2015 Q2 Form 10-Q Financial Statement
#000119312515281585 Filed on August 07, 2015
Income Statement
| Concept | 2015 Q2 |
|---|---|
| Revenue | $11.63M |
| YoY Change | 38.62% |
| Cost Of Revenue | $4.450M |
| YoY Change | 68.56% |
| Gross Profit | $7.180M |
| YoY Change | 24.87% |
| Gross Profit Margin | 61.72% |
| Selling, General & Admin | $1.000M |
| YoY Change | -17.36% |
| % of Gross Profit | 13.93% |
| Research & Development | |
| YoY Change | |
| % of Gross Profit | |
| Depreciation & Amortization | $4.490M |
| YoY Change | 31.29% |
| % of Gross Profit | 62.53% |
| Operating Expenses | $10.83M |
| YoY Change | 39.25% |
| Operating Profit | $802.0K |
| YoY Change | 30.53% |
| Interest Expense | $2.288M |
| YoY Change | 28.16% |
| % of Operating Profit | 285.29% |
| Other Income/Expense, Net | |
| YoY Change | |
| Pretax Income | -$2.090M |
| YoY Change | -31.92% |
| Income Tax | |
| % Of Pretax Income | |
| Net Earnings | -$1.798M |
| YoY Change | 648.99% |
| Net Earnings / Revenue | -15.45% |
| Basic Earnings Per Share | -$0.15 |
| Diluted Earnings Per Share | -$0.15 |
| COMMON SHARES | |
| Basic Shares Outstanding | 12.37M shares |
| Diluted Shares Outstanding | 12.37M shares |
Balance Sheet
| Concept | 2015 Q2 |
|---|---|
| SHORT-TERM ASSETS | |
| Cash & Short-Term Investments | $11.30M |
| YoY Change | 10.78% |
| Cash & Equivalents | $11.29M |
| Short-Term Investments | |
| Other Short-Term Assets | |
| YoY Change | |
| Inventory | |
| Prepaid Expenses | |
| Receivables | $11.64M |
| Other Receivables | |
| Total Short-Term Assets | $22.90M |
| YoY Change | 38.79% |
| LONG-TERM ASSETS | |
| Property, Plant & Equipment | $271.7M |
| YoY Change | 62.6% |
| Goodwill | |
| YoY Change | |
| Intangibles | |
| YoY Change | |
| Long-Term Investments | |
| YoY Change | |
| Other Assets | $17.60M |
| YoY Change | -2.22% |
| Total Long-Term Assets | $324.2M |
| YoY Change | 52.37% |
| TOTAL ASSETS | |
| Total Short-Term Assets | $22.90M |
| Total Long-Term Assets | $324.2M |
| Total Assets | $347.1M |
| YoY Change | 51.39% |
| SHORT-TERM LIABILITIES | |
| YoY Change | |
| Accounts Payable | $7.400M |
| YoY Change | 54.17% |
| Accrued Expenses | |
| YoY Change | |
| Deferred Revenue | |
| YoY Change | |
| Short-Term Debt | $0.00 |
| YoY Change | |
| Long-Term Debt Due | |
| YoY Change | |
| Total Short-Term Liabilities | $7.400M |
| YoY Change | 54.17% |
| LONG-TERM LIABILITIES | |
| Long-Term Debt | $241.1M |
| YoY Change | 55.55% |
| Other Long-Term Liabilities | $16.70M |
| YoY Change | 38.02% |
| Total Long-Term Liabilities | $257.8M |
| YoY Change | 54.28% |
| TOTAL LIABILITIES | |
| Total Short-Term Liabilities | $7.400M |
| Total Long-Term Liabilities | $257.8M |
| Total Liabilities | $265.2M |
| YoY Change | 54.21% |
| SHAREHOLDERS EQUITY | |
| Retained Earnings | -$19.66M |
| YoY Change | 471.05% |
| Common Stock | $92.39M |
| YoY Change | 112659.49% |
| Preferred Stock | |
| YoY Change | |
| Treasury Stock (at cost) | |
| YoY Change | |
| Treasury Stock Shares | |
| Shareholders Equity | $72.73M |
| YoY Change | |
| Total Liabilities & Shareholders Equity | $347.1M |
| YoY Change | 51.39% |
Cashflow Statement
| Concept | 2015 Q2 |
|---|---|
| OPERATING ACTIVITIES | |
| Net Income | -$1.798M |
| YoY Change | 648.99% |
| Depreciation, Depletion And Amortization | $4.490M |
| YoY Change | 31.29% |
| Cash From Operating Activities | $2.920M |
| YoY Change | 323.19% |
| INVESTING ACTIVITIES | |
| Capital Expenditures | -$60.29M |
| YoY Change | 124.96% |
| Acquisitions | |
| YoY Change | |
| Other Investing Activities | -$1.880M |
| YoY Change | 422.22% |
| Cash From Investing Activities | -$62.18M |
| YoY Change | 128.94% |
| FINANCING ACTIVITIES | |
| Cash Dividend Paid | |
| YoY Change | |
| Common Stock Issuance & Retirement, Net | |
| YoY Change | |
| Debt Paid & Issued, Net | |
| YoY Change | |
| Cash From Financing Activities | 46.57M |
| YoY Change | 54.61% |
| NET CHANGE | |
| Cash From Operating Activities | 2.920M |
| Cash From Investing Activities | -62.18M |
| Cash From Financing Activities | 46.57M |
| Net Change In Cash | -12.69M |
| YoY Change | -447.67% |
| FREE CASH FLOW | |
| Cash From Operating Activities | $2.920M |
| Capital Expenditures | -$60.29M |
| Free Cash Flow | $63.21M |
| YoY Change | 129.94% |
Facts In Submission
| Frame | Concept Type | Concept / XBRL Key | Value | Unit |
|---|---|---|---|---|
| CY2015Q3 | dei |
Entity Common Stock Shares Outstanding
EntityCommonStockSharesOutstanding
|
12417230 | shares |
| CY2014Q2 | us-gaap |
Shares Issued Price Per Share
SharesIssuedPricePerShare
|
12.50 | |
| CY2015Q2 | us-gaap |
Long Term Debt Maturities Repayments Of Principal After Year Five
LongTermDebtMaturitiesRepaymentsOfPrincipalAfterYearFive
|
139985000 | |
| CY2015Q2 | us-gaap |
Long Term Debt Maturities Repayments Of Principal In Year Three
LongTermDebtMaturitiesRepaymentsOfPrincipalInYearThree
|
3036000 | |
| CY2014Q2 | cio |
Number Of Properties Refinanced
NumberOfPropertiesRefinanced
|
3 | Property |
| CY2015Q2 | us-gaap |
Common Stock Shares Issued
CommonStockSharesIssued
|
12417230 | shares |
| CY2015Q2 | us-gaap |
Common Stock Shares Outstanding
CommonStockSharesOutstanding
|
12417230 | shares |
| CY2015Q2 | us-gaap |
Common Stock Shares Authorized
CommonStockSharesAuthorized
|
100000000 | shares |
