Debt Obligations (Tables)

12 Months Ended

Dec. 31, 2011



Property / Location	December 31, 2011			December 31, 2010			Effective Interest Rate			Maturity Date
MORTGAGE DEBT:
Arboretum I, II, III & V	$	—		$	20,386		7.59	%	(a)	Jul-11
Midlantic Drive/Lenox Drive/DCC I	—			56,514			8.05	%	(b)	Oct-11
Research Office Center	—			39,145			5.30	%	(c), (d)	Oct-11
Concord Airport Plaza	—			34,494			5.55	%	(d), (e)	Jan-12
Newtown Square/Berwyn Park/Libertyview	56,538			58,102			7.25	%		May-13
Southpoint III	1,887			2,597			7.75	%		Apr-14
Tysons Corner	94,882			96,507			5.36	%	(d)	Aug-15
Two Logan Square	89,800			89,800			7.57	%		Apr-16
One Logan Square	—			60,000			4.50	%	(f)	Jul-16
Fairview Eleven Tower	22,000			—			4.25	%		Jan-17
IRS Philadelphia Campus	202,905			208,366			7.00	%		Sep-30
Cira South Garage	44,379			46,335			7.12	%		Sep-30
Principal balance outstanding	512,391			712,246
Plus: unamortized fixed-rate debt premiums (discounts), net	(1,330		)	(457		)
Total mortgage indebtedness	$	511,061		$	711,789
UNSECURED DEBT:
$345.0M 3.875% Guaranteed Exchangeable Notes due 2026	—			59,835			5.50	%	(g)	Oct-11
Bank Term Loan	37,500			183,000			LIBOR+0.80%		(h)	Jun-12
Credit Facility	275,500			183,000			LIBOR+0.725%		(h)	Jun-12
$300.0M 5.750% Guaranteed Notes due 2012	151,491			175,200			5.73	%		Apr-12
$250.0M 5.400% Guaranteed Notes due 2014	242,681			242,681			5.53	%		Nov-14
$250.0M 7.500% Guaranteed Notes due 2015	227,329			250,000			7.77	%		May-15
$250.0M 6.000% Guaranteed Notes due 2016	250,000			250,000			5.95	%		Apr-16
$300.0M 5.700% Guaranteed Notes due 2017	300,000			300,000			5.68	%		May-17
$325.0M 4.950% Guaranteed Notes due 2018	325,000			—			5.14	%		Apr-18
Indenture IA (Preferred Trust I)	27,062			27,062			2.75	%		Mar-35
Indenture IB (Preferred Trust I)	25,774			25,774			3.30	%		Apr-35
Indenture II (Preferred Trust II)	25,774			25,774			LIBOR+1.25%			Jul-35
Principal balance outstanding	1,888,111			1,722,326
Less: unamortized exchangeable debt discount	—			(906		)
unamortized fixed-rate debt discounts, net	(5,177		)	(2,763		)
Total unsecured indebtedness	$	1,882,934		$	1,718,657
Total Debt Obligations	$	2,393,995		$	2,430,446


(a)	On April 1, 2011, the Company prepaid the remaining balance of the loan without penalty.


(b)	On June 3, 2011, the Company prepaid the remaining balance of the loan without penalty.


(c)	On June 30, 2011, the Company prepaid the remaining balance of the loan without penalty. The unamortized fixed-rate debt premium of $0.3 million related to this loan was included as part of the gain (loss) on early extinguishment of debt in the Company's consolidated statement of operations during the current year.


(d)	These loans were assumed upon acquisition of the related properties. The interest rates reflect the market rate at the time of acquisition.


(e)	On September 1, 2011, the Company prepaid the remaining balance of the loan without penalty. The unamortized fixed-rate debt premium of $0.2 million related to this loan was included as part of the gain (loss) on early extinguishment of debt in the Company's consolidated statement of operations during the year.


(f)	This mortgage was subject to an interest rate floor of 4.50% on a monthly basis. On July 11, 2011, the Company prepaid the balance of the loan without penalty.

(g)

On October 20, 2011, holders representing $59.5 million of the outstanding Exchangeable Notes exercised their right to cause the Company to redeem their notes at par plus accrued and unpaid interest leaving an outstanding balance of $0.4 million. On December 8, 2011, the Company redeemed the remaining balance of the Exchangeable Notes pursuant to its right under the indenture agreement (see related discussion below).

(h)

On March 31, 2011, the maturity dates of the Bank Term Loan and the Credit Facility were extended to June 29, 2012 from June 29, 2011. On June 29, 2011, the Company paid a total extension fee amounting to $1.2 million which is equal to 15 basis points of the outstanding principal balance of the Bank Term Loan and of the committed amount under the Credit Facility. The extension of the maturity dates was at the Company's option under the Bank Term Loan and the Credit Facility agreements. There were no changes in the terms and conditions of the loan agreements as a result of the maturity date extensions. On December 15, 2011, the Company entered into binding agreements for lender commitments related a new $600.0 million four -year unsecured credit facility (the "New Credit Facility") and three unsecured term loans in the same aggregate amount of $600.0 million (collectively, the “New Term Loans”), consisting of a $150.0 million three-year loan, a $250.0 million four-year loan and a $200.0 million seven-year loan. Please see below for a related discussion regarding the New Credit Facility and Term Loans.

Summary of debt repurchases



Notes	Repurchase Amount		Principal		Loss		Deferred Financing Amortization
2011 3.875% Notes	$	59,835	$	59,835	$	—	$	—
2012 5.750% Notes	24,749		23,709		868		32
2015 7.500% Notes	25,140		22,671		2,396		120
	$	109,724	$	106,215	$	3,264	$	152

Schedule of principal payments of debt obligations



2012	$	476,889
2013	66,806
2014	254,787
2015	327,225
2016	347,065
Thereafter	927,730
Total principal payments	2,400,502
Net unamortized premiums/(discounts)	(6,507		)
Outstanding indebtedness	$	2,393,995

- Definition

Tabular disclosure of debt extinguished which may include, amount of gain (loss), the income tax effect and the per share amount of the aggregate gain (loss), net of the related income tax.

+ References+ Details