8-K

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, D.C. 20549

____________

FORM 8-K

CURRENT REPORT

PURSUANT TO SECTION 13 OR 15(d) OF THE

SECURITIES EXCHANGE ACT OF 1934

Date of Report (Date of earliest event reported): October 23, 2019

Cousins Properties Incorporated

(Exact name of registrant as specified in its charter)

Georgia 001-11312 58-0869052

(State or other jurisdiction of incorporation) (Commission File Number) (IRS Employer Identification Number)

3344 Peachtree Road NE, Suite 1800, Atlanta, Georgia 30326-4802

(Address of principal executive offices)

Registrant’s telephone number, including area code: (404) 407-1000

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below):

☐	Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
☐	Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
☐	Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
☐	Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Securities registered pursuant to Section 12(b) of the Act:

Title of each class	Trading Symbol(s)	Name of each exchange on which registered
Common Stock, $1 par value per share	CUZ	New York Stock Exchange	("NYSE")

Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the securities Act of 1933 (§230.405 of this chapter) or Rule 12b-12 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).

Emerging growth company ☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

Item 8.01. Other Events.

On October 23, 2019, Cousins Properties Incorporated (the “Company”) issued a Press Release and Quarterly Information Package containing information about the Company’s financial condition and results of operations for the quarter ended September 30, 2019. A copy of the Company’s Press Release and Quarterly Information Package is attached hereto as Exhibit 99.1. The information contained in this Current Report on Form 8-K, including Exhibit 99.1, shall not be deemed “filed” with the Commission nor incorporated by reference in any registration statement filed by the Company under the Securities Act of 1933, as amended.

Item 9.01. Financial Statements and Exhibits.

(a)    Exhibits

Exhibit Number        Exhibit Description

99.1 Press Release and Quarterly Information Package for the Quarter Ended September 30, 2019.

Signatures

Pursuant to the requirements of the Securities Exchange Act of 1934, the Company has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

Date: October 23, 2019

COUSINS PROPERTIES INCORPORATED

By: /s/ Gregg D. Adzema

Gregg D. Adzema

Executive Vice President and Chief Financial Officer

EX-99.1

1

TABLE OF CONTENTS

Forward-Looking Statements	3
Earnings Release	4
Condensed Consolidated Balance Sheets	7
Condensed Consolidated Statements of Operations	8
Key Performance Metrics	9
Funds From Operations - Summary	12
Funds From Operations - Detail	13
Portfolio Statistics	16
Same Property Performance	19
Office Leasing Activity	20
Office Lease Expirations	21
Top 20 Office Tenants	23
Tenant Industry Diversification	24
Investment Activity	25
Development Pipeline	27
Land Inventory	28
Debt Schedule	29
Joint Venture Information	32
Non-GAAP Financial Measures - Calculations and Reconciliations	33
Non-GAAP Financial Measures - Discussion	38

Cousins Properties Q3 2019 Supplemental Information

FORWARD-LOOKING STATEMENTS

Certain matters contained in this report are “forward-looking statements” within the meaning of the federal securities laws and are subject to uncertainties and risks, as itemized in Item 1A included in the Annual Report on Form 10-K for the year ended December 31, 2018 and in the Quarterly Reports on Form 10-Q for the period ended September 30, 2019. These forward-looking statements include information about possible or assumed future results of the business and our financial condition, liquidity, results of operations, plans, and objectives. They also include, among other things, statements regarding subjects that are forward-looking by their nature, such as the following: 2019 and 2020 guidance and underlying assumptions; business and financial strategy; future debt financings; future acquisitions and dispositions of operating assets or joint venture interests; future acquisitions and dispositions of land, including ground leases; future development and redevelopment opportunities, including fee development opportunities; future issuances and repurchases of common stock; future distributions; projected capital expenditures; market and industry trends; entry into new markets; future changes in interest rates; the benefits of the merger with TIER REIT, Inc. ("TIER"), including all future financial and operating results, plans, objectives, expectations, and intentions; benefits of the merger with TIER to tenants, employees, stockholders, and other constituents of the combined company; integrating TIER with us; and all statements that address operating performance, events, or developments that we expect or anticipate will occur in the future — including statements relating to creating value for stockholders.

Any forward-looking statements are based upon management's beliefs, assumptions, and expectations of our future performance, taking into account information that is currently available. These beliefs, assumptions, and expectations may change as a result of possible events or factors, not all of which are known. If a change occurs, our business, financial condition, liquidity, and results of operations may vary materially from those expressed in forward-looking statements. Actual results may vary from forward-looking statements due to, but not limited to, the following: the availability and terms of capital; the ability to refinance or repay indebtedness as it matures; the failure of purchase, sale, or other contracts to ultimately close; the failure to achieve anticipated benefits from acquisitions, investments, or dispositions; the potential dilutive effect of common stock or operating partnership unit issuances; the availability of buyers and pricing with respect to the disposition of assets; changes in national and local economic conditions, the real estate industry, and the commercial real estate markets in which we operate (including supply and demand changes), particularly in Atlanta, Austin, Charlotte, Phoenix, Tampa, and Dallas where we have high concentrations of our lease revenues; changes to our strategy with regard to land and other non-core holdings that require impairment losses to be recognized; leasing risks, including the ability to obtain new tenants or renew expiring tenants; the ability to lease newly developed and/or recently acquired space; the failure of a tenant to commence or complete tenant improvements on schedule or to occupy leased space, and the risk of declining leasing rates; changes in the needs of our tenants brought about by the desire for co-working arrangements, trends toward utilizing less office space per employee, and the effect of telecommuting; the adverse change in the financial condition of one or more of our major tenants; volatility in interest rates and insurance rates; competition from other developers or investors; the risks associated with real estate developments (such as zoning approval, receipt of required permits, construction delays, cost overruns, and leasing risk); cyber security breaches; changes in senior management and the loss of key personnel; the potential liability for uninsured losses, condemnation, or environmental issues; the potential liability for a failure to meet regulatory requirements; the financial condition and liquidity of, or disputes with, joint venture partners; any failure to comply with debt covenants under credit agreements; any failure to continue to qualify for taxation as a real estate investment trust and meet regulatory requirements; potential changes to state, local, or federal regulations applicable to our business; material changes in the rates or the ability to pay dividends on common shares or other securities; potential changes to the tax laws impacting REITs and real estate in general; the ability to successfully integrate our operations and employees in connection with the merger with TIER; the ability to realize anticipated benefits and synergies of the merger with TIER; the amount of the costs, fees, expenses, and charges related to the merger with TIER; and those additional risks and factors discussed in reports filed with the Securities and Exchange Commission (“SEC”) by the Company and TIER, and those additional risks and factors discussed in reports filed with the SEC by the Company.

The words “believes,” “expects,” “anticipates,” “estimates,” “plans,” “may,” “intend,” “will,” or similar expressions are intended to identify forward-looking statements. Although we believe that our plans, intentions, and expectations reflected in any forward-looking statements are reasonable, we can give no assurance that such plans, intentions, or expectations will be achieved. We undertake no obligation to publicly update or revise any forward-looking statement, whether as a result of future events, new information, or otherwise, except as required under U.S. federal securities laws.

Cousins Properties 3 Q3 2019 Supplemental Information

EARNINGS RELEASE

COUSINS PROPERTIES REPORTS THIRD QUARTER 2019 RESULTS

Provides Initial 2020 Earnings Guidance

Highlights

• Net income per share was $0.14.

• Funds From Operations per share was $0.72.

• Same property net operating income on a cash basis increased 2.9%.

• Second generation net rent per square foot on a cash basis increased 8.1%.

• Executed 741,367 square feet of office leases.

• Subsequent to quarter end, purchased remaining 50% interest in Terminus Office Holdings LLC from the joint venture partner in a transaction that valued the properties at $503 million. The Company will recognize an associated gain on this transaction of approximately $94 million.

ATLANTA (October 23, 2019) - Cousins Properties (NYSE:CUZ) today reported its results of operations for the quarter ended September 30, 2019.

“The third quarter represents our first full reporting period after completing the TIER merger and the results are outstanding. Integration has gone smoothly, property performance has matched our expectations, and all financial synergies have been realized,” said Colin Connolly, president and chief executive officer of Cousins Properties. “In addition, office fundamentals in our Sun Belt markets remain solid and place us in a position to raise 2019 earnings guidance.”

Financial Results

Net income available to common stockholders was $20.4 million, or $0.14 per share, for the third quarter of 2019, compared with net income available to common stockholders of $19.5 million, or $0.19 per share, for the third quarter of 2018. Net income available to common stockholders was $33.3 million, or $0.27 per share, for the nine months ended September 30, 2019, compared with $56.8 million, or $0.54 per share, for the nine months ended September 30, 2018.

Funds From Operations ("FFO") was $106.2 million, or $0.72 per share, for the third quarter of 2019, compared with $67.5 million, or $0.63 per share, for the third quarter of 2018. FFO was $222.6 million, or $1.80 per share, for the nine months ended September 30, 2019, compared with $196.7 million, or $1.84 per share, for the nine months ended September 30, 2018.

The Company recorded costs associated with the TIER transaction of $1.0 million for the third quarter of 2019 and $50.9 million for the nine months ended September 30, 2019. Net income available to common stockholders excluding TIER transaction costs was $21.4 million, or $0.15 per share, for the third quarter of 2019 and $84.2 million, or $0.69 per share, for the nine months ended September 30, 2019. FFO excluding TIER transaction costs was $107.3 million, or $0.72 per share, for the third quarter of 2019 and $273.5 million, or $2.21 per share, for the nine months ended September 30, 2019.

Cousins Properties 4 Q3 2019 Supplemental Information

EARNINGS RELEASE

2019 Guidance

The Company has raised and narrowed its full year 2019 net income guidance to $1.15 to $1.23 per share ($1.55 to $1.63 excluding TIER transaction costs) from $1.00 to $1.12 per share ($1.41 to $1.53 excluding TIER transaction costs). The Company has also raised and narrowed its full year 2019 FFO guidance, excluding TIER transaction costs, to $2.92 to $3.00 from $2.81 to $2.93 per share.

The Company leaves unchanged the previously provided assumptions of its 2019 net income and FFO guidance, except for the following updates:

• Same property net operating income growth of 4% to 5% on a cash basis, up from the previous range of 3.25% to 5.25%.

• Gain on land sales of $15.9 million, up from $14.5 million, due to the expected redemption of the remainder of the Wildwood Office Park joint venture land in the fourth quarter of 2019.

• General and administrative expenses of $32 million to $34 million, net of capitalized salaries, down from the previous range of $34 million to $36 million, due to a decrease in long-term incentive compensation based on the Company's stock performance.

• Interest and other expenses, net of capitalized interest, of $61 million to $63 million, down from the previous range of $66 million to $68 million, due to an increase in capitalized interest on projects under development.

• Fee and other income of $35 million to $37 million, up from the previous range of $32 million to $34 million, due to an increase in lease termination fees.

A reconciliation of projected net income per share to projected FFO per share before transaction costs is provided as follows:

	Full Year 2019 Range
	Low			High
Net income per share	$	1.15		$	1.23
Add: TIER transaction costs	0.40			0.40
Net income per share before transaction costs	1.55			1.63
Add: Real estate depreciation and amortization	2.09			2.09
Less: Gain on step up in basis of Terminus 100 and 200 and related notes payable	(0.72		)	(0.72		)
Funds From Operations per share before transaction costs	$	2.92		$	3.00

The Company's guidance is provided for information purposes based on current plans and assumptions and is subject to change.

Cousins Properties 5 Q3 2019 Supplemental Information

EARNINGS RELEASE

2020 Guidance

For the year ending December 31, 2020, the Company expects to report net income in the range of $1.70 to $1.84 per share and FFO in the range of $2.71 to $2.85 per share. This guidance reflects management's view of current and future market conditions, as well as the earnings impact of events referenced in this release and corresponding conference call.

2020 FFO guidance includes the following assumptions:

• Same property net operating income growth of 4% to 6% on a cash basis.

• Fee and other income of $21 million to $23 million.

• General and administrative expenses of $33 million to $35 million, net of capitalized salaries.

• Interest and other expenses of $69 million to $71 million, net of capitalized interest.

• Depreciation and amortization of non-real estate assets of $1.5 million to $2.5 million.

• GAAP straight-lined rental revenue of $38 million to $40 million.

• Above and below market rental revenue of $9 million to $11 million.

• The sale of Hearst Tower in the first quarter of 2020.

• Guidance does not include any speculative developments or acquisitions. New developments or acquisitions will be disclosed as they are identified.

A reconciliation of projected net income per share to projected FFO per share is provided as follows:

	Full Year 2020 Range
	Low			High
Net income per share	$	1.70		$	1.84
Add: Real estate depreciation and amortization	1.96			1.96
Less: Gain on sale of depreciated real estate	(0.95		)	(0.95		)
Funds From Operations per share	$	2.71		$	2.85

The Company's guidance is provided for information purposes based on current plans and assumptions and is subject to change.

