INVESTMENT IN UNCONSOLIDATED JOINT VENTURES

The following information summarizes financial data and principal activities of the Company’s unconsolidated joint ventures. The information included in the following table entitled summary of financial position is as of December 31, 2017 and 2016. The information included in the summary of operations table is for the years ended December 31, 2017, 2016, and 2015 (in thousands).



	Total Assets				Total Debt				Total Equity (Deficit)						Company's Investment
SUMMARY OF FINANCIAL POSITION	2017		2016		2017		2016		2017			2016			2017				2016
Terminus Office Holdings	$	261,999	$	268,242	$	203,131	$	207,545	$	48,033		$	49,476		$	24,898			$	25,686
DC Charlotte Plaza LLLP	53,791		17,940		—		—		42,853			17,073			22,293				8,937
Carolina Square Holdings LP	106,580		66,922		64,412		23,741		33,648			34,173			19,384				18,325
Charlotte Gateway Village, LLC	124,691		119,054		—		—		121,386			116,809			14,568				11,796
HICO Victory Center LP	14,403		14,124		—		—		14,401			13,869			9,752				9,506
HICO Avalon II, LLC	6,379		—		—		—		6,303			—			4,931				—
CL Realty, L.L.C.	8,287		8,047		—		—		8,127			7,899			2,980				3,644
AMCO 120 WT Holdings, LLC	18,066		10,446		—		—		16,354			9,136			1,664				184
Temco Associates, LLC	4,441		4,368		—		—		4,337			4,253			875				829
EP II LLC	277		67,754		—		44,969		180			21,743			44				17,606
EP I LLC	521		78,537		—		58,029		319			18,962			25				18,551
Courvoisier Centre JV, LLC	—		172,197		—		106,500		—			69,479			—				11,782
111 West Rio Building	—		59,399		—		12,852		—			32,855			—				52,206
Wildwood Associates	16,337		16,351		—		—		16,297			16,314			(1,151		)	(1)	(1,143		)	(1)
Crawford Long - CPI, LLC	27,362		27,523		71,047		72,822		(44,815		)	(45,928		)	(21,323		)	(1)	(21,866		)	(1)
Other	—		—		—		—		—			—			—				345
	$	643,134	$	930,904	$	338,590	$	526,458	$	267,423		$	366,113		$	78,940			$	156,388



	Total Revenues						Net Income (Loss)									Company's Share of Net Income (Loss)
SUMMARY OF OPERATIONS	2017		2016		2015		2017			2016			2015			2017			2016			2015
EP I LLC	$	4,123	$	12,239	$	12,558	$	45,115		$	2,294		$	3,177		$	28,667		$	1,684		$	2,197
EP II LLC	2,644		5,376		1,264		13,008			(1,187		)	(638		)	9,756			(878		)	(466		)
Charlotte Gateway Village, LLC	26,465		34,156		33,724		9,528			14,536			12,737			4,764			2,194			1,183
Terminus Office Holdings	43,959		42,386		40,250		6,307			4,608			2,789			3,153			2,303			1,395
Crawford Long - CPI, LLC	12,079		12,113		12,291		3,171			2,743			2,820			1,572			1,372			1,416
CL Realty, L.L.C.	2,964		567		855		2,668			237			424			536			128			220
Courvoisier Centre JV, LLC	15,106		3,968		—		(1,750		)	(489		)	—			521			(93		)	—
Carolina Square Holdings LP	2,701		58		—		(532		)	9			—			522			—			—
HICO Victory Center LP	429		383		262		431			376			204			225			187			102
Temco Associates, LLC	192		1,343		9,485		123			440			2,358			46			502			2,351
DC Charlotte Plaza LLLP	2		47		—		2			45			—			1			24			—
HICO Avalon II, LLC	—		—		—		(69		)	—			—			—			—			—
AMCO 120 WT Holdings, LLC	—		—		—		58			—			—			—			—			—
Wildwood Associates	—		—		—		(116		)	(140		)	(120		)	(58		)	(70		)	(59		)
111 West Rio Building	—		4,219		—		—			3,926			—			(2,590		)	2,906			—
Other	—		—		—		—			—			(40		)	—			303			(37		)
	$	110,664	$	116,855	$	110,689	$	77,944		$	27,398		$	23,711		$	47,115		$	10,562		$	8,302

(1) Negative balances are included in deferred income on the consolidated balance sheets.