| CY2015Q2 | us-gaap |
Common Stock Par Or Stated Value Per Share
CommonStockParOrStatedValuePerShare
|
0.01 | |
| CY2015Q2 | us-gaap |
Stockholders Equity Including Portion Attributable To Noncontrolling Interest
StockholdersEquityIncludingPortionAttributableToNoncontrollingInterest
|
81890000 | |
| CY2015Q2 | us-gaap |
Minority Interest In Operating Partnerships
MinorityInterestInOperatingPartnerships
|
9866000 | |
| CY2015Q2 | us-gaap |
Loans Payable Fair Value Disclosure
LoansPayableFairValueDisclosure
|
208000000 | |
| CY2015Q2 | us-gaap |
Dividends Payable Current And Noncurrent
DividendsPayableCurrentAndNoncurrent
|
3601000 | |
| CY2015Q2 | us-gaap |
Common Stock Value
CommonStockValue
|
124000 | |
| CY2015Q2 | us-gaap |
Commitments And Contingencies
CommitmentsAndContingencies
|
||
| CY2015Q2 | us-gaap |
Accounts Payable And Accrued Liabilities Current And Noncurrent
AccountsPayableAndAccruedLiabilitiesCurrentAndNoncurrent
|
7423000 | |
| CY2015Q2 | us-gaap |
Accounts Receivable Net Current
AccountsReceivableNetCurrent
|
11635000 | |
| CY2015Q2 | us-gaap |
Investment Building And Building Improvements
InvestmentBuildingAndBuildingImprovements
|
183310000 | |
| CY2015Q2 | us-gaap |
Operating Leases Future Minimum Payments Receivable In Five Years
OperatingLeasesFutureMinimumPaymentsReceivableInFiveYears
|
22477000 | |
| CY2015Q2 | us-gaap |
Operating Leases Future Minimum Payments Receivable In Two Years
OperatingLeasesFutureMinimumPaymentsReceivableInTwoYears
|
38703000 | |
| CY2015Q2 | us-gaap |
Real Estate Investment Property At Cost
RealEstateInvestmentPropertyAtCost
|
291781000 | |
| CY2015Q2 | us-gaap |
Retained Earnings Accumulated Deficit
RetainedEarningsAccumulatedDeficit
|
-19664000 | |
| CY2015Q2 | us-gaap |
Long Term Debt Maturities Repayments Of Principal In Year Five
LongTermDebtMaturitiesRepaymentsOfPrincipalInYearFive
|
25723000 | |
| CY2015Q2 | us-gaap |
Additional Paid In Capital Common Stock
AdditionalPaidInCapitalCommonStock
|
92270000 | |
| CY2015Q2 | us-gaap |
Stockholders Equity
StockholdersEquity
|
72730000 | |
| CY2015Q2 | us-gaap |
Off Market Lease Unfavorable
OffMarketLeaseUnfavorable
|
1193000 | |
| CY2015Q2 | us-gaap |
Long Term Debt Maturities Repayments Of Principal In Year Four
LongTermDebtMaturitiesRepaymentsOfPrincipalInYearFour
|
69772000 | |
| CY2015Q2 | us-gaap |
Liabilities And Stockholders Equity
LiabilitiesAndStockholdersEquity
|
347077000 | |
| CY2015Q2 | us-gaap |
Real Estate Investment Property Accumulated Depreciation
RealEstateInvestmentPropertyAccumulatedDepreciation
|
20092000 | |
| CY2015Q2 | us-gaap |
Long Term Debt Maturities Repayments Of Principal Remainder Of Fiscal Year
LongTermDebtMaturitiesRepaymentsOfPrincipalRemainderOfFiscalYear
|
545000 | |
| CY2015Q2 | us-gaap |
Minority Interest
MinorityInterest
|
-706000 | |
| CY2015Q2 | us-gaap |
Liabilities
Liabilities
|
265187000 | |
| CY2015Q2 | us-gaap |
Deferred Rent Credit
DeferredRentCredit
|
1197000 | |
| CY2015Q2 | us-gaap |
Security Deposit Liability
SecurityDepositLiability
|
2078000 | |
| CY2015Q2 | us-gaap |
Long Term Debt Maturities Repayments Of Principal In Year Two
LongTermDebtMaturitiesRepaymentsOfPrincipalInYearTwo
|
2034000 | |
| CY2015Q2 | us-gaap |
Long Term Debt
LongTermDebt
|
241095000 | |
| CY2015Q2 | us-gaap |
Cash And Cash Equivalents At Carrying Value
CashAndCashEquivalentsAtCarryingValue
|
11293000 | |
| CY2015Q2 | us-gaap |
Finite Lived Intangible Assets Amortization Expense Year Four
FiniteLivedIntangibleAssetsAmortizationExpenseYearFour
|
3742000 | |
| CY2015Q2 | us-gaap |
Furniture And Fixtures Gross
FurnitureAndFixturesGross
|
198000 | |
| CY2015Q2 | us-gaap |
Land
Land
|
77708000 | |
| CY2015Q2 | us-gaap |
Operating Leases Future Minimum Payments Receivable
OperatingLeasesFutureMinimumPaymentsReceivable
|
232630000 | |
| CY2015Q2 | us-gaap |
Real Estate Investment Property Net
RealEstateInvestmentPropertyNet
|
271689000 | |
| CY2015Q2 | us-gaap |
Prepaid Expense And Other Assets
PrepaidExpenseAndOtherAssets
|
1251000 | |
| CY2015Q2 | us-gaap |
Restricted Cash And Cash Equivalents
RestrictedCashAndCashEquivalents
|
10114000 | |
| CY2015Q2 | us-gaap |
Finite Lived Intangible Assets Net
FiniteLivedIntangibleAssetsNet
|
33583000 | |
| CY2015Q2 | us-gaap |
Finite Lived Intangible Assets Amortization Expense Year Five
FiniteLivedIntangibleAssetsAmortizationExpenseYearFive
|
3377000 | |
| CY2015Q2 | us-gaap |
Operating Leases Future Minimum Payments Receivable In Four Years
OperatingLeasesFutureMinimumPaymentsReceivableInFourYears
|
28091000 | |
| CY2015Q2 | us-gaap |
Operating Leases Future Minimum Payments Receivable In Three Years
OperatingLeasesFutureMinimumPaymentsReceivableInThreeYears
|
34487000 | |
| CY2015Q2 | us-gaap |
Operating Leases Future Minimum Payments Receivable Thereafter
OperatingLeasesFutureMinimumPaymentsReceivableThereafter
|
86223000 | |
| CY2015Q2 | us-gaap |
Deferred Finance Costs Net
DeferredFinanceCostsNet
|
2801000 | |
| CY2015Q2 | us-gaap |
Finite Lived Intangible Assets Amortization Expense After Year Five
FiniteLivedIntangibleAssetsAmortizationExpenseAfterYearFive
|
5521000 | |
| CY2015Q2 | us-gaap |
Operating Leases Future Minimum Payments Receivable Remainder Of Fiscal Year
OperatingLeasesFutureMinimumPaymentsReceivableRemainderOfFiscalYear
|
22649000 | |
| CY2015Q2 | us-gaap |
Assets
Assets
|
