HIGHWOODS PROPERTIES, INC., 10-Q filed on 7/25/2013
Quarterly Report
Document and Entity Information Document
6 Months Ended
Jun. 30, 2013
Jul. 18, 2013
Entity Information [Line Items]
 
 
Entity Registrant Name
HIGHWOODS PROPERTIES INC. 
 
Entity Central Index Key
0000921082 
 
Current Fiscal Year End Date
--12-31 
 
Entity Filer Category
Large Accelerated Filer 
 
Document Type
10-Q 
 
Document Period End Date
Jun. 30, 2013 
 
Document Fiscal Year Focus
2013 
 
Document Fiscal Period Focus
Q2 
 
Amendment Flag
false 
 
Entity Common Stock, Shares Outstanding
 
84,483,948 
Entity Well-known Seasoned Issuer
Yes 
 
Entity Voluntary Filers
No 
 
Entity Current Reporting Status
Yes 
 
Highwoods Realty Limited Partnership [Member]
 
 
Entity Information [Line Items]
 
 
Entity Registrant Name
HIGHWOODS REALTY LIMITED PARTNERSHIP 
 
Entity Central Index Key
0000941713 
 
Current Fiscal Year End Date
--12-31 
 
Entity Filer Category
Non-accelerated Filer 
 
Document Type
10-Q 
 
Document Period End Date
Jun. 30, 2013 
 
Document Fiscal Year Focus
2013 
 
Document Fiscal Period Focus
Q2 
 
Amendment Flag
false 
 
Entity Well-known Seasoned Issuer
Yes 
 
Entity Voluntary Filers
No 
 
Entity Current Reporting Status
Yes 
 
Consolidated Balance Sheets (USD $)
In Thousands, unless otherwise specified
Jun. 30, 2013
Dec. 31, 2012
Real estate assets, at cost:
 
 
Land
$ 389,431 
$ 365,762 
Buildings and tenant improvements
3,482,057 
3,253,805 
Development in process
37,559 
21,198 
Land held for development
120,580 
115,416 
Total real estate assets
4,029,627 
3,756,181 
Less-accumulated depreciation
(978,777)
(929,598)
Net real estate assets
3,050,850 
2,826,583 
Real estate and other assets, net, held for sale
0 
47,508 
Cash and cash equivalents
10,122 
13,783 
Restricted cash
15,987 
19,702 
Accounts receivable, net of allowance of $1,465 and $2,848, respectively
25,266 
23,073 
Mortgages and notes receivable, net of allowance of $376 and $182, respectively
25,583 
25,472 
Accrued straight-line rents receivable, net of allowance of $853 and $857, respectively
122,742 
115,030 
Investments in and advances to unconsolidated affiliates
65,272 
66,800 
Deferred financing and leasing costs, net of accumulated amortization of $85,548 and $76,840, respectively
181,802 
168,019 
Prepaid expenses and other assets, net of accumulated amortization of $12,561 and $12,318, respectively
41,959 
44,458 
Total Assets
3,539,583 
3,350,428 
Liabilities, Noncontrolling Interests in the Operating Partnership and Equity:
 
 
Mortgages and notes payable
1,931,655 
1,859,162 
Accounts payable, accrued expenses and other liabilities
185,087 
172,146 
Financing obligations
28,392 
29,358 
Total Liabilities
2,145,134 
2,060,666 
Commitments and contingencies
   
   
Noncontrolling interests in the Operating Partnership
130,351 
124,869 
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; 29,077 shares issued and outstanding)
29,077 
29,077 
Common Stock, $.01 par value, 200,000,000 authorized shares; 83,968,412 and 80,311,437 shares issued and outstanding, respectively
840 
803 
Additional paid-in capital
2,160,698 
2,040,306 
Distributions in excess of net income available for common stockholders
(927,110)
(897,418)
Accumulated other comprehensive loss
(4,142)
(12,628)
Total Stockholders’ Equity
1,259,363 
1,160,140 
Noncontrolling interests in consolidated affiliates
4,735 
4,753 
Total Equity
1,264,098 
1,164,893 
Total Liabilities, Noncontrolling Interests in the Operating Partnership and Equity
3,539,583 
3,350,428 
Highwoods Realty Limited Partnership [Member]
 
 
Real estate assets, at cost:
 
 
Land
389,431 
365,762 
Buildings and tenant improvements
3,482,057 
3,253,805 
Development in process
37,559 
21,198 
Land held for development
120,580 
115,416 
Total real estate assets
4,029,627 
3,756,181 
Less-accumulated depreciation
(978,777)
(929,598)
Net real estate assets
3,050,850 
2,826,583 
Real estate and other assets, net, held for sale
0 
47,508 
Cash and cash equivalents
10,205 
13,867 
Restricted cash
15,987 
19,702 
Accounts receivable, net of allowance of $1,465 and $2,848, respectively
25,266 
23,073 
Mortgages and notes receivable, net of allowance of $376 and $182, respectively
25,583 
25,472 
Accrued straight-line rents receivable, net of allowance of $853 and $857, respectively
122,742 
115,030 
Investments in and advances to unconsolidated affiliates
64,249 
65,813 
Deferred financing and leasing costs, net of accumulated amortization of $85,548 and $76,840, respectively
181,802 
168,019 
Prepaid expenses and other assets, net of accumulated amortization of $12,561 and $12,318, respectively
41,864 
44,458 
Total Assets
3,538,548 
3,349,525 
Liabilities, Noncontrolling Interests in the Operating Partnership and Equity:
 
 
Mortgages and notes payable
1,931,655 
1,859,162 
Accounts payable, accrued expenses and other liabilities
185,041 
172,026 
Financing obligations
28,392 
29,358 
Total Liabilities
2,145,088 
2,060,546 
Commitments and contingencies
   
   
Redeemable Operating Partnership Units:
 
 
Common Units, 3,660,545 and 3,733,016 outstanding, respectively
130,351 
124,869 
Series A Preferred Units (liquidation preference $1,000 per unit), 29,077 units issued and outstanding
29,077 
29,077 
Total Redeemable Operating Partnership Units
159,428 
153,946 
Equity:
 