Terminus Office Holdings LLC ("TOH") – TOH is a 50-50 joint venture between the Company and institutional investors advised by J.P. Morgan Asset Management ("JPM") which owns and operates two office buildings in Atlanta, Georgia. TOH has two non-recourse mortgage loans totaling $203.1 million that mature on January 1, 2023. The weighted average interest rate on these fixed rate loans is 4.68%. Operating cash flows and proceeds from capital transactions of TOH are allocated to the partners equally until JPM receives an agreed upon return, after which the Company may receive an additional promoted interest. The assets of the venture in the above table include a cash balance of $7.4 million at December 31, 2017.

DC Charlotte Plaza LLLP ("Charlotte Plaza") - Charlotte Plaza is a 50-50 joint venture between the Company and Dimensional Fund Advisors ("DFA") formed to develop DFA's 282,000 square foot regional headquarters building in Charlotte, North Carolina. Capital contributions and distributions of cash flow are made equally in accordance with each partner's partnership interest. The assets of the venture in the above table include a cash balance of $611,000 at December 31, 2017.

Carolina Square Holdings LP ("Carolina Square") - Carolina Square is a 50-50 joint venture between the Company and NR 123 Franklin LLC ("Northwood Ravin") formed for the purpose of developing and constructing a mixed-use property in Chapel Hill, North Carolina. Carolina Square also entered into a construction loan agreement, secured by the project, to fund future construction costs. The loan bears interest at LIBOR plus 1.90% and matures on May 1, 2018. The Company and Northwood Ravin will each guarantee 12.5% of the outstanding loan amount and guarantee completion of the project. As of December 31, 2017, the outstanding balance of the construction loan was $64.4 million. The assets of the venture in the table above include a cash balance of $1.5 million at December 31, 2017.

Charlotte Gateway Village, LLC ("Gateway") – Gateway is a 50-50 joint venture between the Company and Bank of America Corporation (“BOA”), which owns and operates Gateway Village, a 1.1 million square foot office building in Charlotte, North Carolina. Through December 1, 2016, Gateway’s net income or loss and cash distributions were allocated to the members as follows: first to the Company so that it received a cumulative compounded return equal to 11.46% on its capital contributions, second to BOA until it received an amount equal to the aggregate amount distributed to the Company, and then 50% to each member. After December 1, 2016, net income and cash flows are allocated 50% to each until the Company receives a 17% internal rate of return; thereafter, cash flows are allocated 80% to BOA and 20% to the Company. The Company’s total project return on Gateway is ultimately limited to an internal rate of return of 17% on its invested capital. Gateway had a fully-amortizing, non-recourse mortgage loan which matured on December 1, 2016. The assets of the venture in the above table include a cash balance of $12.1 million at December 31, 2017.

HICO Victory Center LP ("HICO") – HICO is a joint venture between the Company and Hines Victory Center Associates Limited Partnership ("Hines Victory"), formed for the purpose of acquiring and subsequently developing an office parcel in Dallas, Texas. Pursuant to the joint venture agreement, all pre-development expenditures, other than land, are funded equally by the partners. The Company funded 75% of the cost of land while Hines Victory funded 25%. If the partners decide to commence construction of an office building, the capital accounts and economics of the venture will be adjusted such that the Company will own at least 90% of the venture and Hines will own up to 10%. As of December 31, 2017, the Company accounted for its investment in HICO under the equity method because it does not control the activities of the venture. If the partners decide to construct an office building within the venture, the Company expects to consolidate the venture. The assets of the venture in the table above include a cash balance of $230,000 at December 31, 2017.

HICO Avalon II, LLC ("AVALON II") - In 2017, Avalon II, a joint venture between the Company and Hines Avalon II Investor, LLC ("Hines II") was formed for the purpose of acquiring and potentially developing an office building in Alpharetta, Georgia. Pursuant to the joint venture agreement, all predevelopment expenditures are funded 75% by Cousins and 25% by Hines II. The Company has accounted for its investment in Avalon II using the equity method as the Company does not currently control the activities of the venture. If the partners decide to commence construction of an office building, the capital accounts and economics of the venture will be adjusted such that the Company will own 90% of the venture and Hines II will own 10%. Additionally, Cousins will have control over the operational aspects of the venture, and the Company expects to consolidate the venture at this time. The assets of the venture in the table above include a cash balance of $114,000 at December 31, 2017.

CL Realty, L.L.C. ("CL Realty") – CL Realty is a 50-50 joint venture between the Company and Forestar Realty Inc. ("Forestar"), that owns a parcel of land in Texas. The assets of the venture in the above table include a cash balance of $741,000 at December 31, 2017.