347077000 | |
| CY2015Q2 | us-gaap |
Finite Lived Intangible Assets Amortization Expense Year Two
FiniteLivedIntangibleAssetsAmortizationExpenseYearTwo
|
8855000 | |
| CY2015Q2 | us-gaap |
Tenant Improvements
TenantImprovements
|
30565000 | |
| CY2015Q2 | us-gaap |
Deferred Costs Leasing Net
DeferredCostsLeasingNet
|
4711000 | |
| CY2015Q2 | us-gaap |
Finite Lived Intangible Assets Amortization Expense Remainder Of Fiscal Year
FiniteLivedIntangibleAssetsAmortizationExpenseRemainderOfFiscalYear
|
4678000 | |
| CY2015Q2 | us-gaap |
Finite Lived Intangible Assets Amortization Expense Year Three
FiniteLivedIntangibleAssetsAmortizationExpenseYearThree
|
6217000 | |
| CY2015Q2 | cio |
Earn Out Liabilities
EarnOutLiabilities
|
8600000 | |
| CY2015Q2 | cio |
Percentage Of Outstanding Operating Partnership Units
PercentageOfOutstandingOperatingPartnershipUnits
|
0.189 | pure |
| CY2015Q2 | cio |
Additional Area Occupied Under Operating Lease
AdditionalAreaOccupiedUnderOperatingLease
|
4000 | sqft |
| CY2015Q2 | cio |
Estimated Fair Value Of Earn Out Liability
EstimatedFairValueOfEarnOutLiability
|
8600000 | |
| CY2015Q2 | cio |
Finitelived Intangible Assets Amortization Expected To Be Recognized Net
FinitelivedIntangibleAssetsAmortizationExpectedToBeRecognizedNet
|
32390000 | |
| CY2014Q4 | us-gaap |
Common Stock Shares Issued
CommonStockSharesIssued
|
12417230 | shares |
| CY2014Q4 | us-gaap |
Common Stock Shares Outstanding
CommonStockSharesOutstanding
|
12417230 | shares |
| CY2014Q4 | us-gaap |
Common Stock Shares Authorized
CommonStockSharesAuthorized
|
100000000 | shares |
| CY2014Q4 | us-gaap |
Common Stock Par Or Stated Value Per Share
CommonStockParOrStatedValuePerShare
|
0.01 | |
| CY2014Q4 | us-gaap |
Stockholders Equity Including Portion Attributable To Noncontrolling Interest
StockholdersEquityIncludingPortionAttributableToNoncontrollingInterest
|
91235000 | |
| CY2014Q4 | us-gaap |
Minority Interest In Operating Partnerships
MinorityInterestInOperatingPartnerships
|
11878000 | |
| CY2014Q4 | us-gaap |
Loans Payable Fair Value Disclosure
LoansPayableFairValueDisclosure
|
192500000 | |
| CY2014Q4 | us-gaap |
Dividends Payable Current And Noncurrent
DividendsPayableCurrentAndNoncurrent
|
3571000 | |
| CY2014Q4 | us-gaap |
Common Stock Value
CommonStockValue
|
123000 | |
| CY2014Q4 | us-gaap |
Commitments And Contingencies
CommitmentsAndContingencies
|
||
| CY2014Q4 | us-gaap |
Accounts Payable And Accrued Liabilities Current And Noncurrent
AccountsPayableAndAccruedLiabilitiesCurrentAndNoncurrent
|
4080000 | |
| CY2014Q4 | us-gaap |
Retained Earnings Accumulated Deficit
RetainedEarningsAccumulatedDeficit
|
-11320000 | |
| CY2014Q4 | us-gaap |
Additional Paid In Capital Common Stock
AdditionalPaidInCapitalCommonStock
|
91308000 | |
| CY2014Q4 | us-gaap |
Stockholders Equity
StockholdersEquity
|
80111000 | |
| CY2014Q4 | us-gaap |
Off Market Lease Unfavorable
OffMarketLeaseUnfavorable
|
606000 | |
| CY2014Q4 | us-gaap |
Liabilities And Stockholders Equity
LiabilitiesAndStockholdersEquity
|
301506000 | |
| CY2014Q4 | us-gaap |
Real Estate Investment Property Accumulated Depreciation
RealEstateInvestmentPropertyAccumulatedDepreciation
|
15311000 | |
| CY2014Q4 | us-gaap |
Minority Interest
MinorityInterest
|
-754000 | |
| CY2014Q4 | us-gaap |
Liabilities
Liabilities
|
210271000 | |
| CY2014Q4 | us-gaap |
Deferred Rent Credit
DeferredRentCredit
|
2212000 | |
| CY2014Q4 | us-gaap |
Security Deposit Liability
SecurityDepositLiability
|
1862000 | |
| CY2014Q4 | us-gaap |
Long Term Debt
LongTermDebt
|
189940000 | |
| CY2014Q4 | us-gaap |
Cash And Cash Equivalents At Carrying Value
CashAndCashEquivalentsAtCarryingValue
|
34862000 | |
| CY2014Q4 | us-gaap |
Furniture And Fixtures Gross
FurnitureAndFixturesGross
|
198000 | |
| CY2014Q4 | us-gaap |
Land
Land
|
66204000 | |
| CY2014Q4 | us-gaap |
Real Estate Investment Property Net
RealEstateInvestmentPropertyNet
|
211828000 | |
| CY2014Q4 | us-gaap |
Prepaid Expense And Other Assets
PrepaidExpenseAndOtherAssets
|
832000 | |
| CY2014Q4 | us-gaap |
Restricted Cash And Cash Equivalents
RestrictedCashAndCashEquivalents
|
11093000 | |
| CY2014Q4 | us-gaap |
Finite Lived Intangible Assets Net
FiniteLivedIntangibleAssetsNet
|
29391000 | |
| CY2014Q4 | us-gaap |
Deferred Finance Costs Net
DeferredFinanceCostsNet
|
2901000 | |
| CY2014Q4 | us-gaap |
Assets
Assets
|
301506000 | |
| CY2014Q4 | us-gaap |
Tenant Improvements
TenantImprovements
|
27773000 | |
| CY2014Q4 | us-gaap |
Accounts Receivable Net Current
AccountsReceivableNetCurrent
|
7981000 | |
| CY2014Q4 | us-gaap |
Investment Building And Building Improvements
InvestmentBuildingAndBuildingImprovements
|
132964000 | |
| CY2014Q4 | us-gaap |
Real Estate Investment Property At Cost
RealEstateInvestmentPropertyAtCost
|
227139000 | |
| CY2014Q4 | us-gaap |
Deferred Costs Leasing Net
DeferredCostsLeasingNet
|
2618000 | |
| CY2014Q4 | cio |
Earn Out Liabilities
EarnOutLiabilities
|
8000000 | |
| CY2014Q4 | cio |
Estimated Fair Value Of Earn Out Liability
EstimatedFairValueOfEarnOutLiability
|
8000000 | |
| CY2014Q2 | us-gaap |
Stock Issued During Period Shares New Issues
StockIssuedDuringPeriodSharesNewIssues
|
5800000 | shares |
| CY2014Q2 | us-gaap |
Payments To Acquire Businesses Gross
PaymentsToAcquireBusinessesGross
|
19400000 | |
| CY2014Q2 | us-gaap |
