HIGHWOODS PROPERTIES, INC., 10-Q filed on 4/25/2023
Quarterly Report
v3.23.1
Cover Page - shares
3 Months Ended
Mar. 31, 2023
Apr. 18, 2023
Entity Information [Line Items]    
Document Type 10-Q  
Document Quarterly Report true  
Document Period End Date Mar. 31, 2023  
Document Transition Report false  
Entity Registrant Name HIGHWOODS PROPERTIES, INC.  
Entity Incorporation, State or Country Code MD  
Entity File Number 001-13100  
Entity Tax Identification Number 56-1871668  
Entity Address, Address Line One 150 Fayetteville Street  
Entity Address, Address Line Two Suite 1400  
Entity Address, City or Town Raleigh  
Entity Address, State or Province NC  
Entity Address, Postal Zip Code 27601  
City Area Code 919  
Local Phone Number 872-4924  
Title of 12(b) Security Common Stock, $.01 par value, of Highwoods Properties, Inc.  
Trading Symbol HIW  
Security Exchange Name NYSE  
Entity Current Reporting Status Yes  
Entity Interactive Data Current Yes  
Entity Filer Category Large Accelerated Filer  
Entity Small Business false  
Entity Emerging Growth Company false  
Entity Shell Company false  
Entity Common Stock, Shares Outstanding   105,457,788
Entity Central Index Key 0000921082  
Current Fiscal Year End Date --12-31  
Document Fiscal Year Focus 2023  
Document Fiscal Period Focus Q1  
Amendment Flag false  
Highwoods Realty Limited Partnership    
Entity Information [Line Items]    
Entity Registrant Name HIGHWOODS REALTY LIMITED PARTNERSHIP  
Entity Incorporation, State or Country Code NC  
Entity File Number 000-21731  
Entity Tax Identification Number 56-1869557  
Entity Current Reporting Status Yes  
Entity Interactive Data Current Yes  
Entity Filer Category Non-accelerated Filer  
Entity Small Business false  
Entity Emerging Growth Company false  
Entity Shell Company false  
Entity Central Index Key 0000941713  
Current Fiscal Year End Date --12-31  
Document Fiscal Year Focus 2023  
Document Fiscal Period Focus Q1  
Amendment Flag false  
v3.23.1
HPI - Consolidated Balance Sheets - USD ($)
$ in Thousands
Mar. 31, 2023
Dec. 31, 2022
Real estate assets, at cost:    
Land $ 543,514 $ 548,720
Buildings and tenant improvements 5,888,398 5,909,754
Development in-process 54,846 46,735
Land held for development 229,531 231,218
Total real estate assets 6,716,289 6,736,427
Less-accumulated depreciation (1,626,650) (1,609,502)
Net real estate assets 5,089,639 5,126,925
Cash and cash equivalents 15,733 21,357
Restricted cash 5,901 4,748
Accounts receivable 24,561 25,481
Mortgages and notes receivable 998 1,051
Accrued straight-line rents receivable 302,080 293,674
Investments in and advances to unconsolidated affiliates 314,149 269,221
Deferred leasing costs, net of accumulated amortization of $164,202 and $163,751, respectively 246,382 252,828
Prepaid expenses and other assets, net of accumulated depreciation of $22,530 and $21,660, respectively 70,570 68,091
Total Assets 6,070,013 6,063,376
Liabilities, Noncontrolling Interests in the Operating Partnership and Equity:    
Mortgages and notes payable, net 3,263,969 3,197,215
Accounts payable, accrued expenses and other liabilities 264,203 301,184
Total Liabilities 3,528,172 3,498,399
Commitments and contingencies
Noncontrolling interests in the Operating Partnership 54,682 65,977
Equity:    
Preferred Stock, $.01 par value, 50,000,000 authorized shares; 8.625% Series A Cumulative Redeemable Preferred Shares (liquidation preference $1,000 per share), 28,811 and 28,821 shares issued and outstanding, respectively 28,811 28,821
Common Stock, $.01 par value, 200,000,000 authorized shares; 105,457,508 and 105,210,858 shares issued and outstanding, respectively 1,055 1,052
Additional paid-in capital 3,096,126 3,081,330
Distributions in excess of net income available for common stockholders (642,014) (633,227)
Accumulated other comprehensive loss (1,286) (1,211)
Total Stockholders’ Equity 2,482,692 2,476,765
Noncontrolling interests in consolidated affiliates 4,467 22,235
Total Equity/Capital 2,487,159 2,499,000
Total Liabilities, Noncontrolling Interests in the Operating Partnership and Equity/Total Liabilities, Redeemable Operating Partnership Units and Capital $ 6,070,013 $ 6,063,376
v3.23.1
HPI - Consolidated Balance Sheets (Parenthetical) - USD ($)
$ in Thousands
3 Months Ended 12 Months Ended
Mar. 31, 2023
Dec. 31, 2022
Assets:    
Deferred leasing costs, accumulated amortization $ 164,202 $ 163,751
Prepaid expenses and other assets, accumulated depreciation $ 22,530 $ 21,660
Equity:    
Series A Preferred Stock, par value (in dollars per share) $ 0.01 $ 0.01
Series A Preferred Stock, authorized shares (in shares) 50,000,000 50,000,000
Series A Preferred Stock, dividend rate percentage (in hundredths) 8.625% 8.625%
Series A Preferred Stock, liquidation preference (in dollars per share) $ 1,000 $ 1,000
Series A Preferred Stock, shares issued (in shares) 28,811 28,821
Series A Preferred Stock, shares outstanding (in shares) 28,811 28,821
Common Stock, par value (in dollars per share) $ 0.01 $ 0.01
Common Stock, authorized shares (in shares) 200,000,000 200,000,000
Common Stock, shares issued (in shares) 105,457,508 105,210,858
Common Stock, shares outstanding (in shares) 105,457,508 105,210,858
v3.23.1
HRLP - Consolidated Balance Sheets - USD ($)
$ in Thousands
Mar. 31, 2023
Dec. 31, 2022
Real estate assets, at cost:    
Land $ 543,514 $ 548,720
Buildings and tenant improvements 5,888,398 5,909,754
Development in-process 54,846 46,735
Land held for development 229,531 231,218
Total real estate assets 6,716,289 6,736,427
Less-accumulated depreciation (1,626,650) (1,609,502)
Net real estate assets 5,089,639 5,126,925
Cash and cash equivalents 15,733 21,357
Restricted cash 5,901 4,748
Accounts receivable 24,561 25,481
Mortgages and notes receivable 998 1,051
Accrued straight-line rents receivable 302,080 293,674
Investments in and advances to unconsolidated affiliates 314,149 269,221
Deferred leasing costs, net of accumulated amortization of $164,202 and $163,751, respectively 246,382 252,828
Prepaid expenses and other assets, net of accumulated depreciation of $22,530 and $21,660, respectively 70,570 68,091
Total Assets 6,070,013 6,063,376
Liabilities, Redeemable Operating Partnership Units and Capital:    
Mortgages and notes payable, net 3,263,969 3,197,215
Accounts payable, accrued expenses and other liabilities 264,203 301,184
Total Liabilities 3,528,172 3,498,399
Commitments and contingencies
Capital:    
Accumulated other comprehensive loss (1,286) (1,211)
Noncontrolling interests in consolidated affiliates 4,467 22,235
Total Equity/Capital 2,487,159 2,499,000
Total Liabilities, Noncontrolling Interests in the Operating Partnership and Equity/Total Liabilities, Redeemable Operating Partnership Units and Capital 6,070,013 6,063,376
Highwoods Realty Limited Partnership    
Real estate assets, at cost:    
Land 543,514 548,720
Buildings and tenant improvements 5,888,398 5,909,754
Development in-process 54,846 46,735
Land held for development 229,531 231,218
Total real estate assets 6,716,289 6,736,427
Less-accumulated depreciation (1,626,650) (1,609,502)
Net real estate assets 5,089,639 5,126,925
Cash and cash equivalents 15,733 21,357
Restricted cash 5,901 4,748
Accounts receivable 24,561 25,481
Mortgages and notes receivable 998 1,051
Accrued straight-line rents receivable 302,080 293,674
Investments in and advances to unconsolidated affiliates 314,149 269,221
Deferred leasing costs, net of accumulated amortization of $164,202 and $163,751, respectively 246,382 252,828
Prepaid expenses and other assets, net of accumulated depreciation of $22,530 and $21,660, respectively 70,570 68,091
Total Assets 6,070,013 6,063,376
Liabilities, Redeemable Operating Partnership Units and Capital:    
Mortgages and notes payable, net 3,263,969 3,197,215
Accounts payable, accrued expenses and other liabilities 264,203 301,184
Total Liabilities 3,528,172 3,498,399
Commitments and contingencies
Redeemable Operating Partnership Units:    
Common Units, 2,358,009 outstanding 54,682 65,977
Series A Preferred Units (liquidation preference $1,000 per unit), 28,811 and 28,821 units issued and outstanding, respectively 28,811 28,821
Total Redeemable Operating Partnership Units 83,493 94,798
Capital:    
General partner Common Units, 1,074,067 and 1,071,601 outstanding, respectively 24,553 24,492
Limited partner Common Units, 103,974,632 and 103,730,448 outstanding, respectively 2,430,614 2,424,663
Accumulated other comprehensive loss (1,286) (1,211)
Noncontrolling interests in consolidated affiliates 4,467 22,235
Total Equity/Capital 2,458,348 2,470,179
Total Liabilities, Noncontrolling Interests in the Operating Partnership and Equity/Total Liabilities, Redeemable Operating Partnership Units and Capital $ 6,070,013 $ 6,063,376
v3.23.1
HRLP - Consolidated Balance Sheets (Parenthetical) - USD ($)
$ in Thousands
Mar. 31, 2023
Dec. 31, 2022
Assets:    
Deferred leasing costs, accumulated amortization $ 164,202 $ 163,751
Prepaid expenses and other assets, accumulated depreciation 22,530 21,660
Highwoods Realty Limited Partnership    
Assets:    
Deferred leasing costs, accumulated amortization 164,202 163,751
Prepaid expenses and other assets, accumulated depreciation $ 22,530 $ 21,660
Redeemable Operating Partnership Units: [Abstract]    
Redeemable Common Units outstanding (in shares) 2,358,009 2,358,009
Series A Preferred Units, liquidation preference (in dollars per share) $ 1,000 $ 1,000
Series A Preferred Units, issued (in shares) 28,811 28,821
Series A Preferred Units, outstanding (in shares) 28,811 28,821
Common Units: [Abstract]    
General partners' capital account, units outstanding (in shares) 1,074,067 1,071,601
Limited partners' capital account, units outstanding (in shares) 103,974,632 103,730,448
v3.23.1
HPI - Consolidated Statements of Income - USD ($)
shares in Thousands, $ in Thousands
3 Months Ended
Mar. 31, 2023
Mar. 31, 2022
Income Statement [Abstract]    
Rental and other revenues $ 212,752 $ 206,378
Operating expenses:    
Rental property and other expenses 65,731 61,422
Depreciation and amortization 70,633 69,667
General and administrative 12,415 13,556
Total operating expenses 148,779 144,645
Interest expense 33,098 24,393
Other income 1,147 363
Gains on disposition of property 450 4,100
Gain on deconsolidation of affiliate 11,778 0
Equity in earnings of unconsolidated affiliates 704 300
Net income 44,954 42,103
Net (income) attributable to noncontrolling interests in the Operating Partnership (986) (965)
Net (income)/loss attributable to noncontrolling interests in consolidated affiliates 487 (257)
Dividends on Preferred Stock (621) (621)
Net income available for common stockholders $ 43,834 $ 40,260
Earnings per Common Share – basic:    
Net income available for common stockholders (in dollars per share) $ 0.42 $ 0.38
Weighted average Common Shares outstanding - basic (in shares) 105,288 104,933
Earnings per Common Share - diluted:    
Net income available for common stockholders (in dollars per share) $ 0.42 $ 0.38
Weighted average Common Shares outstanding - diluted (in shares) 107,646 107,453
v3.23.1
HRLP - Consolidated Statements of Income - USD ($)
shares in Thousands, $ in Thousands
3 Months Ended
Mar. 31, 2023
Mar. 31, 2022
Rental and other revenues $ 212,752 $ 206,378
Operating expenses:    
Rental property and other expenses 65,731 61,422
Depreciation and amortization 70,633 69,667
General and administrative 12,415 13,556
Total operating expenses 148,779 144,645
Interest expense 33,098 24,393
Other income 1,147 363
Gains on disposition of property 450 4,100
Gain on deconsolidation of affiliate 11,778 0
Equity in earnings of unconsolidated affiliates 704 300
Net income 44,954 42,103
Net (income)/loss attributable to noncontrolling interests in consolidated affiliates 487 (257)
Highwoods Realty Limited Partnership    
Rental and other revenues 212,752 206,378
Operating expenses:    
Rental property and other expenses 65,731 61,422
Depreciation and amortization 70,633 69,667
General and administrative 12,415 13,556
Total operating expenses 148,779 144,645
Interest expense 33,098 24,393
Other income 1,147 363
Gains on disposition of property 450 4,100
Gain on deconsolidation of affiliate 11,778 0
Equity in earnings of unconsolidated affiliates 704 300
Net income 44,954 42,103
Net (income)/loss attributable to noncontrolling interests in consolidated affiliates 487 (257)
Distributions on Preferred Units (621) (621)
Net income available for common unitholders $ 44,820 $ 41,225
Earnings per Common Unit - basic:    
Net income available for common unitholders (in dollars per share) $ 0.42 $ 0.39
Weighted average Common Units outstanding - basic (in shares) 107,237 107,029
Earnings per Common Unit - diluted:    
Net income available for common unitholders (in dollars per share) $ 0.42 $ 0.39
Weighted average Common Units outstanding - diluted (in shares) 107,237 107,044
v3.23.1
HPI - Consolidated Statements of Comprehensive Income - USD ($)
$ in Thousands
3 Months Ended
Mar. 31, 2023
Mar. 31, 2022
Comprehensive income:    
Net income $ 44,954 $ 42,103
Other comprehensive loss:    
Amortization of cash flow hedges (75) (15)
Total other comprehensive loss (75) (15)
Total comprehensive income 44,879 42,088
Less-comprehensive (income) attributable to noncontrolling interests (499) (1,222)
Comprehensive income attributable to common stockholders/Comprehensive income attributable to common unitholders $ 44,380 $ 40,866
v3.23.1
HRLP - Consolidated Statements of Comprehensive Income - USD ($)
$ in Thousands
3 Months Ended
Mar. 31, 2023
Mar. 31, 2022
Comprehensive income:    
Net income $ 44,954 $ 42,103
Other comprehensive loss:    
Amortization of cash flow hedges (75) (15)
Other comprehensive loss (75) (15)
Total comprehensive income 44,879 42,088
Net (income)/loss attributable to noncontrolling interests in consolidated affiliates (499) (1,222)
Comprehensive income attributable to common stockholders/Comprehensive income attributable to common unitholders 44,380 40,866
Highwoods Realty Limited Partnership    
Comprehensive income:    
Net income 44,954 42,103
Other comprehensive loss:    
Amortization of cash flow hedges (75) (15)
Other comprehensive loss (75) (15)
Total comprehensive income 44,879 42,088
Net (income)/loss attributable to noncontrolling interests in consolidated affiliates 487 (257)
Comprehensive income attributable to common stockholders/Comprehensive income attributable to common unitholders $ 45,366 $ 41,831
v3.23.1
HPI - Consolidated Statements of Equity - USD ($)
$ in Thousands
Total
Common Stock [Member]
Series A Cumulative Redeemable Preferred Shares [Member]
Additional Paid-in Capital [Member]
Accumulated Other Comprehensive Income (Loss) [Member]
Noncontrolling Interests in Consolidated Affiliates [Member]
Distributions in Excess of Net Income Available for Common Stockholders [Member]
Balance (in shares) at Dec. 31, 2021   104,892,780          
Balance at Dec. 31, 2021 $ 2,499,558 $ 1,049 $ 28,821 $ 3,027,861 $ (973) $ 22,416 $ (579,616)
Increase (Decrease) in Stockholders' Equity [Roll Forward]              
Issuances of Common Stock, net of issuance costs and tax withholdings - shares   69,821          
Issuances of Common Stock, net of issuance costs and tax withholdings 4,173 $ 0   4,173      
Dividends on Common Stock (52,424)           (52,424)
Dividends on Preferred Stock (621)           (621)
Adjustment of noncontrolling interests in the Operating Partnership to fair value (3,168)     (3,168)      
Distributions to noncontrolling interests in consolidated affiliates (1,411)         (1,411)  
Issuances of restricted stock - shares   181,383          
Issuances of restricted stock 0            
Share-based compensation expense, net of forfeitures 5,291 $ 2   5,289      
Net (income) attributable to noncontrolling interests in the Operating Partnership (965)           (965)
Net (income)/loss attributable to noncontrolling interests in consolidated affiliates 0         257 (257)
Comprehensive income:              
Net income 42,103           42,103
Other comprehensive loss (15)       (15)    
Total comprehensive income 42,088            
Balance (in shares) at Mar. 31, 2022   105,143,984          
Balance at Mar. 31, 2022 $ 2,492,521 $ 1,051 28,821 3,034,155 (988) 21,262 (591,780)
Balance (in shares) at Dec. 31, 2022 105,210,858 105,210,858          
Balance at Dec. 31, 2022 $ 2,499,000 $ 1,052 28,821 3,081,330 (1,211) 22,235 (633,227)
Increase (Decrease) in Stockholders' Equity [Roll Forward]              
Issuances of Common Stock, net of issuance costs and tax withholdings - shares   (26,083)          
Issuances of Common Stock, net of issuance costs and tax withholdings (828) $ 0   (828)      