 
General partner Common Units, 872,201 and 836,356 outstanding, respectively
12,332 
11,427 
Limited partner Common Units, 82,687,402 and 79,066,272 outstanding, respectively
1,221,107 
1,131,481 
Accumulated other comprehensive loss
(4,142)
(12,628)
Noncontrolling interests in consolidated affiliates
4,735 
4,753 
Total Equity
1,234,032 
1,135,033 
Total Liabilities, Noncontrolling Interests in the Operating Partnership and Equity
$ 3,538,548 
$ 3,349,525 
Consolidated Balance Sheets (Parenthetical) (USD $)
In Thousands, except Share data, unless otherwise specified
6 Months Ended 12 Months Ended
Jun. 30, 2013
Dec. 31, 2012
Assets:
 
 
Accounts receivable allowance
$ 1,465 
$ 2,848 
Mortgages and notes receivable allowance
376 
182 
Accrued straight-line rents receivable allowance
853 
857 
Deferred financing and leasing costs, accumulated amortization
85,548 
76,840 
Prepaid expenses and other assets, accumulated amortization
12,561 
12,318 
Preferred Stock, Dividend Rate, Percentage
8.625% 
8.625% 
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, liquidation preference (in dollars per share)
$ 1,000 
$ 1,000 
Series A Preferred Stock, shares issued (in shares)
29,077 
29,077 
Series A Preferred Stock, shares outstanding (in shares)
29,077 
29,077 
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)
83,968,412 
80,311,437 
Common Stock, shares outstanding (in shares)
83,968,412 
80,311,437 
Highwoods Realty Limited Partnership [Member]
 
 
Assets:
 
 
Accounts receivable allowance
1,465 
2,848 
Mortgages and notes receivable allowance
376 
182 
Accrued straight-line rents receivable allowance
853 
857 
Deferred financing and leasing costs, accumulated amortization
85,548 
76,840 
Prepaid expenses and other assets, accumulated amortization
$ 12,561 
$ 12,318 
Redeemable Operating Partnership Units: [Abstract]
 
 
Redeemable Common Units outstanding (in shares)
3,660,545 
3,733,016 
Series A Preferred Units, liquidation preference (in dollars per share)
$ 1,000 
$ 1,000 
Series A Preferred Units, issued (in shares)
29,077 
29,077 
Series A Preferred Units, outstanding (in shares)
29,077 
29,077 
Common Units: [Abstract]
 
 
General partners' capital account, units outstanding (in shares)
872,201 
836,356 
Limited partners' capital account, units outstanding (in shares)
82,687,402 
79,066,272 
Consolidated Statements of Income (USD $)
In Thousands, except Per Share data, unless otherwise specified
3 Months Ended 6 Months Ended
Jun. 30, 2013
Jun. 30, 2012
Jun. 30, 2013
Jun. 30, 2012
Rental and other revenues
$ 138,515 
$ 126,728 
$ 274,631 
$ 250,762 
Operating expenses:
 
 
 
 
Rental property and other expenses
49,633 
45,884 
98,372 
90,066 
Depreciation and amortization
42,394 
38,991 
84,208 
75,687 
Impairments of real estate assets
1,066 
0 
1,066 
0 
General and administrative
8,397 
8,900 
18,979 
18,573 
Total operating expenses
101,490 
93,775 
202,625 
184,326 
Interest expense:
 
 
 
 
Contractual
22,398 
23,548 
45,196 
47,399 
Amortization of deferred financing costs
948 
900 
1,897 
1,802 
Financing obligations
(60)
(76)
61 
(152)
Total interest expense
23,286 
24,372 
47,154 
49,049 
Other income:
 
 
 
 
Interest and other income
1,617 
1,737 
3,400 
3,967 
Losses on debt extinguishment
0 
(973)
(164)
(973)
Total other income
1,617 
764 
3,236 
2,994 
Income from continuing operations before disposition of property and condominiums and equity in earnings of unconsolidated affiliates
15,356 
9,345 
28,088 
20,381 
Losses on disposition of property
(37)
0 
(37)
0 
Gains on for-sale residential condominiums
0 
110 
0 
175 
Equity in earnings of unconsolidated affiliates
913 
1,508 
1,349 
1,346 
Income from continuing operations
16,232 
10,963 
29,400 
21,902 
Discontinued operations:
 
 
 
 
Income from discontinued operations
184 
2,150 
245 
4,409 
Net gains on disposition of discontinued operations
13,163 
1,385 
13,694 
6,519 
Total discontinued operations
13,347 
3,535 
13,939 
10,928 
Net income
29,579 
14,498 
43,339 
32,830 
Net (income) attributable to noncontrolling interests in the Operating Partnership
(1,243)
(686)
(1,824)
(1,513)
Net (income) attributable to noncontrolling interests in consolidated affiliates
(187)
(223)
(390)
(407)
Dividends on Preferred Stock
(627)
(627)
(1,254)
(1,254)
Net income available for common stockholders
27,522 
12,962 
39,871 
29,656 
Earnings per Common Share – basic:
 
 
 
 
Income from continuing operations available for common stockholders (in dollars per share)
$ 0.18 
$ 0.13 
$ 0.33 
$ 0.26 
Income from discontinued operations available for common stockholders (in dollars per share)
$ 0.15 
$ 0.04 
$ 0.16 
$ 0.14 
Net income available for common stockholders (in dollars per share)
$ 0.33 
$ 0.17 
$ 0.49 
$ 0.40 
Weighted average Common Shares outstanding - basic (in shares)
82,811 1 2
74,662 1 2
81,925 1 2
73,749 1 2
Earnings per Common Share - diluted:
 
 
 
 
Income from continuing operations available for common stockholders (in dollars per share)
$ 0.18 
$ 0.13 
$ 0.33 
$ 0.26 
Income from discontinued operations available for common stockholders (in dollars per share)
$ 0.15 
$ 0.04 
$ 0.16 
$ 0.14 
Net income available for common stockholders (in dollars per share)
$ 0.33 
$ 0.17 
$ 0.49 
$ 0.40 
Weighted average Common Shares outstanding - diluted (in shares)
86,631 2
78,521 2
85,752 2
77,601 2
Dividends declared per Common Share (in dollars per share)
$ 0.425 
$ 0.425 
$ 0.850 
$ 0.850 
Net income available for common stockholders:
 