Payments For Underwriting Expense
PaymentsForUnderwritingExpense
|
5100000 | |
| CY2014Q2 | us-gaap |
Proceeds From Issuance Initial Public Offering
ProceedsFromIssuanceInitialPublicOffering
|
63400000 | |
| CY2014Q2 | cio |
Gross Proceeds From Issuance Of Common Stock In Underwritten Public Offer
GrossProceedsFromIssuanceOfCommonStockInUnderwrittenPublicOffer
|
72500000 | |
| CY2014Q2 | cio |
Other Expenses Related To Initial Public Offering
OtherExpensesRelatedToInitialPublicOffering
|
4000000 | |
| CY2015Q2 | us-gaap |
Common Stock Dividends Per Share Declared
CommonStockDividendsPerShareDeclared
|
0.235 | |
| CY2015Q2 | cio |
Operating Lease Space Occupied Percentage
OperatingLeaseSpaceOccupiedPercentage
|
0.71 | pure |
| CY2015Q2 | cio |
Percentage Of Earn Out Threshold
PercentageOfEarnOutThreshold
|
0.70 | pure |
| dei |
Document Type
DocumentType
|
10-Q | ||
| dei |
Entity Registrant Name
EntityRegistrantName
|
City Office REIT, Inc. | ||
| dei |
Trading Symbol
TradingSymbol
|
CIO | ||
| us-gaap |
Weighted Average Number Of Limited Partnership And General Partnership Unit Outstanding Basic And Diluted
WeightedAverageNumberOfLimitedPartnershipAndGeneralPartnershipUnitOutstandingBasicAndDiluted
|
2903209 | shares | |
| us-gaap |
Fair Value Inputs Discount Rate
FairValueInputsDiscountRate
|
0.08 | pure | |
| us-gaap |
Operations Commenced Date1
OperationsCommencedDate1
|
2014-04-21 | ||
| dei |
Entity Filer Category
EntityFilerCategory
|
Non-accelerated Filer | ||
| dei |
Entity Incorporation Date Of Incorporation
EntityIncorporationDateOfIncorporation
|
2013-11-26 | ||
| us-gaap |
Dividends Payable Date Declared Day Month And Year
DividendsPayableDateDeclaredDayMonthAndYear
|
2015-06-15 | ||
| us-gaap |
Nature Of Operations
NatureOfOperations
|
<div> <p style="MARGIN-BOTTOM: 0pt; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman; MARGIN-TOP: 12pt"> <b>1. Organization and Description of Business</b></p> <!-- xbrl,body --> <p style="MARGIN-BOTTOM: 0pt; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman; MARGIN-TOP: 6pt; TEXT-INDENT: 4%"> City Office REIT, Inc. (the “Company”) was organized in the state of Maryland on November 26, 2013. On April 21, 2014, the Company completed its initial public offering (“IPO”) of shares of the Company’s common stock. The Company contributed the net proceeds of the IPO to City Office REIT Operating Partnership, L.P., a Maryland limited partnership (the “Operating Partnership”), in exchange for common units in the Operating Partnership. Both the Company and the Operating Partnership commenced operations upon completion of the IPO and certain related formation transactions (the “Formation Transactions”).</p> <p style="MARGIN-BOTTOM: 0pt; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman; MARGIN-TOP: 12pt; TEXT-INDENT: 4%"> The Company’s interest in the Operating Partnership entitles the Company to share in distributions from, and allocations of profits and losses of, the Operating Partnership in proportion to the Company’s percentage ownership of common units. As the sole general partner of the Operating Partnership, the Company has the exclusive power under the partnership agreement to manage and conduct the Operating Partnership’s business, subject to limited approval and voting rights of the limited partners.</p> <p style="MARGIN-BOTTOM: 0pt; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman; MARGIN-TOP: 12pt; TEXT-INDENT: 4%"> City Office REIT, Inc. Predecessor (the “Predecessor”) represents the combination of the six properties outlined below (the “Properties”). The Predecessor does not represent a legal entity. The Predecessor and its related assets and liabilities are under common control and were contributed to a newly formed Operating Partnership in connection with the IPO of the Company on April 21, 2014.</p> <p style="MARGIN-BOTTOM: 0pt; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman; MARGIN-TOP: 12pt; TEXT-INDENT: 4%"> Unless the context suggests otherwise, references in this Quarterly Report on Form10-Q to “the Advisor” refers to the Company’s external advisor, City Office Real Estate Management Inc. “Second City” refers to Second City Capital Partners II, Limited Partnership. “Second City GP” refers to Second City General Partner II, Limited Partnership. “Gibralt” refers to Gibralt US, Inc. “GCC Amberglen” refers to GCC Amberglen Investments Limited Partnership. “CIO OP” refers to CIO OP Limited Partnership. “CIO REIT” refers to CIO REIT Stock Limited Partnership and CIO REIT Stock GP Limited Partnership. The “Second City Group” refers to Second City, any future real estate funds created by the principals of Second City, Second City GP, Gibralt, GCC Amberglen, CIO OP, CIO REIT and Daniel Rapaport.</p> <p style="MARGIN-BOTTOM: 0pt; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman; MARGIN-TOP: 12pt; TEXT-INDENT: 4%"> The historical financial results in these financial statements and the accompanying notes thereto for periods prior to April 21, 2014 relate to the Predecessor. The Predecessor is comprised of the following properties:</p> <p style="MARGIN-BOTTOM: 0pt; FONT-SIZE: 6pt; MARGIN-TOP: 0pt">  </p> <table style="FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman; BORDER-COLLAPSE: collapse" cellspacing="0" cellpadding="0" width="100%" border="0"> <tr> <td width="5%"> </td> <td valign="top" width="2%" align="left">•</td> <td valign="top" width="1%"> </td> <td valign="top" align="left"><b>City Center</b>: Property in St. Petersburg, Florida, acquired in December 2010.