businesses and government agencies.

Booked-not-billed (“BNB”). The Company defines booked-not-billed as customer leases that have been signed, but for which lease payments have not yet commenced.

Leasable raised floor. The Company defines leasable raised floor as the amount of raised floor square footage that the Company has leased plus the available capacity of raised floor square footage that is in a leasable format as of a particular date and according to a particular product configuration. The amount of leasable raised floor may change even without completion of new redevelopment projects due to changes in the Company’s configuration of C1, C2 and C3 product space.

Basis-of-design floor space. The Company defines basis-of-design floor space as the total data center raised floor potential of its existing data center facilities.

22    QTS Q2 Earnings 2014 Contact: IR@qtsdatacenters.com

Operating NRSF. Represents the total square feet of a building that is currently leased or available for lease plus developed supporting infrastructure, based on engineering drawings and estimates, but does not include space held for redevelopment or space used for the Company’s own office space.

The Company. Refers to QTS Realty Trust, Inc., a Maryland corporation, together with its consolidated subsidiaries, including QualityTech, LP.

Historical Predecessor. Refers to QualityTech, LP, our operating partnership.

FFO, Operating FFO and Adjusted Operating FFO

The Company considers funds from operations, or FFO, to be a supplemental measure of its performance which should be considered along with, but not as an alternative to, net income (loss) and cash provided by operating activities as a measure of operating performance and liquidity. The Company calculates FFO in accordance with the standards established by the National Association of Real Estate Investment Trusts, or NAREIT. FFO represents net income (loss) (computed in accordance with GAAP), adjusted to exclude gains (or losses) from sales of property, real estate related depreciation and amortization and similar adjustments for unconsolidated partnerships and joint ventures. The Company’s management uses FFO as a supplemental performance measure because, in excluding real estate related depreciation and amortization and gains and losses from property dispositions, it provides a performance measure that, when compared year over year, captures trends in occupancy rates, rental rates and operating costs.

Due to the volatility and nature of certain significant charges and gains recorded in the Company’s operating results that management believes are not reflective of its core operating performance and liquidity, management computes an adjusted measure of FFO, which the Company refers to as Operating FFO. The Company generally calculates Operating FFO as FFO excluding certain non-recurring and often non-cash charges and gains and losses that management believes are not indicative of the results of the Company’s operating real estate portfolio. The Company believes that Operating FFO provides investors with another financial measure that may facilitate comparisons of operating performance and liquidity between periods and, to the extent they calculate Operating FFO on a comparable basis, between REITs.

Adjusted Operating Funds From Operations “Adjusted Operating FFO” is a non-GAAP measure that is used as a supplemental operating measure specifically for comparing year over year ability to fund dividend distribution from operating activities. Adjusted Operating FFO is used by the Company as a basis to address cash flow and its ability to fund its dividend payments. The Company calculates Adjusted Operating FFO by adding or subtracting from Operating FFO items such as: maintenance capital investment, paid leasing commissions, amortization of deferred financing costs, non- real estate depreciation, straight line rent adjustments, and non-cash compensation.

The Company offers these measures because it recognizes that FFO, Operating FFO and Adjusted Operating FFO will be used by investors as a basis to compare its operating performance and liquidity with that of other REITs. However, because FFO, Operating FFO and Adjusted Operating FFO exclude real estate depreciation and amortization and capture neither the changes in the value of the Company’s properties that result from use or market conditions, nor the level of capital expenditures and capitalized leasing commissions necessary to maintain the operating performance

23    QTS Q2 Earnings 2014 Contact: IR@qtsdatacenters.com

of its properties, all of which have real economic effect and could materially impact its financial condition, cash flows and results of operations, the utility of FFO, Operating FFO and Adjusted Operating FFO as measures of its operating performance and liquidity is limited. The Company’s calculation of FFO may not be comparable to measures calculated by other companies that do not use the NAREIT definition of FFO or do not calculate FFO in accordance with NAREIT guidance. In addition, the Company’s calculations of FFO, Operating FFO and Adjusted Operating FFO are not necessarily comparable to FFO, Operating FFO and Adjusted Operating FFO as calculated by other REITs that do not use the same definition or implementation guidelines or interpret the standards differently from us. FFO, Operating FFO and Adjusted Operating FFO are non-GAAP measures and should not be considered a measure of the Company’s results of operations or liquidity or as a substitute for, or an alternative to, net income (loss), cash provided by operating activities or any other performance measure determined in accordance with GAAP, nor is it indicative of funds available to fund its cash needs, including our ability to make distributions to our stockholders.