Dividends on Common Stock (52,621)           (52,621)
Dividends on Preferred Stock (621)           (621)
Adjustment of noncontrolling interests in the Operating Partnership to fair value 11,102     11,102      
Issuances of restricted stock - shares   272,733          
Issuances of restricted stock 0            
Redemptions/repurchases of Preferred Stock (10)   (10)        
Share-based compensation expense, net of forfeitures 4,525 $ 3   4,522      
Net (income) attributable to noncontrolling interests in the Operating Partnership (986)           (986)
Net (income)/loss attributable to noncontrolling interests in consolidated affiliates 0         (487) 487
Deconsolidation of affiliate (17,281)         (17,281)  
Comprehensive income:              
Net income 44,954           44,954
Other comprehensive loss (75)       (75)    
Total comprehensive income $ 44,879            
Balance (in shares) at Mar. 31, 2023 105,457,508 105,457,508          
Balance at Mar. 31, 2023 $ 2,487,159 $ 1,055 $ 28,811 $ 3,096,126 $ (1,286) $ 4,467 $ (642,014)
v3.23.1
HPI - Consolidated Statements of Equity (Parentheticals) - Highwoods Properties, Inc. [Member] - $ / shares
3 Months Ended
Mar. 31, 2023
Mar. 31, 2022
Dividends on Common Stock (per share) $ 0.50 $ 0.50
Series A Cumulative Redeemable Preferred Shares [Member]    
Dividends on Preferred Stock (per share) $ 21.5625 $ 21.5625
v3.23.1
HRLP - Consolidated Statements of Capital - USD ($)
$ in Thousands
3 Months Ended
Mar. 31, 2023
Mar. 31, 2022
Increase (Decrease) in Partners' Capital [Roll Forward]    
Balance $ 2,499,000 $ 2,499,558
Share-based compensation expense, net of forfeitures 4,525 5,291
Distributions to noncontrolling interests in consolidated affiliates   (1,411)
Net (income)/loss attributable to noncontrolling interests in consolidated affiliates 0 0
Deconsolidation of affiliate (17,281)  
Comprehensive income:    
Net income 44,954 42,103
Other comprehensive loss (75) (15)
Total comprehensive income 44,879 42,088
Balance 2,487,159 2,492,521
Highwoods Realty Limited Partnership    
Increase (Decrease) in Partners' Capital [Roll Forward]    
Balance 2,470,179 2,470,737
Issuances of Common Units, net of issuance costs and tax withholdings (828) 4,173
Distributions on Common Units (53,595) (53,471)
Distributions on Preferred Units (621) (621)
Share-based compensation expense, net of forfeitures 4,525 5,291
Distributions to noncontrolling interests in consolidated affiliates   (1,411)
Adjustment of Redeemable Common Units to fair value and contributions/distributions from/to the General Partner 11,090 (3,086)
Net (income)/loss attributable to noncontrolling interests in consolidated affiliates 0 0
Deconsolidation of affiliate (17,281)  
Comprehensive income:    
Net income 44,954 42,103
Other comprehensive loss (75) (15)
Total comprehensive income 44,879 42,088
Balance 2,458,348 2,463,700
General Partners' Common Units [Member] | Highwoods Realty Limited Partnership    
Increase (Decrease) in Partners' Capital [Roll Forward]    
Balance 24,492 24,492
Issuances of Common Units, net of issuance costs and tax withholdings (8) 42
Distributions on Common Units (536) (535)
Distributions on Preferred Units (6) (6)
Share-based compensation expense, net of forfeitures 45 53
Adjustment of Redeemable Common Units to fair value and contributions/distributions from/to the General Partner 111 (31)
Net (income)/loss attributable to noncontrolling interests in consolidated affiliates 5 (3)
Comprehensive income:    
Net income 450 421
Balance 24,553 24,433
Limited Partners' Common Units [Member] | Highwoods Realty Limited Partnership    
Increase (Decrease) in Partners' Capital [Roll Forward]    
Balance 2,424,663 2,424,802
Issuances of Common Units, net of issuance costs and tax withholdings (820) 4,131
Distributions on Common Units (53,059) (52,936)
Distributions on Preferred Units (615) (615)
Share-based compensation expense, net of forfeitures 4,480 5,238
Adjustment of Redeemable Common Units to fair value and contributions/distributions from/to the General Partner 10,979 (3,055)
Net (income)/loss attributable to noncontrolling interests in consolidated affiliates 482 (254)
Comprehensive income:    
Net income 44,504 41,682
Balance 2,430,614 2,418,993
Accumulated Other Comprehensive Income (Loss) [Member] | Highwoods Realty Limited Partnership    
Increase (Decrease) in Partners' Capital [Roll Forward]    
Balance (1,211) (973)
Comprehensive income:    
Other comprehensive loss (75) (15)
Balance (1,286) (988)
Noncontrolling Interests in Consolidated Affiliates [Member] | Highwoods Realty Limited Partnership    
Increase (Decrease) in Partners' Capital [Roll Forward]    
Balance 22,235 22,416
Distributions to noncontrolling interests in consolidated affiliates   (1,411)
Net (income)/loss attributable to noncontrolling interests in consolidated affiliates (487) 257
Deconsolidation of affiliate (17,281)  
Comprehensive income:    
Balance $ 4,467 $ 21,262
v3.23.1
HRLP - Consolidated Statements of Capital (Parentheticals) - Highwoods Realty Limited Partnership - $ / shares
3 Months Ended
Mar. 31, 2023
Mar. 31, 2022
Distributions on Common Units (per unit) $ 0.50 $ 0.50
Series A Cumulative Redeemable Preferred Shares [Member]    
Distributions on Preferred Units (per unit) $ 21.5625 $ 21.5625
v3.23.1
HPI - Consolidated Statements of Cash Flows - USD ($)
$ in Thousands
3 Months Ended
Mar. 31, 2023
Mar. 31, 2022
Operating activities:    
Net income $ 44,954 $ 42,103
Adjustments to reconcile net income to net cash provided by operating activities:    
Depreciation and amortization 70,633 69,667
Amortization of lease incentives and acquisition-related intangible assets and liabilities 291 (87)
Share-based compensation expense 4,525 5,291
Net credit losses/(reversals) on operating lease receivables (122) 366
Accrued interest on mortgages and notes receivable (19) (24)
Amortization of debt issuance costs 1,161 942
Amortization of cash flow hedges (75) (15)
Amortization of mortgages and notes payable fair value adjustments (86) (20)
Net gains on disposition of property (450) (4,100)
Gain on deconsolidation of affiliate (11,778) 0
Equity in earnings of unconsolidated affiliates (704) (300)
Distributions of earnings from unconsolidated affiliates 613 591
Changes in operating assets and liabilities:    
Accounts receivable 1,598 (1,038)
Prepaid expenses and other assets (2,840) (4,529)
Accrued straight-line rents receivable (8,678) (7,224)
Accounts payable, accrued expenses and other liabilities (33,354) (27,545)
Net cash provided by operating activities 65,669 74,078
Investing activities:    
Investments in development in-process (9,934) (13,315)
Investments in tenant improvements and deferred leasing costs (21,296) (30,273)
Investments in building improvements (25,815) (15,413)
Net proceeds from disposition of real estate assets 1,862 9,469
Investments in mortgages and notes receivable 0 (24)
Repayments of mortgages and notes receivable 72 72
Investments in and advances to unconsolidated affiliates (16,762) (7,378)
Payments of earnest money deposits (500) 0
Changes in other investing activities (2,163) (2,555)
Net cash used in investing activities (74,536) (59,417)
Financing activities:    
Dividends on Common Stock (52,621) (52,424)
Redemptions/repurchases of Preferred Stock (10) 0
Dividends on Preferred Stock (621) (621)
Distributions to noncontrolling interests in the Operating Partnership (1,179) (1,252)
Distributions to noncontrolling interests in consolidated affiliates 0 (1,411)
Proceeds from the issuance of Common Stock 553 6,501
Costs paid for the issuance of Common Stock (56) (183)
Repurchase of shares related to tax withholdings (1,325) (2,145)
Borrowings on revolving credit facility 92,000 70,000
Repayments of revolving credit facility (223,000) (30,000)
Borrowings on mortgages and notes payable 200,000 0
Repayments of mortgages and notes payable (1,654) (1,585)
Payments for debt issuance costs and other financing activities (1,305) 0
Net cash provided by/(used in) financing activities 10,782 (13,120)
Net increase in cash and cash equivalents and restricted cash 1,915 1,541
Cash decrease from deconsolidation of affiliate (6,386) 0
Cash and cash equivalents and restricted cash at beginning of the period 26,105 31,198
Cash and cash equivalents and restricted cash at end of the period 21,634 32,739
Reconciliation of cash and cash equivalents and restricted cash:    
Cash and cash equivalents at end of the period 15,733 18,669
Restricted cash at end of the period 5,901 14,070
Supplemental disclosure of cash flow information:    
Cash paid for interest, net of amounts capitalized 39,633 34,380
Supplemental disclosure of non-cash investing and financing activities:    
Changes in accrued capital expenditures [1] 4,153 17,115
Write-off of fully depreciated real estate assets 24,625 12,183
Write-off of fully amortized leasing costs 11,247 6,150
Adjustment of noncontrolling interests in the Operating Partnership to fair value 11,102 (3,168)
Accrued capital expenditures included in accounts payable, accrued expenses and other liabilities $ 49,200 $ 37,500
[1] Accrued capital expenditures included in accounts payable, accrued expenses and other liabilities as of March 31, 2023 and 2022 were $49.2 million and $37.5 million, respectively.
v3.23.1
HRLP - Consolidated Statements of Cash Flows - USD ($)
$ in Thousands
3 Months Ended
Mar. 31, 2023
Mar. 31, 2022
Operating activities:    
Net income $ 44,954 $ 42,103
Adjustments to reconcile net income to net cash provided by operating activities:    
Depreciation and amortization 70,633 69,667
Amortization of lease incentives and acquisition-related intangible assets and liabilities 291 (87)
Share-based compensation expense 4,525 5,291
Net credit losses/(reversals) on operating lease receivables (122) 366
Accrued interest on mortgages and notes receivable (19) (24)
Amortization of debt issuance costs 1,161 942
Amortization of cash flow hedges (75) (15)
Amortization of mortgages and notes payable fair value adjustments (86) (20)
Net gains on disposition of property (450) (4,100)
Gain on deconsolidation of affiliate (11,778) 0
Equity in earnings of unconsolidated affiliates (704) (300)
Distributions of earnings from unconsolidated affiliates 613 591
Changes in operating assets and liabilities:    
Accounts receivable 1,598 (1,038)
Prepaid expenses and other assets (2,840) (4,529)
Accrued straight-line rents receivable (8,678) (7,224)
Accounts payable, accrued expenses and other liabilities (33,354) (27,545)
Net cash provided by operating activities 65,669 74,078
Investing activities:    
Investments in development in-process (9,934) (13,315)
Investments in tenant improvements and deferred leasing costs (21,296) (30,273)
Investments in building improvements (25,815) (15,413)
Net proceeds from disposition of real estate assets 1,862 9,469
Investments in mortgages and notes receivable 0 (24)
Repayments of mortgages and notes receivable 72 72
Investments in and advances to unconsolidated affiliates (16,762) (7,378)
Payments of earnest money deposits (500) 0
Changes in other investing activities (2,163) (2,555)
Net cash used in investing activities (74,536) (59,417)
Financing activities:    
Distributions to noncontrolling interests in consolidated affiliates 0 (1,411)
Borrowings on revolving credit facility 92,000 70,000
Repayments of revolving credit facility (223,000) (30,000)
Borrowings on mortgages and notes payable 200,000 0
Repayments of mortgages and notes payable (1,654) (1,585)
Payments for debt issuance costs and other financing activities (1,305) 0
Net cash provided by/(used in) financing activities 10,782 (13,120)
Net increase in cash and cash equivalents and restricted cash 1,915 1,541
Cash decrease from deconsolidation of affiliate (6,386) 0
Cash and cash equivalents and restricted cash at beginning of the period 26,105 31,198
Cash and cash equivalents and restricted cash at end of the period 21,634 32,739
Reconciliation of cash and cash equivalents and restricted cash:    
Cash and cash equivalents at end of the period 15,733 18,669
Restricted cash at end of the period 5,901 14,070
Supplemental disclosure of cash flow information:    
Cash paid for interest, net of amounts capitalized 39,633 34,380
Supplemental disclosure of non-cash investing and financing activities:    
Changes in accrued capital expenditures [1] 4,153 17,115
Write-off of fully depreciated real estate assets 24,625 12,183
Write-off of fully amortized leasing costs 11,247 6,150
Accrued capital expenditures included in accounts payable, accrued expenses and other liabilities 49,200 37,500
Highwoods Realty Limited Partnership    
Operating activities:    
Net income 44,954 42,103
Adjustments to reconcile net income to net cash provided by operating activities:    
Depreciation and amortization 70,633 69,667
Amortization of lease incentives and acquisition-related intangible assets and liabilities 291 (87)
Share-based compensation expense 4,525 5,291
Net credit losses/(reversals) on operating lease receivables (122) 366
Accrued interest on mortgages and notes receivable (19) (24)
Amortization of debt issuance costs 1,161 942
Amortization of cash flow hedges (75) (15)
Amortization of mortgages and notes payable fair value adjustments (86) (20)
Net gains on disposition of property (450) (4,100)
Gain on deconsolidation of affiliate (11,778) 0
Equity in earnings of unconsolidated affiliates (704) (300)
Distributions of earnings from unconsolidated affiliates 613 591
Changes in operating assets and liabilities:    
Accounts receivable 1,598 (1,038)
Prepaid expenses and other assets (2,840) (4,529)
Accrued straight-line rents receivable (8,678) (7,224)
Accounts payable, accrued expenses and other liabilities (33,354) (27,545)
Net cash provided by operating activities 65,669 74,078
Investing activities:    
Investments in development in-process (9,934) (13,315)
Investments in tenant improvements and deferred leasing costs (21,296) (30,273)
Investments in building improvements (25,815) (15,413)
Net proceeds from disposition of real estate assets 1,862 9,469
Investments in mortgages and notes receivable 0 (24)
Repayments of mortgages and notes receivable 72 72
Investments in and advances to unconsolidated affiliates (16,762) (7,378)
Payments of earnest money deposits (500) 0
Changes in other investing activities (2,163) (2,555)
Net cash used in investing activities (74,536) (59,417)
Financing activities:    
Distributions on Common Units (53,595) (53,471)
Redemptions/repurchases of Preferred Units (10) 0
Distributions on Preferred Units (621) (621)
Distributions to noncontrolling interests in consolidated affiliates 0 (1,411)
Proceeds from the issuance of Common Units 553 6,501
Costs paid for the issuance of Common Units (56) (183)
Repurchase of units related to tax withholdings (1,325) (2,145)
Borrowings on revolving credit facility 92,000 70,000
Repayments of revolving credit facility (223,000) (30,000)
Borrowings on mortgages and notes payable 200,000 0
Repayments of mortgages and notes payable (1,654) (1,585)
Payments for debt issuance costs and other financing activities (1,510) (205)
Net cash provided by/(used in) financing activities 10,782 (13,120)
Net increase in cash and cash equivalents and restricted cash 1,915 1,541
Cash decrease from deconsolidation of affiliate (6,386) 0
Cash and cash equivalents and restricted cash at beginning of the period 26,105 31,198
Cash and cash equivalents and restricted cash at end of the period 21,634 32,739
Reconciliation of cash and cash equivalents and restricted cash:    
Cash and cash equivalents at end of the period 15,733 18,669
Restricted cash at end of the period 5,901 14,070
Supplemental disclosure of cash flow information:    
Cash paid for interest, net of amounts capitalized 39,633 34,380
Supplemental disclosure of non-cash investing and financing activities:    
Changes in accrued capital expenditures [1] 4,153 17,115
Write-off of fully depreciated real estate assets 24,625 12,183
Write-off of fully amortized leasing costs 11,247 6,150
Adjustment of Redeemable Common Units to fair value 11,295 (2,881)
Accrued capital expenditures included in accounts payable, accrued expenses and other liabilities $ 49,200 $ 37,500
[1] Accrued capital expenditures included in accounts payable, accrued expenses and other liabilities as of March 31, 2023 and 2022 were $49.2 million and $37.5 million, respectively.
v3.23.1
Description of Business and Significant Accounting Policies
3 Months Ended
Mar. 31, 2023
Organization, Consolidation and Presentation of Financial Statements [Abstract]  
Description of Business and Significant Accounting Policies Description of Business and Significant Accounting Policies
Description of Business