</td> </tr> </table> <p style="MARGIN-BOTTOM: 0pt; FONT-SIZE: 6pt; MARGIN-TOP: 0pt">  </p> <table style="FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman; BORDER-COLLAPSE: collapse" cellspacing="0" cellpadding="0" width="100%" border="0"> <tr> <td width="5%"> </td> <td valign="top" width="2%" align="left">•</td> <td valign="top" width="1%"> </td> <td valign="top" align="left"><b>Central Fairwinds</b>: Property in Orlando, Florida, acquired in May 2012.</td> </tr> </table> <p style="MARGIN-BOTTOM: 0pt; FONT-SIZE: 6pt; MARGIN-TOP: 0pt">  </p> <table style="FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman; BORDER-COLLAPSE: collapse" cellspacing="0" cellpadding="0" width="100%" border="0"> <tr> <td width="5%"> </td> <td valign="top" width="2%" align="left">•</td> <td valign="top" width="1%"> </td> <td valign="top" align="left"><b>AmberGlen</b>: Property in Portland, Oregon, acquired in December 2009.</td> </tr> </table> <p style="MARGIN-BOTTOM: 0pt; FONT-SIZE: 6pt; MARGIN-TOP: 0pt">  </p> <table style="FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman; BORDER-COLLAPSE: collapse" cellspacing="0" cellpadding="0" width="100%" border="0"> <tr> <td width="5%"> </td> <td valign="top" width="2%" align="left">•</td> <td valign="top" width="1%"> </td> <td valign="top" align="left"><b>Washington Group Plaza</b>: Property in downtown Boise, Idaho, acquired in June 2013.</td> </tr> </table> <p style="MARGIN-BOTTOM: 0pt; FONT-SIZE: 6pt; MARGIN-TOP: 0pt">  </p> <table style="FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman; BORDER-COLLAPSE: collapse" cellspacing="0" cellpadding="0" width="100%" border="0"> <tr> <td width="5%"> </td> <td valign="top" width="2%" align="left">•</td> <td valign="top" width="1%"> </td> <td valign="top" align="left"><b>Corporate Parkway</b>: Property in Allentown, Pennsylvania, acquired in May 2013.</td> </tr> </table> <p style="MARGIN-BOTTOM: 0pt; FONT-SIZE: 6pt; MARGIN-TOP: 0pt">  </p> <table style="FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman; BORDER-COLLAPSE: collapse" cellspacing="0" cellpadding="0" width="100%" border="0"> <tr> <td width="5%"> </td> <td valign="top" width="2%" align="left">•</td> <td valign="top" width="1%"> </td> <td valign="top" align="left"><b>Cherry Creek</b>: Property in Denver, Colorado, acquired in January 2014.</td> </tr> </table> <p style="MARGIN-BOTTOM: 0pt; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman; MARGIN-TOP: 12pt; TEXT-INDENT: 4%"> The Company intends to elect to be taxed and to continue to operate in a manner that will allow it to qualify as a real estate investment trust (“REIT”) commencing with its initial taxable year ended December 31, 2014. Subject to qualification as a REIT, the Company will be permitted to deduct dividend distributions paid to its stockholders, eliminating the U.S. federal taxation of income represented by such distributions at the Company level. REITs are subject to a number of organizational and operational requirements. If the Company fails to qualify as a REIT in any taxable year, the Company will be subject to U.S. federal and state income tax on its taxable income at regular corporate tax rates and any applicable alternative minimum tax.</p> <p style="MARGIN-BOTTOM: 0px; FONT-SIZE: 1px; MARGIN-TOP: 18px">  </p> <p style="MARGIN-BOTTOM: 0pt; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman; MARGIN-TOP: 0pt"> <b><i>Initial Public Offering and Formation Transactions</i></b></p> <p style="MARGIN-BOTTOM: 0pt; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman; MARGIN-TOP: 6pt; TEXT-INDENT: 4%"> The Company’s operations are carried on primarily through the Operating Partnership and wholly owned subsidiaries of the Operating Partnership. Both the Company and the Operating Partnership commenced operations upon completion of the IPO and certain related Formation Transactions.</p> <p style="MARGIN-BOTTOM: 0pt; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman; MARGIN-TOP: 12pt; TEXT-INDENT: 4%"> On April 21, 2014, the Company closed the IPO, pursuant to which it sold 5,800,000 shares of common stock to the public at a public offering price of $12.50 per share. The Company raised $72.5 million in gross proceeds, resulting in net proceeds to of approximately $63.4 million after deducting approximately $5.1 million in underwriting discounts and approximately $4.0 million in other expenses relating to the IPO. On May 9, 2014, the underwriters of the IPO exercised their overallotment option to purchase an additional 782,150 shares of the Company’s common stock at the IPO price of $12.50 a share resulting in additional gross proceeds of approximately $9.8 million. The net proceeds to the Company were $9.1 million after deducting approximately $0.7 million in underwriting discounts. The Company’s common stock began trading on the New York Stock Exchange under the symbol “CIO” on April 15, 2014.