 
 
 
Income from continuing operations available for common stockholders
14,746 
9,596 
26,529 
19,259 
Income from discontinued operations available for common stockholders
12,776 
3,366 
13,342 
10,397 
Net income available for common stockholders
27,522 
12,962 
39,871 
29,656 
Highwoods Realty Limited Partnership [Member]
 
 
 
 
Rental and other revenues
138,515 
126,728 
274,631 
250,762 
Operating expenses:
 
 
 
 
Rental property and other expenses
49,611 
45,825 
98,376 
89,945 
Depreciation and amortization
42,394 
38,991 
84,208 
75,687 
Impairments of real estate assets
1,066 
0 
1,066 
0 
General and administrative
8,419 
8,959 
18,975 
18,694 
Total operating expenses
101,490 
93,775 
202,625 
184,326 
Interest expense:
 
 
 
 
Contractual
22,398 
23,548 
45,196 
47,399 
Amortization of deferred financing costs
948 
900 
1,897 
1,802 
Financing obligations
(60)
(76)
61 
(152)
Total interest expense
23,286 
24,372 
47,154 
49,049 
Other income:
 
 
 
 
Interest and other income
1,617 
1,737 
3,400 
3,967 
Losses on debt extinguishment
0 
(973)
(164)
(973)
Total other income
1,617 
764 
3,236 
2,994 
Income from continuing operations before disposition of property and condominiums and equity in earnings of unconsolidated affiliates
15,356 
9,345 
28,088 
20,381 
Losses on disposition of property
(37)
0 
(37)
0 
Gains on for-sale residential condominiums
0 
110 
0 
175 
Equity in earnings of unconsolidated affiliates
916 
1,511 
1,299 
1,351 
Income from continuing operations
16,235 
10,966 
29,350 
21,907 
Discontinued operations:
 
 
 
 
Income from discontinued operations
184 
2,150 
245 
4,409 
Net gains on disposition of discontinued operations
13,163 
1,385 
13,694 
6,519 
Total discontinued operations
13,347 
3,535 
13,939 
10,928 
Net income
29,582 
14,501 
43,289 
32,835 
Net (income) attributable to noncontrolling interests in consolidated affiliates
(187)
(223)
(390)
(407)
Distributions on Preferred Units
(627)
(627)
(1,254)
(1,254)
Net income available for common unitholders
28,768 
13,651 
41,645 
31,174 
Earnings per Common Unit - basic:
 
 
 
 
Income from continuing operations available for common unitholders (in dollars per share)
$ 0.18 
$ 0.13 
$ 0.33 
$ 0.26 
Income from discontinued operations available for common unitholders (in dollars per share)
$ 0.15 
$ 0.05 
$ 0.16 
$ 0.14 
Net income available for common unitholders (in dollars per share)
$ 0.33 
$ 0.18 
$ 0.49 
$ 0.40 
Weighted average Common Units outstanding - basic (in shares)
86,090 1 2 3
77,971 1 3
85,223 1 3
77,063 1 3
Earnings per Common Unit - diluted:
 
 
 
 
Income from continuing operations available for common unitholders (in dollars per share)
0.18 
0.13 
0.33 
0.26 
Income from discontinued operations available for common unitholders (in dollars per share)
0.15 
0.04 
0.16 
0.14 
Net income available for common unitholders (in dollars per share)
0.33 
0.17 
0.49 
0.40 
Weighted average Common Units outstanding - diluted (in shares)
86,222 3
78,112 2 3
85,343 3
77,192 3
Distributions declared per Common Unit (in dollars per unit)
$ 0.425 
$ 0.425 
$ 0.850 
$ 0.850 
Net income available for common unitholders:
 
 
 
 
Income from continuing operations available for common unitholders
15,421 
10,116 
27,706 
20,246 
Total discontinued operations
13,347 
3,535 
13,939 
10,928 
Net income available for common unitholders
$ 28,768 
$ 13,651 
$ 41,645 
$ 31,174 
Consolidated Statements of Comprehensive Income (USD $)
In Thousands, unless otherwise specified
3 Months Ended 6 Months Ended
Jun. 30, 2013
Jun. 30, 2012
Jun. 30, 2013
Jun. 30, 2012
Comprehensive income:
 
 
 
 
Net income
$ 29,579 
$ 14,498 
$ 43,339 
$ 32,830 
Other comprehensive income:
 
 
 
 
Unrealized gains/(losses) on tax increment financing bond
(91)
296 
299 
583 
Unrealized gains/(losses) on cash flow hedges
6,319 
(7,481)
6,599 
(7,087)
Amortization of cash flow hedges
800 1
782 1
1,588 1
1,459 1
Total other comprehensive income/(loss)
7,028 
(6,403)
8,486 
(5,045)
Total comprehensive income
36,607 
8,095 
51,825 
27,785 
Less-comprehensive (income) attributable to noncontrolling interests
(1,430)
(909)
(2,214)
(1,920)
Comprehensive income attributable to common stockholders
35,177 
7,186 
49,611 
25,865 
Highwoods Realty Limited Partnership [Member]
 
 
 
 
Comprehensive income:
 
 
 
 
Net income
29,582 
14,501 
43,289 
32,835 
Other comprehensive income:
 
 
 