Highwoods Properties, Inc. (the “Company”) is a fully integrated office real estate investment trust (“REIT”) that owns, develops, acquires, leases and manages properties primarily in the best business districts of Atlanta, Charlotte, Dallas, Nashville, Orlando, Raleigh, Richmond and Tampa. The Company conducts its activities through Highwoods Realty Limited Partnership (the “Operating Partnership”). As of March 31, 2023, we owned or had an interest in 28.8 million rentable square feet of in-service properties, 1.6 million rentable square feet of office properties under development and development land with approximately 5.2 million rentable square feet of potential office build out.

Capital Structure

The Company is the sole general partner of the Operating Partnership. As of March 31, 2023, the Company owned all of the Preferred Units and 105.0 million, or 97.8%, of the Common Units in the Operating Partnership. Limited partners owned the remaining 2.4 million Common Units.

During the first quarter of 2023, we entered into separate equity distribution agreements in which the Company may offer and sell up to 300.0 million in aggregate gross sales price of shares of Common Stock. During the three months ended March 31, 2023, the Company issued no shares of Common Stock under its equity distribution agreements.

Basis of Presentation

Our Consolidated Financial Statements are prepared in conformity with accounting principles generally accepted in the United States of America (“GAAP”).

The Company’s Consolidated Financial Statements include the Operating Partnership, wholly owned subsidiaries and those entities in which the Company has the controlling interest. The Operating Partnership’s Consolidated Financial Statements include wholly owned subsidiaries and those entities in which the Operating Partnership has the controlling interest. We consolidate joint venture investments, such as interests in partnerships and limited liability companies, when we control the major operating and financial policies of the investment through majority ownership, in our capacity as a general partner or managing member or through some other contractual right. In addition, we consolidate those entities deemed to be variable interest entities in which we are determined to be the primary beneficiary.

As of March 31, 2023, we have involvement with six entities we determined to be variable interest entities, one of which we are the primary beneficiary and is consolidated and five of which we are not the primary beneficiary and are not consolidated. We also own three properties through a joint venture investment that were deconsolidated effective January 1, 2023 (See Note 3).

All intercompany transactions and accounts have been eliminated.

The unaudited interim consolidated financial statements and accompanying unaudited consolidated financial information, in the opinion of management, contain all adjustments (including normal recurring accruals) necessary for a fair presentation of our financial position, results of operations and cash flows. We have condensed or omitted certain notes and other information from the interim Consolidated Financial Statements presented in this Quarterly Report as permitted by SEC rules and regulations. These Consolidated Financial Statements should be read in conjunction with our 2022 Annual Report on Form 10-K.
Use of Estimates

The preparation of consolidated financial statements in accordance with GAAP requires us to make estimates and assumptions that affect the amounts reported in our Consolidated Financial Statements and accompanying notes. Actual results could differ from those estimates.

Insurance

We are primarily self-insured for health care claims for participating employees. We have stop-loss coverage to limit our exposure to significant claims on a per claim and annual aggregate basis. We determine our liabilities for claims, including incurred but not reported losses, based on all relevant information, including actuarial estimates of claim liabilities. As of March 31, 2023, a reserve of $0.5 million was recorded to cover estimated reported and unreported claims.