Investor Conference Call and Webcast

The Company will conduct a conference call at 10:00 a.m. (Eastern Time) on Thursday, October 24, 2019, to discuss the results of the quarter ended September 30, 2019. The number to call for this interactive teleconference is (877) 247-1056. The live webcast of this call can be accessed on the Company's website, www.cousins.com, through the “Cousins Properties Third Quarter Conference Call” link on the Investor Relations page. A replay of the conference call will be available for seven days by dialing (877) 344-7529 and entering the passcode 10135308. The playback can also be accessed on the Company's website.

Acting through its operating partnership Cousins Properties, LP, Cousins Properties is a leading fully-integrated real estate investment trust (REIT) with extensive experience in development, acquisition, financing, management, and leasing. Based in Atlanta, the Company actively invests in top-tier urban office assets and opportunistic mixed-use properties in Sunbelt markets.

Cousins Properties 6 Q3 2019 Supplemental Information

CONDENSED CONSOLIDATED BALANCE SHEETS

(in thousands, except share and per share amounts)

	September 30, 2019			December 31, 2018
Assets:
Real estate assets:
Operating properties, net of accumulated depreciation of $561,489 and $421,495 in 2019 and 2018, respectively	$	5,532,963		$	3,603,011
Projects under development	370,755			24,217
Land	113,578			72,563
	6,017,296			3,699,791
Real estate assets and other assets held for sale	29,193			—
Cash and cash equivalents	12,396			2,547
Restricted cash	2,268			148
Notes and accounts receivable	28,792			13,821
Deferred rents receivable	101,213			83,116
Investment in unconsolidated joint ventures	186,079			161,907
Intangible assets, net	255,613			145,883
Other assets	71,270			39,083
Total assets	$	6,704,120		$	4,146,296
Liabilities:
Notes payable	$	1,850,817		$	1,062,570
Accounts payable and accrued expenses	225,632			110,159
Deferred income	57,411			41,266
Intangible liabilities, net of accumulated amortization of $56,414 and $42,473 in 2019 and 2018, respectively	89,578			56,941
Other liabilities	131,604			54,204
Total liabilities	2,355,042			1,325,140
Commitments and contingencies
Equity:
Stockholders' investment:
Preferred stock, $1 par value, 20,000,000 shares authorized, 1,716,837 shares issued and outstanding in 2019 and 2018	1,717			1,717
Common stock, $1 par value, 300,000,000 and 175,000,000 shares authorized in 2019 and 2018, respectively, and 149,347,204 and 107,681,130 shares issued in 2019 and 2018, respectively	149,347			107,681
Additional paid-in capital	5,493,265			3,934,385
Treasury stock at cost, 2,584,933 shares in 2019 and 2018	(148,473		)	(148,473		)
Distributions in excess of cumulative net income	(1,211,752		)	(1,129,445		)
Total stockholders' investment	4,284,104			2,765,865
Nonredeemable noncontrolling interests	64,974			55,291
Total equity	4,349,078			2,821,156
Total liabilities and equity	$	6,704,120		$	4,146,296

Cousins Properties 7 Q3 2019 Supplemental Information

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS

(unaudited; in thousands, except per share amounts)

	Three Months Ended September 30,						Nine Months Ended September 30,
	2019			2018			2019			2018
Revenues:
Rental property revenues	$	180,826		$	115,719		$	439,624		$	343,764
Fee income	7,494			2,519			23,298			7,211
Other	3			468			154			1,561
	188,323			118,706			463,076			352,536
Expenses:
Rental property operating expenses	65,646			41,579			155,838			122,501
Reimbursed expenses	1,290			955			3,269			2,757
General and administrative expenses	5,852			3,913			25,686			18,793
Interest expense	14,700			9,551			37,579			29,043
Depreciation and amortization	82,012			45,068			178,777			135,836
Transaction costs	1,048			—			50,878			228
Other	297			93			1,101			457
	170,845			101,159			453,128			309,615
Income from unconsolidated joint ventures	3,241			2,252			9,779			10,173
Gain (loss) on sale of investment properties	(27		)	(33		)	14,388			4,912
Gain on extinguishment of debt	—			93			—			8
Net income	20,692			19,859			34,115			58,014
Net income attributable to noncontrolling interests	(318		)	(374		)	(809		)	(1,210		)
Net income available to common stockholders	$	20,374		$	19,485		$	33,306		$	56,804
Net income per common share - basic and diluted	$	0.14		$	0.19		$	0.27		$	0.54
Weighted average shares — basic	146,762			105,096			121,758			105,069
Weighted average shares — diluted	148,530			106,880			123,529			106,867

Cousins Properties 8 Q3 2019 Supplemental Information

KEY PERFORMANCE METRICS

	2017		2018 1st		2018 2nd		2018 3rd		2018 4th		2018		2019 1st		2019 2nd		2019 3rd		YTD 2019
Property Statistics
Consolidated Operating Properties	22		23		23		23		23		23		24		33		33		33
Consolidated Rentable Square Feet (in thousands)	11,428		11,936		11,944		11,944		12,203		12,203		12,573		18,372		18,372		18,372
Unconsolidated Operating Properties	4		4		4		4		4		4		5		5		5		5
Unconsolidated Rentable Square Feet (in thousands)	3,113		3,113		3,113		3,113		3,113		3,113		3,394		3,394		3,394		3,394
Total Operating Properties	26		27		27		27		27		27		29		38		38		38
Total Rentable Square Feet (in thousands)	14,541		15,049		15,057		15,057		15,316		15,316		15,967		21,766		21,766		21,766
Office Leasing Activity (1)
Net Leased during the Period (square feet in thousands)	2,190		330		328		486		455		1,597		682		1,089		741		2,513
Net Effective Rent Calculation (per square foot)
Net Rent	$29.41		$33.35		$32.40		$28.46		$31.02		$31.01		$27.86		$29.34		$33.66		$30.21
Net Free Rent	(0.75)		(0.55)		(1.00)		(0.94)		(0.86)		(0.85)		(0.49)		(0.52)		(0.64)		(0.55)
Leasing Commissions	(2.32)		(2.67)		(2.49)		(2.40)		(2.17)		(2.41)		(1.13)		(2.34)		(2.86)		(2.17)
Tenant Improvements	(4.43)		(3.07)		(4.50)		(4.29)		(5.43)		(4.40)		(1.74)		(4.69)		(3.13)		(3.43)
Leasing Costs	(7.50)		(6.29)		(7.99)		(7.63)		(8.46)		(7.66)		(3.36)		(7.55)		(6.63)		(6.15)
Net Effective Rent	$21.91		$27.06		$24.41		$20.83		$22.56		$23.35		$24.50		$21.79		$27.03		$24.06
Change in Second Generation Net Rent	19.6	%	35.2	%	34.2	%	25.8	%	36.0	%	32.5	%	22.8	%	21.5	%	17.2	%	20.3	%
Change in Cash-Basis Second Generation Net Rent	6.9	%	19.3	%	13.1	%	7.6	%	13.1	%	13.2	%	7.1	%	4.9	%	8.1	%	6.4	%
Same Property Information (2)
Percent Leased (period end)	92.6	%	93.6	%	93.5	%	94.2	%	94.5	%	94.5	%	94.4	%	93.9	%	93.7	%	93.7	%
Weighted Average Occupancy	89.4	%	92.0	%	91.9	%	91.8	%	92.0	%	91.9	%	92.0	%	91.8	%	90.9	%	91.6	%
Change in Net Operating Income (over prior year period)	4.4	%	2.6	%	1.3	%	2.7	%	1.8	%	2.1	%	4.3	%	4.5	%	0.3	%	3.0	%
Change in Cash-Basis Net Operating Income (over prior year period)	5.3	%	9.4	%	4.1	%	4.4	%	1.2	%	4.7	%	4.0	%	5.5	%	2.9	%	4.1	%
Development Pipeline
Estimated Project Costs (in thousands) (3)	$490,500		$271,500		$358,800		$362,900		$245,900		$245,900		$199,900		$427,900		$427,900		$427,900
Estimated Project Costs (3) / Total Undepreciated Assets	9.9	%	5.5	%	7.2	%	7.2	%	4.7	%	4.7	%	3.8	%	5.5	%	5.4	%	5.4	%
Market Capitalization (4)
Common Stock Price (period end)	$37.00		$34.72		$38.76		$35.56		$31.60		$31.60		$38.64		$36.17		$37.59		$37.59
Common Stock/Units Outstanding (period end in thousands)	106,749		106,805		106,842		106,840		106,840		106,840		106,890		148,507		148,506		148,506
Equity Market Capitalization (in thousands)	$3,949,713		$3,708,270		$4,141,196		$3,799,230		$3,376,144		$3,376,144		$4,130,230		$5,371,498		$5,582,341		$5,582,341
Debt (in thousands)	1,262.523		1,262,833		1,261,459		1,236,891		1,234,016		1,234,016		1,287,164		2,007,663		2,023,136		2,023,136
Total Market Capitalization (in thousands)	$5,212,227		$4,971,085		$5,402,655		$5,036,113		$4,610,152		$4,610,152		$5,417,403		$7,379,161		$7,605,477		$7,605,477

Cousins Properties 9 Q3 2019 Supplemental Information

KEY PERFORMANCE METRICS

	2017		2018 1st		2018 2nd		2018 3rd		2018 4th		2018		2019 1st		2019 2nd		2019 3rd		YTD 2019
Credit Ratios (4)
Net Debt/Total Market Capitalization	21.4	%	23.2	%	21.3	%	22.9	%	26.7	%	26.7	%	23.7	%	27.0	%	26.4	%	26.4	%
Net Debt/Total Undepreciated Assets	22.5	%	23.5	%	23.1	%	22.9	%	24.2	%	24.2	%	24.3	%	25.7	%	25.5	%	25.5	%
Net Debt/Annualized Adjusted EBITDAre (5)	3.75		3.77		3.76		3.65		3.68		3.68		3.29		5.21		4.05		4.05
Fixed Charges Coverage (Adjusted EBITDAre)	5.58		5.39		5.37		5.67		5.39		5.46		6.08		5.57		6.23		5.97
Dividend Information (4)
Common Dividend per Share (6)	$0.96		$0.26		$0.26		$0.26		$0.26		$1.04		$0.29		$0.29		$0.29		$0.87
Funds From Operations (FFO) Payout Ratio before Transaction Costs	38.5	%	42.2	%	42.2	%	40.5	%	38.3	%	40.8	%	36.1	%	52.1	%	39.7	%	42.3	%
Funds Available for Distribution (FAD) Payout Ratio	60.2	%	61.9	%	61.2	%	59.1	%	62.7	%	61.2	%	56.4	%	131.6	%	53.9	%	70.0	%
Operations Ratio (4)
Annualized General and Administrative Expenses/Total Undepreciated Assets	0.56	%	0.55	%	0.65	%	0.31	%	0.26	%	0.43	%	0.87	%	0.43	%	0.30	%	0.43	%
Additional Information (4) (in thousands, except per square foot amounts)
In-Place Gross Rent (per square foot) (7)	$34.19		$34.98		$35.08		$35.23		$36.41		$36.41		$36.95		$36.98		$37.26		$37.26
Straight Line Rental Revenue	$30,973		$8,136		$5,690		$5,148		$7,043		$26,017		$8,732		$6,068		$6,522		$21,322
Above and Below Market Rents Amortization	$7,221		$1,793		$1,714		$1,730		$1,640		$6,877		$1,670		$1,981		$3,042		$6,693
Second Generation Capital Expenditures	$53,485		$11,256		$11,077		$15,152		$19,182		$56,667		$8,074		$40,604		$18,946		$67,624

(1) See Office Leasing Activity on page 20 for additional detail and explanations.

(2) Same Property Information is derived from the pool of office properties, as defined, in the period originally reported. See Same Property Performance on page 19 and Non-GAAP Financial Measures - Calculations and Reconciliations on page 37 for additional information.

(3) Cousins' share of estimated project costs. See Development Pipeline on page 27 for additional detail.

(4) See Non-GAAP Financial Measures - Calculations and Reconciliations beginning on page 33.

(5) Given the timing of the closing of the TIER transaction, the actual calculation of this ratio was temporarily high for the second quarter of 2019 and decreased when a full quarter of TIER operations were included in EBITDAre. Second quarter EBITDAre, annualized for the calculation, included 17 days of Legacy TIER operations while the total impact of the TIER transaction was included in net debt as of June 30, 2019.

(6) The fourth quarter 2016 dividend was declared and paid in the first quarter of 2017.

(7) In-place gross rent equals the annualized cash basis base rent including tenant's share of estimated operating expenses, if applicable, as of the end of the period divided by occupied square feet.

Cousins Properties 10 Q3 2019 Supplemental Information

KEY PERFORMANCE METRICS

(1) Office properties only.

Note: See additional information included herein for calculations, definitions, and reconciliations to GAAP financial measures.

