Reportable Segments

6 Months Ended

Jun. 30, 2016

Segment Reporting [Abstract]

REPORTABLE SEGMENTS

REPORTABLE SEGMENTS

The Company's segments are based on the Company's method of internal reporting which classifies operations by property type and geographical area. The segments by property type are: Office, Mixed Use, and Other. The segments by geographical region are: Atlanta, Houston, Austin, Charlotte, and Other. These reportable segments represent an aggregation of operating segments reported to the Chief Operating Decision Maker based on similar economic characteristics that include the type of property and the geographical location. Prior period information has been revised to reflect the change in segment reporting as described in the Annual Report on Form 10-K for the year ended December 31, 2015. Each segment includes both consolidated operations and the Company's share of joint venture operations.

Company management evaluates the performance of its reportable segments in part based on net operating income (“NOI”). NOI represents rental property revenues less rental property operating expenses. NOI is not a measure of cash flows or operating results as measured by GAAP, is not indicative of cash available to fund cash needs and should not be considered an alternative to cash flows as a measure of liquidity. All companies may not calculate NOI in the same manner. The Company considers NOI to be an appropriate supplemental measure to net income as it helps both management and investors understand the core operations of the Company's operating assets. NOI excludes corporate general and administrative expenses, interest expense, depreciation and amortization, impairments, gains/loss on sales of real estate, and other non-operating items.

Segment net income, amount of capital expenditures, and total assets are not presented in the following tables because management does not utilize these measures when analyzing its segments or when making resource allocation decisions. Information on the Company's segments along with a reconciliation of NOI to net income available to common stockholders is as follows (in thousands):

Three Months Ended June 30, 2016	Office			Mixed-Use		Other			Total
Net Operating Income:
Houston	$	25,125		$	—	$	—		$	25,125
Atlanta	21,572			1,742		—			23,314
Austin	5,763			—		—			5,763
Charlotte	4,819			—		—			4,819
Other	(4		)	—		(9		)	(13		)
Total Net Operating Income (Loss)	$	57,275		$	1,742	$	(9	)	$	59,008
Net operating income from unconsolidated joint ventures									(6,954		)
Fee income									1,824
Other income									129
Reimbursed expenses									(798		)
General and administrative expenses									(4,691		)
Interest expense									(7,334		)
Depreciation and amortization									(32,381		)
Other expenses									(2,576		)
Income from unconsolidated joint ventures									1,784
Loss on sale of investment properties									(246		)
Net income									$	7,765

Three Months Ended June 30, 2015	Office		Mixed-Use		Other		Total
Net Operating Income:
Houston	$	25,432	$	—	$	—	$	25,432
Atlanta	23,272		1,499		6		24,777
Austin	3,914		—		—		3,914
Charlotte	4,011		—		—		4,011
Other	2,640		—		—		2,640
Total Net Operating Income	$	59,269	$	1,499	$	6	60,774
Net operating income from unconsolidated joint ventures							(5,984		)
Fee income							1,704
Other income							22
Reimbursed expenses							(717		)
General and administrative expenses							(5,936		)
Interest expense							(7,869		)
Depreciation and amortization							(34,879		)
Other expenses							(343		)
Income from unconsolidated joint ventures							1,761
Loss from discontinued operations							(6		)
Loss on sale of investment properties							(576		)
Net income							$	7,951

Six Months Ended June 30, 2016	Office		Mixed-Use		Other		Total
Net Operating Income:
Houston	$	50,443	$	—	$	—	$	50,443
Atlanta	44,178		3,348		—		47,526
Austin	10,955		—		—		10,955
Charlotte	9,574		—		—		9,574
Other	8		—		15		23
Total Net Operating Income	$	115,158	$	3,348	$	15	118,521
Net operating income from unconsolidated joint ventures							(13,600		)
Fee income							4,023
Other income							705
Reimbursed expenses							(1,668		)
General and administrative expenses							(13,183		)
Interest expense							(14,748		)
Depreciation and amortization							(64,350		)
Other expenses							(2,701		)
Income from unconsolidated joint ventures							3,618
Gain on sale of investment properties							13,944
Net income							$	30,561

Six Months Ended June 30, 2015	Office		Mixed-Use		Other			Total
Net Operating Income:
Houston	$	50,510	$	—	$	—		$	50,510
Atlanta	46,635		2,851		6			49,492
Austin	6,100		—		—			6,100
Charlotte	7,954		—		—			7,954
Other	4,796		—		(25		)	4,771
Total Net Operating Income	$	115,995	$	2,851	$	(19	)	118,827
Net operating income from unconsolidated joint ventures								(11,970		)
Fee income								3,520
Other income								143
Reimbursed expenses								(1,828		)
General and administrative expenses								(9,533		)
Interest expense								(15,546		)
Depreciation and amortization								(71,026		)
Other expenses								(783		)
Income from unconsolidated joint ventures								3,372
Loss from sale of discontinued operations								(551		)
Gain on sale of investment properties								530
Net income								$	15,155