Recently Issued Accounting Standards

The Financial Accounting Standards Board (“FASB”) issued an accounting standards update (“ASU”) that provides temporary optional expedients and exceptions to the guidance on contract modifications and hedge accounting to ease the financial reporting burdens related to the expected market transition from LIBOR and other interbank offered rates to alternative reference rates, such as the Secured Overnight Financing Rate (“SOFR”). Entities can elect not to apply certain modification accounting requirements to contracts affected by reference rate reform, if certain criteria are met. An entity that makes this election would not have to remeasure the contracts at the modification date or reassess a previous accounting determination. Entities can also elect various optional expedients that would allow them to continue applying hedge accounting for hedging relationships affected by reference rate reform, if certain criteria are met. The guidance in this ASU is optional and may be elected now through December 31, 2024 as reference rate reform activities occur. We will continue to evaluate the impact of this ASU; however, we currently expect to avail ourselves of such optional expedients and exceptions should our modified contracts meet the required criteria.
v3.23.1
Leases
3 Months Ended
Mar. 31, 2023
Leases [Abstract]  
Leases Leases
Operating Leases

We generally lease our office properties to lessees in exchange for fixed monthly payments that cover rent, property taxes, insurance and certain cost recoveries, primarily common area maintenance. Office properties owned by us that are under lease are primarily located in Atlanta, Charlotte, Nashville, Orlando, Pittsburgh, Raleigh, Richmond and Tampa and are leased to a wide variety of lessees across many industries. Our leases are operating leases and mostly range from three to 10 years. We recognized rental and other revenues related to operating lease payments of $209.4 million and $203.6 million during the three months ended March 31, 2023 and 2022, respectively. Included in these amounts are variable lease payments of $19.4 million and $17.4 million during the three months ended March 31, 2023 and 2022, respectively.
v3.23.1
Investments in and Advances to Affiliates
3 Months Ended
Mar. 31, 2023
Equity Method Investments and Joint Ventures [Abstract]  
Investments in and Advances to Affiliates Investments in and Advances to Affiliates
Unconsolidated Affiliates

- Highwoods-Markel Associates, LLC (“Markel”)

Markel is a joint venture in which we own a 50.0% interest that was consolidated as of December 31, 2022 because we controlled the major operating and financial policies of the entity. Effective January 1, 2023, the agreement governing the joint venture was modified to require the consent of both partners for major operating and financial policies of the entity. As a result, Markel was deconsolidated effective January 1, 2023, and this joint venture is now accounted for using the equity method of accounting. We recognized a gain on deconsolidation of $11.8 million related to adjusting our retained interest in the joint venture to fair value. The assets of Markel can be used only to settle obligations of the joint venture, and its creditors have no recourse to our wholly owned assets.

- Granite Park Six JV, LLC/ GPI 23 Springs JV, LLC (“Granite Park Six joint venture”/“23Springs joint venture”)

During 2022, we entered the Dallas market through the formation of two joint ventures with Granite Properties (“Granite”) to develop Granite Park Six and 23Springs. We own a 50.0% interest in each of these two joint ventures. We determined that we have a variable interest in both the Granite Park Six and 23Springs joint ventures primarily because the entities were designed to pass along interest rate risk, equity price risk and operation risk to us and Granite as equity holders. The joint ventures were further determined to be variable interest entities as they require additional subordinated financial support in the form of loans because the initial equity investments provided by us and Granite are not sufficient to finance the planned investments and operations. We concluded we do not have the power to direct matters that most significantly impact the activities of either entity and therefore do not qualify as the primary beneficiary. Accordingly, the entities are not consolidated. As of March 31, 2023, our risk of loss with respect to these arrangements was limited to the carrying value of each investment balance. Our investment balances were $41.0 million and $46.9 million as of March 31, 2023 for Granite Park Six and 23Springs, respectively. The assets of the Granite Park Six and 23Springs joint ventures can be used only to settle obligations of the respective joint venture, and their creditors have no recourse to our wholly owned assets.

- M+O JV, LLC (“McKinney & Olive joint venture”)

During 2022, we expanded our Dallas market presence by acquiring McKinney & Olive through the formation of another joint venture with Granite. We own a 50.0% interest in this joint venture. We determined that we have a variable interest in the McKinney & Olive joint venture primarily because the entity was designed to pass along interest rate risk, equity price risk and operation risk to us and Granite as equity holders. The McKinney & Olive joint venture was further determined to be a variable interest entity as it requires additional subordinated financial support in the form of a loan because the initial equity investments by us and Granite, including the additional preferred equity provided by us, are not sufficient to finance its planned investments and operations. We concluded we do not have the power to direct matters that most significantly impact the activities of the entity and therefore do not qualify as the primary beneficiary. Accordingly, the entity is not consolidated. As of March 31, 2023, our risk of loss with respect to this arrangement was $165.6 million, which represents the carrying value of our investment balance and includes $80.0 million of preferred equity that we funded to the joint venture. The assets of the McKinney & Olive joint venture can be used only to settle obligations of the joint venture, and its creditors have no recourse to our wholly owned assets.

- Midtown East Tampa, LLC (“Midtown East joint venture”)

During 2022, we formed the Midtown East joint venture in Tampa with The Bromley Companies (“Bromley”). We own a 50.0% interest in this joint venture. We determined that we have a variable interest in the Midtown East joint venture primarily because the entity was designed to pass along interest rate risk, equity price risk and operation risk to us as both a debt and equity holder and Bromley as an equity holder. The Midtown East joint venture was further determined to be a variable interest entity as it requires additional subordinated financial support in the form of a loan because the initial equity investments provided by us and Bromley are not sufficient to finance its planned investments and operations. We concluded we do not have the power to direct matters that most significantly impact the activities of the entity and therefore do not qualify as the primary beneficiary. Accordingly, the entity is not consolidated. As of March 31, 2023, our risk of loss with respect to this arrangement was limited to the carrying value of the investment balance of $1.3 million as no amounts were outstanding under the loan we have provided to the joint venture. The assets of the Midtown East joint venture can be used only to settle obligations of the joint venture, and its creditors have no recourse to our wholly owned assets.
- Brand/HRLP 2827 Peachtree LLC (“2827 Peachtree joint venture”)

During 2021, we formed the 2827 Peachtree joint venture in Atlanta with Brand Properties, LLC (“Brand”). We own a 50.0% interest in this joint venture. We determined that we have a variable interest in the 2827 Peachtree joint venture primarily because the entity was designed to pass along interest rate risk, equity price risk and operation risk to us as both a debt and equity holder and Brand as an equity holder. The 2827 Peachtree joint venture was further determined to be a variable interest entity as it requires additional subordinated financial support in the form of a loan because the initial equity investments provided by us and Brand are not sufficient to finance its planned investments and operations. We concluded we do not have the power to direct matters that most significantly impact the activities of the entity and therefore do not qualify as the primary beneficiary. Accordingly, the entity is not consolidated. As of March 31, 2023, our risk of loss with respect to this arrangement was $44.6 million, which consists of the $29.3 million carrying value of our investment balance plus the $15.3 million outstanding balance of the loan we have provided to the joint venture. The assets of the 2827 Peachtree joint venture can be used only to settle obligations of the joint venture, and its creditors have no recourse to our wholly owned assets.

Consolidated Affiliate

- HRLP MTW, LLC (“Midtown West joint venture”)

In 2019, we formed the Midtown West joint Venture in Tampa with Bromley. We own an 80.0% interest in this joint venture. We determined that we have a variable interest in the Midtown West joint venture primarily because the entity was designed to pass along interest rate risk, equity price risk and operation risk to us as both a debt and an equity holder and Bromley as an equity holder. The Midtown West joint venture was further determined to be a variable interest entity as it requires additional subordinated financial support in the form of a loan because the initial equity investment provided by us and Bromley is not sufficient to finance its planned investments and operations. We, as majority owner and managing member and through our control rights as set forth in the joint venture’s governance documents, were determined to be the primary beneficiary as we have both the power to direct the activities that most significantly affect the entity (primarily lease rates, property operations and capital expenditures) and significant economic exposure through our equity investment and loan commitment. As such, the Midtown West joint venture is consolidated and all intercompany transactions and accounts are eliminated. The following table sets forth the assets and liabilities of the Midtown West joint venture included on our Consolidated Balance Sheets:

March 31,
2023
December 31,
2022
Net real estate assets$59,967 $59,854 
Cash and cash equivalents$1,919 $1,009 
Accounts receivable$992 $1,490 
Accrued straight-line rents receivable$3,130 $1,921 
Deferred leasing costs, net$2,641 $2,677 
Prepaid expenses and other assets, net$142 $153 
Accounts payable, accrued expenses and other liabilities$1,759 $1,212 
The assets of the Midtown West joint venture can be used only to settle obligations of the joint venture, and its creditors have no recourse to our wholly owned assets.
v3.23.1
Intangible Assets and Below Market Lease Liabilities
3 Months Ended
Mar. 31, 2023
Goodwill and Intangible Assets Disclosure [Abstract]  
Intangible Assets and Below Market Lease Liabilities Intangible Assets and Below Market Lease Liabilities
The following table sets forth total intangible assets and acquisition-related below market lease liabilities, net of accumulated amortization:

March 31,
2023
December 31,
2022
Assets:
Deferred leasing costs (including lease incentives and above market lease and in-place lease acquisition-related intangible assets)$410,584 $416,579 
Less accumulated amortization(164,202)(163,751)
$246,382 $252,828 
Liabilities (in accounts payable, accrued expenses and other liabilities):
Acquisition-related below market lease liabilities$54,962 $55,304 
Less accumulated amortization(30,771)(29,859)
$24,191 $25,445 

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

Three Months Ended
March 31,
20232022
Amortization of deferred leasing costs and acquisition-related intangible assets (in depreciation and amortization)$10,232 $11,245 
Amortization of lease incentives (in rental and other revenues)$714 $450 
Amortization of acquisition-related intangible assets (in rental and other revenues)$831 $830 
Amortization of acquisition-related below market lease liabilities (in rental and other revenues)$(1,254)$(1,367)

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

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 Below Market Lease Liabilities (in Rental and Other Revenues)
April 1 through December 31, 2023$32,014 $1,687 $2,471 $(3,634)
202437,543 1,825 3,088 (4,219)
202530,506 1,733 2,220 (2,729)
202626,179 1,527 1,860 (2,514)
202722,386 1,325 1,518 (2,112)
Thereafter69,088 3,814 5,598 (8,983)
$217,716 $11,911 $16,755 $(24,191)
Weighted average remaining amortization periods as of March 31, 2023 (in years)7.77.57.48.3
v3.23.1
Mortgages and Notes Payable
3 Months Ended
Mar. 31, 2023
Debt Disclosure [Abstract]  
Mortgages and Notes Payable Mortgages and Notes Payable
The following table sets forth our mortgages and notes payable:

March 31,
2023
December 31,
2022
Secured indebtedness$681,956 $483,988 
Unsecured indebtedness2,598,912 2,729,620 
Less-unamortized debt issuance costs(16,899)(16,393)
Total mortgages and notes payable, net$3,263,969 $3,197,215 

As of March 31, 2023, our secured mortgage loans were collateralized by real estate assets with an undepreciated book value of $1,157.2 million.

Our $750.0 million unsecured revolving credit facility is scheduled to mature in March 2025 and includes an accordion feature that currently allows for an additional $200.0 million of borrowing capacity subject to additional lender commitments. Assuming no defaults have occurred, we have an option to extend the maturity for two additional six-month periods. The interest rate on our revolving credit facility is SOFR plus a related spread adjustment of 10 basis points and a borrowing spread of 85 basis points, based on current credit ratings. The annual facility fee is 20 basis points. The interest rate and facility fee are based on the higher of the publicly announced ratings from Moody’s Investors Service or Standard & Poor’s Ratings Services. We may be entitled to a temporary reduction in the interest rate of one basis point provided we meet certain sustainability goals with respect to the ongoing reduction of greenhouse gas emissions. There was $255.0 million and $257.0 million outstanding under our revolving credit facility as of March 31, 2023 and April 18, 2023, respectively. As of both March 31, 2023 and April 18, 2023, we had $0.9 million of outstanding letters of credit, which reduces the availability on our revolving credit facility. As a result, the unused capacity of our revolving credit facility as of March 31, 2023 and April 18, 2023 was $494.1 million and $492.1 million, respectively.

During the first quarter of 2023, we obtained a $200.0 million, five-year secured mortgage loan from a third party lender, with an effective fixed interest rate of 5.69%. This loan is scheduled to mature in April 2028. We incurred $1.3 million of debt issuance costs, which will be amortized over the term of the loan.

We are currently in compliance with financial covenants with respect to our consolidated debt.