Cousins Properties 11 Q3 2019 Supplemental Information

FUNDS FROM OPERATIONS - SUMMARY (1)

	(amounts in thousands, except per share amounts)
	2017			2018 1st			2018 2nd			2018 3rd			2018 4th			2018			2019 1st			2019 2nd			2019 3rd			YTD 2019
Net Operating Income	$	313,206		$	80,578		$	80,195		$	80,858		$	84,432		$	326,063		$	87,731		$	97,417		$	120,642		$	305,790
Gain on Sales of Undepreciated Investment Properties	67			330			2,449			—			512			3,291			13,132			1,337			21			14,490
Fee Income	8,632			2,894			1,798			2,519			2,878			10,089			8,728			7,075			7,495			23,298
Other Income	15,991			1,034			1,212			915			517			3,678			748			306			3,671			4,725
Reimbursed Expenses	(3,527		)	(942		)	(860		)	(955		)	(1,025		)	(3,782		)	(932		)	(1,047		)	(1,290		)	(3,269		)
General and Administrative Expenses	(27,523		)	(6,809		)	(8,071		)	(3,913		)	(3,247		)	(22,040		)	(11,460		)	(8,374		)	(5,852		)	(25,686		)
Interest Expense	(41,382		)	(11,293		)	(11,305		)	(11,208		)	(12,080		)	(45,886		)	(12,574		)	(13,692		)	(16,377		)	(42,643		)
Other Expenses	(3,690		)	(695		)	(365		)	(257		)	(325		)	(1,642		)	(404		)	(50,699		)	(1,658		)	(52,761		)
Depreciation and Amortization of Non-Real Estate Assets	(1,874		)	(473		)	(468		)	(469		)	(462		)	(1,872		)	(456		)	(454		)	(443		)	(1,353		)
FFO (1)	$	259,900		$	64,624		$	64,585		$	67,490		$	71,200		$	267,899		$	84,513		$	31,869		$	106,209		$	222,591
TIER transaction costs	—			—			—			—			—			—			3			49,827			1,048			50,878
FFO before TIER transaction costs	$	259,900		$	64,624		$	64,585		$	67,490		$	71,200		$	267,899		$	84,516		$	81,696		$	107,257		$	273,469
Weighted Average Shares - Diluted	105,824			106,845			106,875			106,880			106,871			106,868			106,901			114,670			148,530			123,529
FFO per Share (1)	$	2.46		$	0.60		$	0.60		$	0.63		$	0.67		$	2.51		$	0.79		$	0.28		$	0.72		$	1.80
FFO per Share before TIER transaction costs	$	2.46		$	0.60		$	0.60		$	0.63		$	0.67		$	2.51		$	0.79		$	0.71		$	0.72		$	2.21

(1) See pages 33 and 36 for reconciliations of Funds From Operations to net income available to common shareholders.

Cousins Properties 12 Q3 2019 Supplemental Information

FUNDS FROM OPERATIONS - DETAIL (1)

	(amounts in thousands, except per share amounts)
	2017		2018 1st		2018 2nd		2018 3rd		2018 4th		2018		2019 1st		2019 2nd		2019 3rd		YTD 2019
Net Operating Income
Consolidated Properties
Spring & 8th (2)	$	50	$	4,726	$	4,608	$	4,704	$	7,412	$	21,450	$	7,218	$	7,385	$	7,392	$	21,995
Corporate Center (2)	20,889		5,780		5,956		5,947		6,263		23,946		6,386		6,785		6,619		19,790
Northpark (2)	20,506		5,731		5,814		6,204		6,669		24,418		6,463		6,039		6,521		19,023
Hearst Tower	26,186		6,493		6,426		6,456		6,544		25,919		6,492		6,512		5,875		18,879
Hayden Ferry (2)	21,950		5,766		5,433		5,894		6,372		23,465		5,945		6,154		5,721		17,820
Promenade	16,755		4,240		4,242		4,125		3,895		16,502		4,788		4,708		4,353		13,849
Fifth Third Center	19,284		4,729		4,647		4,912		4,842		19,130		4,735		4,503		4,408		13,646
One Eleven Congress	15,146		4,036		4,039		4,034		4,109		16,218		4,446		4,515		4,203		13,164
Buckhead Plaza (2)	17,516		4,330		4,382		4,367		3,772		16,851		4,047		3,968		3,765		11,780
San Jacinto Center	16,069		3,635		3,632		3,596		3,789		14,652		3,665		3,679		3,637		10,981
The Domain (2)	—		—		—		—		—		—		—		1,881		8,926		10,807
Colorado Tower	13,557		3,429		3,453		3,511		3,380		13,773		3,480		3,483		3,502		10,465
3344 Peachtree	10,909		2,994		3,069		2,970		3,149		12,182		3,142		3,328		3,345		9,815
816 Congress	10,898		2,780		2,911		3,016		2,949		11,656		3,290		2,879		2,969		9,138
NASCAR Plaza	10,189		2,652		2,590		2,683		2,409		10,334		2,538		2,494		2,586		7,618
3350 Peachtree	8,673		1,987		1,899		1,888		1,859		7,633		2,011		2,345		2,329		6,685
Bank of America Plaza	—		—		—		—		—		—		—		933		5,103		6,036
Tempe Gateway	8,079		1,893		2,029		1,997		2,015		7,934		2,165		1,757		1,785		5,707
8000 Avalon	433		1,357		1,350		1,144		1,581		5,432		1,714		1,916		1,899		5,529
Briarlake Plaza (2)	—		—		—		—		—		—		—		852		4,623		5,475
1200 Peachtree	—		—		—		—		—		—		775		2,318		2,332		5,425
3348 Peachtree	6,146		1,405		1,360		1,472		1,483		5,720		1,527		1,499		1,598		4,624
The Terrace (2)	—		—		—		—		—		—		—		749		3,617		4,366
Burnett Plaza	—		—		—		—		—		—		—		710		3,556		4,266
111 West Rio	4,044		1,314		1,419		1,374		1,370		5,477		1,381		1,380		1,407		4,168
The Pointe	4,568		1,236		1,170		1,179		1,230		4,815		1,255		1,235		1,260		3,750
Meridian Mark Plaza	4,081		920		1,006		1,049		874		3,849		1,018		1,163		1,104		3,285
Research Park V	2,976		1,012		1,016		1,023		1,015		4,066		1,031		1,023		1,006		3,060
Legacy Union One	—		—		—		—		—		—		—		450		2,360		2,810
Domain Point (2)	—		—		—		—		—		—		—		348		1,571		1,919
Harborview Plaza	3,970		712		516		319		206		1,753		346		553		431		1,330
5950 Sherry Lane	—		—		—		—		—		—		—		220		1,056		1,276
Woodcrest (2)	—		—		—		—		—		—		—		274		746		1,020
Subtotal - Consolidated	282,153		73,157		72,967		73,864		77,187		297,175		79,858		88,038		111,605		279,501

Cousins Properties 13 Q3 2019 Supplemental Information

FUNDS FROM OPERATIONS - DETAIL (1)

	(amounts in thousands, except per share amounts)
	2017		2018 1st		2018 2nd		2018 3rd		2018 4th		2018		2019 1st		2019 2nd		2019 3rd		YTD 2019
Unconsolidated Properties (5)
Terminus (2) (3)	14,477		3,486		3,415		3,345		3,255		13,501		3,670		3,662		3,216		10,548
Gateway Village (2)	7,047		1,968		1,770		1,873		1,819		7,430		1,837		1,839		1,807		5,483
Dimensional Place	—		—		—		—		—		—		206		1,770		1,912		3,888
Carolina Square (2)	705		928		975		747		1,173		3,823		1,097		1,053		1,009		3,159
Emory University Hospital Midtown Medical Office Tower	3,913		990		1,031		1,028		975		4,024		1,027		1,036		1,072		3,135
Other (4)	4,911		49		37		1		23		110		36		19		21		76
Subtotal - Unconsolidated	31,053		7,421		7,228		6,994		7,245		28,888		7,873		9,379		9,037		26,289
Total Net Operating Income (1)	313,206		80,578		80,195		80,858		84,432		326,063		87,731		97,417		120,642		305,790
Gain on Sales of Undepreciated Investment Properties
Sales Less Cost of Sales - Consolidated	67		—		—		—		512		512		13,132		1,337		21		14,490
Sales Less Cost of Sales - Unconsolidated (5)	—		330		2,449		—		—		2,779		—		—		—		—
Total Gain on Sales of Undepreciated Investment Properties	67		330		2,449		—		512		3,291		13,132		1,337		21		14,490
Fee Income
Development Fees	2,140		291		271		951		1,422		2,935		7,022		5,112		5,670		17,804
Management Fees (6)	5,794		1,524		1,401		1,537		1,449		5,911		1,379		1,548		1,824		4,751
Leasing & Other Fees	698		1,079		126		31		7		1,243		327		415		1		743
Total Fee Income	8,632		2,894		1,798		2,519		2,878		10,089		8,728		7,075		7,495		23,298
Other Income
Termination Fees	9,270		360		639		276		273		1,548		520		190		3,575		4,285
Termination Fees - Unconsolidated (5)	1,294		—		—		—		—		—		3		4		9		16
Interest and Other Income	2,248		600		493		468		161		1,722		140		11		3		154
Interest and Other Income - Unconsolidated (5)	921		74		80		78		83		315		85		101		84		270
Gain on Extinguishment of Debt	2,258		—		—		93		—		93		—		—		—		—
Total Other Income	15,991		1,034		1,212		915		517		3,678		748		306		3,671		4,725
Total Fee and Other Income	24,623		3,928		3,010		3,434		3,395		13,767		9,476		7,381		11,166		28,023
Reimbursed Expenses	(3,527	)	(942	)	(860	)	(955	)	(1,025	)	(3,782	)	(932	)	(1,047	)	(1,290	)	(3,269	)
General and Administrative Expenses	(27,523	)	(6,809	)	(8,071	)	(3,913	)	(3,247	)	(22,040	)	(11,460	)	(8,374	)	(5,852	)	(25,686	)
Interest Expense
Consolidated Debt
2017 Senior Notes, Unsecured ($250M)	(4,842	)	(2,489	)	(2,490	)	(2,488	)	(2,491	)	(9,958	)	(2,490	)	(2,489	)	(2,490	)	(7,469	)
Term Loan, Unsecured	(6,198	)	(1,858	)	(2,088	)	(2,205	)	(2,344	)	(8,495	)	(2,422	)	(2,421	)	(2,302	)	(7,145	)
Credit Facility, Unsecured	(3,050	)	(742	)	(754	)	(754	)	(773	)	(3,023	)	(1,289	)	(1,705	)	(1,628	)	(4,622	)
Fifth Third Center	(5,052	)	(1,247	)	(1,241	)	(1,235	)	(1,228	)	(4,951	)	(1,221	)	(1,215	)	(1,208	)	(3,644	)
Promenade	(4,492	)	(1,102	)	(1,095	)	(1,085	)	(1,078	)	(4,360	)	(1,069	)	(1,060	)	(1,052	)	(3,181	)
Colorado Tower	(4,236	)	(1,059	)	(1,059	)	(1,059	)	(1,056	)	(4,233	)	(1,051	)	(1,046	)	(1,040	)	(3,137	)
2019 Senior Notes, Unsecured ($275M)	—		—		—		—		—		—		—		(366	)	(2,744	)	(3,110	)
2017 Senior Notes, Unsecured ($100M)	(2,937	)	(1,036	)	(1,037	)	(1,036	)	(1,036	)	(4,145	)	(1,036	)	(1,037	)	(1,036	)	(3,109	)
2019 Senior Notes, Unsecured ($250M)	—		—		—		—		—		—		—		(326	)	(2,440	)	(2,766	)
816 Congress Avenue	(3,233	)	(799	)	(795	)	(792	)	(787	)	(3,173	)	(784	)	(779	)	(776	)	(2,339	)

Cousins Properties 14 Q3 2019 Supplemental Information

FUNDS FROM OPERATIONS - DETAIL (1)

