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INTERIM CONSOLIDATED FINANCIAL STATEMENTS STATEMENTS OF CASH FLOW
$ in Thousands
3 Months Ended 6 Months Ended
Jun. 30, 2016
USD ($)
Jun. 30, 2017
USD ($)
Jun. 30, 2016
USD ($)
Cash flow from operating activities:      
Net income $ 5,807 $ 10,176 $ 12,666
Adjustments to reconcile net income to net cash provided by operating activities:      
Depreciation and amortization   66,443 56,936
Amortization of above and below market leases 100 479 201
Amortization of deferred loan costs   1,815 1,626
Amortization of senior notes discount   136 128
Equity-based compensation expense   6,815 5,250
Bad debt expense   1,105 808
Deferred tax benefit   (2,979) (5,059)
Changes in operating assets and liabilities      
Rents and other receivables, net   (3,599) (9,834)
Prepaid expenses   (1,957) (1,966)
Other assets   (595) (479)
Accounts payable and accrued liabilities   (7,640) 5,390
Advance rents, security deposits and other liabilities   5,745 1,484
Deferred income   1,440 1,351
Net cash provided by operating activities   77,384 68,502
Cash flow from investing activities:      
Acquisitions, net of cash acquired   5,019 122,981
Additions to property and equipment   (139,818) (149,303)
Net cash used in investing activities   (144,837) (272,284)
Cash flow from financing activities:      
Credit facility proceeds   109,000 231,000
Debt repayment     (259,002)
Debt proceeds   1,920  
Payment of deferred financing costs   (38)  
Payment of cash dividends   (35,958) (28,104)
Distribution to noncontrolling interests   (5,087) (4,724)
Proceeds from exercise of stock options   662 666
Payment of tax withholdings related to equity based awards   (2,464) (1,301)
Principal payments on capital lease obligations   (6,547) (6,454)
Mortgage principal debt repayments   (22)  
Equity proceeds, net of issuance costs   39,011 275,673
Net cash provided by financing activities   100,477 207,754
Net increase in cash and cash equivalents   33,024 3,972
Cash and cash equivalents, beginning of period   9,580 8,804
Cash and cash equivalents, end of period 12,776 42,604 12,776
SUPPLEMENTAL DISCLOSURES OF CASH FLOW INFORMATION      
Cash paid for interest (excluding deferred financing costs and amounts capitalized)   11,517 9,001
Noncash investing and financing activities:      
Accrued capital additions   46,894 16,988
Increase in other liabilities related to change in fair value of interest rate swaps   1,499  
Accrued equity issuance costs     10
Acquisitions, net of cash acquired:      
Land 7,439 5,019 7,439
Buildings, improvements and equipment 78,370   78,370
Construction in process 13,900   13,900
Rents and other receivables, net (2,033)   (2,033)
Acquired intangibles 36,368   36,368
Deferred costs 4,084   4,084
Prepaid expenses 479   479
Goodwill     (7,895)
Other assets 303   303
Accounts payable and accrued liabilities (922)   (922)
Advance rents, security deposits and other liabilities (1,102)   (1,102)
Deferred income 35   35
Deferred income taxes (6,045)   (6,045)
Total acquisitions, net of cash acquired   5,019 122,981
Qualitytech, LP [Member]      
Cash flow from operating activities:      
Net income 5,807 10,176 12,666
Adjustments to reconcile net income to net cash provided by operating activities:      
Depreciation and amortization   66,443 56,936
Amortization of above and below market leases   479 201
Amortization of deferred loan costs   1,815 1,626
Amortization of senior notes discount   136 128
Equity-based compensation expense   6,815 5,250
Bad debt expense   1,105 808
Deferred tax benefit   (2,979) (5,059)
Changes in operating assets and liabilities      
Rents and other receivables, net   (3,599) (9,834)
Prepaid expenses   (1,957) (1,966)
Other assets   (595) (479)
Accounts payable and accrued liabilities   (7,640) 5,390
Advance rents, security deposits and other liabilities   5,745 1,484
Deferred income   1,440 1,351
Net cash provided by operating activities   77,384 68,502
Cash flow from investing activities:      
Acquisitions, net of cash acquired   5,019 122,981
Additions to property and equipment   (139,818) (149,303)
Net cash used in investing activities   (144,837) (272,284)
Cash flow from financing activities:      
Credit facility proceeds   109,000 231,000
Debt repayment     (259,002)
Debt proceeds   1,920  
Payment of deferred financing costs   (38)  
Payment of cash dividends   (35,958) (28,104)
Partnership distributions   (5,087) (4,724)
Proceeds from exercise of stock options   662 666
Payment of tax withholdings related to equity based awards   (2,464) (1,301)
Principal payments on capital lease obligations   (6,547) (6,454)
Mortgage principal debt repayments   (22)  
Equity proceeds, net of issuance costs   39,011 275,673
Net cash provided by financing activities   100,477 207,754
Net increase in cash and cash equivalents   33,024 3,972
Cash and cash equivalents, beginning of period   9,580 8,804
Cash and cash equivalents, end of period 12,776 42,604 12,776
SUPPLEMENTAL DISCLOSURES OF CASH FLOW INFORMATION      
Cash paid for interest (excluding deferred financing costs and amounts capitalized)   11,517 9,001
Noncash investing and financing activities:      
Accrued capital additions   46,894 16,988
Increase in other liabilities related to change in fair value of interest rate swaps   1,499  
Accrued equity issuance costs     10
Acquisitions, net of cash acquired:      
Land 7,439 5,019 7,439
Buildings, improvements and equipment 78,370   78,370
Construction in process 13,900   13,900
Rents and other receivables, net (2,033)   (2,033)
Acquired intangibles 36,368   36,368
Deferred costs 4,084   4,084
Prepaid expenses 479   479
Goodwill     (7,895)
Other assets 303   303
Accounts payable and accrued liabilities (922)   (922)
Advance rents, security deposits and other liabilities (1,102)   (1,102)
Deferred income 35   35
Deferred income taxes $ (6,045)   (6,045)
Total acquisitions, net of cash acquired   $ 5,019 $ 122,981