We have considered our short-term liquidity needs within one year from April 25, 2023 (the date of issuance of the quarterly financial statements) and the adequacy of our estimated cash flows from operating activities and other available financing sources to meet these needs. We have concluded it is probable we will meet these short-term liquidity requirements through a combination of the following:

available cash and cash equivalents;

cash flows from operating activities;

issuance of debt securities by the Operating Partnership;

issuance of secured debt;

bank term loans;

borrowings under our revolving credit facility;

issuance of equity securities by the Company or the Operating Partnership; and

the disposition of non-core assets.
v3.23.1
Noncontrolling Interests
3 Months Ended
Mar. 31, 2023
Noncontrolling Interest [Abstract]  
Noncontrolling Interests Noncontrolling Interests
Noncontrolling Interests in Consolidated Affiliates

As of March 31, 2023, our noncontrolling interest in consolidated affiliates relates to our joint venture partner's 20.0% interest in the Midtown West joint venture. Our joint venture partner is an unrelated third party.

Noncontrolling Interests in the Operating Partnership

The following table sets forth the Company’s noncontrolling interests in the Operating Partnership:

Three Months Ended
March 31,
20232022
Beginning noncontrolling interests in the Operating Partnership$65,977 $111,689 
Adjustment of noncontrolling interests in the Operating Partnership to fair value(11,102)3,168 
Net income attributable to noncontrolling interests in the Operating Partnership986 965 
Distributions to noncontrolling interests in the Operating Partnership(1,179)(1,252)
Total noncontrolling interests in the Operating Partnership$54,682 $114,570 

There were no transfers from noncontrolling interests during the three months ended March 31, 2023 and 2022.
v3.23.1
Disclosure About Fair Value of Financial Instruments
3 Months Ended
Mar. 31, 2023
Fair Value Disclosures [Abstract]  
Disclosure About Fair Value of Financial Instruments Disclosure About Fair Value of Financial Instruments
The following summarizes the levels of inputs that we use to measure fair value.

Level 1.  Quoted prices in active markets for identical assets or liabilities.

Our Level 1 asset is our investment in marketable securities that we use to pay benefits under our non-qualified deferred compensation plan. Our Level 1 liability is our non-qualified deferred compensation obligation. The Company’s Level 1 noncontrolling interests in the Operating Partnership relate to the ownership of Common Units by various individuals and entities other than the Company.

Level 2. Observable inputs other than Level 1 prices, such as quoted prices for similar assets or liabilities, quoted prices in markets that are not active or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the related assets or liabilities.

Our Level 2 assets include the fair value of our mortgages and notes receivable. Our Level 2 liabilities include the fair value of our mortgages and notes payable and any interest rate swaps.

The fair value of mortgages and notes receivable and mortgages and notes payable is estimated by the income approach utilizing contractual cash flows and market-based interest rates to approximate the price that would be paid in an orderly transaction between market participants. The fair value of any interest rate swaps is determined using the market standard methodology of netting the discounted future fixed cash receipts and the discounted expected variable cash payments. The variable cash payments of interest rate swaps are based on the expectation of future interest rates (forward curves) derived from observed market interest rate curves. In addition, credit valuation adjustments are considered in the fair values to account for potential nonperformance risk, but were concluded to not be significant inputs to the calculation for the periods presented.

Level 3. Unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities.

Our Level 3 assets include any real estate assets recorded at fair value on a non-recurring basis as a result of our quarterly impairment analysis, which are valued using unobservable local and national industry market data such as comparable sales, appraisals, brokers’ opinions of value and/or the terms of definitive sales contracts. Significant increases or decreases in any valuation inputs in isolation would result in a significantly lower or higher fair value measurement.
The following table sets forth our assets and liabilities and the Company’s noncontrolling interests in the Operating Partnership that are measured or disclosed at fair value within the fair value hierarchy:

Level 1Level 2
TotalQuoted Prices
in Active
Markets for Identical Assets or Liabilities
Significant Observable Inputs
Fair Value as of March 31, 2023:
Assets:
Mortgages and notes receivable, at fair value (1)
$998 $— $998 
Marketable securities of non-qualified deferred compensation plan (in prepaid expenses and other assets)
2,085 2,085 — 
Total Assets$3,083 $2,085 $998 
Noncontrolling Interests in the Operating Partnership$54,682 $54,682 $— 
Liabilities:
Mortgages and notes payable, net, at fair value (1)
$2,876,619 $— $2,876,619 
Non-qualified deferred compensation obligation (in accounts payable, accrued expenses and other liabilities)
2,085 2,085 — 
Total Liabilities
$2,878,704 $2,085 $2,876,619 
Fair Value as of December 31, 2022:
Assets:
Mortgages and notes receivable, at fair value (1)
$1,051 $— $1,051 
Marketable securities of non-qualified deferred compensation plan (in prepaid expenses and other assets)
2,564 2,564 — 
Total Assets$3,615 $2,564 $1,051 
Noncontrolling Interests in the Operating Partnership$65,977 $65,977 $— 
Liabilities:
Mortgages and notes payable, net, at fair value (1)
$2,832,973 $— $2,832,973 
Non-qualified deferred compensation obligation (in accounts payable, accrued expenses and other liabilities)
2,564 2,564 — 
Total Liabilities
$2,835,537 $2,564 $2,832,973 
__________
(1)    Amounts are not recorded at fair value on our Consolidated Balance Sheets as of March 31, 2023 and December 31, 2022.

As of January 1, 2023, there was a level 3 investment in an unconsolidated affiliate that was measured at a fair value of $57.1 million upon deconsolidation. The estimated fair value was calculated using a broker opinion of value, which incorporates an income approach, as observable inputs were not available. Key assumptions used in the fair value calculation for the operating buildings were an estimated discount rate of 10.8% and an estimated terminal capitalization rate of 8.8%. The estimated fair value of the surrounding land currently used for parking was calculated based on its multifamily development potential, which was determined to be the highest and best use of the land.
v3.23.1
Share-Based Payments
3 Months Ended
Mar. 31, 2023
Share-Based Payment Arrangement [Abstract]  
Share-Based Payments Share-Based PaymentsDuring the three months ended March 31, 2023, the Company granted 150,249 shares of time-based restricted stock and 122,484 shares of total return-based restricted stock with weighted average grant date fair values per share of $26.50 and $27.13, respectively. We recorded share-based compensation expense of $4.5 million and $5.3 million during the three months ended March 31, 2023 and 2022. As of March 31, 2023, there was $6.4 million of total unrecognized share-based compensation costs, which will be recognized over a weighted average remaining contractual term of 2.5 years.
v3.23.1
Earnings Per Share and Per Unit
3 Months Ended
Mar. 31, 2023
Earnings Per Share [Abstract]  
Earnings Per Share and Per Unit Earnings Per Share and Per Unit
The following table sets forth the computation of basic and diluted earnings per share of the Company:

Three Months Ended
March 31,
20232022
Earnings per Common Share - basic:
Numerator:
Net income$44,954 $42,103 
Net (income) attributable to noncontrolling interests in the Operating Partnership
(986)(965)
Net (income)/loss attributable to noncontrolling interests in consolidated affiliates 487 (257)
Dividends on Preferred Stock(621)(621)
Net income available for common stockholders$43,834 $40,260 
Denominator:
Denominator for basic earnings per Common Share – weighted average shares (1)
105,288 104,933 
Net income available for common stockholders$0.42 $0.38 
Earnings per Common Share - diluted:
Numerator:
Net income$44,954 $42,103 
Net (income)/loss attributable to noncontrolling interests in consolidated affiliates487 (257)
Dividends on Preferred Stock(621)(621)
Net income available for common stockholders before net (income) attributable to noncontrolling interests in the Operating Partnership
$44,820 $41,225 
Denominator:
Denominator for basic earnings per Common Share – weighted average shares (1)
105,288 104,933 
Add:
Stock options using the treasury method— 15 
Noncontrolling interests Common Units2,358 2,505 
Denominator for diluted earnings per Common Share – adjusted weighted average shares and assumed conversions
107,646 107,453 
Net income available for common stockholders$0.42 $0.38 
__________
(1)Includes all unvested restricted stock where dividends on such restricted stock are non-forfeitable.
The following table sets forth the computation of basic and diluted earnings per unit of the Operating Partnership:

Three Months Ended
March 31,
20232022
Earnings per Common Unit - basic:
Numerator:
Net income$44,954 $42,103 
Net (income)/loss attributable to noncontrolling interests in consolidated affiliates487 (257)
Distributions on Preferred Units(621)(621)
Net income available for common unitholders$44,820 $41,225 
Denominator:
Denominator for basic earnings per Common Unit – weighted average units (1)
107,237 107,029 
Net income available for common unitholders$0.42 $0.39 
Earnings per Common Unit - diluted:
Numerator:
Net income$44,954 $42,103 
Net (income)/loss attributable to noncontrolling interests in consolidated affiliates487 (257)
Distributions on Preferred Units(621)(621)
Net income available for common unitholders$44,820 $41,225 
Denominator:
Denominator for basic earnings per Common Unit – weighted average units (1)
107,237 107,029 
Add:
Stock options using the treasury method— 15 
Denominator for diluted earnings per Common Unit – adjusted weighted average units and assumed conversions
107,237 107,044 
Net income available for common unitholders$0.42 $0.39 
__________
(1)Includes all unvested restricted stock where distributions on such restricted stock are non-forfeitable
.
v3.23.1
Segment Information
3 Months Ended
Mar. 31, 2023
Segment Reporting [Abstract]  
Segment Information Segment Information
The following tables summarize the rental and other revenues and net operating income, the primary industry property-level performance metric used by our chief operating decision maker and which is defined as rental and other revenues less rental property and other expenses, for our office properties. Our segment information for the three months ended March 31, 2022 has been retrospectively revised from previously reported amounts to reflect a change in our reportable segments as a result of our plan to exit the Pittsburgh market.

Three Months Ended
March 31,
20232022
Rental and Other Revenues:
Atlanta$36,870 $35,554 
Charlotte21,580 16,944 
Nashville44,564 43,447 
Orlando14,394 13,312 
Raleigh45,878 46,296 
Richmond9,309 10,533 
Tampa25,391 24,023 
Total Office Segment197,986 190,109 
Other14,766 16,269 
Total Rental and Other Revenues$212,752 $206,378 
Net Operating Income:
Atlanta$24,225 $23,681 
Charlotte16,110 13,050 
Nashville33,025 32,522 
Orlando8,772 8,137 
Raleigh33,606 34,715 
Richmond6,570 7,225 
Tampa16,404 15,946 
Total Office Segment138,712 135,276 
Other8,309 9,680 
Total Net Operating Income147,021 144,956 
Reconciliation to net income:
Depreciation and amortization(70,633)(69,667)
General and administrative expenses(12,415)(13,556)
Interest expense(33,098)(24,393)
Other income1,147 363 
Gains on disposition of property450 4,100 
Gain on deconsolidation of affiliate11,778 — 
Equity in earnings of unconsolidated affiliates704 300 
Net income$44,954 $42,103 
v3.23.1
Subsequent Events
3 Months Ended
Mar. 31, 2023
Subsequent Events [Abstract]  
Subsequent Events Subsequent Events
On April 21, 2023, we received $40.0 million of net proceeds upon the full redemption of our $80.0 million short-term preferred equity investment in the McKinney & Olive joint venture. Such net proceeds were used to repay amounts outstanding under our $750.0 million revolving credit facility. Prior to the redemption, the preferred equity received monthly distributions at a rate of SOFR plus 350 basis points.

On April 19, 2023, the Company declared a cash dividend of $0.50 per share of Common Stock, which is payable on June 13, 2023 to stockholders of record as of May 22, 2023.
v3.23.1
Description of Business and Significant Accounting Policies (Policies)
3 Months Ended
Mar. 31, 2023
Organization, Consolidation and Presentation of Financial Statements [Abstract]  
Basis of Presentation
Basis of Presentation

Our Consolidated Financial Statements are prepared in conformity with accounting principles generally accepted in the United States of America (“GAAP”).

The Company’s Consolidated Financial Statements include the Operating Partnership, wholly owned subsidiaries and those entities in which the Company has the controlling interest. The Operating Partnership’s Consolidated Financial Statements include wholly owned subsidiaries and those entities in which the Operating Partnership has the controlling interest. We consolidate joint venture investments, such as interests in partnerships and limited liability companies, when we control the major operating and financial policies of the investment through majority ownership, in our capacity as a general partner or managing member or through some other contractual right. In addition, we consolidate those entities deemed to be variable interest entities in which we are determined to be the primary beneficiary.

As of March 31, 2023, we have involvement with six entities we determined to be variable interest entities, one of which we are the primary beneficiary and is consolidated and five of which we are not the primary beneficiary and are not consolidated. We also own three properties through a joint venture investment that were deconsolidated effective January 1, 2023 (See Note 3).