 
Unrealized gains/(losses) on tax increment financing bond
(91)
296 
299 
583 
Unrealized gains/(losses) on cash flow hedges
6,319 
(7,481)
6,599 
(7,087)
Amortization of cash flow hedges
800 
782 
1,588 
1,459 
Total other comprehensive income/(loss)
7,028 
(6,403)
8,486 
(5,045)
Total comprehensive income
36,610 
8,098 
51,775 
27,790 
Less-comprehensive (income) attributable to noncontrolling interests
(187)
(223)
(390)
(407)
Comprehensive income attributable to common stockholders
$ 36,423 
$ 7,875 
$ 51,385 
$ 27,383 
Consolidated Statements of Equity (USD $)
In Thousands, except Share data, unless otherwise specified
Total
Highwoods Realty Limited Partnership [Member]
Common Stock [Member]
Series A Cumulative Redeemable Preferred Shares [Member]
General Partner Common Units [Member]
Highwoods Realty Limited Partnership [Member]
Limited Partner Common Units [Member]
Highwoods Realty Limited Partnership [Member]
Additional Paid-in Capital [Member]
Accumulated Other Comprehensive Income (Loss) [Member]
Accumulated Other Comprehensive Income (Loss) [Member]
Highwoods Realty Limited Partnership [Member]
Noncontrolling Interests in Consolidated Affiliates [Member]
Noncontrolling Interests in Consolidated Affiliates [Member]
Highwoods Realty Limited Partnership [Member]
Distributions in Excess of Net Income Available for Common Stockholders [Member]
Balance at Dec. 31, 2011
$ 986,859 
$ 956,674 
$ 726 
$ 29,077 
$ 9,575 
$ 948,187 
$ 1,803,997 
$ (5,734)
$ (5,734)
$ 4,646 
$ 4,646 
$ (845,853)
Balance (in shares) at Dec. 31, 2011
 
 
72,647,697 
 
 
 
 
 
 
 
 
 
Increase (Decrease) in Stockholders' Equity [Roll Forward]
 
 
 
 
 
 
 
 
 
 
 
 
Issuances of Common Units, net of tax withholdings
 
91,836 
 
 
918 
90,918 
 
 
0 
 
0 
 
Distributions paid on Common Units
 
(65,597)
 
 
(656)
(64,941)
 
 
0 
 
0 
 
Distributions paid on Preferred Units
 
(1,254)
 
 
(13)
(1,241)
 
 
0 
 
0 
 
Issuances of Common Stock - Shares
 
 
2,794,340 
 
 
 
 
 
 
 
 
 
Issuances of Common Stock, net of tax withholdings
91,836 
 
28 
0 
 
 
91,808 
0 
 
0 
 
0 
Conversions of Common Units to Common Stock - Shares
 
 
18,366 
 
 
 
 
 
 
 
 
 
Conversions of Common Units to Common Stock
631 
 
0 
0 
 
 
631 
0 
 
0 
 
0 
Dividends on Common Stock
(62,787)
 
0 
0 
 
 
0 
0 
 
0 
 
(62,787)
Dividends on Preferred Stock
(1,254)
 
0 
0 
 
 
0 
0 
 
0 
 
(1,254)
Adjustment of noncontrolling interests in the Operating Partnership to fair value
(16,501)
 
0 
0 
 
 
(16,501)
0 
 
0 
 
0 
Distributions to noncontrolling interests in consolidated affiliates
(460)
(460)
0 
0 
0 
0 
0 
0 
0 
(460)
(460)
0 
Issuances of restricted stock -shares
 
 
158,885 
 
 
 
 
 
 
 
 
 
Issuances of restricted stock
0 
 
0 
0 
 
 
0 
0 
 
0 
 
0 
Share-based compensation expense, net of forfeitures
4,459 
4,459 
2 
0 
45 
4,414 
4,457 
0 
0 
0 
0 
0 
Adjustment of Redeemable Common Units to fair value and contributions/distributions from/to the General Partner
 
(14,438)
 
 
(144)
(14,294)
 
 
0 
 
0 
 
Net (income) attributable to noncontrolling interests in the Operating Partnership
(1,513)
 
0 
0 
 
 
0 
0 
 
0 
 
(1,513)
Net (income) attributable to noncontrolling interests in consolidated affiliates
0 
0 
0 
0 
(4)
(403)
0 
0 
   
407 
407 
(407)
Comprehensive income:
 
 
 
 
 
 
 
 
 
 
 
 
Net income
32,830 
32,835 
0 
0 
328 
32,507 
0 
0 
0 
0 
0 
32,830 
Other comprehensive income/(loss)
(5,045)
(5,045)
0 
0 
0 
0 
0 
(5,045)
(5,045)
0 
0 
0 
Total comprehensive income
27,785 
27,790 
 
 
 
 
 
 
 
 
 
 
Balance at Jun. 30, 2012
1,029,055 
999,010 
756 
29,077 
10,049 
995,147 
1,884,392 
(10,779)
(10,779)
4,593 
4,593 
(878,984)
Balance (in shares) at Jun. 30, 2012
 
 
75,619,288 
 
 
 
 
 
 
 
 
 
Balance at Mar. 31, 2012
 
 
 
 
 
 
 
 
 
 
 
 
Increase (Decrease) in Stockholders' Equity [Roll Forward]
 
 
 
 
 
 
 
 
 
 
 
 
Net (income) attributable to noncontrolling interests in the Operating Partnership
(686)
 
 
 
 
 
 
 
 
 
 
 
Comprehensive income:
 
 
 
 
 
 
 
 
 
 
 
 
Net income
14,498 
14,501 
 
 
 
 
 
 
 
 
 
 
Other comprehensive income/(loss)
(6,403)
(6,403)
 
 
 
 
 
 
 
 
 
 
Total comprehensive income
8,095 
8,098 
 
 
 
 
 
 
 
 
 
 
Balance at Jun. 30, 2012
1,029,055 
999,010 
 
 
 
 
 
 
 
 
 
 
Balance at Dec. 31, 2012
1,164,893 
1,135,033 
803 
29,077 
11,427 
1,131,481 
2,040,306 
(12,628)
(12,628)
4,753 
4,753 
(897,418)
Balance (in shares) at Dec. 31, 2012
80,311,437 
 
80,311,437 
 
 
 
 
 
 
 
 
 
Increase (Decrease) in Stockholders' Equity [Roll Forward]
 
 
 
 
 
 
 
 
 
 
 
 
Issuances of Common Units, net of tax withholdings
 
122,490 
 
 
1,225 
121,265 
 
 
0 
 
0 
 
Distributions paid on Common Units
 
(72,355)
 
 
(724)
(71,631)
 
 
0 
 
0 
 
Distributions paid on Preferred Units
 
(1,254)
 
 
(13)
(1,241)
 
 
0 
 
0 
 
Issuances of Common Stock - Shares
 
 
3,434,687 
 
 
 