	(amounts in thousands, except per share amounts)
	2017			2018 1st			2018 2nd			2018 3rd			2018 4th			2018			2019 1st			2019 2nd			2019 3rd			YTD 2019
2019 Senior Notes, Unsecured ($125M)	—			—			—			—			—			—			—			(160		)	(1,197		)	(1,357		)
Meridian Mark Plaza	(1,483		)	(366		)	(368		)	(359		)	(360		)	(1,453		)	(358		)	(357		)	(354		)	(1,069		)
Legacy Union One	—			—			—			—			—			—			—			(98		)	(536		)	(634		)
Other (4)	(7,243		)	(175		)	(177		)	(74		)	(115		)	(541		)	(115		)	(116		)	(115		)	(346		)
Capitalized (7)	9,242			1,095			1,390			1,536			881			4,902			1,015			1,116			4,218			6,349
Subtotal - Consolidated	(33,524		)	(9,778		)	(9,714		)	(9,551		)	(10,387		)	(39,430		)	(10,820		)	(12,059		)	(14,700		)	(37,579		)
Unconsolidated Debt (5)
Terminus (2) (3)	(4,823		)	(1,001		)	(995		)	(988		)	(992		)	(3,976		)	(1,038		)	(905		)	(961		)	(2,904		)
Carolina Square (2)	(184		)	(197		)	(281		)	(355		)	(390		)	(1,223		)	(406		)	(420		)	(409		)	(1,235		)
Emory University Hospital Midtown Medical Office Tower	(1,285		)	(317		)	(315		)	(314		)	(311		)	(1,257		)	(310		)	(308		)	(307		)	(925		)
Other (4)	(1,566		)	—			—			—			—			—			—			—			—			—
Subtotal - Unconsolidated	(7,858		)	(1,515		)	(1,591		)	(1,657		)	(1,693		)	(6,456		)	(1,754		)	(1,633		)	(1,677		)	(5,064		)
Total Interest Expense	(41,382		)	(11,293		)	(11,305		)	(11,208		)	(12,080		)	(45,886		)	(12,574		)	(13,692		)	(16,377		)	(42,643		)
Other Expenses
Severance	(446		)	(195		)	128			4			3			(60		)	(23		)	(23		)	(84		)	(130		)
Partners' share of FFO in consolidated joint ventures	(16		)	(144		)	(134		)	(121		)	(159		)	(558		)	(171		)	(192		)	(249		)	(612		)
Property Taxes and Other Holding Costs	(764		)	(130		)	(152		)	(148		)	(153		)	(583		)	(184		)	(209		)	(392		)	(785		)
Loss on Extinguishment of Debt	—			(85		)	—			—			—			(85		)	—			—			—			—
Income Tax Expense	—			—			—			—			—			—			—			(242		)	242			—
Predevelopment & Other Costs	(803		)	(50		)	(70		)	8			4			(108		)	(23		)	(206		)	(127		)	(356		)
Transaction Costs - Parkway	(1,661		)	(91		)	(137		)	—			(20		)	(248		)	—			—			—			—
Transaction Costs - TIER	—			—			—			—			—			—			(3		)	(49,827		)	(1,048		)	(50,878		)
Total Other Expenses	(3,690		)	(695		)	(365		)	(257		)	(325		)	(1,642		)	(404		)	(50,699		)	(1,658		)	(52,761		)
Depreciation and Amortization of Non-Real Estate Assets	(1,874		)	(473		)	(468		)	(469		)	(462		)	(1,872		)	(456		)	(454		)	(443		)	(1,353		)
FFO (1)	$	259,900		$	64,624		$	64,585		$	67,490		$	71,200		$	267,899		$	84,513		$	31,869		$	106,209		$	222,591
Weighted Average Shares - Diluted	105,824			106,845			106,875			106,880			106,871			106,868			106,901			114,670			148,530			123,529
FFO per Share (1)	$	2.46		$	0.60		$	0.60		$	0.63		$	0.67		$	2.51		$	0.79		$	0.28		$	0.72		$	1.80

Note: Amounts may differ slightly from other schedules contained herein due to rounding.

(1) See Non-GAAP Financial Measures - Calculations and Reconciliations beginning on page 33.

(2) Contains multiple buildings that are grouped together for reporting purposes.

(3) Subsequent to quarter end, the Company purchased its partner's 50% interest in Terminus Office Holdings LLC.

(4) Primarily represents properties sold and loans repaid prior to September 30, 2019 that are not considered discontinued operations.

(5) Unconsolidated amounts include amounts recorded in unconsolidated joint ventures for the respective category multiplied by the Company's ownership interest. The Company does not control the operations of the unconsolidated joint ventures, but
believes including these amounts in the categories indicated is meaningful to investors and analysts.

(6) Management Fees include reimbursement of expenses that are included in the "Reimbursed Expenses" line item.

(7) Amounts of interest expense related to consolidated debt that is capitalized to consolidated development projects and equity in unconsolidated development projects.

Cousins Properties 15 Q3 2019 Supplemental Information

PORTFOLIO STATISTICS

Office Properties	Rentable Square Feet	Financial Statement Presentation	Company's Ownership Interest	End of Period Leased		Weighted Average Occupancy (1)		% of Total Net Operating Income (2)	Property Level Debt ($000) (3)
				3Q19	2Q19	3Q19	2Q19
Spring & 8th (5)	765,000	Consolidated	100%	100.0%	100.0%	100.0%	100.0%	6.1%	$	—
Northpark (5)	1,539,000	Consolidated	100%	93.1%	93.5%	86.1%	84.9%	5.4%	—
Promenade	777,000	Consolidated	100%	90.5%	89.5%	89.5%	89.1%	3.6%	96,636
Buckhead Plaza (5)	671,000	Consolidated	100%	76.9%	78.6%	77.9%	82.3%	3.1%	—
3344 Peachtree	484,000	Consolidated	100%	94.1%	94.1%	94.1%	93.1%	2.8%	—
Terminus (4) (5)	1,226,000	Unconsolidated	50%	83.1%	90.8%	77.1%	86.1%	2.7%	97,645
3350 Peachtree	413,000	Consolidated	100%	95.2%	94.7%	94.7%	94.7%	1.9%	—
1200 Peachtree	370,000	Consolidated	100%	100.0%	100.0%	100.0%	100.0%	1.9%	—
8000 Avalon	229,000	Consolidated	90%	100.0%	100.0%	100.0%	100.0%	1.6%	—
3348 Peachtree	258,000	Consolidated	100%	92.2%	92.5%	92.1%	93.3%	1.3%	—
Meridian Mark Plaza	160,000	Consolidated	100%	100.0%	100.0%	100.0%	100.0%	0.9%	23,097
Emory University Hospital Midtown Medical Office Tower	358,000	Unconsolidated	50%	99.6%	99.6%	99.1%	97.5%	0.9%	34,173
ATLANTA	7,250,000			92.1%	93.0%	89.8%	90.7%	32.2%	251,551
The Domain (5)	1,287,000	Consolidated	100%	99.7%	99.7%	88.6%	87.9%	7.4%	—
One Eleven Congress	519,000	Consolidated	100%	95.1%	94.8%	92.4%	90.2%	3.5%	—
San Jacinto Center	395,000	Consolidated	100%	98.4%	96.3%	92.7%	89.9%	3.0%	—
The Terrace (5)	619,000	Consolidated	100%	90.8%	89.8%	87.3%	85.6%	3.0%	—
Colorado Tower	373,000	Consolidated	100%	100.0%	100.0%	100.0%	99.8%	2.9%	117,011
816 Congress	435,000	Consolidated	100%	88.7%	89.1%	89.1%	93.9%	2.5%	79,998
Domain Point (5)	242,000	Consolidated	96.5%	95.8%	95.8%	95.8%	95.8%	1.3%	—
Research Park V	173,000	Consolidated	100%	97.1%	97.1%	97.1%	97.1%	0.8%	—
AUSTIN	4,043,000			96.1%	95.8%	91.2%	90.6%	24.4%	197,009
Hearst Tower	966,000	Consolidated	100%	98.4%	97.9%	92.0%	96.2%	4.9%	—
Bank of America Plaza	891,000	Consolidated	100%	89.8%	89.7%	87.3%	87.3%	4.2%	—
Fifth Third Center	692,000	Consolidated	100%	96.2%	92.6%	92.6%	92.6%	3.7%	140,666
NASCAR Plaza	394,000	Consolidated	100%	98.2%	98.2%	98.2%	96.1%	2.1%	—
Dimensional Place	281,000	Unconsolidated	50%	95.6%	95.6%	94.3%	94.3%	1.6%	—
Gateway Village (5)	1,061,000	Unconsolidated	50%	99.4%	99.4%	99.4%	99.4%	1.5%	—
CHARLOTTE	4,285,000			95.9%	95.0%	92.8%	93.7%	18.0%	140,666
Hayden Ferry (5)	789,000	Consolidated	100%	92.4%	96.6%	91.5%	94.0%	4.7%	—
Tempe Gateway	264,000	Consolidated	100%	94.8%	94.8%	86.7%	86.7%	1.5%	—
111 West Rio	225,000	Consolidated	100%	100.0%	100.0%	100.0%	100.0%	1.2%	—
PHOENIX	1,278,000			94.2%	96.8%	92.0%	93.6%	7.4%	—
Corporate Center (5)	1,224,000	Consolidated	100%	98.3%	98.3%	97.1%	97.2%	5.5%	—
The Pointe	253,000	Consolidated	100%	97.3%	96.3%	97.1%	97.1%	1.0%	—
Harborview Plaza	205,000	Consolidated	100%	80.0%	65.7%	63.5%	63.4%	0.4%	—
TAMPA	1,682,000			95.9%	94.0%	93.0%	93.1%	6.9%	—

Cousins Properties 16 Q3 2019 Supplemental Information

PORTFOLIO STATISTICS

	Office Properties	Rentable Square Feet	Financial Statement Presentation	Company's Ownership Interest	End of Period Leased		Weighted Average Occupancy (1)		% of Total Net Operating Income (2)	Property Level Debt ($000) (3)
					3Q19	2Q19	3Q19	2Q19
	Legacy Union One	319,000	Consolidated	100%	100.0%	100.0%	100.0%	100.0%	2.0%	68,335
	5950 Sherry Lane	197,000	Consolidated	100%	93.3%	92.8%	91.1%	88.3%	0.9%	—
	DALLAS	516,000			97.4%	97.2%	96.6%	95.5%	2.9%	68,335
	BriarLake Plaza - Houston (5)	835,000	Consolidated	100%	88.9%	87.5%	85.0%	84.3%	3.8%	—
	Burnett Plaza - Fort Worth	1,023,000	Consolidated	100%	86.7%	88.9%	85.6%	86.1%	2.9%	—
	Woodcrest - Cherry Hill (5)	386,000	Consolidated	100%	92.0%	82.4%	70.7%	87.8%	0.6%	—
	Carolina Square - Chapel Hill	158,000	Unconsolidated	50%	93.4%	79.5%	79.5%	79.5%	0.3%	12,747
	OTHER OFFICE	2,402,000			88.6%	87.0%	82.7%	85.5%	7.6%	12,747
	TOTAL OFFICE	21,456,000			93.8%	93.7%	90.4%	91.1%	99.4%	$	670,308
	Other Properties
	Carolina Square Apartment - Chapel Hill (246 units)	266,000	Unconsolidated	50%	100.0%	99.2%	96.7%	91.9%	0.5%	21,460
	Carolina Square Retail - Chapel Hill	44,000	Unconsolidated	50%	89.3%	89.3%	81.5%	81.5%	0.1%	3,550
	TOTAL OTHER	310,000			98.5%	97.8%	94.6%	90.4%	0.6%	$	25,010
	TOTAL	21,766,000			93.8%	93.7%	90.4%	91.1%	100.0%	$	695,318
See next page for footnotes

Cousins Properties 17 Q3 2019 Supplemental Information

PORTFOLIO STATISTICS

(1	)	Represents the weighted average occupancy of the property over the period for which the property was available for occupancy.
(2	)	The Company's share of net operating income for the three months ended September 30, 2019.
(3	)	The Company's share of property specific mortgage debt, net of unamortized loan costs, as of September 30, 2019.
(4	)	Subsequent to quarter end, the Company purchased its partner's 50% interest in Terminus Office Holdings LLC.
(5	)	Contains two or more buildings that are grouped together for reporting purposes.

Cousins Properties 18 Q3 2019 Supplemental Information

SAME PROPERTY PERFORMANCE (1)

	COUSINS PROPERTIES INCORPORATED
	Net Operating Income ($ in thousands)
	Three Months Ended September 30,
	2019			2018			% Change
Rental Property Revenues (2)	$	119,715		$	117,950		1.5	%
Rental Property Operating Expenses (2)	45,192			43,686			3.4	%
Same Property Net Operating Income	$	74,523		$	74,264		0.3	%
Cash-Basis Rental Property Revenues (3)	$	114,673		$	111,069		3.2	%
Cash-Basis Rental Property Operating Expenses (4)	45,027			43,376			3.8	%
Cash-Basis Same Property Net Operating Income	$	69,646		$	67,693		2.9	%
End of Period Leased	93.7		%	94.3		%
Weighted Average Occupancy	90.9		%	91.9		%
	Nine Months Ended September 30,
	2019			2018			% Change
Rental Property Revenues (2)	$	362,595		$	350,235		3.5	%
Rental Property Operating Expenses (2)	134,852			129,228			4.4	%
Same Property Net Operating Income	$	227,743		$	221,007		3.0	%
Cash-Basis Rental Property Revenues (3)	$	341,049		$	327,121		4.3	%
Cash-Basis Rental Property Operating Expenses (4)	134,359			128,621			4.5	%
Cash-Basis Same Property Net Operating Income	$	206,690		$	198,500		4.1	%
Weighted Average Occupancy	91.6		%	92.1		%

(1)	Same Properties include those office properties that were fully operational in each of the comparable reporting periods. See Non-GAAP Financial Measures - Calculations and Reconciliations. Properties included in the Same Property pool this reporting period are as follows:
	111 West Rio	Emory University Hospital Midtown Medical Office Tower	Northpark
	816 Congress	Fifth Third Center	One Eleven Congress
	3344 Peachtree	Gateway Village	Promenade
	3348 Peachtree	Harborview Plaza	Research Park V
	3350 Peachtree	Hayden Ferry	San Jacinto Center
	Buckhead Plaza	Hearst Tower	Tempe Gateway
	Colorado Tower	Meridian Mark Plaza	Terminus
	Corporate Center	NASCAR Plaza	The Pointe
(2)	Rental Property Revenues and Expenses include results for the Company and its share of unconsolidated joint ventures and exclude termination fee income. Net operating income for unconsolidated joint ventures is calculated as rental property revenues less termination fee income and rental property expenses at the joint ventures multiplied by the Company's ownership interest. The Company does not control the operations of the unconsolidated joint ventures, but believes that including these amounts with consolidated net operating income is meaningful to investors and analysts.
(3)	Cash-Basis Rental Property Revenues include that of the Company and its share of unconsolidated joint ventures. It represents Rental Property Revenues, excluding termination fee income, straight-line rents, amortization of lease inducements, and amortization of acquired above and below market rents.
(4)	Cash-Basis Rental Property Operating Expenses include that of the Company and its share of unconsolidated joint ventures. It represents Rental Property Operating Expenses, excluding straight-line ground rent expense and amortization of above and below market ground rent expense.