	Three Months Ended									Six Months Ended
	June 30,			March 31,			June 30,			June 30,
	2014			2014			2013			2014			2013
FFO
Net income (loss)	$	3,921		$	5,328		$	(1,232	)	$	9,249		$	(3,306	)
Real estate depreciation and amortization		12,203			11,864			10,110			24,067			19,617
FFO		16,124			17,192			8,878			33,316			16,311
Write off of unamortized deferred finance costs		110			—			2,179			110			3,277
Restructuring costs		1,046			—			—			1,046			—
Transaction costs		1,089			64			—			1,153			—
Operating FFO *		18,369			17,256			11,057			35,625			19,588
Maintenance Capex		(22	)		(73	)		(989	)		(95	)		(1,748	)
Leasing Commissions paid		(2,839	)		(2,249	)		(2,545	)		(5,088	)		(4,515	)
Amortization of deferred financing costs		621			582			693			1,203			1,605
Non real estate depreciation and amortization		1,616			1,382			1,136			2,998			2,444
Straight line rent revenue		(170	)		(152	)		(85	)		(322	)		(199	)
Straight line rent expense		74			75			86			149			163
Equity-based compensation expense		1,065			911			420			1,976			795
Adjusted Operating FFO *	$	18,714		$	17,732		$	9,773		$	36,446		$	18,133

* The Company’s calculations of Operating FFO and Adjusted Operating FFO may not be comparable to Operating FFO and Adjusted Operating FFO as calculated by other REITs that do not use the same definition.

Monthly Recurring Revenue (MRR)

The Company calculates MRR as monthly contractual revenue under signed leases as of a particular date, which includes revenue from its C1, C2 and C3 rental and cloud and managed services activities, but excludes customer recoveries, deferred set-up fees, variable related revenues, non-cash revenues and other one-time revenues. MRR does not include the impact from booked-not-billed leases as of a particular date, unless otherwise specifically noted.

Separately, the Company calculates recognized MRR as the recurring revenue recognized during a given period, which includes revenue from its C1, C2 and C3 rental and cloud and managed services activities, but excludes customer recoveries, deferred set-up fees, variable related revenues, non-cash revenues and other one-time revenues.

24    QTS Q2 Earnings 2014 Contact: IR@qtsdatacenters.com

Management uses MRR and recognized MRR as supplemental performance measures because they provide useful measures of increases in contractual revenue from the Company’s customer leases. MRR and recognized MRR should not be viewed by investors as alternatives to actual monthly revenue, as determined in accordance with GAAP. Other companies may not calculate MRR or recognized MRR in the same manner. Accordingly, the Company’s MRR and recognized MRR may not be comparable to other companies’ MRR and recognized MRR. MRR and recognized MRR should be considered only as supplements to total revenues as a measure of its performance. MRR and recognized MRR should not be used as measures of the Company’s results of operations or liquidity, nor is it indicative of funds available to meet its cash needs, including its ability to make distributions to its stockholders.

	Three Months Ended									Six Months Ended
	June 30,			March 31,			June 30,			June 30,
	2014			2014			2013			2014			2013
Recognized MRR in the period
Total period revenues (GAAP basis)	$	51,338		$	48,943		$	42,940		$	100,281		$	84,438
Less: Total period recoveries		(3,852	)		(3,691	)		(3,456	)		(7,543	)		(6,322	)
Total period deferred setup fees		(1,164	)		(1,219	)		(1,126	)		(2,383	)		(2,188	)
Total period other		(1,107	)		(878	)		(910	)		(1,985	)		(2,143	)
Recognized MRR in the period		45,215			43,155			37,448			88,370			73,785
MRR at period end
Total period revenues (GAAP basis)	$	51,338		$	48,943		$	42,940		$	100,281		$	84,438
Less: Total revenues excluding last month		(34,000	)		(32,551	)		(28,304	)		(82,943	)		(69,802	)
Total revenues for last month of period		17,338			16,392			14,636			17,338			14,636
Less: Last month recoveries		(1,464	)		(1,136	)		(1,224	)		(1,464	)		(1,224	)
Last month deferred setup fees		(421	)		(410	)		(391	)		(421	)		(391	)
Last month other		582			(272	)		(278	)		582			(278	)
MRR at period end	$	16,035		$	14,574		$	12,743		$	16,035		$	12,743

Earnings Before Interest, Taxes, Depreciation and Amortization (EBITDA) and Adjusted EBITDA

The Company calculates EBITDA as net income (loss) adjusted to exclude interest expense and interest income, provision for income taxes (including income taxes applicable to sale of assets) and depreciation and amortization. Management believes that EBITDA is useful to investors in evaluating and facilitating comparisons of the Company’s operating performance between periods and between REITs by removing the impact of its capital structure (primarily interest expense) and asset base charges (primarily depreciation and amortization) from its operating results.