All intercompany transactions and accounts have been eliminated.
The unaudited interim consolidated financial statements and accompanying unaudited consolidated financial information, in the opinion of management, contain all adjustments (including normal recurring accruals) necessary for a fair presentation of our financial position, results of operations and cash flows. We have condensed or omitted certain notes and other information from the interim Consolidated Financial Statements presented in this Quarterly Report as permitted by SEC rules and regulations. These Consolidated Financial Statements should be read in conjunction with our 2022 Annual Report on Form 10-K.
Use of Estimates
Use of Estimates

The preparation of consolidated financial statements in accordance with GAAP requires us to make estimates and assumptions that affect the amounts reported in our Consolidated Financial Statements and accompanying notes. Actual results could differ from those estimates.
Insurance InsuranceWe are primarily self-insured for health care claims for participating employees. We have stop-loss coverage to limit our exposure to significant claims on a per claim and annual aggregate basis. We determine our liabilities for claims, including incurred but not reported losses, based on all relevant information, including actuarial estimates of claim liabilities.
Recently Issued Accounting Standards
Recently Issued Accounting Standards

The Financial Accounting Standards Board (“FASB”) issued an accounting standards update (“ASU”) that provides temporary optional expedients and exceptions to the guidance on contract modifications and hedge accounting to ease the financial reporting burdens related to the expected market transition from LIBOR and other interbank offered rates to alternative reference rates, such as the Secured Overnight Financing Rate (“SOFR”). Entities can elect not to apply certain modification accounting requirements to contracts affected by reference rate reform, if certain criteria are met. An entity that makes this election would not have to remeasure the contracts at the modification date or reassess a previous accounting determination. Entities can also elect various optional expedients that would allow them to continue applying hedge accounting for hedging relationships affected by reference rate reform, if certain criteria are met. The guidance in this ASU is optional and may be elected now through December 31, 2024 as reference rate reform activities occur. We will continue to evaluate the impact of this ASU; however, we currently expect to avail ourselves of such optional expedients and exceptions should our modified contracts meet the required criteria.
v3.23.1
Variable Interest Entities (Tables)
3 Months Ended
Mar. 31, 2023
Variable Interest Entities [Abstract]  
Schedule of Variable Interest Entities The following table sets forth the assets and liabilities of the Midtown West joint venture included on our Consolidated Balance Sheets:
March 31,
2023
December 31,
2022
Net real estate assets$59,967 $59,854 
Cash and cash equivalents$1,919 $1,009 
Accounts receivable$992 $1,490 
Accrued straight-line rents receivable$3,130 $1,921 
Deferred leasing costs, net$2,641 $2,677 
Prepaid expenses and other assets, net$142 $153 
Accounts payable, accrued expenses and other liabilities$1,759 $1,212 
v3.23.1
Intangible Assets and Below Market Lease Liabilities (Tables)
3 Months Ended
Mar. 31, 2023
Goodwill and Intangible Assets Disclosure [Abstract]  
Total Intangible Assets and Below Market Lease Liabilities
The following table sets forth total intangible assets and acquisition-related below market lease liabilities, net of accumulated amortization:

March 31,
2023
December 31,
2022
Assets:
Deferred leasing costs (including lease incentives and above market lease and in-place lease acquisition-related intangible assets)$410,584 $416,579 
Less accumulated amortization(164,202)(163,751)
$246,382 $252,828 
Liabilities (in accounts payable, accrued expenses and other liabilities):
Acquisition-related below market lease liabilities$54,962 $55,304 
Less accumulated amortization(30,771)(29,859)
$24,191 $25,445 
Amortization of Intangible Assets and Below Market Lease Liabilities
The following table sets forth amortization of intangible assets and below market lease liabilities:

Three Months Ended
March 31,
20232022
Amortization of deferred leasing costs and acquisition-related intangible assets (in depreciation and amortization)$10,232 $11,245 
Amortization of lease incentives (in rental and other revenues)$714 $450 
Amortization of acquisition-related intangible assets (in rental and other revenues)$831 $830 
Amortization of acquisition-related below market lease liabilities (in rental and other revenues)$(1,254)$(1,367)
Scheduled Future Amortization of Intangible Assets and Below Market Lease Liabilities
The following table sets forth scheduled future amortization of intangible assets and below market lease liabilities:

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 Below Market Lease Liabilities (in Rental and Other Revenues)
April 1 through December 31, 2023$32,014 $1,687 $2,471 $(3,634)
202437,543 1,825 3,088 (4,219)
202530,506 1,733 2,220 (2,729)
202626,179 1,527 1,860 (2,514)
202722,386 1,325 1,518 (2,112)
Thereafter69,088 3,814 5,598 (8,983)
$217,716 $11,911 $16,755 $(24,191)
Weighted average remaining amortization periods as of March 31, 2023 (in years)7.77.57.48.3
v3.23.1
Mortgages and Notes Payable (Tables)
3 Months Ended
Mar. 31, 2023
Debt Disclosure [Abstract]  
Schedule of Consolidated Mortgages and Notes Payable
The following table sets forth our mortgages and notes payable:

March 31,
2023
December 31,
2022
Secured indebtedness$681,956 $483,988 
Unsecured indebtedness2,598,912 2,729,620 
Less-unamortized debt issuance costs(16,899)(16,393)
Total mortgages and notes payable, net$3,263,969 $3,197,215 
v3.23.1
Noncontrolling Interests (Tables)
3 Months Ended
Mar. 31, 2023
Highwoods Properties, Inc. [Member]  
Noncontrolling Interest [Line Items]  
Noncontrolling Interests in the Operating Partnership
The following table sets forth the Company’s noncontrolling interests in the Operating Partnership:

Three Months Ended
March 31,
20232022
Beginning noncontrolling interests in the Operating Partnership$65,977 $111,689 
Adjustment of noncontrolling interests in the Operating Partnership to fair value(11,102)3,168 
Net income attributable to noncontrolling interests in the Operating Partnership986 965 
Distributions to noncontrolling interests in the Operating Partnership(1,179)(1,252)
Total noncontrolling interests in the Operating Partnership$54,682 $114,570 
v3.23.1
Disclosure About Fair Value of Financial Instruments (Tables)
3 Months Ended
Mar. 31, 2023
Fair Value Disclosures [Abstract]  
Fair Value Measurements of Assets, Liabilities and Noncontrolling Interests
The following table sets forth our assets and liabilities and the Company’s noncontrolling interests in the Operating Partnership that are measured or disclosed at fair value within the fair value hierarchy:

Level 1Level 2
TotalQuoted Prices
in Active
Markets for Identical Assets or Liabilities
Significant Observable Inputs
Fair Value as of March 31, 2023:
Assets:
Mortgages and notes receivable, at fair value (1)
$998 $— $998 
Marketable securities of non-qualified deferred compensation plan (in prepaid expenses and other assets)
2,085 2,085 — 
Total Assets$3,083 $2,085 $998 
Noncontrolling Interests in the Operating Partnership$54,682 $54,682 $— 
Liabilities:
Mortgages and notes payable, net, at fair value (1)
$2,876,619 $— $2,876,619 
Non-qualified deferred compensation obligation (in accounts payable, accrued expenses and other liabilities)
2,085 2,085 — 
Total Liabilities
$2,878,704 $2,085 $2,876,619 
Fair Value as of December 31, 2022:
Assets:
Mortgages and notes receivable, at fair value (1)
$1,051 $— $1,051 
Marketable securities of non-qualified deferred compensation plan (in prepaid expenses and other assets)
2,564 2,564 — 
Total Assets$3,615 $2,564 $1,051 
Noncontrolling Interests in the Operating Partnership$65,977 $65,977 $— 
Liabilities:
Mortgages and notes payable, net, at fair value (1)
$2,832,973 $— $2,832,973 
Non-qualified deferred compensation obligation (in accounts payable, accrued expenses and other liabilities)
2,564 2,564 — 
Total Liabilities
$2,835,537 $2,564 $2,832,973 
__________
(1)    Amounts are not recorded at fair value on our Consolidated Balance Sheets as of March 31, 2023 and December 31, 2022.
v3.23.1
Earnings Per Share and Per Unit (Tables)
3 Months Ended
Mar. 31, 2023
Earnings Per Share and Per Unit Basic and Diluted [Line Items]  
Earnings Per Share
The following table sets forth the computation of basic and diluted earnings per share of the Company:

Three Months Ended
March 31,
20232022
Earnings per Common Share - basic:
Numerator:
Net income$44,954 $42,103 
Net (income) attributable to noncontrolling interests in the Operating Partnership
(986)(965)
Net (income)/loss attributable to noncontrolling interests in consolidated affiliates 487 (257)
Dividends on Preferred Stock(621)(621)
Net income available for common stockholders$43,834 $40,260 
Denominator:
Denominator for basic earnings per Common Share – weighted average shares (1)
105,288 104,933 
Net income available for common stockholders$0.42 $0.38 
Earnings per Common Share - diluted:
Numerator:
Net income$44,954 $42,103 
Net (income)/loss attributable to noncontrolling interests in consolidated affiliates487 (257)
Dividends on Preferred Stock(621)(621)
Net income available for common stockholders before net (income) attributable to noncontrolling interests in the Operating Partnership
$44,820 $41,225 
Denominator:
Denominator for basic earnings per Common Share – weighted average shares (1)
105,288 104,933 
Add:
Stock options using the treasury method— 15 
Noncontrolling interests Common Units2,358 2,505 
Denominator for diluted earnings per Common Share – adjusted weighted average shares and assumed conversions
107,646 107,453 
Net income available for common stockholders$0.42 $0.38 
__________
(1)Includes all unvested restricted stock where dividends on such restricted stock are non-forfeitable.
Highwoods Realty Limited Partnership  
Earnings Per Share and Per Unit Basic and Diluted [Line Items]  
Earnings Per Unit
The following table sets forth the computation of basic and diluted earnings per unit of the Operating Partnership:

Three Months Ended
March 31,
20232022
Earnings per Common Unit - basic:
Numerator:
Net income$44,954 $42,103 
Net (income)/loss attributable to noncontrolling interests in consolidated affiliates487 (257)
Distributions on Preferred Units(621)(621)
Net income available for common unitholders$44,820 $41,225 
Denominator:
Denominator for basic earnings per Common Unit – weighted average units (1)
107,237 107,029 
Net income available for common unitholders$0.42 $0.39 
Earnings per Common Unit - diluted:
Numerator:
Net income$44,954 $42,103 
Net (income)/loss attributable to noncontrolling interests in consolidated affiliates487 (257)
Distributions on Preferred Units(621)(621)
Net income available for common unitholders$44,820 $41,225 
Denominator:
Denominator for basic earnings per Common Unit – weighted average units (1)
107,237 107,029 
Add:
Stock options using the treasury method— 15 
Denominator for diluted earnings per Common Unit – adjusted weighted average units and assumed conversions
107,237 107,044 
Net income available for common unitholders$0.42 $0.39 
__________
(1)Includes all unvested restricted stock where distributions on such restricted stock are non-forfeitable
.
v3.23.1
Segment Information (Tables)
3 Months Ended
Mar. 31, 2023
Segment Reporting [Abstract]  
Reconciliation of Revenue from Segments to Consolidated
The following tables summarize the rental and other revenues and net operating income, the primary industry property-level performance metric used by our chief operating decision maker and which is defined as rental and other revenues less rental property and other expenses, for our office properties. Our segment information for the three months ended March 31, 2022 has been retrospectively revised from previously reported amounts to reflect a change in our reportable segments as a result of our plan to exit the Pittsburgh market.