Cousins Properties 19 Q3 2019 Supplemental Information

OFFICE LEASING ACTIVITY(1)

	Three Months Ended September 30, 2019												Nine Months Ended September 30, 2019
	New			Renewal			Expansion			Total			New			Renewal			Expansion			Total
Gross leased (square feet)										917,359												2,896,913
Less: Leases one year or less, amenity leases, percentage rent leases, storage leases, intercompany leases, and license agreements										(175,992		)										(384,099		)
Net leased (square feet)	164,843			339,732			236,792			741,367			1,405,001			738,257			369,556			2,512,814
Number of transactions	16			21			10			47			41			50			25			116
Lease term (years) (2)	8.0			5.6			9.2			7.3			9.5			5.9			8.5			8.3
Net Effective Rent Calculation (per square foot per year) (2)
Net annualized rent (3)	$	25.61		$	33.74		$	39.14		$	33.66		$	28.03		$	30.66		$	37.60		$	30.21
Net free rent	(0.73		)	(0.57		)	(0.68		)	(0.64		)	(0.51		)	(0.55		)	(0.68		)	(0.55		)
Leasing commissions	(2.37		)	(2.84		)	(3.24		)	(2.86		)	(1.70		)	(2.57		)	(3.14		)	(2.17		)
Tenant improvements	(4.70		)	(1.84		)	(3.88		)	(3.13		)	(3.56		)	(2.70		)	(4.34		)	(3.43		)
Leasing Costs	(7.80		)	(5.25		)	(7.80		)	(6.63		)	(5.77		)	(5.82		)	(8.16		)	(6.15		)
Net effective rent	$	17.81		$	28.49		$	31.34		$	27.03		$	22.26		$	24.84		$	29.44		$	24.06
Second generation leased square footage (4)(5)										510,451												1,701,412
Increase in second generation net rent per square foot (2)(3)(4)(5)										17.2		%										20.3		%
Increase in cash-basis second generation net rent per square foot (2)(4)(5)										8.1		%										6.4		%
(1) Excludes apartment and retail leasing at our mixed-use projects.
(2) Weighted average.
(3) Straight-line net rent per square foot (operating expenses deducted from gross leases) over the lease term.
(4) Excludes leases executed for spaces that were vacant upon acquisition, new leases in development properties, and leases for spaces that have been vacant for one year or more.
(5) Increase in net rent at the end of term paid by the prior tenant compared to net rent at the beginning of term paid by the current tenant. For early renewals, the increase in net rent at the end of term of the original lease is compared to net rent at the beginning of the extended term of the lease.

Cousins Properties 20 Q3 2019 Supplemental Information

OFFICE LEASE EXPIRATIONS

Lease Expirations by Year (1)

Year of Expiration	Square Feet Expiring	% of Leased Space		Annual Contractual Rents ($000's) (2)		% of Annual Contractual Rents		Annual Contractual Rent/Sq. Ft.
2019	305,835	1.6	%	$	9,475	1.2	%	$	30.98
2020	1,490,516	8.0	%	51,801		6.6	%	34.75
2021	2,145,142	11.5	%	78,294		10.0	%	36.50
2022	1,371,390	7.4	%	55,810		7.1	%	40.70
2023	1,549,031	8.3	%	63,675		8.1	%	41.11
2024	1,307,790	7.0	%	52,232		6.7	%	39.94
2025	1,871,700	10.1	%	82,452		10.5	%	44.05
2026	1,909,588	10.3	%	74,623		9.5	%	39.08
2027	1,295,627	7.0	%	52,943		6.8	%	40.86
2028 &Thereafter	5,328,304	28.8	%	262,154		33.5	%	49.20
Total	18,574,923	100.0	%	$	783,459	100.0	%	$	42.18

Lease Expirations Greater than 100,000 Square Feet Through Year End 2020

Expiration Date	Tenant	Market	Building	Square Feet Expiring
December 2020	Bank of America	Charlotte	Bank of America Plaza	294,607 (3)
August 2020	Conduent Inc.	Cherry Hill	Woodcrest	150,859
September 2020	Time Warner Cable	Austin	Domain Point	112,190

(1) Company's share.

(2) Annual Contractual Rents are the estimated rents in the year of expiration. It includes the minimum base rent and an estimate of operating expenses, if applicable, as defined in the respective leases.

(3) Bank of America has provided notice of early termination for 41,938 square feet on March 31, 2020 and 41,926 square feet on September 30, 2020.

Cousins Properties 21 Q3 2019 Supplemental Information

OFFICE LEASE EXPIRATIONS

(1) Company's share

Cousins Properties 22 Q3 2019 Supplemental Information

TOP 20 OFFICE TENANTS

	Tenant (1)	Number of Properties Occupied	Number of Markets Occupied	Company's Share of Square Footage	Company's Share of Annualized Rent (2)		Percentage of Company's Share of Annualized Rent	Weighted Average Remaining Lease Term (Years)
1	Bank of America	4	1	1,393,086	$	38,611,659	5.8%	5
2	NCR Corporation	1	1	762,090	35,990,523		5.4%	14
3	Amazon	4	3	366,422	16,781,601		2.5%	6
4	Expedia, Inc.	1	1	296,955	13,407,563		2.0%	10
5	Norfolk Southern Corporation	2	1	394,621	11,271,065		1.7%	2
6	Wells Fargo Bank, N.A.	5	4	236,033	9,588,354		1.4%	3
7	Apache Corporation	1	1	210,012	9,129,826		1.4%	5
8	Americredit Financial Services (dba GM Financial)	2	2	333,782	8,495,473		1.3%	11
9	Parsley Energy, L.P.	1	1	135,107	7,944,527		1.2%	5
10	Encana Oil & Gas (USA) Inc.	1	1	318,582	7,831,964		1.2%	8
11	ADP, LLC	1	1	225,000	7,307,064		1.1%	9
12	McGuirewoods LLP	3	3	197,282	6,742,246		1.0%	7
13	Westrock Shared Services, LLC	1	1	205,185	6,539,316		1.0%	11
14	Dimensional Fund Advisors LP	1	1	132,434	6,235,230		0.9%	15
15	General Services Administration	3	3	220,600	5,973,555		0.9%	4
16	Regus Equity Business Centers, LLC	6	4	146,852	5,868,538		0.9%	3
17	Samsung Engineering America	1	1	133,860	5,857,544		0.9%	7
18	Anthem	1	1	198,834	5,642,481		0.9%	2
19	NASCAR Media Group, LLC	1	1	139,861	5,518,368		0.8%	2
20	OSI Restaurant Partners, LLC (dba Outback Steakhouse)	1	1	167,723	5,504,516		0.8%	5
	Total			6,214,321	$	220,241,413	33.1%	7
(1)	In some cases, the actual tenant may be an affiliate of the entity shown.
(2)	Annualized Rent represents the annualized rent including tenant's share of estimated operating expenses, if applicable, paid by the tenant as of the date of this report. If the tenant is in a free rent period as of the date of this report, Annualized Rent represents the annualized contractual rent the tenant will pay in the first month it is required to pay rent.
Note:	This schedule includes tenants whose leases have commenced and/or who have taken occupancy. Leases that have been signed but have not commenced are excluded.

Cousins Properties 23 Q3 2019 Supplemental Information

TENANT INDUSTRY DIVERSIFICATION

Note: Management uses SIC codes when available along with judgment to determine tenant industry classification.

Cousins Properties 24 Q3 2019 Supplemental Information

INVESTMENT ACTIVITY

Completed Property Acquisitions

Property	Type	Market	Company's Ownership Interest	Timing	Square Feet		Gross Purchase Price ($ in thousands) (1)
2019
1200 Peachtree	Office	Atlanta	100.0%	1Q	370,000		$	82,000
TIER REIT, Inc.	Office	Various	Various	2Q	5,799,000		(2		)
2017
111 West Rio (3)	Office	Phoenix	100.0%	1Q	225,000		19,600
2016
Parkway Properties	Office	Various	Various	4Q	8,819,000		(4		)
Cousins Fund II, L.P. (5)	Office	Various	100.0%	4Q	(5	)	279,100
2014
Fifth Third Center	Office	Charlotte	100.0%	3Q	698,000		215,000
Northpark	Office	Atlanta	100.0%	4Q	1,528,000		348,000
					17,439,000		$	943,700

Completed Property Developments

Project	Type	Market	Company's Ownership Interest	Timing	Square Feet	Total Project Cost ($ in thousands) (1)
2019
Dimensional Place	Office	Charlotte	50.0%	1Q	281,000	$	96,000
2018
Spring & 8th	Office	Atlanta	100.0%	1Q/4Q	765,000	332,500
2017
8000 Avalon	Office	Atlanta	90.0%	2Q	229,000	73,000
Carolina Square	Mixed	Chapel Hill	50.0%	3Q	468,000	123,000
2015
Colorado Tower	Office	Austin	100.0%	1Q	373,000	126,100
Emory Point - Phase II	Mixed	Atlanta	75.0%	3Q	302,000	75,400
Research Park V	Office	Austin	100.0%	4Q	173,000	45,000
					2,591,000	$	871,000

(1) Except as otherwise noted, amounts represent total purchase prices, total project cost paid by the company, and, where applicable, its joint venture partner, including certain allocated costs required by GAAP that are not incurred in a joint venture.

(2) Properties acquired in the merger with TIER REIT, Inc.

(3) Purchased outside interest of 25.4% in 111 West Rio.

(4) Properties acquired in the merger/spin with Parkway Properties, Inc.

(5) Purchased the outside interest (approximately 70%) in a consolidated partnership for $279.1 million.

Cousins Properties 25 Q3 2019 Supplemental Information

INVESTMENT ACTIVITY

Completed Property Dispositions

Property	Type	Market	Company's Ownership Interest	Timing	Square Feet	Gross Sales Price ($ in thousands) (1)
2017
Emory Point I and II	Mixed	Atlanta	75.0%	2Q	786,000	$	199,000
American Cancer Society Center	Office	Atlanta	100.0%	2Q	996,000	166,000
Bank of America Center, One Orlando  ---Centre, and Citrus Center	Office	Orlando	100.0%	4Q	1,038,000	208,100
Courvoisier Centre (2)	Office	Miami	20.0%	4Q	343,000	33,900
2016
100 North Point Center East	Office	Atlanta	100.0%	1Q	129,000	22,000
Post Oak Central and Greenway Plaza (3)	Office	Houston	100.0%	4Q	5,628,000	—
Two Liberty Place	Office	Philadelphia	100.0%	4Q	941,000	219,000
191 Peachtree	Office	Atlanta	100.0%	4Q	1,225,000	267,500
Lincoln Place	Office	Miami	100.0%	4Q	140,000	80,000
The Forum	Office	Atlanta	100.0%	4Q	220,000	70,000
2015
2100 Ross	Office	Dallas	100.0%	3Q	844,000	131,000
200, 333, and 555 North Point Center East	Office	Atlanta	100.0%	4Q	411,000	70,300
The Points at Waterview	Office	Dallas	100.0%	4Q	203,000	26,800
2014
Lakeshore and University Park Place	Office	Birmingham	100.0%	3Q	320,000	44,700
Mahan Village	Retail	Florida	50.5%	4Q	147,000	29,500
Cousins Watkins LLC	Retail	Other	50.5%	4Q	339,000	50,000
777 Main	Office	Fort Worth	100.0%	4Q	980,000	167,000
					14,690,000	$	1,784,800

(1) Except as otherwise noted, amounts represent total gross sales prices received by the Company and, where applicable, its joint venture partner.

