Question: Blackstone Properties, a national office REIT, reported GAAP net income of $78,806,000 in 2005. It also reported the following income statement items:
Real estate depreciation: $147,746,000
Preferred stock dividends: $24,468,000
Allocations to OP unit holders: $26,983,000
Net gains from sale of real estate assets: $2,058,000
Net loss from extraordinary items: $13,786,000
a. What was Blackstone's funds from operations (FFO) for 2005?
b. Given that Blackstone reported a 2005 net straight-line rental adjustment loss of $14,619,000 and capital expenditures of $27,500,000, what was Blackstone's adjusted funds from operation (AFFO)?
c. What was Blackstone's 2005 AFFO/GAAP net income ratio?
d. Given that the REIT paid out $143,826,000 in common stock dividends in 2005, what was its dividend/FFO ratio?
e. What was Blackstone's plowback ratio based on its AFFO (and deducting distributions to preferred shareholders and OP unit holders as well as common dividends)?
f. By what percentage did Blackstone exceed the 90% minimum earnings payout requirement (based on GAAP net income)?