 
 
 
 
 
 
Issuances of Common Stock, net of tax withholdings
122,490 
 
34 
0 
 
 
122,456 
0 
 
0 
 
0 
Conversions of Common Units to Common Stock - Shares
 
 
72,471 
 
 
 
 
 
 
 
 
 
Conversions of Common Units to Common Stock
2,851 
 
0 
0 
 
 
2,851 
0 
 
0 
 
0 
Dividends on Common Stock
(69,563)
 
0 
0 
 
 
   
0 
 
0 
 
(69,563)
Dividends on Preferred Stock
(1,254)
 
0 
0 
 
 
   
0 
 
0 
 
(1,254)
Adjustment of noncontrolling interests in the Operating Partnership to fair value
(9,649)
 
0 
0 
 
 
(9,649)
0 
 
0 
 
0 
Distributions to noncontrolling interests in consolidated affiliates
(408)
(408)
0 
0 
0 
0 
0 
0 
0 
(408)
(408)
0 
Issuances of restricted stock -shares
 
 
151,630 
 
 
 
 
 
 
 
 
 
Issuances of restricted stock
0 
 
0 
0 
 
 
0 
0 
 
0 
 
0 
Share-based compensation expense, net of forfeitures - Shares
 
 
(1,813)
 
 
 
 
 
 
 
 
 
Share-based compensation expense, net of forfeitures
4,737 
4,737 
3 
0 
47 
4,690 
4,734 
0 
0 
0 
0 
0 
Adjustment of Redeemable Common Units to fair value and contributions/distributions from/to the General Partner
 
(5,986)
 
 
(59)
(5,927)
 
 
0 
 
0 
 
Net (income) attributable to noncontrolling interests in the Operating Partnership
(1,824)
 
0 
0 
 
 
0 
0 
 
0 
 
(1,824)
Net (income) attributable to noncontrolling interests in consolidated affiliates
0 
0 
0 
0 
(4)
(386)
0 
0 
0 
390 
390 
(390)
Comprehensive income:
 
 
 
 
 
 
 
 
 
 
 
 
Net income
43,339 
43,289 
0 
0 
433 
42,856 
0 
0 
0 
0 
0 
43,339 
Other comprehensive income/(loss)
8,486 
8,486 
0 
0 
0 
0 
0 
8,486 
8,486 
0 
0 
0 
Total comprehensive income
51,825 
51,775 
 
 
 
 
 
 
 
 
 
 
Balance at Jun. 30, 2013
1,264,098 
1,234,032 
840 
29,077 
12,332 
1,221,107 
2,160,698 
(4,142)
(4,142)
4,735 
4,735 
(927,110)
Balance (in shares) at Jun. 30, 2013
83,968,412 
 
83,968,412 
 
 
 
 
 
 
 
 
 
Balance at Mar. 31, 2013
 
 
 
 
 
 
 
 
 
 
 
 
Increase (Decrease) in Stockholders' Equity [Roll Forward]
 
 
 
 
 
 
 
 
 
 
 
 
Net (income) attributable to noncontrolling interests in the Operating Partnership
(1,243)
 
 
 
 
 
 
 
 
 
 
 
Comprehensive income:
 
 
 
 
 
 
 
 
 
 
 
 
Net income
29,579 
29,582 
 
 
 
 
 
 
 
 
 
 
Other comprehensive income/(loss)
7,028 
7,028 
 
 
 
 
 
 
 
 
 
 
Total comprehensive income
36,607 
36,610 
 
 
 
 
 
 
 
 
 
 
Balance at Jun. 30, 2013
$ 1,264,098 
$ 1,234,032 
 
 
 
 
 
 
 
 
 
 
Balance (in shares) at Jun. 30, 2013
83,968,412 
 
 
 
 
 
 
 
 
 
 
 
Consolidated Statements of Cash Flows (USD $)
In Thousands, unless otherwise specified
6 Months Ended
Jun. 30, 2013
Jun. 30, 2012
Operating activities:
 
 
Net income
$ 43,339 
$ 32,830 
Adjustments to reconcile net income to net cash provided by operating activities:
 
 
Depreciation and amortization
84,767 
79,113 
Amortization of lease incentives and acquisition-related intangible assets and liabilities
(198)
180 
Share-based compensation expense
4,737 
4,459 
Allowance for losses on accounts and accrued straight-line rents receivable
380 
538 
Amortization of deferred financing costs
1,897 
1,802 
Amortization of cash flow hedges
1,588 
1,459 
Impairments of real estate assets
1,481 
0 
Losses on debt extinguishment
164 
973 
Net gains on disposition of property
(13,657)
(6,519)
Gains on for-sale residential condominiums
0 
(175)
Equity in earnings of unconsolidated affiliates
(1,349)
(1,346)
Changes in financing obligations
(391)
(584)
Distributions of earnings from unconsolidated affiliates
2,827 
2,225 
Changes in operating assets and liabilities:
 
 
Accounts receivable
2,295 
7,298 
Prepaid expenses and other assets
(2,284)
(3,158)
Accrued straight-line rents receivable
(8,009)
(9,415)
Accounts payable, accrued expenses and other liabilities
(661)
(16,352)
Net cash provided by operating activities
116,926 
93,328 
Investing activities:
 
 
Investments in acquired real estate and related intangible assets, net of cash acquired
(228,461)
0 
Investments in development in process
(11,499)
(1,531)
Investments in tenant improvements and deferred leasing costs
(42,343)
(43,851)
Investments in building improvements
(26,466)
(19,758)
Net proceeds from disposition of real estate assets
60,381 
19,898 
Net proceeds from disposition of for-sale residential condominiums
0 
2,492 
Distributions of capital from unconsolidated affiliates
435 
901 
Investments in and repayments of mortgages and notes receivable
(156)
1,544 
Investments in and advances/repayments to/from unconsolidated affiliates
(429)
(2,750)
Changes in restricted cash and other investing activities
7,853 
4,031 
Net cash used in investing activities
(240,685)
(39,024)
Financing activities:
 