(2) The Company sold its partnership interest for $12.6 million in a transaction that valued its interest in the property at $33.9 million, prior to deduction for existing mortgage debt.

(3) These properties were spun off as part of the merger/spin with Parkway Properties, Inc.

Cousins Properties 26 Q3 2019 Supplemental Information

DEVELOPMENT PIPELINE (1)

Project	Type	Market	Company's Ownership Interest		Construction Start Date	Number of Square Feet /Apartment Units	Estimated Project Cost (1) (2) ($ in thousands)		Company's Share of Estimated Project Cost (2) ($ in thousands)		Project Cost Incurred to Date (2) ($ in thousands)		Company's Share of Project Cost Incurred to Date (2) ($ in thousands)		Percent Leased		Initial Occupancy (3)(5)	Estimated Stabilization (4)(5)
120 West Trinity	Mixed	Atlanta	20	%	1Q17		$	85,000	$	17,000	$	70,201	$	14,040
Office						33,000									100	%	2Q20	2Q20
Retail						19,000									11	%	1Q20	3Q20
Apartments						330									7	%	4Q19	4Q20
10000 Avalon	Office	Atlanta	90	%	3Q18	251,000	96,000		86,400		69,392		62,453		56	%	1Q20	1Q21
300 Colorado	Office	Austin	50	%	4Q18	358,000	193,000		96,500		90,208		45,104		87	%	1Q21	1Q22
Domain 10	Office	Austin	100	%	4Q18	300,000	111,000		111,000		67,913		67,913		98	%	4Q20	3Q21
Domain 12	Office	Austin	100	%	2Q18	320,000	117,000		117,000		82,439		82,439		100	%	2Q20	3Q20
Total							$	602,000	$	427,900	$	380,153	$	271,949

(1)	This schedule shows projects currently under active development through the substantial completion of construction. Amounts included in the estimated project cost column are the estimated costs of the project through stabilization. Significant estimation is required to derive these costs, and the final costs may differ from these estimates. The projected stabilization dates are also estimates and are subject to change as the project proceeds through the development process.
(2)	Estimated and incurred project costs include financing costs only on project-specific debt, and exclude certain allocated capitalized costs required by GAAP that are not incurred in a joint venture and fair value adjustments for legacy TIER projects that were recorded as a result of the merger.
(3)	Represents the quarter within which the Company estimates the first tenant will take occupancy.
(4)	Stabilization is the quarter within which the Company estimates it will achieve 90% economic occupancy. Interest, taxes, and operating expenses are capitalized on the unoccupied portion of the building for the period beginning with Initial Occupancy until the earlier of the achievement of 90% economic occupancy or one year.
(5)	Initial Occupancy and Estimated Stabilization are based, in part, on when the space is ready for its intended use, which is dependent upon the commencement and completion of tenant improvements. Since tenants in these properties generally control the timing of tenant improvements, timing of these estimates is subject to change.

Cousins Properties 27 Q3 2019 Supplemental Information

LAND INVENTORY

	Market	Type	Company's Ownership Interest	Total Developable Land (Acres)	Cost Basis of Land ($ in thousands)
3354 Peachtree	Atlanta	Commercial	95%	3.0
901 West Peachtree (1)	Atlanta	Commercial	100%	0.8
North Point	Atlanta	Commercial	100%	9.2
The Avenue Forsyth-Adjacent Land	Atlanta	Commercial	100%	10.4
Wildwood Office Park - Joint Venture (2)	Atlanta	Commercial	50%	6.3
Wildwood Office Park - Wholly Owned (2)	Atlanta	Commercial	100%	0.8
Domain 9	Austin	Commercial	100%	2.5
Domain 14 & 15	Austin	Commercial	100%	5.6
Legacy Union 2 & 3	Dallas	Commercial	95%	4.0
Victory Center	Dallas	Commercial	75%	3.0
Burnett Plaza-Adjacent Land	Fort Worth	Commercial	100%	1.4
Corporate Center 6	Tampa	Commercial	100%	7.0
100 Mill	Tempe	Commercial	90%	2.5
Padre Island	Corpus Christi	Residential	50%	15.0
Total				71.5	$	146,414
Company's Share				59.5	$	124,449

(1)	Includes two ground leases with future obligations to purchase.
(2)	In September 2019, Wildwood Associates, LLC, a joint venture in which the Company has a 50% membership interest, divested of two land parcels. The Company redeemed 100% ownership of a 0.8-acre parcel from the joint venture and simultaneously relinquished its interest in a 7.1-acre parcel.

Cousins Properties 28 Q3 2019 Supplemental Information

DEBT SCHEDULE

				Company's Share of Debt Maturities and Principal Payments
				($ in thousands)
Description (Interest Rate Base, if not fixed)	Company's Ownership Interest	Rate at End of Quarter	Maturity Date	2019			2020			2021			2022			2023			Thereafter			Total Principal			Deferred Loan Costs			Above / Below Market Value		Total
Consolidated Debt - Floating Rate
Term Loan, Unsecured (LIBOR + 1.20%-1.70%) (1)	100%	3.22%	12/2/21	$	—		$	—		$	250,000		$	—		$	—		$	—		$	250,000		$	(875	)	$	—	$	249,125
Credit Facility, Unsecured (LIBOR + 1.05%-1.45%) (2)	100%	3.07%	1/3/23	—			—			—			—			80,000			—			80,000			—			—		80,000
Total Floating Rate Debt				—			—			250,000			—			80,000			—			330,000			(875		)	—		329,125
Consolidated Debt - Fixed Rate
2019 Senior Notes, Unsecured	100%	3.95%	7/6/29	—			—			—			—			—			275,000			275,000			(1,096		)	—		273,904
2017 Senior Notes, Unsecured	100%	3.91%	7/6/25	—			—			—			—			—			250,000			250,000			(1,053		)	—		248,947
2019 Senior Notes, Unsecured	100%	3.86%	7/6/28	—			—			—			—			—			250,000			250,000			(993		)	—		249,007
Fifth Third Center	100%	3.37%	10/1/26	801			3,274			3,386			3,502			3,622			126,546			141,131			(465		)	—		140,666
2019 Senior Notes, Unsecured	100%	3.78%	7/6/27	—			—			—			—			—			125,000			125,000			(494		)	—		124,506
Colorado Tower	100%	3.45%	9/1/26	593			2,425			2,510			2,597			2,689			106,863			117,677			(666		)	—		117,011
2017 Senior Notes, Unsecured	100%	4.09%	7/6/27	—			—			—			—			—			100,000			100,000			(415		)	—		99,585
Promenade	100%	4.27%	10/1/22	826			3,394			3,541			89,052			—			—			96,813			(177		)	—		96,636
816 Congress	100%	3.75%	11/1/24	428			1,754			1,821			1,891			1,963			72,558			80,415			(417		)	—		79,998
Legacy Union One	100%	4.24%	1/1/23	—			—			—			—			66,000			—			66,000			—			2,335		68,335
Meridian Mark Plaza	100%	6.00%	8/1/20	140			22,977			—			—			—			—			23,117			(20		)	—		23,097
Total Fixed Rate Debt				2,788			33,824			11,258			97,042			74,274			1,305,967			1,525,153			(5,796		)	2,335		1,521,692
Total Consolidated Debt				2,788			33,824			261,258			97,042			154,274			1,305,967			1,855,153			(6,671		)	2,335		1,850,817
Unconsolidated Debt - Floating Rate
Carolina Square (LIBOR + 1.90%) (3)	50%	3.92%	5/1/20	—			37,757			—			—			—			—			37,757			—			—		37,757
300 Colorado (LIBOR + 2.25%) (4)	50%	4.27%	1/17/22	—			—			—			2,744			—			—			2,744			—			—		2,744
Total Floating Rate Debt				—			37,757			—			2,744			—			—			40,501			—			—		40,501
																			.
Unconsolidated Debt - Fixed Rate
Terminus 100 (5)	50%	5.25%	1/1/23	381			1,575			1,659			1,749			54,090			—			59,454			(42		)	—		59,412
Terminus 200 (5)	50%	3.79%	1/1/23	211			863			896			931			35,350			—			38,251			(18		)	—		38,233
Emory University Hospital Midtown Medical Office Tower	50%	3.50%	6/1/23	206			842			872			903			31,437			—			34,260			(87		)	—		34,173
Total Fixed Rate Debt				798			3,280			3,427			3,583			120,877			—			131,965			(147		)	—		131,818
Total Unconsolidated Debt				798			41,037			3,427			6,327			120,877			—			172,466			(147		)	—		172,319
Total Debt				$	3,586		$	74,861		$	264,685		$	103,369		$	275,151		$	1,305,967		$	2,027,619		$	(6,818	)	$	2,335	$	2,023,136
Total Maturities (6)				$	—		$	60,400		$	250,000		$	89,039		$	266,491		$	1,286,024		$	1,951,954
% of Maturities				—		%	3		%	13		%	4		%	14		%	66		%	100		%

Cousins Properties 29 Q3 2019 Supplemental Information

DEBT SCHEDULE

Floating and Fixed Rate Debt Analysis

	Total Debt Principal ($)		Total Debt (%)		Weighted Average Interest Rate		Weighted Average Maturity (Yrs.)
Floating Rate Debt	$	370,501	18	%	3.26	%	2.2
Fixed Rate Debt	1,657,118		82	%	3.92	%	6.8
Total Debt	$	2,027,619	100	%	3.80	%	6.0

(1) The spread over LIBOR at September 30, 2019 was 1.20%.

(2) As of September 30, 2019, the Company had $80.0 million drawn under the Credit Facility and had the ability to borrow $920.0 million of the $1 billion available. The spread over LIBOR at September 30, 2019 was 1.05%.

(3) The Company's share of the total borrowing capacity of the facility is $39.9 million.

(4) The Company's share of the total borrowing capacity of the facility is $63.0 million.

(5) Subsequent to quarter end, the Company purchased its partner's 50% interest in Terminus Office Holdings LLC.

(6) Maturities include lump sum principal payments due at the maturity date. Maturities do not include scheduled principal payments due prior to the maturity date.

Cousins Properties 30 Q3 2019 Supplemental Information

DEBT SCHEDULE

Cousins Properties 31 Q3 2019 Supplemental Information

JOINT VENTURE INFORMATION (1)

Joint Venture	Properties	Cash Flows to Cousins (2)	Options
AMCO 120 WT Holdings, LLC	120 West Trinity	20% of cash flows.	Cousins or Partner can trigger a buyout beginning 24 months after construction completion, upon which Cousins would receive the office component and Partner would receive the multifamily component, with a net settlement at a then agreed upon value.
Austin 300 Colorado Project, LP	300 Colorado	50% of cash flows.	Partners can put their combined interest to Cousins, or Cousins can call Partners' combined interest, at a then agreed upon value during a 24-month period following final phase rent commencement.
Carolina Square Holdings LP	Carolina Square	50% of cash flows.	Cousins or Partner can trigger sale process, subject to a right of first offer that can be exercised by the non-triggering party.
Charlotte Gateway Village LLC	Gateway Village	50% of cash flows.	Partner can trigger a purchase of Cousins' interest at a value that generates a 17% IRR on invested capital to Cousins.
Crawford Long-CPI, LLC	Emory University Hospital Midtown Medical Office Tower	50% of cash flows.	Cousins can put its interest to Partner, or Partner can call Cousins' interest, at a value determined by appraisal.
DC Charlotte Plaza, LLLP	Dimensional Place	50% of cash flows.	Partner can purchase Cousins' interest during Q2 2021 at a value determined by appraisal and subject to a cap rate range.
HICO Avalon II, LLC	10000 Avalon	90% of cash flows until return of contributed capital to both Partners.	Cousins or Partner can trigger sale process 24 months after construction completion, subject to a right of first offer that can be exercised by the non-triggering party.
HICO Avalon, LLC	8000 Avalon	90% of cash flows until return of contributed capital to both Partners.	Cousins or Partner can trigger sale process, subject to a right of first offer that can be exercised by the non-triggering party.
Terminus Office Holdings LLC (3)	Terminus	50% of cash flows until Partner receives an agreed upon return.	Cousins or Partner can trigger sale process, subject to a right of first offer that can be exercised by the non-triggering party.
TR Domain Point LLC	Domain Point	Preferred return on preferred equity contribution, then 90% of remaining cash flows.	Partner has put option beginning Q1 2023 under various circumstances.

(1	)	This schedule only contains information related to joint ventures that hold an ownership interest in operating assets or projects under development.
(2	)	Each respective joint venture agreement may contain additional terms that affect the distribution of operating cash flows and capital transaction proceeds that are not yet effective, including the distribution of promoted interest.
(3	)	Subsequent to quarter end, the Company purchased its Partner's 50% interest in Terminus Office Holdings, LLC.

