Intangible Assets and Below Market Lease Liabilities (Tables)

12 Months Ended

Dec. 31, 2012

The following table sets forth total intangible assets and acquisition-related below market lease liabilities, net of accumulated amortization:



	December 31,
	2012			2011
Assets:
Deferred financing costs	$	21,759		$	18,044
Less accumulated amortization	(7,862		)	(5,797		)
	13,897			12,247
Deferred leasing costs (including lease incentives and acquisition-related intangible assets)	225,647			172,049
Less accumulated amortization	(69,521		)	(56,522		)
	156,126			115,527
Deferred financing and leasing costs, net	$	170,023		$	127,774

Liabilities (in accounts payable, accrued expenses and other liabilities):
Acquisition-related below market lease liabilities	$	37,019		$	16,441
Less accumulated amortization	(3,383		)	(971		)
	$	33,636		$	15,470

The following table sets forth amortization of intangible assets and acquisition-related below market lease liabilities:



	Year Ended December 31,
	2012			2011			2010
Amortization of deferred financing costs	$	3,685		$	3,312		$	3,385
Amortization of deferred leasing costs and acquisition-related intangible assets (in depreciation and amortization)	$	27,731		$	20,980		$	17,383
Amortization of lease incentives (in rental and other revenues)	$	1,439		$	1,371		$	1,239
Amortization of acquisition-related intangible assets (in rental and other revenues)	$	1,357		$	915		$	531
Amortization of acquisition-related intangible assets (in rental property and other expenses)	$	186		$	—		$	—
Amortization of acquisition-related below market lease liabilities (in rental and other revenues)	$	(2,627	)	$	(840	)	$	(96	)

The following table sets forth scheduled future amortization of intangible assets and acquisition-related below market lease liabilities:



Years Ending December 31,	Amortization of Deferred Financing Costs		Amortization of Deferred Leasing Costs and Acquisition-Related Intangible Assets (in Depreciation and Amortization)		Amortization of Lease Incentives (in Rental and Other Revenues)		Amortization of Acquisition-Related Intangible Assets (in Rental and Other Revenues)		Amortization of Acquisition-Related Intangible Assets (in Rental Property and Other Expenses)		Amortization of Acquisition-Related Below Market Lease Liabilities (in Rental and Other Revenues)
2013	$	3,521	$	29,636	$	1,314	$	1,277	$	553	$	(4,149	)
2014	3,224		25,200		1,163		989		553		(4,067		)
2015	2,594		20,391		928		754		553		(3,801		)
2016	1,519		16,877		734		659		553		(3,499		)
2017	1,225		14,141		654		587		553		(3,256		)
Thereafter	1,814		33,569		2,065		780		1,643		(14,864		)
	$	13,897	$	139,814	$	6,858	$	5,046	$	4,408	$	(33,636	)
Weighted average remaining amortization periods as of December 31, 2012 (in years)	4.6		6.9		7.7		5.6		8.0		9.9

The following table sets forth the intangible assets acquired and below market lease liabilities assumed as a result of 2012 acquisition activity:



	Acquisition-Related Intangible Assets (amortized in Rental and Other Revenues)		Acquisition-Related Intangible Assets (amortized in Depreciation and Amortization)		Acquisition-Related Intangible Assets (amortized in Rental Property and Other Expenses)		Acquisition-Related Below Market Lease Liabilities (amortized in Rental and Other Revenues)
Amount recorded from acquisition activity	$	2,636	$	37,247	$	4,593	$	(20,934	)
Weighted average remaining amortization periods (in years)	5.3		8.7		8.0		10.6

Highwoods Realty Limited Partnership [Member]

The following table sets forth total intangible assets and acquisition-related below market lease liabilities, net of accumulated amortization:



	December 31,
	2012			2011
Assets:
Deferred financing costs	$	21,759		$	18,044
Less accumulated amortization	(7,862		)	(5,797		)
	13,897			12,247
Deferred leasing costs (including lease incentives and acquisition-related intangible assets)	225,647			172,049
Less accumulated amortization	(69,521		)	(56,522		)
	156,126			115,527
Deferred financing and leasing costs, net	$	170,023		$	127,774

Liabilities (in accounts payable, accrued expenses and other liabilities):
Acquisition-related below market lease liabilities	$	37,019		$	16,441
Less accumulated amortization	(3,383		)	(971		)
	$	33,636		$	15,470

The following table sets forth amortization of intangible assets and acquisition-related below market lease liabilities:



	Year Ended December 31,
	2012			2011			2010
Amortization of deferred financing costs	$	3,685		$	3,312		$	3,385
Amortization of deferred leasing costs and acquisition-related intangible assets (in depreciation and amortization)	$	27,731		$	20,980		$	17,383
Amortization of lease incentives (in rental and other revenues)	$	1,439		$	1,371		$	1,239
Amortization of acquisition-related intangible assets (in rental and other revenues)	$	1,357		$	915		$	531
Amortization of acquisition-related intangible assets (in rental property and other expenses)	$	186		$	—		$	—
Amortization of acquisition-related below market lease liabilities (in rental and other revenues)	$	(2,627	)	$	(840	)	$	(96	)

The following table sets forth scheduled future amortization of intangible assets and acquisition-related below market lease liabilities:



Years Ending December 31,	Amortization of Deferred Financing Costs		Amortization of Deferred Leasing Costs and Acquisition-Related Intangible Assets (in Depreciation and Amortization)		Amortization of Lease Incentives (in Rental and Other Revenues)		Amortization of Acquisition-Related Intangible Assets (in Rental and Other Revenues)		Amortization of Acquisition-Related Intangible Assets (in Rental Property and Other Expenses)		Amortization of Acquisition-Related Below Market Lease Liabilities (in Rental and Other Revenues)
2013	$	3,521	$	29,636	$	1,314	$	1,277	$	553	$	(4,149	)
2014	3,224		25,200		1,163		989		553		(4,067		)
2015	2,594		20,391		928		754		553		(3,801		)
2016	1,519		16,877		734		659		553		(3,499		)
2017	1,225		14,141		654		587		553		(3,256		)
Thereafter	1,814		33,569		2,065		780		1,643		(14,864		)
	$	13,897	$	139,814	$	6,858	$	5,046	$	4,408	$	(33,636	)
Weighted average remaining amortization periods as of December 31, 2012 (in years)	4.6		6.9		7.7		5.6		8.0		9.9

The following table sets forth the intangible assets acquired and below market lease liabilities assumed as a result of 2012 acquisition activity:



	Acquisition-Related Intangible Assets (amortized in Rental and Other Revenues)		Acquisition-Related Intangible Assets (amortized in Depreciation and Amortization)		Acquisition-Related Intangible Assets (amortized in Rental Property and Other Expenses)		Acquisition-Related Below Market Lease Liabilities (amortized in Rental and Other Revenues)
Amount recorded from acquisition activity	$	2,636	$	37,247	$	4,593	$	(20,934	)
Weighted average remaining amortization periods (in years)	5.3		8.7		8.0		10.6