</p> <p style="MARGIN-BOTTOM: 0pt; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman; MARGIN-TOP: 12pt; TEXT-INDENT: 4%"> The Company contributed the net proceeds of the IPO to the Operating Partnership in exchange for common units in the Operating Partnership. The Operating Partnership utilized a portion of the net proceeds of the IPO to pay fees in connection with the assumption of the indebtedness, pay expenses incurred in connection with the IPO and Formation Transactions and repay loans that were made to several of the contributing entities by certain investors in such entities. The remaining funds were used for general working capital purposes and to fund acquisitions.</p> <p style="MARGIN-BOTTOM: 0pt; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman; MARGIN-TOP: 12pt; TEXT-INDENT: 4%"> Pursuant to the Formation Transactions, the Operating Partnership acquired a 100% interest in each of the Washington Group Plaza, Cherry Creek and Corporate Parkway properties and acquired an approximate 76% economic interest in the AmberGlen property, 90% interest in the Central Fairwinds property and 95% interest in the City Center property. These initial property interests were contributed in exchange for 3,731,209 common units, 1,858,860 shares of common stock and $19.4 million of cash. On May 9, 2014, the Company used the $9.1 million of net proceeds from the exercise of the underwriters’ overallotment option to redeem, 479,305 common units and 248,095 common stock from the Second City Group.</p> <p style="MARGIN-BOTTOM: 0pt; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman; MARGIN-TOP: 12pt; TEXT-INDENT: 4%"> In connection with the IPO and Formation Transactions, the Company, through its Operating Partnership, extinguished the loan on the Central Fairwinds property and completed a refinancing of three properties (Cherry Creek, City Center and Corporate Parkway) with a new $95 million non-recourse mortgage loan and proceeds from the IPO. The loan bears a fixed interest rate of 4.34% and matures on May 6, 2021.</p> <p style="MARGIN-BOTTOM: 0pt; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman; MARGIN-TOP: 12pt; TEXT-INDENT: 4%"> Balances for the three and six months ended June 30, 2014 include those of the Predecessor for the period from April 1, 2014 through April 20, 2014 and January 1, 2014 through April 20, 2014, respectively.</p> </div> | ||
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Net Cash Provided By Used In Operating Activities Continuing Operations
NetCashProvidedByUsedInOperatingActivitiesContinuingOperations
|
5585000 | ||
| us-gaap |
Earnings Per Share Basic And Diluted
EarningsPerShareBasicAndDiluted
|
-0.21 | ||
| us-gaap |
Dividend Payable Date To Be Paid Day Month And Year
DividendPayableDateToBePaidDayMonthAndYear
|
2015-07-17 | ||
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Stock Issued During Period Shares New Issues
StockIssuedDuringPeriodSharesNewIssues
|
5800000 | shares | |
| us-gaap |
Weighted Average Number Of Share Outstanding Basic And Diluted
WeightedAverageNumberOfShareOutstandingBasicAndDiluted
|
12328000 | shares | |
| dei |
Document Period End Date
DocumentPeriodEndDate
|
2015-06-30 | ||
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Amendment Flag
AmendmentFlag
|
false | ||
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Current Fiscal Year End Date
CurrentFiscalYearEndDate
|
--12-31 | ||
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Document Fiscal Year Focus
DocumentFiscalYearFocus
|
2015 | ||
| dei |
Entity Central Index Key
EntityCentralIndexKey
|
0001593222 | ||
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Common Stock Dividends Per Share Declared
CommonStockDividendsPerShareDeclared
|
0.235 | ||
| us-gaap |
Increase Decrease In Deferred Revenue
IncreaseDecreaseInDeferredRevenue
|
-1152000 | ||
| us-gaap |
Interest Expense
InterestExpense
|
4466000 | ||
| us-gaap |
Operating Expenses
OperatingExpenses
|
20711000 | ||
| dei |
Document Fiscal Period Focus
DocumentFiscalPeriodFocus
|
Q2 | ||
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Units Of Partnership Interest Description
UnitsOfPartnershipInterestDescription
|
Beginning on or after the date which is 12 months after the later of the completion of the initial public offering or the date on which a person first became a holder of common units, each limited partner and assignees of limited partners will have the right, subject to the terms and conditions set forth in the partnership agreement, to require the Operating Partnership to redeem all or a portion of the common units held by such limited partner or assignee in exchange for a cash amount per common unit equal to the value of one share of common stock, determined in accordance with and subject to adjustment under the partnership agreement. The Company has the sole option at its discretion to redeem the common units by issuing common stock on a one-for-one basis. | ||
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Dividends Payable Date Of Record Day Month And Year
DividendsPayableDateOfRecordDayMonthAndYear
|
2015-07-03 | ||
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Repayments Of Secured Debt
RepaymentsOfSecuredDebt
|
537000 | ||
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Increase Decrease In Restricted Cash
IncreaseDecreaseInRestrictedCash
|
-979000 | ||
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Business Acquisitions Pro Forma Income Loss From Continuing Operations Before Changes In Accounting And Extraordinary Items Net Of Tax