Cousins Properties 32 Q3 2019 Supplemental Information

NON-GAAP FINANCIAL MEASURES - CALCULATIONS AND RECONCILIATIONS

	2017			2018 1st			2018 2nd			2018 3rd			2018 4th			2018			2019 1st			2019 2nd			2019 3rd			YTD 2019
FFO and EBITDAre
Net income available to common stockholders	$	216,275		$	16,043		$	21,276		$	19,485		$	22,360		$	79,164		$	35,341		$	(22,409	)	$	20,374		$	33,306
Depreciation and amortization of real estate assets:
Consolidated properties	194,869			44,620			45,207			44,599			45,084			179,510			45,405			50,450			81,569			177,424
Share of unconsolidated joint ventures	13,191			3,419			3,016			3,119			3,524			13,078			3,254			4,154			4,148			11,556
Partners' share of real estate depreciation	(23		)	(69		)	(70		)	(72		)	(91		)	(302		)	(96		)	(99		)	(171		)	(366		)
(Gain) loss on sale of depreciated properties:
Consolidated properties	(133,043		)	372			(5,317		)	33			(13		)	(4,925		)	21			33			48			102
Share of unconsolidated joint ventures	(35,050		)	(48		)	63			—			14			29			—			5			—			5
Non-controlling interest related to unit holders	3,681			287			410			326			322			1,345			588			(265		)	241			564
FFO	259,900			64,624			64,585			67,490			71,200			267,899			84,513			31,869			106,209			222,591
Interest Expense	41,382			11,293			11,305			11,208			12,080			45,886			12,574			13,692			16,377			42,643
Non-Real Estate Depreciation and Amortization	1,874			473			468			469			462			1,872			456			454			443			1,353
EBITDAre (1)	303,156			76,390			76,358			79,167			83,742			315,657			97,543			46,015			123,029			266,587
Transaction Costs (2)	1,661			91			137			—			20			248			3			49,827			1,048			50,878
(Gain) Loss on Extinguishment of Debt	(2,258		)	85			—			(93		)	—			(8		)	—			—			—			—
Adjusted EBITDAre (1)	302,559			76,566			76,495			79,074			83,762			315,897			97,546			95,842			124,077			317,465
Income from Unconsolidated Joint Ventures
Net Operating Income
Office Properties	27,187			6,933			6,685			6,557			6,469			26,644			7,006			8,670			8,369			24,045
Other Properties	3,866			488			543			437			776			2,244			867			709			668			2,244
Net Operating Income	31,053			7,421			7,228			6,994			7,245			28,888			7,873			9,379			9,037			26,289
Sales Less Cost of Sales	—			330			2,449			—			—			2,779			—			—			—			—
Interest Expense	(7,859		)	(1,515		)	(1,591		)	(1,657		)	(1,693		)	(6,456		)	(1,754		)	(1,633		)	(1,677		)	(5,064		)
Termination Fee Income	1,294			—			—			—			—			—			3			4			9			16
Other Income	768			20			27			36			37			120			36			43			20			99
Funds from Operations - Unconsolidated Joint Ventures	25,256			6,256			8,113			5,373			5,589			25,331			6,158			7,793			7,389			21,340
Gain (Loss) on Sale of Depreciated Investment Properties, net	35,050			48			(61		)	(2		)	(14		)	(29		)	—			(5		)	—			(5		)
Depreciation and Amortization of Real Estate	(13,191		)	(3,419		)	(3,016		)	(3,119		)	(3,524		)	(13,078		)	(3,254		)	(4,154		)	(4,148		)	(11,556		)
Income from Unconsolidated Joint Ventures	47,115			2,885			5,036			2,252			2,051			12,224			2,904			3,634			3,241			9,779
Market Capitalization
Common Stock Price at Period End	$	37.00		$	34.72		$	38.76		$	35.56		$	31.60		$	31.60		$	38.64		$	36.17		$	37.59		$	37.59
Number of Common Stock/Units Outstanding at Period End	106,749			106,805			106,842			106,840			106,840			106,840			106,890			148,507			148,506			148,506
Common Stock Capitalization	3,949,713			3,708,270			4,141,196			3,799,230			3,376,144			3,376,144			4,130,230			5,371,498			5,582,341			5,582,341
Debt	1,093,228			1,091,258			1,089,264			1,065,012			1,062,570			1,062,570			1,116,474			1,837,449			1,850,817			1,850,817
Share of Unconsolidated Debt	169,295			171,575			172,195			171,879			171,446			171,446			170,690			170,214			172,319			172,319
Debt (1)	1,262,523			1,262,833			1,261,459			1,236,891			1,234,016			1,234,016			1,287,164			2,007,663			2,023,136			2,023,136
Total Market Capitalization	5,212,227			4,971,085			5,402,655			5,036,113			4,610,152			4,610,152			5,417,403			7,379,161			7,605,477			7,605,477

Cousins Properties 33 Q3 2019 Supplemental Information

NON-GAAP FINANCIAL MEASURES - CALCULATIONS AND RECONCILIATIONS

	2017		2018 1st		2018 2nd		2018 3rd		2018 4th		2018		2019 1st		2019 2nd		2019 3rd		YTD 2019
Credit Ratios
Net Debt (Debt (1) minus Cash)	1,113,594		1,154,681		1,151,227		1,154,185		1,231,469		1,231,469		1,283,708		1,995,778		2,010,740		2,010,740
Total Market Capitalization	5,212,227		4,971,085		5,402,655		5,036,113		4,610,152		4,610,152		5,417,403		7,379,161		7,605,477		7,605,477
Net Debt / Total Market Capitalization	21.4	%	23.2	%	21.3	%	22.9	%	26.7	%	26.7	%	23.7	%	27.0	%	26.4	%	26.4	%
Total Assets - Consolidated	4,204,619		4,159,310		4,166,252		4,143,599		4,146,296		4,146,296		4,251,193		6,676,672		6,704,120		6,704,120
Accumulated Depreciation - Consolidated	380,908		427,216		474,064		546,989		566,749		566,749		643,140		696,531		781,998		781,998
Undepreciated Assets - Unconsolidated (1)	455,100		481,858		490,418		511,766		530,076		530,076		553,098		568,387		590,183		590,183
Less: Investment in Unconsolidated Joint Ventures	(101,414	)	(145,465	)	(143,201	)	(154,070	)	(161,907	)	(161,907	)	(167,429	)	(176,169	)	(186,079	)	(186,079	)
Total Undepreciated Assets (1)	4,939,213		4,922,919		4,987,533		5,048,284		5,081,214		5,081,214		5,280,002		7,765,421		7,890,222		7,890,222
Net Debt (Debt (1) minus Cash)	1,113,594		1,154,681		1,151,227		1,154,185		1,231,469		1,231,469		1,283,708		1,995,778		2,010,740		2,010,740
Undepreciated Assets (1)	4,939,213		4,922,919		4,987,533		5,048,284		5,081,214		5,081,214		5,280,002		7,765,421		7,890,222		7,890,222
Net Debt / Total Undepreciated Assets (1)	22.5	%	23.5	%	23.1	%	22.9	%	24.2	%	24.2	%	24.3	%	25.7	%	25.5	%	25.5	%
Coverage Ratios (1)
Interest Expense	41,382		11,293		11,305		11,208		12,080		45,886		12,574		13,692		16,377		42,643
Scheduled Principal Payments	12,859		2,900		2,929		2,733		3,446		12,008		3,481		3,516		3,551		10,548
Fixed Charges	54,241		14,193		14,234		13,941		15,526		57,894		16,055		17,208		19,928		53,191
EBITDAre	303,156		76,390		76,358		79,167		83,742		315,657		97,543		46,015		123,029		266,587
Fixed Charges Coverage Ratio (EBITDAre) (1)	5.59		5.38		5.36		5.68		5.39		5.45		6.08		2.67		6.17		5.01
Adjusted EBITDAre	302,559		76,566		76,495		79,074		83,762		315,897		97,546		95,842		124,077		317,465
Fixed Charges Coverage Ratio (Adjusted EBITDAre) (1)	5.58		5.39		5.37		5.67		5.39		5.46		6.08		5.57		6.23		5.97
Net Debt (Debt (1) minus Cash)	1,113,594		1,154,681		1,151,227		1,154,185		1,231,469		1,231,469		1,283,708		1,995,778		2,010,740		2,010,740
Annualized EBITDAre (3)	296,700		305,564		305,432		316,668		334,968		334,968		390,172		184,060		492,116		492,116
Net Debt / Annualized EBITDAre (3)	3.75		3.78		3.77		3.64		3.68		3.68		3.29		10.84		4.09		4.09
Annualized Adjusted EBITDAre (3)	297,348		306,264		305,980		316,296		335,048		335,048		390,184		383,368		496,308		496,308
Net Debt / Annualized Adjusted EBITDAre (3)	3.75		3.77		3.76		3.65		3.68		3.68		3.29		5.21		4.05		4.05
Dividend Information
Common Dividends (4)	100,776		27,315		27,326		27,363		27,287		109,291		30,492		42,562		42,559		115,613
FFO	259,900		64,624		64,585		67,490		71,200		267,899		84,513		31,869		106,209		222,591
FFO Payout Ratio	38.8	%	42.3	%	42.3	%	40.5	%	38.3	%	40.8	%	36.1	%	133.6	%	40.1	%	51.9	%
Transaction Costs (2)	1,661		91		137		—		20		248		3		49,827		1,048		50,878
FFO before Transaction Costs (2)	261,561		64,715		64,722		67,490		71,220		268,147		84,516		81,696		107,257		273,469
FFO Payout Ratio before Transaction Costs (2)	38.5	%	42.2	%	42.2	%	40.5	%	38.3	%	40.8	%	36.1	%	52.1	%	39.7	%	42.3	%

Cousins Properties 34 Q3 2019 Supplemental Information

NON-GAAP FINANCIAL MEASURES - CALCULATIONS AND RECONCILIATIONS

	2017		2018 1st		2018 2nd		2018 3rd		2018 4th		2018		2019 1st		2019 2nd		2019 3rd		YTD 2019
FFO	259,900		64,624		64,585		67,490		71,200		267,899		84,513		31,869		106,209		222,591
Amortization of Deferred Financing Costs	1,800		603		601		606		607		2,417		615		630		692		1,937
Non-Cash Stock-Based Compensation	1,983		543		579		560		575		2,257		607		625		615		1,847
Non-Real Estate Depreciation and Amortization	1,874		473		468		469		462		1,872		456		454		443		1,353
Lease Inducements	485		147		189		175		249		760		157		(401	)	(537	)	(781	)
Straight Line Rent Ground Leases	440		110		110		243		126		589		138		257		123		374
Above and Below Market Ground Rent	159		39		40		39		40		158		39		40		39		118
Transaction Costs (2)	1,661		91		137		—		20		248		3		49,827		1,048		50,878
Above and Below Market Debt	(3,937	)	(239	)	(239	)	(213	)	(189	)	(880	)	—		(34	)	(180	)	(214	)
(Gain) Loss on Extinguishment of Debt	(2,258	)	85		—		(93	)	—		(8	)	—		—		—		—
Deferred Income - Tenant Improvements	(2,868	)	(819	)	(857	)	(930	)	(1,166	)	(3,772	)	(870	)	(940	)	(923	)	(2,733	)
Above and Below Market Rents	(7,221	)	(1,793	)	(1,714	)	(1,730	)	(1,640	)	(6,877	)	(1,670	)	(1,981	)	(3,042	)	(6,693	)
Second Generation CAPEX	(53,485	)	(11,256	)	(11,077	)	(15,152	)	(19,182	)	(56,667	)	(8,074	)	(40,604	)	(18,946	)	(67,624	)
Straight Line Rental Revenue	(30,973	)	(8,136	)	(5,690	)	(5,148	)	(7,043	)	(26,017	)	(8,732	)	(6,068	)	(6,522	)	(21,322	)
Gain on Sales of Undepreciated Investment Properties	(67	)	(330	)	(2,449	)	—		(512	)	(3,291	)	(13,132	)	(1,337	)	(21	)	(14,490	)
FAD (1)	167,493		44,142		44,683		46,316		43,547		178,688		54,050		32,337		78,998		165,241
Common Dividends (4)	100,776		27,315		27,326		27,363		27,287		109,291		30,492		42,562		42,559		115,613
FAD Payout Ratio (1)	60.2	%	61.9	%	61.2	%	59.1	%	62.7	%	61.2	%	56.4	%	131.6	%	53.9	%	70.0	%
Operations Ratio
Total Undepreciated Assets (1)	4,939,213		4,922,919		4,987,533		5,048,284		5,081,214		5,081,214		5,280,002		7,765,421		7,890,222		7,890,222
General and Administrative Expenses	27,523		6,809		8,071		3,913		3,247		22,040		11,460		8,374		5,852		25,686
Annualized General and Administrative Expenses (5) / Total Undepreciated Assets	0.56	%	0.55	%	0.65	%	0.31	%	0.26	%	0.43	%	0.87	%	0.43	%	0.30	%	0.43	%
2nd Generation TI & Leasing Costs & Building CAPEX
Second Generation Leasing Related Costs	50,616		10,319		10,379		14,853		15,598		51,149		7,527		39,834		15,891		63,252
Second Generation Building Improvements	2,869		937		698		299		3,584		5,518		547		770		3,055		4,372
	53,485		11,256		11,077		15,152		19,182		56,667		8,074		40,604		18,946		67,624
(1) Includes Company share of unconsolidated joint ventures. These amounts are derived from the amounts in the categories indicated that are recorded at the joint venture multiplied by the Company's ownership interest. The Company does not control the operations of the unconsolidated joint ventures, but believes that including these amounts in the categories indicated is meaningful to investors and analysts.
(2) In 2017 and 2018, transaction costs related primarily to the transactions with Parkway Properties, Inc. In 2019, transaction costs relate to the merger with TIER REIT, Inc.
(3) Annualized equals quarter amount annualized. Given the timing of the closing of the transactions with TIER, the actual calculation of this ratio was unusually high for the second quarter of 2019 and decreased once a full quarter of TIER operations was included in EBITDAre. Second quarter EBITADAre, annualized for the calculation, included 17 days of Legacy TIER operations while the total impact of the TIER transactions was included in net debt as of June 30, 2019.
(4) The fourth quarter 2016 dividend was declared and paid in the first quarter of 2017.
(5) Quarter amount represents quarter annualized; year-to-date represents year-to-date actual annualized.
Note: Amounts may differ slightly from other schedules contained herein due to rounding.

