Debt Obligations (Tables)

12 Months Ended

Dec. 31, 2012

. DEBT OBLIGATIONS

The following table sets forth information regarding the Company’s consolidated debt obligations outstanding at December 31, 2012 and 2011 (in thousands):



Property / Location	December 31, 2012			December 31, 2011			Effective Interest Rate			Maturity Date
MORTGAGE DEBT:
Newtown Square/Berwyn Park/Libertyview	$	—		$	56,538		7.25	%	(a)	May-13
Southpoint III	—			1,887			7.75	%	(a)	Apr-14
Tysons Corner	93,188			94,882			5.36	%	(b)	Aug-15
Two Logan Square	89,340			89,800			7.57	%		Apr-16
Fairview Eleven Tower	22,000			22,000			4.25	%		Jan-17
IRS Philadelphia Campus	197,111			202,905			7.00	%		Sep-30
Cira South Garage	42,303			44,379			7.12	%		Sep-30
Principal balance outstanding	443,942			512,391
Plus: fair market value premiums (discounts), net	(968		)	(1,330		)
Total mortgage indebtedness	$	442,974		$	511,061
UNSECURED DEBT:
Prior Term Loan	—			37,500			LIBOR + 0.80%		(c)	Feb-12
Prior Revolving Credit Facility	—			275,500			LIBOR + 0.725%		(c)	Feb-12
New Credit Facility	69,000			—			LIBOR + 1.50%		(c)	Feb-16
Three-Year Term Loan - Swapped to fixed	150,000			—			2.60	%	(c)	Feb-15
Four-Year Term Loan	100,000			—			LIBOR + 1.75%		(c)	Feb-16
Seven-Year Term Loan - Swapped to fixed	200,000			—			3.62	%	(c)	Feb-19
$300.0M 5.750% Guaranteed Notes due 2012	—			151,491			5.73	%	(d)	Apr-12
$250.0M 5.400% Guaranteed Notes due 2014	238,379			242,681			5.53	%		Nov-14
$250.0M 7.500% Guaranteed Notes due 2015	166,535			227,329			7.76	%	(e)	May-15
$250.0M 6.000% Guaranteed Notes due 2016	150,429			250,000			5.95	%	(e)	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			325,000			5.13	%		Apr-18
$250.0M 3.950% Guaranteed Notes due 2023	250,000			—			4.02	%	(e)	Feb-23
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			3.09	%		Jul-35
Principal balance outstanding	2,027,953			1,888,111
plus: original issue premium (discount), net	(5,597		)	(5,177		)
Total unsecured indebtedness	$	2,022,356		$	1,882,934
Total Debt Obligations	$	2,465,330		$	2,393,995


(a)	On December 28, 2012, the Company prepaid the remaining balances of the loans, incurring associated prepayment penalties of $0.1 million.


(b)	This loan was assumed upon acquisition of the related property. The interest rate reflects the market rate at the time of acquisition.

(c)

On February 1, 2012, the Company closed on a new $600.0 million four-year unsecured credit facility and three unsecured term loans (the "New Term Loans") totaling $600.0 which consist of a $150.0 million three-year loan, a $250.0 million four-year loan (with $150.0 million swapped to fixed) and a $200.0 million seven-year loan. The Company used a portion of the net proceeds from the New Term Loans to repay all balances outstanding under its prior revolving credit facility and its prior $183.0 million bank term loan which were then retired prior to their scheduled June 29, 2012 maturity. On December 31, 2012, the Company repaid the entire portion of the four-year loan that was swapped to fixed (see related discussion below).


(d)	Notes matured on April 1, 2012, and were repaid using a portion of the proceeds from the term loans.


(e)	On December 18, 2012, the Company issued new 3.95% $250.0 million Guaranteed Notes due 2023. The Company used the net proceeds from this debt offering to redeem portions of its 7.500% Guaranteed Notes due May 15, 2015 and 6.000% Guaranteed Notes due April 1, 2016 (see related discussion below).

Summary of debt repurchases



Notes	Repurchase Amount		Principal		Loss		Deferred Financing Amortization
2012 5.750% Notes	$	309	$	301	$	2	$	—
2014 5.400% Notes	4,630		4,302		264		8
2015 7.500% Notes	69,549		60,794		8,712		183
2016 6.000% Notes	113,942		99,571		12,961		260
	$	188,430	$	164,968	$	21,939	$	451

Schedule of principal payments of debt obligations



2013	$	11,237
2014	250,321
2015	416,568
2016	416,038
2017	330,323
Thereafter	1,047,408
Total principal payments	2,471,895
Net unamortized premiums/(discounts)	(6,565		)
Outstanding indebtedness	$	2,465,330

- 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.

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