BusinessAcquisitionsProFormaIncomeLossFromContinuingOperationsBeforeChangesInAccountingAndExtraordinaryItemsNetOfTax
|
2345000 | ||
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Tenant Reimbursements
TenantReimbursements
|
2036000 | ||
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Stock Issued During Period Value Restricted Stock Award Gross
StockIssuedDuringPeriodValueRestrictedStockAwardGross
|
916000 | ||
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Increase Decrease In Deferred Leasing Fees
IncreaseDecreaseInDeferredLeasingFees
|
2454000 | ||
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Profit Loss
ProfitLoss
|
-2883000 | ||
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Payments Of Debt Extinguishment Costs
PaymentsOfDebtExtinguishmentCosts
|
255000 | ||
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Straight Line Rent
StraightLineRent
|
71000 | ||
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Payments Of Dividends Common Stock
PaymentsOfDividendsCommonStock
|
7171000 | ||
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Other Income
OtherIncome
|
621000 | ||
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Operating Income Loss
OperatingIncomeLoss
|
2183000 | ||
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Operating Leases Income Statement Lease Revenue
OperatingLeasesIncomeStatementLeaseRevenue
|
20237000 | ||
| us-gaap |
Noncontrolling Interest Increase From Sale Of Parent Equity Interest
NoncontrollingInterestIncreaseFromSaleOfParentEquityInterest
|
0 | ||
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Increase Decrease In Prepaid Expenses Other
IncreaseDecreaseInPrepaidExpensesOther
|
394000 | ||
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Payments To Acquire Real Estate
PaymentsToAcquireRealEstate
|
69445000 | ||
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Payments To Minority Shareholders
PaymentsToMinorityShareholders
|
207000 | ||
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Revenues
Revenues
|
22894000 | ||
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Payments To Develop Real Estate Assets
PaymentsToDevelopRealEstateAssets
|
1756000 | ||
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Net Income Loss Available To Common Stockholders Basic
NetIncomeLossAvailableToCommonStockholdersBasic
|
-2540000 | ||
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Interest Paid
InterestPaid
|
4055000 | ||
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Increase Decrease In Accounts Receivable
IncreaseDecreaseInAccountsReceivable
|
3583000 | ||
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Fair Value Investments Entities That Calculate Net Asset Value Per Share Unobservable Input Unrealized Gains Included In Earnings
FairValueInvestmentsEntitiesThatCalculateNetAssetValuePerShareUnobservableInputUnrealizedGainsIncludedInEarnings
|
100000 | ||
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Business Acquisitions Pro Forma Revenue
BusinessAcquisitionsProFormaRevenue
|
26607000 | ||
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Amortization Of Financing Costs
AmortizationOfFinancingCosts
|
354000 | ||
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Amortization Of Financing Costs And Discounts
AmortizationOfFinancingCostsAndDiscounts
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354000 | ||
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Cash And Cash Equivalents Period Increase Decrease
CashAndCashEquivalentsPeriodIncreaseDecrease
|
-23569000 | ||
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Income Loss Attributable To Noncontrolling Interest
IncomeLossAttributableToNoncontrollingInterest
|
255000 | ||
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Interest Expense Lessee Assets Under Capital Lease
InterestExpenseLesseeAssetsUnderCapitalLease
|
4112000 | ||
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Depreciation And Amortization
DepreciationAndAmortization
|
8900000 | ||
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Direct Costs Of Leased And Rented Property Or Equipment
DirectCostsOfLeasedAndRentedPropertyOrEquipment
|
8243000 | ||
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Net Cash Provided By Used In Financing Activities Continuing Operations
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|
44501000 | ||
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Net Cash Provided By Used In Investing Activities Continuing Operations
NetCashProvidedByUsedInInvestingActivitiesContinuingOperations
|
-73655000 | ||
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Business Combination Acquisition Related Costs
BusinessCombinationAcquisitionRelatedCosts
|
1091000 | ||
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Management Fee Expense
ManagementFeeExpense
|
659000 | ||
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Proceeds From Issuance Of Secured Debt
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|
17000000 | ||
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General And Administrative Expense
GeneralAndAdministrativeExpense
|
902000 | ||
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|
2610000 | ||
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Minority Interest Decrease From Distributions To Noncontrolling Interest Holders