Three Months Ended
March 31,
20232022
Rental and Other Revenues:
Atlanta$36,870 $35,554 
Charlotte21,580 16,944 
Nashville44,564 43,447 
Orlando14,394 13,312 
Raleigh45,878 46,296 
Richmond9,309 10,533 
Tampa25,391 24,023 
Total Office Segment197,986 190,109 
Other14,766 16,269 
Total Rental and Other Revenues$212,752 $206,378 
Reconciliation of Operating Profit (Loss) from Segments to Consolidated
Net Operating Income:
Atlanta$24,225 $23,681 
Charlotte16,110 13,050 
Nashville33,025 32,522 
Orlando8,772 8,137 
Raleigh33,606 34,715 
Richmond6,570 7,225 
Tampa16,404 15,946 
Total Office Segment138,712 135,276 
Other8,309 9,680 
Total Net Operating Income147,021 144,956 
Reconciliation to net income:
Depreciation and amortization(70,633)(69,667)
General and administrative expenses(12,415)(13,556)
Interest expense(33,098)(24,393)
Other income1,147 363 
Gains on disposition of property450 4,100 
Gain on deconsolidation of affiliate11,778 — 
Equity in earnings of unconsolidated affiliates704 300 
Net income$44,954 $42,103 
v3.23.1
Description of Business and Significant Accounting Policies (Details)
$ in Thousands, ft² in Millions
3 Months Ended
Mar. 31, 2023
USD ($)
ft²
numberOfEntities
shares
Mar. 31, 2022
USD ($)
Jan. 01, 2023
numberOfProperties
Description of Business [Abstract]      
Rentable square feet of commercial real estate properties (in sq feet) | ft² 28.8    
Rentable square feet of commercial real estate office properties under development (in sq feet) | ft² 1.6    
Rentable square feet of potential office build (in sq feet) | ft² 5.2    
Net proceeds of Common Stock sold during the period | $ $ (828) $ 4,173  
Number of VIE entities | numberOfEntities 6    
Number of deconsolidated joint venture properties | numberOfProperties     3
Self insurance liability | $ $ 500    
Highwoods Properties, Inc. [Member]      
Description of Business [Abstract]      
Common Units of partnership owned by the Company (in shares) | shares 105,000,000    
Percentage of ownership of Common Units (in hundredths) 97.80%    
Highwoods Properties, Inc. [Member] | ATM Equity Offering      
Description of Business [Abstract]      
Number of Common Stock sold during the period (in shares) | shares 0    
Highwoods Properties, Inc. [Member] | ATM Equity Offering | Maximum [Member]      
Description of Business [Abstract]      
Net proceeds of Common Stock sold during the period | $ $ 300,000    
Highwoods Realty Limited Partnership      
Description of Business [Abstract]      
Common Units of partnership not owned by the Company (in shares) | shares 2,400,000    
Variable Interest Entity, Primary Beneficiary [Member]      
Description of Business [Abstract]      
Number of VIE entities | numberOfEntities 1    
Variable Interest Entity, Non Primary Beneficiary [Member]      
Description of Business [Abstract]      
Number of VIE entities | numberOfEntities 5    
v3.23.1
Leases ASC 842 (Details) - USD ($)
$ in Millions
3 Months Ended
Mar. 31, 2023
Mar. 31, 2022
Lessor Disclosure [Abstract]    
Rental and other revenues related to operating lease payments $ 209.4 $ 203.6
Variable lease income $ 19.4 $ 17.4
Minimum [Member]    
Lessor Disclosure [Abstract]    
Operating leases, term of leases (in years) 3 years  
Maximum [Member]    
Lessor Disclosure [Abstract]    
Operating leases, term of leases (in years) 10 years  
v3.23.1
Investments in and Advances to Affiliates (Details)
$ in Thousands
3 Months Ended
Mar. 31, 2023
USD ($)
Mar. 31, 2022
USD ($)
Dec. 31, 2022
numberOfJointVentures
Schedule of Equity Method Investments [Line Items]      
Gain on deconsolidation of affiliate $ 11,778 $ 0  
Number of joint ventures formed | numberOfJointVentures     2
Highwoods-Markel Associates, LLC Joint Venture      
Schedule of Equity Method Investments [Line Items]      
Percentage of equity interest in joint venture (in hundredths) 50.00%    
Gain on deconsolidation of affiliate $ 11,800    
Granite Park Six JV, LLC      
Schedule of Equity Method Investments [Line Items]      
Percentage of equity interest in joint venture (in hundredths) 50.00%    
GPI23 Springs JV, LLC      
Schedule of Equity Method Investments [Line Items]      
Percentage of equity interest in joint venture (in hundredths) 50.00%    
M+O JV, LLC      
Schedule of Equity Method Investments [Line Items]      
Percentage of equity interest in joint venture (in hundredths) 50.00%    
Midtown East Tampa, LLC      
Schedule of Equity Method Investments [Line Items]      
Percentage of equity interest in joint venture (in hundredths) 50.00%    
Brand/HRLP 2827 Peachtree LLC      
Schedule of Equity Method Investments [Line Items]      
Percentage of equity interest in joint venture (in hundredths) 50.00%    
v3.23.1
Variable Interest Entities (Details) - USD ($)
Mar. 31, 2023
Dec. 31, 2022
Mar. 31, 2022
Variable Interest Entities [Line Items]      
Investments in and advances to unconsolidated affiliates $ 314,149,000 $ 269,221,000  
Assets and liabilities of consolidated variable interest entity [Abstract]      
Net real estate assets 5,089,639,000 5,126,925,000  
Cash and cash equivalents 15,733,000 21,357,000 $ 18,669,000
Accounts receivable 24,561,000 25,481,000  
Accrued straight-line rents receivable 302,080,000 293,674,000  
Deferred leasing costs, net 246,382,000 252,828,000  
Prepaid expense and other assets, net 70,570,000 68,091,000  
Accounts payable, accrued expenses and other liabilities 264,203,000 301,184,000  
Granite Park Six JV, LLC      
Variable Interest Entities [Line Items]      
Risk of loss limited to carrying value 41,000,000    
GPI23 Springs JV, LLC      
Variable Interest Entities [Line Items]      
Risk of loss limited to carrying value 46,900,000    
M+O JV, LLC      
Variable Interest Entities [Line Items]      
Risk of loss limited to carrying value 165,600,000    
Short-term Preferred Equity contributed to joint venture 80,000,000    
Midtown East Tampa, LLC      
Variable Interest Entities [Line Items]      
Risk of loss limited to carrying value 1,300,000    
Amount of loan funded to affiliate 0    
Brand/HRLP 2827 Peachtree LLC      
Variable Interest Entities [Line Items]      
Risk of loss limited to carrying value 44,600,000    
Amount of loan funded to affiliate 15,300,000    
Investments in and advances to unconsolidated affiliates $ 29,300,000    
HRLP MTW, LLC [Member]      
Variable Interest Entities [Line Items]      
Interest in joint venture (in hundredths) 80.00%    
Assets and liabilities of consolidated variable interest entity [Abstract]      
Net real estate assets $ 59,967,000 59,854,000  
Cash and cash equivalents 1,919,000 1,009,000  
Accounts receivable 992,000 1,490,000  
Accrued straight-line rents receivable 3,130,000 1,921,000  
Deferred leasing costs, net 2,641,000 2,677,000  
Prepaid expense and other assets, net 142,000 153,000  
Accounts payable, accrued expenses and other liabilities $ 1,759,000 $ 1,212,000  
v3.23.1
Intangible Assets and Below Market Lease Liabilities (Details) - USD ($)
$ in Thousands
3 Months Ended
Mar. 31, 2023
Mar. 31, 2022
Dec. 31, 2022
Assets:      
Deferred leasing costs (including lease incentives and above market lease and in-place lease acquisition-related intangible assets) $ 410,584   $ 416,579
Deferred leasing costs, accumulated amortization (164,202)   (163,751)
Deferred leasing costs, net/Total scheduled future amortization of intangible assets 246,382   252,828
Liabilities (in accounts payable, accrued expenses and other liabilities):      
Acquisition-related below market lease liabilities, gross 54,962   55,304
Acquisition-related below market lease liabilities, accumulated amortization (30,771)   (29,859)
Acquisition-related below market lease liabilities, net 24,191   $ 25,445
Deferred Leasing Costs and Acquisition-Related Intangible Assets (in Depreciation and Amortization) [Member]      
Assets:      
Deferred leasing costs, net/Total scheduled future amortization of intangible assets 217,716    
Amortization of intangible assets and below market lease liabilities [Abstract]      
Amortization of intangible assets 10,232 $ 11,245  
Lease Incentives (in Rental and Other Revenues) [Member]      
Assets:      
Deferred leasing costs, net/Total scheduled future amortization of intangible assets 11,911    
Amortization of intangible assets and below market lease liabilities [Abstract]      
Amortization of intangible assets 714 450  
Acquisition-Related Intangible Assets (in Rental and Other Revenues) [Member]      
Assets:      
Deferred leasing costs, net/Total scheduled future amortization of intangible assets 16,755    
Amortization of intangible assets and below market lease liabilities [Abstract]      
Amortization of intangible assets 831 830  
Acquisition-Related Below Market Lease Liabilities (in Rental and Other Revenues) [Member]      
Liabilities (in accounts payable, accrued expenses and other liabilities):      
Acquisition-related below market lease liabilities, net 24,191    
Amortization of intangible assets and below market lease liabilities [Abstract]      
Amortization of acquisition-related below market lease liabilities $ (1,254) $ (1,367)  
v3.23.1
Intangible Assets and Below Market Lease Liabilities - Scheduled Future Amortization (Details) - USD ($)
$ in Thousands
3 Months Ended
Mar. 31, 2023
Dec. 31, 2022
Scheduled future amortization of intangible assets [Abstract]    
Deferred leasing costs, net/Total scheduled future amortization of intangible assets $ 246,382 $ 252,828
Scheduled future amortization of below market lease liabilities [Abstract]    
Total scheduled future amortization of acquisition-related below market lease liabilities (24,191) $ (25,445)
Deferred Leasing Costs and Acquisition-Related Intangible Assets (in Depreciation and Amortization) [Member]    
Scheduled future amortization of intangible assets [Abstract]    
April1 through December 31, 2023 32,014  
2024 37,543  
2025 30,506  
2026 26,179  
2027 22,386  
Thereafter 69,088  
Deferred leasing costs, net/Total scheduled future amortization of intangible assets $ 217,716  
Weighted average remaining amortization periods for intangible assets and below market lease liabilities [Abstract]    
Finite-lived intangible assets, average useful life (in years) 7 years 8 months 12 days  
Lease Incentives (in Rental and Other Revenues) [Member]    
Scheduled future amortization of intangible assets [Abstract]    
April1 through December 31, 2023 $ 1,687  
2024 1,825  
2025 1,733  
2026 1,527  
2027 1,325  
Thereafter 3,814  
Deferred leasing costs, net/Total scheduled future amortization of intangible assets $ 11,911  
Weighted average remaining amortization periods for intangible assets and below market lease liabilities [Abstract]    
Finite-lived intangible assets, average useful life (in years) 7 years 6 months  
Acquisition-Related Intangible Assets (in Rental and Other Revenues) [Member]    
Scheduled future amortization of intangible assets [Abstract]    
April1 through December 31, 2023 $ 2,471  
2024 3,088  
2025 2,220  
2026 1,860  
2027 1,518  
Thereafter 5,598  
Deferred leasing costs, net/Total scheduled future amortization of intangible assets $ 16,755  
Weighted average remaining amortization periods for intangible assets and below market lease liabilities [Abstract]    
Finite-lived intangible assets, average useful life (in years) 7 years 4 months 24 days  
Acquisition-Related Below Market Lease Liabilities (in Rental and Other Revenues) [Member]    
Scheduled future amortization of below market lease liabilities [Abstract]    
April 1 through December 31, 2023 $ (3,634)  
2024 (4,219)  
2025 (2,729)  
2026 (2,514)  
2027 (2,112)  
Thereafter (8,983)  
Total scheduled future amortization of acquisition-related below market lease liabilities $ (24,191)  
Weighted average remaining amortization periods for intangible assets and below market lease liabilities [Abstract]    
Finite-lived below market lease liabilities, average useful life (in years) 8 years 3 months 18 days  
v3.23.1
Mortgages and Notes Payable (Details)
3 Months Ended
Mar. 31, 2023
USD ($)
extension
Apr. 21, 2023
USD ($)
Apr. 18, 2023
USD ($)
Dec. 31, 2022
USD ($)
Debt Instrument [Line Items]        
Mortgages and notes payable $ 3,263,969,000     $ 3,197,215,000
Unamortized debt issuance costs $ (16,899,000)     (16,393,000)
Maximum liquidity requirements 1 year      
Revolving Credit Facility [Member]        
Debt Instrument [Line Items]        
Additional borrowing capacity on revolving credit facility $ 200,000,000      
Number of additional extensions | extension 2      
Term of optional extension 6 months      
Temporary reduction in interest rate due to sustainability goals (in hundredths) 0.01%      
Amount outstanding on revolving credit facility $ 255,000,000      
Outstanding letters of credit on revolving credit facility 900,000      