AMCO 120 WT Holdings, LLC ("Cousins AMCO") - Cousins AMCO is a joint venture between the Company, with a 20% interest, and affiliates of AMLI Residential (“AMLI”), with an 80% interest, formed to develop 120 West Trinity, a mixed-use property in Decatur, Georgia. The property is expected to contain approximately 30,000 square feet of office space, 10,000 square feet of retail space and 330 apartment units. Initial contributions to the joint venture for the purchase of land were funded entirely by AMLI. Subsequent contributions are funded in proportion to the members' percentage interests. The Company accounts for its investment in this joint venture under the equity method as it does not currently control the activities of the venture. The assets of the venture in the above table include a cash balance of $1,000 at December 31, 2017.

Temco Associates, LLC ("Temco") – Temco is a 50-50 joint venture between the Company and Forestar, that owns a golf course in Georgia. The assets of the venture in the above table include a cash balance of $261,000 at December 31, 2017.

EP I LLC ("EP I") and EP II LLC ("EP II") – EP I and EP II are joint ventures between the Company, with a 75% ownership interest, and Lion Gables Realty Limited Partnership (“Gables”), with a 25% ownership interest, which owned Emory Point, a mixed-use property in Atlanta, Georgia. In 2017, EP I and EP II sold Emory Point for a combined gross sales price of $199.0 million. After repayment of debt, the Company received a distribution of $70.0 million and recognized a gain of $37.9 million, which is recorded in income from unconsolidated joint ventures. The assets of the ventures in the above table include a cash balance of $751,000 at December 31, 2017.

Courvoisier Centre JV, LLC ("Courvoisier") - Courvoisier was a joint venture between the Company, with a 20% interest, and Spanish Key LLC, with an 80% interest, that owned Courvoisier Centre, a 343,000 square foot, two-building office property in Miami, Florida. In 2017, the Company sold its 20% interest in Courvoisier Centre for $12.6 million and recognized a gain of $716,000 in a transaction that valued its interest in the property at $33.9 million, prior to deduction for existing mortgage debt.

Cousins W Rio Salado, LLC ("111 West Rio") - 111 West Rio, a wholly-owned subsidiary of the Company, owned a 74.6% interest in the American Airlines Building, a 225,000 square foot office building located in the Tempe submarket of Phoenix, Arizona. American Airlines owned the remaining 25.4% interest in the building. In 2017, the Company purchased American Airlines' interest in the building for $19.6 million. As a result, the Company changed its accounting for the 111 West Rio building from the equity method to the consolidated method. Upon consolidation, the Company recognized a $3.5 million loss and recorded this amount in income from unconsolidated joint ventures.

Wildwood Associates ("Wildwood") – Wildwood is a 50-50 joint venture between the Company and IBM which owns 22 acres of undeveloped land in the Wildwood Office Park in Atlanta, Georgia. At December 31, 2017, the Company’s investment in Wildwood was a credit balance of $1.2 million. This credit balance resulted from cumulative distributions from Wildwood over time that exceeded the Company’s basis in its contributions, and essentially represents deferred gain not recognized at venture formation. This credit balance will decline as the venture’s remaining land is sold. The Company does not have any obligation to fund Wildwood’s working capital needs. The assets of the venture in the above table include a cash balance of $74,000 at December 31, 2017.

Crawford Long—CPI, LLC ("Crawford Long") – Crawford Long is a 50-50 joint venture between the Company and Emory University that owns the Emory University Hospital Midtown Medical Office Tower, a 358,000 square foot medical office building located in Atlanta, Georgia. Crawford Long has a $71.0 million, 3.5% fixed rate mortgage note which matures on June 1, 2023. The assets of the venture in the above table include a cash balance of $1.6 million at December 31, 2017.

Austin 300 Colorado Project, LP ("300 Colorado") - In 2018, 300 Colorado, a joint venture between the Company, 3C Block 28 Partners, LP ("3CB"), and 3C RR Xylem, LP ("3CRR") was formed for the purpose of developing a 309,000 square foot office building in Austin, Texas. The Company owns a 50% interest in the venture, 3CB owns a 34.5% interest, and 3CRR owns a 15.5% interest. Upon formation, 3CB and 3CRR contributed land for use by the joint venture in the development project, the Company contributed $6.0 million in cash, and 300 Colorado assumed a ground lease for an additional parcel of land.

At December 31, 2017, the Company's unconsolidated joint ventures had aggregate outstanding indebtedness to third parties of $338.6 million. These loans are mortgage or construction loans, most of which are non-recourse to the Company, except as described above. In addition, in certain instances, the Company provides “non-recourse carve-out guarantees” on these non-recourse loans.

The Company recognized $7.2 million, $7.4 million, and $6.0 million of development, leasing, and management fees, including salary and expense reimbursements, from unconsolidated joint ventures in 2017, 2016, and 2015, respectively. See note 2, fee income, for a discussion of the accounting treatment for fees and reimbursements from unconsolidated joint ventures.