Subsequent Events

3 Months Ended

Mar. 31, 2012

Subsequent Events [Abstract]

Subsequent Events

Note M - Subsequent Events

TPG Securities Purchase Agreement

On May 3, 2012, the Company entered into a Securities Purchase Agreement (the "Purchase Agreement"), by and among the Company and TPG VI Pantera Holdings, L.P. ("TPG").  Pursuant to the terms of the Purchase Agreement, TPG will acquire 4,300,000 shares of the Company's common stock at a purchase price of $11.25 per share, and 13,477,778 shares of a newly authorized series of the Company's preferred stock, designated as Series E Convertible Cumulative Redeemable Preferred Stock, par value $0.001 per share (the "Series E Preferred Stock"), at a purchase price and liquidation preference of $11.25 per share, for an aggregate investment in the Company by TPG of $200 million.

The Series E Preferred Stock will be convertible into shares of common stock following the receipt of the requisite approval of the Company's stockholders at an initial conversion ratio equal to one share of common stock per share of Series E Preferred Stock, subject to adjustment.  In the event that the approval by the Company's stockholders of such conversion has not been obtained within 180 following the closing of the transaction, the liquidation preference of and conversion ratio applicable to each share of Series E Preferred Stock will be adjusted to equal 110% of the liquidation preference and conversion ratio in effect immediately prior to such adjustment.  The Series E Preferred Stock will participate in dividends declared and paid on the common stock.  Until it is converted into common stock, the dividend rate applicable to the Series E Preferred Stock will increase to (i) 8.0% per annum beginning 180 days after closing of the TPG transaction and continuing until the end of the second full calendar quarter after commencement of such dividend rate (during which time the Company may pay the dividends in kind by issuing additional shares of Series E Preferred Stock), (ii) 12% per annum beginning upon expiration of such period and continuing for four calendar quarters, and (iii) 15% per annum thereafter.  These dividends will be net of the amount of any Common Stock dividends received by the holders of Series E Preferred Stock during such periods.

Hearst Tower Purchase and Sale Agreement

On April 30, 2012, the Company entered into a purchase and sale agreement to acquire Hearst Tower, a 972,000 square foot office tower located in the central business district of Charlotte, North Carolina.  The purchase and sale agreement contains customary representations and warranties by the seller, is subject to customary due diligence procedures and closing conditions and is expected to close in the second quarter of 2012.

The contract purchase price of the property is approximately $250 million, exclusive of closing costs.  In connection with the acquisition of the property, the Company deposited $12.5 million in escrow. Such deposit will be credited towards the purchase price of the property. The building is currently 94% leased with no material lease expirations until 2017.  The purchase of the Hearst Tower will initially be funded using proceeds from the anticipated investment by TPG and amounts available under the Credit Facility.