 
Dividends on Common Stock
(69,563)
(62,787)
Dividends on Preferred Stock
(1,254)
(1,254)
Distributions to noncontrolling interests in the Operating Partnership
(3,140)
(3,158)
Distributions to noncontrolling interests in consolidated affiliates
(408)
(460)
Proceeds from the issuance of Common Stock
126,738 
95,289 
Costs paid for the issuance of Common Stock
(1,711)
(1,316)
Repurchase of shares related to tax withholdings
(2,537)
(2,137)
Borrowings on revolving credit facility
346,300 
106,300 
Repayments of revolving credit facility
(233,900)
(392,800)
Borrowings on mortgages and notes payable
0 
225,000 
Repayments of mortgages and notes payable
(39,610)
(19,359)
Payments on financing obligations
(575)
(38)
Additions to deferred financing costs and other financing activities
(242)
(2,245)
Net cash provided by/(used in) financing activities
120,098 
(58,965)
Net decrease in cash and cash equivalents
(3,661)
(4,661)
Cash and cash equivalents at beginning of the period
13,783 
11,188 
Cash and cash equivalents at end of the period
10,122 
6,527 
Supplemental disclosure of cash flow information:
 
 
Cash paid for interest, net of amounts capitalized
40,480 
48,063 
Supplemental disclosure of non-cash investing and financing activities:
 
 
Unrealized gains/(losses) on cash flow hedges
6,599 
(7,087)
Conversions of Common Units to Common Stock
2,851 
631 
Changes in accrued capital expenditures
12,618 
(2,448)
Write-off of fully depreciated real estate assets
17,732 
28,629 
Write-off of fully amortized deferred financing and leasing costs
11,363 
8,765 
Unrealized gains on marketable securities of non-qualified deferred compensation plan
312 
216 
Adjustment of noncontrolling interests in the Operating Partnership to fair value
9,649 
16,501 
Unrealized gains/(losses) on tax increment financing bond
299 
583 
Reduction of advances to unconsolidated affiliates related to acquisition activities
0 
26,000 
Highwoods Realty Limited Partnership [Member]
 
 
Operating activities:
 
 
Net income
43,289 
32,835 
Adjustments to reconcile net income to net cash provided by operating activities:
 
 
Depreciation and amortization
84,767 
79,113 
Amortization of lease incentives and acquisition-related intangible assets and liabilities
(198)
180 
Share-based compensation expense
4,737 
4,459 
Allowance for losses on accounts and accrued straight-line rents receivable
380 
538 
Amortization of deferred financing costs
1,897 
1,802 
Amortization of cash flow hedges
1,588 
1,459 
Impairments of real estate assets
1,481 
0 
Losses on debt extinguishment
164 
973 
Net gains on disposition of property
(13,657)
(6,519)
Gains on for-sale residential condominiums
0 
(175)
Equity in earnings of unconsolidated affiliates
(1,299)
(1,351)
Changes in financing obligations
(391)
(584)
Distributions of earnings from unconsolidated affiliates
2,814 
2,211 
Changes in operating assets and liabilities:
 
 
Accounts receivable
2,295 
7,298 
Prepaid expenses and other assets
(2,189)
(3,077)
Accrued straight-line rents receivable
(8,009)
(9,415)
Accounts payable, accrued expenses and other liabilities
(587)
(16,413)
Net cash provided by operating activities
117,082 
93,334 
Investing activities:
 
 
Investments in acquired real estate and related intangible assets, net of cash acquired
(228,461)
0 
Investments in development in process
(11,499)
(1,531)
Investments in tenant improvements and deferred leasing costs
(42,343)
(43,851)
Investments in building improvements
(26,466)
(19,758)
Net proceeds from disposition of real estate assets
60,381 
19,898 
Net proceeds from disposition of for-sale residential condominiums
0 
2,492 
Distributions of capital from unconsolidated affiliates
435 
901 
Investments in and repayments of mortgages and notes receivable
(156)
1,544 
Investments in and advances/repayments to/from unconsolidated affiliates
(429)
(2,750)
Changes in restricted cash and other investing activities
7,853 
4,031 
Net cash used in investing activities
(240,685)
(39,024)
Financing activities:
 
 
Distributions on Common Units
(72,355)
(65,597)
Distributions on Preferred Units
(1,254)
(1,254)
Distributions to noncontrolling interests in consolidated affiliates
(408)
(460)
Proceeds from the issuance of Common Units
126,738 
95,289 
Costs paid for the issuance of Common Units
(1,711)
(1,316)
Repurchase of units related to tax withholdings
(2,537)
(2,137)
Borrowings on revolving credit facility
346,300 
106,300 
Repayments of revolving credit facility
(233,900)
(392,800)
Borrowings on mortgages and notes payable
0 
225,000 
Repayments of mortgages and notes payable
(39,610)
(19,359)
Payments on financing obligations
(575)
(38)
Additions to deferred financing costs and other financing activities
(747)
(2,458)
Net cash provided by/(used in) financing activities
119,941 
(58,830)
Net decrease in cash and cash equivalents
(3,662)
(4,520)
Cash and cash equivalents at beginning of the period
13,867 
11,151 
Cash and cash equivalents at end of the period
10,205 
6,631 
Supplemental disclosure of cash flow information:
 
 
Cash paid for interest, net of amounts capitalized
40,480 
48,063 
Supplemental disclosure of non-cash investing and financing activities:
 
 
Unrealized gains/(losses) on cash flow hedges
6,599 
(7,087)
Changes in accrued capital expenditures
12,618 
(2,448)
Write-off of fully depreciated real estate assets
17,732 
28,629 
Write-off of fully amortized deferred financing and leasing costs
11,363 
8,765 
Unrealized gains on marketable securities of non-qualified deferred compensation plan
312 
216 
Adjustment of Redeemable Common Units to fair value
5,482 
14,225 
Unrealized gains/(losses) on tax increment financing bond
299 
583 
Reduction of advances to unconsolidated affiliates related to acquisition activities
$ 0 
$ 26,000 
Description of Business and Significant Accounting Policies
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, self-administered and self-managed equity real estate investment trust (“REIT”) that provides leasing, management, development, construction and other customer-related services for its properties and for third parties. The Company conducts virtually all of its activities through Highwoods Realty Limited Partnership (the “Operating Partnership”). At June 30, 2013, the Company and/or the Operating Partnership wholly owned: 291 in-service office, industrial and retail properties, comprising 29.6 million square feet; 634 acres of undeveloped land suitable for future development, of which 566 acres are considered core assets; and two office development properties. In addition, we owned interests (50.0% or less) in 30 in-service office properties, a rental residential development property and 11 acres of undeveloped land suitable for future development, which includes a 12.5% interest in a 261,000 square foot office property directly owned by the Company (not included in the Operating Partnership’s Consolidated Financial Statements).