Cousins Properties 35 Q3 2019 Supplemental Information

NON-GAAP FINANCIAL MEASURES - CALCULATIONS AND RECONCILIATIONS

FUNDS FROM OPERATIONS

(unaudited; in thousands, except per share amounts)

	Three Months Ended September 30,						Nine Months Ended September 30,
	2019			2018			2019			2018
Net Income Available to Common Stockholders	$	20,374		$	19,485		$	33,306		$	56,804
Depreciation and amortization of real estate assets:
Consolidated properties	81,569			44,599			177,424			134,426
Share of unconsolidated joint ventures	4,148			3,119			11,556			9,554
Partners' share of real estate depreciation	(171		)	(72		)	(366		)	(211		)
(Gain) loss on sale of depreciated properties:
Consolidated properties	48			33			102			(4,912		)
Share of unconsolidated joint ventures	—			—			5			15
Non-controlling interest related to unitholders	241			326			564			1,023
Funds From Operations	$	106,209		$	67,490		$	222,591		$	196,699
TIER transaction costs	1,048			—			50,878			—
Funds From Operations before TIER transaction costs	$	107,257		$	67,490		$	273,469		$	196,699
Per Common Share — Diluted:
Net Income Available to Common Stockholders	$	0.14		$	0.19		$	0.27		$	0.54
Funds From Operations	$	0.72		$	0.63		$	1.80		$	1.84
Funds From Operations before TIER transaction costs	$	0.72		$	0.63		$	2.21		$	1.84
Weighted Average Shares — Diluted	148,530			106,880			123,529			106,867

The table above shows Funds From Operations Available to Common Stockholders (“FFO”) and the related reconciliation to Net Income Available to Common Stockholders for Cousins Properties Incorporated and Subsidiaries. The Company calculated FFO in accordance with the National Association of Real Estate Investment Trusts' ("NAREIT") definition, which is net income (loss) available to common stockholders (computed in accordance with accounting principles generally accepted in the United States ("GAAP")), excluding extraordinary items, cumulative effect of change in accounting principle and gains or losses from sales of depreciable property, plus depreciation and amortization of real estate assets, impairment losses on depreciable investment property and after adjustments for unconsolidated partnerships and joint ventures to reflect FFO on the same basis.

FFO is used by industry analysts and investors as a supplemental measure of an equity REIT’s operating performance. Historical cost accounting for real estate assets implicitly assumes that the value of real estate assets diminishes predictably over time. Since real estate values instead have historically risen or fallen with market conditions, many industry investors and analysts have considered presentation of operating results for real estate companies that use historical cost accounting to be insufficient by themselves. Thus, NAREIT created FFO as a supplemental measure of REIT operating performance that excludes historical cost depreciation, among other items, from GAAP net income. Management believes that the use of FFO, combined with the required primary GAAP presentations, has been fundamentally beneficial, improving the understanding of operating results of REITs among the investing public and making comparisons of REIT operating results more meaningful. Company management evaluates operating performance in part based on FFO. Additionally, the Company uses FFO along with other measures, to assess performance in connection with evaluating and granting incentive compensation to its officers and other key employees.

Cousins Properties 36 Q3 2019 Supplemental Information

NON-GAAP FINANCIAL MEASURES - CALCULATIONS AND RECONCILIATIONS

	Three Months Ended						Nine Months Ended
Net Operating Income (in thousands)	September 30, 2019			September 30, 2018			September 30, 2019			September 30, 2018
Net income	$	20,692		$	19,859		$	34,115		$	58,014
Net operating income from unconsolidated joint ventures	9,037			6,994			26,289			21,643
Fee income	(7,494		)	(2,519		)	(23,298		)	(7,211		)
Termination fee income	(3,575		)	(276		)	(4,285		)	(1,275		)
Other income	(3		)	(468		)	(154		)	(1,561		)
Reimbursed expenses	1,290			955			3,269			2,757
General and administrative expenses	5,852			3,913			25,686			18,793
Interest expense	14,700			9,551			37,579			29,043
Depreciation and amortization	82,012			45,068			178,777			135,836
Acquisition and transaction costs	1,048			—			50,878			228
Other expenses	297			93			1,101			457
Gain on extinguishment of debt	—			(93		)	—			(8		)
Income from unconsolidated joint ventures	(3,241		)	(2,252		)	(9,779		)	(10,173		)
(Gain) loss on sale of investment properties	27			33			(14,388		)	(4,912		)
Net Operating Income	$	120,642		$	80,858		$	305,790		$	241,631
Straight line rent	6,522			5,148			21,322			18,974
Non-cash income	4,503			2,485			10,208			7,332
Non-cash expense	(163		)	(308		)	(493		)	(606		)
Cash Basis Net Operating Income	$	109,780		$	73,533		$	274,753		$	215,931
Net Operating Income
Same Property	$	74,523		$	74,264		$	227,743		$	221,007
Non-Same Property	46,119			6,594			78,047			20,624
	$	120,642		$	80,858		$	305,790		$	241,631
Cash Basis Net Operating Income
Same Property	$	69,646		$	67,693		$	206,690		$	198,500
Non-Same Property	40,134			5,840			68,063			17,431
	$	109,780		$	73,533		$	274,753		$	215,931

Cousins Properties 37 Q3 2019 Supplemental Information

NON-GAAP FINANCIAL MEASURES - DISCUSSION

The Company uses non-GAAP financial measures in its filings and other public disclosures. The following is a list of non-GAAP financial measures that the Company commonly uses and a description for each measure of (1) the reasons that management believes the measure is useful to investors and (2) if material, any additional uses of the measure by management of the Company.

“Cash-Basis Net Operating Income” represents Net Operating Income excluding straight-line rents, amortization of lease inducements, amortization of acquired above and below market rents, and non-cash ground lease expense.

“EBITDAre” is a supplemental operating performance measure used in the real estate industry. The Company calculates EBITDAre in accordance with the National Association of Real Estate Investment Trusts' (“NAREIT”) definition, which is net income (loss) available to common stockholders (computed in accordance with accounting principles generally accepted in the United States (“GAAP”)) plus interest expense, income tax expense, depreciation and amortization, losses (gains) on the disposition of depreciated property, and impairment losses. All additions include the Company's share of unconsolidated joint ventures. Management believes that EBITDAre provides analysts and investors with uniform and appropriate information to use in various ratios that evaluate the Company's level of debt.

“Adjusted EBITDAre” represents EBITDAre plus loss on debt extinguishment and acquisition and transaction costs. Management believes that Adjusted EBITDAre provides analysts and investors with appropriate information to use in various ratios that evaluate the Company's level of debt.

"Funds Available for Distribution” (“FAD”) represents FFO adjusted to exclude the effect of non-cash items, gains (losses) on undepreciated real estate sales, and transaction costs. Management believes that FAD provides analysts and investors with information that assists in the comparability of the Company's dividend policy with other real estate companies.

“Funds From Operations Available to Common Stockholders” (“FFO”) is a supplemental operating performance measure used in the real estate industry. The Company calculates FFO in accordance with the NAREIT definition, which is net income (loss) available to common stockholders (computed in accordance with GAAP), excluding extraordinary items, cumulative effect of change in accounting principle and gains or losses from sales of depreciable real property, plus depreciation and amortization of real estate assets, impairment losses on depreciable investment property and after adjustments for unconsolidated partnerships and joint ventures to reflect FFO on the same basis. FFO is used by industry analysts and investors as a supplemental measure of an equity REIT's operating performance. Historical cost accounting for real estate assets implicitly assumes that the value of real estate assets diminishes predictably over time. Since real estate values instead have historically risen or fallen with market conditions, many industry investors and analysts have considered presentation of operating results for real estate companies that use historical cost accounting to be insufficient by themselves. Thus, NAREIT created FFO as a supplemental measure of REIT operating performance that excludes historical cost depreciation, among other items, from GAAP net income. Management believes that the use of FFO, combined with the required primary GAAP presentations, has been fundamentally beneficial, improving the understanding of operating results of REITs among the investing public and making comparisons of REIT operating results more meaningful. Company management evaluates operating performance in part based on FFO. Additionally, the Company uses FFO and FFO

per share, along with other measures, as a performance measure for incentive compensation to its officers and other key employees.

“Net Debt” represents the Company's consolidated debt plus the Company's share of unconsolidated debt less cash and cash equivalents. The Company believes excluding cash and cash equivalents from total debt, provides an estimate of the net contractual amount of borrowed capital to be repaid, which it believes is a beneficial disclosure to investors and analysts.

“Net Operating Income” ("NOI") is used by industry analysts, investors and Company management to measure operating performance of the Company's properties. Net Operating Income, which is rental property revenues less termination fees and rental property operating expenses, excludes certain components from net income in order to provide results that are more closely related to a property's results of operations. Certain items, such as interest expense, while included in FFO and net income, do not affect the operating performance of a real estate asset and are often incurred at the corporate level as opposed to the property level. As a result, management uses only those income and expense items that are incurred at the property level to evaluate a property's performance. Depreciation and amortization are also excluded from Net Operating Income for the reasons described under FFO above.

“Same Property Net Operating Income” represents Net Operating Income or Cash-Basis Net Operating Income for those office properties that have been fully operational in each of the comparable reporting periods. A fully operational property is one that achieved 90% economic occupancy or has been substantially complete and owned by the Company for each of the two periods presented. Same Property Net Operating Income or Cash-Basis Same Property Net Operating Income allows analysts, investors and management to analyze continuing operations and evaluate the growth trend of the Company's portfolio.

“Second Generation Tenant Improvements and Leasing Costs and Building Capital Expenditures” is used in the valuation and analysis of real estate. Because the Company develops and acquires properties, in addition to operating existing properties, its property acquisition and development expenditures included in the Statements of Cash Flows includes both initial costs associated with developing and acquiring investment assets and those expenditures necessary for operating and maintaining existing properties at historic performance levels. The latter costs are referred to as second generation costs and are useful in evaluating the economic performance of the asset and in valuing the asset. Accordingly, the Company discloses the portion of its property acquisition and development expenditures that pertain to second generation space in its operating properties. The Company excludes from second generation costs amounts incurred to lease vacant space in newly acquired buildings as well as building improvements on newly acquired buildings that management identifies as necessary to bring the building to the Company's operational standards. In addition, the Company excludes leasing costs and building improvements associated with properties identified as under redevelopment or repositioning.

“Net Income and FFO Before Transaction Costs” represents net income and FFO before costs associated with the merger with TIER.  Management believes that Net Income and FFO Before Transaction Costs provides analysts and investors with appropriate information related to the Company’s core operations and for comparability of the results of its operations with other real estate companies.

Cousins Properties 38 Q3 2019 Supplemental Information

XML

Cover Page	Oct. 23, 2019
Cover page.
Document Type	8-K
Document Period End Date	Oct. 23, 2019
Entity Registrant Name	Cousins Properties Inc
Entity Central Index Key	0000025232
Amendment Flag	false
Entity Incorporation, State or Country Code	GA
Entity File Number	001-11312
Entity Tax Identification Number	58-0869052
Entity Address, Address Line One	3344 Peachtree Road NE
Entity Address, Address Line Two	Suite 1800
Entity Address, City or Town	Atlanta
Entity Address, State or Province	GA
Entity Address, Postal Zip Code	30326-4802
City Area Code	404
Local Phone Number	407-1000
Written Communications	false
Soliciting Material	false
Pre-commencement Tender Offer	false
Pre-commencement Issuer Tender Offer	false
Title of 12(b) Security	Common Stock, $1 par value per share
Trading Symbol	CUZ
Security Exchange Name	NYSE
Entity Emerging Growth Company	false