MinorityInterestDecreaseFromDistributionsToNoncontrollingInterestHolders
|
207000 | ||
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Proceeds From Issuance Initial Public Offering
ProceedsFromIssuanceInitialPublicOffering
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63400000 | ||
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Proceeds From Lines Of Credit
ProceedsFromLinesOfCredit
|
34692000 | ||
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Share Based Compensation
ShareBasedCompensation
|
916000 | ||
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Amortization Of Above And Below Market Leases
AmortizationOfAboveAndBelowMarketLeases
|
280000 | ||
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Dividends Common Stock
DividendsCommonStock
|
7171000 | ||
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Fair Value Investments Entities That Calculate Net Asset Value Per Share Unobservable Input Unrealized Losses Included In Earnings
FairValueInvestmentsEntitiesThatCalculateNetAssetValuePerShareUnobservableInputUnrealizedLossesIncludedInEarnings
|
100000 | ||
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Noncontrolling Interest In Net Income Loss Operating Partnerships Redeemable
NoncontrollingInterestInNetIncomeLossOperatingPartnershipsRedeemable
|
-598000 | ||
| cio |
Initial Public Offering Closure Date
InitialPublicOfferingClosureDate
|
2014-04-21 | ||
| cio |
Rent Per Square Foot
RentPerSquareFoot
|
22 | ||
| cio |
Operating Expenses Per Square Foot
OperatingExpensesPerSquareFoot
|
3 | ||
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Change In Fair Value Of Earn Out Liability
ChangeInFairValueOfEarnOutLiability
|
600000 | ||
| cio |
Accrued Dividend Payable
AccruedDividendPayable
|
3601000 | ||
| cio |
Increase Decrease In Tenant Rent Deposits
IncreaseDecreaseInTenantRentDeposits
|
8000 | ||
| cio |
Business Acquisition Pro Forma Property Acquisition Costs
BusinessAcquisitionProFormaPropertyAcquisitionCosts
|
-320000 | ||
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Fair Value Investments Entities That Calculate Net Asset Value Per Share Change In Unobservable Input Percentage
FairValueInvestmentsEntitiesThatCalculateNetAssetValuePerShareChangeInUnobservableInputPercentage
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0.10 | pure | |
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Share Based Compensation Arrangement By Share Based Payment Award Maximum Number Of Shares
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|
1263580 | shares | |
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|
12500 | shares |
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Weighted Average Number Of Share Outstanding Basic And Diluted
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|
12365000 | shares |
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Common Stock Dividends Per Share Declared
CommonStockDividendsPerShareDeclared
|
0.235 | |
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Earnings Per Share Basic And Diluted
EarningsPerShareBasicAndDiluted
|
-0.15 | |
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Tenant Reimbursements
TenantReimbursements
|
1145000 | |
| CY2015Q2 | us-gaap |
Profit Loss
ProfitLoss
|
-2086000 | |
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Other Income
OtherIncome
|
293000 | |
| CY2015Q2 | us-gaap |
Operating Income Loss
OperatingIncomeLoss
|
802000 | |
| CY2015Q2 | us-gaap |
Operating Leases Income Statement Lease Revenue
OperatingLeasesIncomeStatementLeaseRevenue
|
10196000 | |
| CY2015Q2 | us-gaap |
Revenues
Revenues
|
11634000 | |
| CY2015Q2 | us-gaap |
Net Income Loss Available To Common Stockholders Basic
NetIncomeLossAvailableToCommonStockholdersBasic
|
-1798000 | |
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Interest Expense
InterestExpense
|
2288000 | |
| CY2015Q2 | us-gaap |
Operating Expenses
OperatingExpenses
|
10832000 | |
| CY2015Q2 | us-gaap |
Amortization Of Financing Costs
AmortizationOfFinancingCosts
|
185000 | |
| CY2015Q2 | us-gaap |
Income Loss Attributable To Noncontrolling Interest
IncomeLossAttributableToNoncontrollingInterest
|
134000 | |
| CY2015Q2 | us-gaap |
Direct Costs Of Leased And Rented Property Or Equipment
DirectCostsOfLeasedAndRentedPropertyOrEquipment
|
4127000 | |
| CY2015Q2 | us-gaap |
Interest Expense Lessee Assets Under Capital Lease
InterestExpenseLesseeAssetsUnderCapitalLease
|
2103000 | |
| CY2015Q2 | us-gaap |
Depreciation And Amortization
DepreciationAndAmortization
|
4494000 | |
| CY2015Q2 | us-gaap |
Business Combination Acquisition Related Costs
BusinessCombinationAcquisitionRelatedCosts
|
882000 | |
| CY2015Q2 | us-gaap |
Management Fee Expense
ManagementFeeExpense
|
327000 | |
| CY2015Q2 | us-gaap |
General And Administrative Expense
GeneralAndAdministrativeExpense
|
495000 | |
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Share Based Compensation
ShareBasedCompensation
|
507000 | |
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Noncontrolling Interest In Net Income Loss Operating Partnerships Redeemable
NoncontrollingInterestInNetIncomeLossOperatingPartnershipsRedeemable
|
-422000 | |
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Change In Fair Value Of Earn Out Liability
ChangeInFairValueOfEarnOutLiability
|
600000 |