The Company is the sole general partner of the Operating Partnership. At June 30, 2013, the Company owned all of the Preferred Units and 83.6 million, or 95.8%, of the Common Units in the Operating Partnership. Limited partners, including two directors of the Company, own the remaining 3.7 million Common Units. During the six months ended June 30, 2013, the Company redeemed 72,471 Common Units for a like number of shares of Common Stock. As a result of this activity, the percentage of Common Units owned by the Company increased from 95.6% at December 31, 2012 to 95.8% at June 30, 2013.

Common Stock Offerings
 
During the three and six months ended June 30, 2013, the Company issued 1,756,590 and 3,056,381 shares of Common Stock, respectively, under its equity sales agreements at an average gross sales price of $38.32 and $37.31 per share, respectively, and received net proceeds, after sales commissions, of $66.3 million and $112.3 million, respectively.

Basis of Presentation

Our Consolidated Financial Statements are prepared in conformity with accounting principles generally accepted in the United States of America (“GAAP”). Our Consolidated Balance Sheets at December 31, 2012 were retrospectively revised from previously reported amounts to reflect in real estate and other assets, net, held for sale those properties classified as held for sale during the three months ended June 30, 2013. Our Consolidated Statements of Income for the three and six months ended June 30, 2012 were retrospectively revised from previously reported amounts to reflect in discontinued operations the operations for those properties classified as discontinued operations.

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. All intercompany transactions and accounts have been eliminated. At June 30, 2013 and December 31, 2012, we had involvement with, but are not the primary beneficiary in, an entity that we concluded to be a variable interest entity (see Note 3).

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 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 2012 Annual Report on Form 10-K.


1.    Description of Business and Significant Accounting Policies – Continued

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 the Consolidated Financial Statements and accompanying notes. Actual results could differ from those estimates.
Real Estate Assets
Real Estate Assets
Real Estate Assets
 
Acquisitions
 
During the second quarter of 2013, we acquired an office property in Atlanta, GA encompassing 553,000 square feet for a purchase price of $140.1 million.

During the first quarter of 2013, we acquired:

•
two office properties in Tampa, FL encompassing 372,000 square feet for a purchase price of $52.5 million,

•
two office properties in Greensboro, NC encompassing 195,000 square feet for a purchase price of $30.8 million, and

•
five acres of development land in Memphis, TN for a purchase price of $4.8 million.

During the three and six months ended June 30, 2013, we expensed $0.4 million and $0.9 million, respectively, of acquisition costs (included in general and administrative expenses) related to these acquisitions. The assets acquired and liabilities assumed were recorded at fair value as determined by management based on information available at the acquisition date and on current assumptions as to future operations.

Dispositions

During the second quarter of 2013, we sold:

•
five industrial properties in Atlanta, GA for a sale price of $4.5 million (after $0.1 million in closing credits to buyer for free rent) and recorded a gain on disposition of discontinued operations of less than $0.1 million;

•
six industrial properties and a land parcel in a single transaction in Atlanta, GA for a sale price of $38.7 million (before $1.8 million in closing credits to buyer for unfunded tenant improvements and after $1.3 million in closing credits to buyer for free rent) and recorded a gain on disposition of discontinued operations of $13.2 million; and

•
two industrial properties in Atlanta, GA for a sale price of $4.8 million and recorded a loss on disposition of discontinued operations of less than $0.1 million.

During the first quarter of 2013, we sold two office properties in Orlando, FL for a sale price of $14.6 million (before $0.8 million in closing credits to buyer for unfunded tenant improvements) and recorded a loss on disposition of discontinued operations of $0.3 million.

In connection with the disposition of an office property in Jackson, MS in the third quarter of 2012, we had the right to receive additional cash consideration of up to $1.5 million upon the satisfaction of a certain post-closing requirement. The post-closing requirement was satisfied and the cash consideration was received during the first quarter of 2013. Accordingly, we recognized $1.5 million in additional gain on disposition of discontinued operations in the first quarter of 2013.

2.    Real Estate Assets - Continued

Impairments

During the second quarter of 2013, we recorded impairments of real estate assets of $1.1 million on four properties in a single office park in Winston-Salem, NC. These impairments were due to a change in the assumed timing of future dispositions and leasing assumptions, which reduced the future expected cash flows from the properties.

During the first quarter of 2013, we recorded impairments of real estate assets of $0.4 million on two industrial properties in Atlanta, GA and recorded impairments of real estate assets held for sale of $0.7 million on five industrial properties in Atlanta, GA. These properties were subsequently sold in the second quarter of 2013 and are classified as discontinued operations. These impairments were due to a change in the assumed timing of future dispositions and leasing assumptions, which reduced the future expected cash flows from the properties.
Mortgages and Notes Receivable
Mortgages and Notes Receivable
Mortgages and Notes Receivable

The following table sets forth our mortgages and notes receivable:

 
June 30,
2013
 
December 31,
2012
Seller financing (first mortgages)
$
16,113

 
$
15,853

Less allowance
—

 
—

 
16,113

 
15,853

Mortgage receivable
8,715

 
8,648

Less allowance
—

 
—

 
8,715

 
8,648

Promissory notes
1,131

 
1,153

Less allowance
(376
)
 
(182
)
 
755

 
971

Mortgages and notes receivable, net
$
25,583

 
$
25,472



During 2010, we provided seller financing in conjunction with two disposition transactions. The seller financing is evidenced by first mortgages secured by the assignment of rents and the underlying real estate assets.