25    QTS Q2 Earnings 2014 Contact: IR@qtsdatacenters.com

In addition to EBITDA, the Company calculates an adjusted measure of EBITDA, which it refers to as Adjusted EBITDA, as EBITDA excluding unamortized deferred financing costs, gains on extinguishment of debt, transaction costs, equity-based compensation expense, restructuring charge, gain (loss) on legal settlement and gain on sale of real estate. The Company believes that Adjusted EBITDA provides investors with another financial measure that can facilitate comparisons of operating performance between periods and between REITs.

Management uses EBITDA and Adjusted EBITDA as supplemental performance measures as they provide useful measures of assessing the Company’s operating results. Other companies may not calculate EBITDA or Adjusted EBITDA in the same manner. Accordingly, the Company’s EBITDA and Adjusted EBITDA may not be comparable to others. EBITDA and Adjusted EBITDA should be considered only as supplements to net income (loss) as measures of the Company’s performance and should not be used as substitutes for net income (loss), as measures of its results of operations or liquidity or as an indications of funds available to meet our cash needs, including our ability to make distributions to our stockholders.

	Three Months Ended								Six Months Ended
	June 30,		March 31,			June 30,			June 30,
	2014		2014			2013			2014			2013
EBITDA and Adjusted EBITDA
Net income (loss)	$	3,921	$	5,328		$	(1,232	)	$	9,249		$	(3,306	)
Interest expense		2,208		2,065			5,084			4,273			11,634
Interest income		—		(8	)		(7	)		(8	)		(13	)
Tax expense of taxable REIT subsidiaries		27		28			—			55			—
Depreciation and amortization		13,817		13,247			11,246			27,064			22,061
EBITDA		19,973		20,660			15,091			40,633			30,376
Write off of unamortized deferred finance costs		110		—			2,179			110			3,277
Equity-based compensation expense		1,065		911			420			1,976			795
Restructuring costs		1,046		—			—			1,046			—
Transaction costs		1,089		64			—			1,153			—
Adjusted EBITDA	$	23,283	$	21,635		$	17,690		$	44,918		$	34,448

Net Operating Income (NOI)

The Company calculates net operating income, or NOI, as net income (loss), excluding: interest expense, interest income, tax expense of taxable REIT subsidiaries, depreciation and amortization, write off of unamortized deferred financing costs, gain on extinguishment of debt, transaction costs, gain on legal settlement, gain on sale of real estate, restructuring charge and general and administrative expenses. The Company believes that NOI is another metric that is often utilized to evaluate returns on operating real estate from period to period and also, in part, to assess the value of the operating real estate. A reconciliation of net income (loss) to NOI is presented below:

	Three Months Ended								Six Months Ended
	June 30,		March 31,			June 30,			June 30,
	2014		2014			2013			2014			2013
Net Operating Income (NOI)
Net income (loss)	$	3,921	$	5,328		$	(1,232	)	$	9,249		$	(3,306	)
Interest expense		2,208		2,065			5,084			4,273			11,634
Interest income		—		(8	)		(7	)		(8	)		(13	)
Depreciation and amortization		13,817		13,247			11,246			27,064			22,061
Write off of unamortized deferred finance costs		110		—			2,179			110			3,277
Tax expense of taxable REIT subsidiaries		27		28			—			55			—
Restructuring costs		1,046		—			—			1,046			—
Transaction costs		1,089		64			—			1,153			—
General and administrative expenses		11,473		10,778			9,696			22,251			19,290
NOI (1)	$	33,691	$	31,502		$	26,966		$	65,193		$	52,943
Breakdown of NOI by facility:
Atlanta-Metro data center	$	15,194	$	14,402		$	12,816		$	29,596		$	25,000
Atlanta-Suwanee data center		8,578		8,174			6,644			16,752			13,428
Santa Clara data center		3,318		2,730			2,751			6,048			5,498
Richmond data center		3,339		3,047			2,412			6,386			4,679
Sacramento data center		2,339		2,324			1,962			4,663			3,886
Other data centers		923		825			381			1,748			452
NOI (1)	$	33,691	$	31,502		$	26,966		$	65,193		$	52,943

(1) Includes facility level G&A allocation charges of 4% of revenue which aggregated to $2.0 million, $2.0 million and $1.7 million, for the three month periods ended June 30, 2014, March 31, 2014, and June 30, 2013, respectively, and $4.0 million and $3.4 million for the six month periods ended June 30, 2014, and 2013, respectively.

26    QTS Q2 Earnings 2014 Contact: IR@qtsdatacenters.com