Unused borrowing capacity on revolving credit facility 494,100,000      
5.69% Mortgage Loan Due 2028 [Member]        
Debt Instrument [Line Items]        
Principal amount of debt $ 200,000,000      
Term of debt instrument 5 years      
Effective interest rate (in hundredths) 5.69%      
Debt issuance costs $ 1,300,000      
Secured indebtedness [Member]        
Debt Instrument [Line Items]        
Mortgages and notes payable 681,956,000     483,988,000
Aggregate undepreciated book value of secured real estate assets 1,157,200,000      
Unsecured indebtedness [Member]        
Debt Instrument [Line Items]        
Mortgages and notes payable $ 2,598,912,000     $ 2,729,620,000
Secured Overnight Financing Rate (SOFR) Overnight Index Swap Rate | Revolving Credit Facility [Member]        
Debt Instrument [Line Items]        
Facility interest rate basis SOFR      
Interest rate, basis spread (in hundredths) 0.85%      
Annual facility fee (in hundredths) 0.20%      
SOFR Related Spread Adjustment [Member] | Revolving Credit Facility [Member]        
Debt Instrument [Line Items]        
Interest rate, basis spread (in hundredths) 0.10%      
Subsequent Event [Member] | Revolving Credit Facility [Member]        
Debt Instrument [Line Items]        
Maximum borrowing capacity on credit facility   $ 750,000,000    
Amount outstanding on revolving credit facility     $ 257,000,000  
Outstanding letters of credit on revolving credit facility     900,000  
Unused borrowing capacity on revolving credit facility     $ 492,100,000  
v3.23.1
Noncontrolling Interests (Details) - USD ($)
$ in Thousands
3 Months Ended
Mar. 31, 2023
Mar. 31, 2022
Noncontrolling Interests in the Operating Partnership [Roll Forward]    
Beginning noncontrolling interests in the Operating Partnership $ 65,977  
Adjustment of noncontrolling interests in the Operating Partnership to fair value (11,102) $ 3,168
Net income attributable to noncontrolling interests in the Operating Partnership 986 965
Distributions to noncontrolling interests in the Operating Partnership (1,179) (1,252)
Total noncontrolling interests in the Operating Partnership 54,682  
Highwoods Properties, Inc. [Member]    
Noncontrolling Interests in the Operating Partnership [Roll Forward]    
Beginning noncontrolling interests in the Operating Partnership 65,977 111,689
Adjustment of noncontrolling interests in the Operating Partnership to fair value (11,102) 3,168
Net income attributable to noncontrolling interests in the Operating Partnership 986 965
Distributions to noncontrolling interests in the Operating Partnership (1,179) (1,252)
Total noncontrolling interests in the Operating Partnership $ 54,682 $ 114,570
Midtown West Joint Venture [Member]    
Noncontrolling Interests in Consolidated Affiliates [Abstract]    
Consolidated joint venture, partner's interest (in hundredths) 20.00%  
v3.23.1
Disclosure About Fair Value of Financial Instruments - Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis (Details) - USD ($)
$ in Thousands
Mar. 31, 2023
Dec. 31, 2022
Assets:    
Mortgages and notes receivable, at fair value $ 998 $ 1,051
Marketable securities of non-qualified deferred compensation plan (in prepaid expenses and other assets) 2,085 2,564
Total Assets 3,083 3,615
Liabilities:    
Mortgages and notes payable, net, at fair value 2,876,619 2,832,973
Non-qualified deferred compensation obligation (in accounts payable, accrued expenses and other liabilities) 2,085 2,564
Total Liabilities 2,878,704 2,835,537
Level 1 [Member]    
Assets:    
Mortgages and notes receivable, at fair value 0 0
Marketable securities of non-qualified deferred compensation plan (in prepaid expenses and other assets) 2,085 2,564
Total Assets 2,085 2,564
Liabilities:    
Mortgages and notes payable, net, at fair value 0 0
Non-qualified deferred compensation obligation (in accounts payable, accrued expenses and other liabilities) 2,085 2,564
Total Liabilities 2,085 2,564
Level 2 [Member]    
Assets:    
Mortgages and notes receivable, at fair value 998 1,051
Marketable securities of non-qualified deferred compensation plan (in prepaid expenses and other assets) 0 0
Total Assets 998 1,051
Liabilities:    
Mortgages and notes payable, net, at fair value 2,876,619 2,832,973
Non-qualified deferred compensation obligation (in accounts payable, accrued expenses and other liabilities) 0 0
Total Liabilities 2,876,619 2,832,973
Highwoods Properties, Inc. [Member]    
Assets:    
Noncontrolling Interests in the Operating Partnership 54,682 65,977
Highwoods Properties, Inc. [Member] | Level 1 [Member]    
Assets:    
Noncontrolling Interests in the Operating Partnership 54,682 65,977
Highwoods Properties, Inc. [Member] | Level 2 [Member]    
Assets:    
Noncontrolling Interests in the Operating Partnership $ 0 $ 0
v3.23.1
Fair Value Measures and Disclosures - Fair Value Measurement Inputs and Valuation Techniques (Details) - USD ($)
$ in Millions
Mar. 31, 2023
Jan. 01, 2023
Valuation Technique and Input [Abstract]    
Fair value of Level 3 investment   $ 57.1
Measurement Input, Discount Rate [Member]    
Valuation Technique and Input [Abstract]    
Investment key assumptions (in hundredths) 10.80%  
Measurement Input, Cap Rate [Member]    
Valuation Technique and Input [Abstract]    
Investment key assumptions (in hundredths) 8.80%  
v3.23.1
Share-Based Payments (Details) - USD ($)
$ / shares in Units, $ in Thousands
3 Months Ended
Mar. 31, 2023
Mar. 31, 2022
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]    
Share-based compensation expense $ 4,525 $ 5,291
Total unrecognized share-based compensation costs $ 6,400  
Weighted average remaining contractual term for recognition of unrecognized share-based compensation costs (in years) 2 years 6 months  
Highwoods Properties, Inc. [Member] | Time-Based Restricted Stock [Member]    
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]    
Restricted stock shares granted (in shares) 150,249  
Weighted average grant date fair value of each restricted stock share granted (in dollars per share) $ 26.50  
Highwoods Properties, Inc. [Member] | Total Return-Based Restricted Stock [Member]    
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]    
Restricted stock shares granted (in shares) 122,484  
Weighted average grant date fair value of each restricted stock share granted (in dollars per share) $ 27.13  
v3.23.1
Earnings Per Share and Per Unit (Details) - USD ($)
$ / shares in Units, shares in Thousands, $ in Thousands
3 Months Ended
Mar. 31, 2023
Mar. 31, 2022
Earnings per Common Share and Per Unit - basic: [Abstract]    
Net income $ 44,954 $ 42,103
Net (income) attributable to noncontrolling interests in the Operating Partnership (986) (965)
Net (income)/loss attributable to noncontrolling interests in consolidated affiliates 487 (257)
Dividends on Preferred Stock (621) (621)
Net income available for common stockholders $ 43,834 $ 40,260
Denominator:    
Denominator for basic earnings per Common Share - weighted average shares (in shares) 105,288 104,933
Earnings per Common Share - basic:    
Net income available for common stockholders (in dollars per share) $ 0.42 $ 0.38
Earnings per Common Share and Per Unit - diluted: [Abstract]    
Net income $ 44,954 $ 42,103
Net (income)/loss attributable to noncontrolling interests in consolidated affiliates 487 (257)
Dividends on Preferred Stock (621) (621)
Net income available for common stockholders before net (income) attributable to noncontrolling interests in the Operating Partnership $ 44,820 $ 41,225
Denominator:    
Denominator for basic earnings per Common Share - weighted average shares (in shares) 105,288 104,933
Stock options using the treasury method (in shares) 0 15
Noncontrolling interests Common Units (in shares) 2,358 2,505
Denominator for diluted earnings per Common Share - adjusted weighted average shares and assumed conversions (in shares) 107,646 107,453
Earnings per Common Share - diluted:    
Net income available for common stockholders (in dollars per share) $ 0.42 $ 0.38
Highwoods Realty Limited Partnership    
Earnings per Common Share and Per Unit - basic: [Abstract]    
Net income $ 44,954 $ 42,103
Net (income)/loss attributable to noncontrolling interests in consolidated affiliates 487 (257)
Distributions on Preferred Units (621) (621)
Net income available for common unitholders $ 44,820 $ 41,225
Denominator:    
Denominator for basic earnings per Common Unit - weighted average units (in shares) 107,237 107,029
Earnings per Common Unit - basic:    
Net income available for common unitholders (in dollars per share) $ 0.42 $ 0.39
Earnings per Common Share and Per Unit - diluted: [Abstract]    
Net income $ 44,954 $ 42,103
Net (income)/loss attributable to noncontrolling interests in consolidated affiliates 487 (257)
Distributions on Preferred Units (621) (621)
Net income available for common unitholders $ 44,820 $ 41,225
Denominator:    
Denominator for basic earnings per Common Unit - weighted average units (in shares) 107,237 107,029
Stock options using the treasury method (in shares) 0 15
Denominator for diluted earnings per Common Unit - adjusted weighted average units and assumed conversions (in shares) 107,237 107,044
Earnings per Common Unit - diluted:    
Net income available for common unitholders (in dollars per share) $ 0.42 $ 0.39
v3.23.1
Segment Information (Details) - USD ($)
$ in Thousands
3 Months Ended
Mar. 31, 2023
Mar. 31, 2022
Segment Reporting Information [Line Items]    
Total Rental and Other Revenues $ 212,752 $ 206,378
Total Net Operating Income 147,021 144,956
Reconciliation to net income:    
Depreciation and amortization (70,633) (69,667)
General and administrative expenses (12,415) (13,556)
Interest expense (33,098) (24,393)
Other income 1,147 363
Gains on disposition of property 450 4,100
Gain on deconsolidation of affiliate 11,778 0
Equity in earnings of unconsolidated affiliates 704 300
Net income 44,954 42,103
Total Office Segment [Member]    
Segment Reporting Information [Line Items]    
Total Rental and Other Revenues 197,986 190,109
Total Net Operating Income 138,712 135,276
Office Atlanta, GA [Member]    
Segment Reporting Information [Line Items]    
Total Rental and Other Revenues 36,870 35,554
Total Net Operating Income 24,225 23,681
Office Charlotte, NC [Member]    
Segment Reporting Information [Line Items]    
Total Rental and Other Revenues 21,580 16,944
Total Net Operating Income 16,110 13,050
Office Nashville, TN [Member]    
Segment Reporting Information [Line Items]    
Total Rental and Other Revenues 44,564 43,447
Total Net Operating Income 33,025 32,522
Office Orlando, FL [Member]    
Segment Reporting Information [Line Items]    
Total Rental and Other Revenues 14,394 13,312
Total Net Operating Income 8,772 8,137
Office Raleigh, NC [Member]    
Segment Reporting Information [Line Items]    
Total Rental and Other Revenues 45,878 46,296
Total Net Operating Income 33,606 34,715
Office Richmond, VA [Member]    
Segment Reporting Information [Line Items]    
Total Rental and Other Revenues 9,309 10,533
Total Net Operating Income 6,570 7,225
Office Tampa, FL [Member]    
Segment Reporting Information [Line Items]    
Total Rental and Other Revenues 25,391 24,023
Total Net Operating Income 16,404 15,946
Other [Member]    
Segment Reporting Information [Line Items]    
Total Rental and Other Revenues 14,766 16,269
Total Net Operating Income $ 8,309 $ 9,680
v3.23.1
Subsequent Events (Details) - USD ($)
3 Months Ended
Apr. 21, 2023
Apr. 19, 2023
Mar. 31, 2023
Mar. 31, 2022
Revolving Credit Facility [Member] | Secured Overnight Financing Rate (SOFR) Overnight Index Swap Rate        
Subsequent Event [Line Items]        
Interest rate, basis spread (in hundredths)     0.85%  
Highwoods Properties, Inc. [Member]        
Subsequent Event [Line Items]        
Dividends declared per share of Common Stock (in dollars per share)     $ 0.50 $ 0.50
Subsequent Event [Member]        
Subsequent Event [Line Items]        
Net proceeds from redemption of short-term Preferred Equity $ 40,000,000      
Subsequent Event [Member] | Revolving Credit Facility [Member]        
Subsequent Event [Line Items]        
Maximum borrowing capacity on credit facility 750,000,000      
Subsequent Event [Member] | M+O JV, LLC        
Subsequent Event [Line Items]        
Short-term Preferred Equity contributed to joint venture $ 80,000,000      
Interest rate, basis spread (in hundredths) 3.50%      
Subsequent Event [Member] | M+O JV, LLC | Secured Overnight Financing Rate (SOFR) Overnight Index Swap Rate        
Subsequent Event [Line Items]        
Variable interest rate basis SOFR      
Subsequent Event [Member] | Highwoods Properties, Inc. [Member]        
Subsequent Event [Line Items]        
Dividends declared per share of Common Stock (in dollars per share)   $ 0.50