During 2012, we provided secured acquisition financing to a third party. We also agreed to loan such third party $8.4 million on a secured basis to fund future infrastructure development. As of June 30, 2013, $0.1 million has been funded to the third party for infrastructure development. We concluded this arrangement to be an interest in a variable interest entity. However, since we do not have the power to direct matters that most significantly impact the activities of the entity, we do not qualify as the primary beneficiary. Accordingly, the entity is not consolidated. Our risk of loss with respect to this arrangement is limited to the carrying value of the mortgage receivable and the future infrastructure development funding commitment.

We evaluate the ability to collect our mortgages and notes receivable by monitoring the leasing statistics and/or market fundamentals of these assets. As of June 30, 2013, our mortgages and notes receivable were not in default and there were no other indicators of impairment.


3.    Mortgages and Notes Receivable - Continued

The following table sets forth our notes receivable allowance, which relates only to promissory notes:

 
Three Months Ended June 30,
 
Six Months Ended June 30,
 
2013
 
2012
 
2013
 
2012
Beginning notes receivable allowance
$
437

 
$
122

 
$
182

 
$
61

Recoveries/write-offs/other
(61
)
 
(4
)
 
194

 
57

Total notes receivable allowance
$
376

 
$
118

 
$
376

 
$
118

Investments In and Advances To Affiliates
Investments In and Advances To Affiliates
Investments in and Advances to Affiliates

Unconsolidated Affiliates

We have equity interests of up to 50.0% in various joint ventures with unrelated third parties that are accounted for using the equity method of accounting because we have the ability to exercise significant influence over their operating and financial policies.

The following table sets forth combined summarized financial information for the Company's unconsolidated affiliates:

 
Three Months Ended June 30,
 
Six Months Ended June 30,
 
2013
 
2012
 
2013
 
2012
Income Statements:
 
 
 
 
 
 
 
Rental and other revenues
$
23,935

 
$
26,049

 
$
47,451

 
$
50,869

Expenses:
 
 
 
 
 
 
 
Rental property and other expenses
11,739

 
12,666

 
22,948

 
24,082

Depreciation and amortization
6,227

 
5,919

 
12,373

 
12,484

Impairments of real estate assets
—

 
—

 
4,790

 
7,180

Interest expense
4,689

 
5,267

 
9,428

 
11,097

Total expenses
22,655

 
23,852

 
49,539

 
54,843

Income/(loss) before disposition of properties
1,280

 
2,197

 
(2,088
)
 
(3,974
)
Gains on disposition of properties
43

 
6,275

 
67

 
6,275

Net income/(loss)
$
1,323

 
$
8,472

 
$
(2,021
)
 
$
2,301

The Company's share of:
 
 
 
 
 
 
 
Depreciation and amortization
$
2,092

 
$
1,675

 
$
4,107

 
$
3,773

Impairments of real estate assets
$
—

 
$
—

 
$
1,020

 
$
1,002

Interest expense
$
1,732

 
$
1,843

 
$
3,484

 
$
3,823

Gains on disposition of properties
$
10

 
$
—

 
$
431

 
$
—

Net income
$
571

 
$
1,133

 
$
575

 
$
338

 
 
 
 
 
 
 
 
The Company's share of net income
$
571

 
$
1,133

 
$
575

 
$
338

Adjustments for management and other fees
342

 
375

 
774

 
1,008

Equity in earnings of unconsolidated affiliates
$
913

 
$
1,508

 
$
1,349

 
$
1,346




4.    Investments in and Advances to Affiliates - Continued

The following table sets forth combined summarized financial information for the Operating Partnership's unconsolidated affiliates:

 
Three Months Ended June 30,
 
Six Months Ended June 30,
 
2013
 
2012
 
2013
 
2012
Income Statements:
 
 
 
 
 
 
 
Rental and other revenues
$
22,892

 
$
25,057

 
$
45,371

 
$
48,854

Expenses:
 
 
 
 
 
 
 
Rental property and other expenses
11,087

 
12,076

 
21,695

 
22,877

Depreciation and amortization
5,915

 
5,607

 
11,750

 
11,861

Impairments of real estate assets
—

 
—

 
4,790

 
7,180

Interest expense
4,532

 
5,103

 
9,110

 
10,766

Total expenses
21,534

 
22,786

 
47,345

 
52,684

Income/(loss) before disposition of properties
1,358

 
2,271

 
(1,974
)
 
(3,830
)
Gains on disposition of properties
43

 
6,275

 
67

 
6,275

Net income/(loss)
$
1,401

 
$
8,546

 
$
(1,907
)
 
$
2,445

The Operating Partnership's share of:
 
 
 
 
 
 
 
Depreciation and amortization
$
2,053

 
$
1,636

 
$
4,029

 
$
3,695

Impairments of real estate assets
$
—

 
$
—

 
$
1,020

 
$
1,002

Interest expense
$
1,712

 
$
1,823

 
$
3,444

 
$
3,782

Gains on disposition of properties
$
10

 
$
—

 
$
431

 
$
—

Net income
$
582

 
$
1,142

 
$
590

 
$
356

 
 
 
 
 
 
 
 
The Operating Partnership's share of net income
$
582

 
$
1,142

 
$
590

 
$
356

Adjustments for management and other fees
334

 
369

 
709

 
995

Equity in earnings of unconsolidated affiliates
$
916

 
$
1,511

 
$
1,299

 
$
1,351



4.    Investments in and Advances to Affiliates - Continued

Highwoods DLF 98/29, LLC ("DLF I")

During the second quarter of 2013, DLF I sold an office property to an unrelated third party for a sale price of $5.9 million (after $0.1 million in closing credits to buyer for free rent) and recorded a gain on disposition of discontinued operations of less than $0.1 million. We recorded less than $0.1 million as our share of this gain through equity in earnings of unconsolidated affiliates.

During the first quarter of 2013, DLF I recorded impairments of real estate assets of $4.8 million on an office property in Atlanta, GA and an office property in Charlotte, NC.  We recorded $1.0 million as our share of this impairment charge through equity in earnings of unconsolidated affiliates.  These impairments were due to a change in the assumed timing of future dispositions and leasing assumptions, which reduced the future expected cash flows from the properties.

Highwoods DLF 97/26 DLF 99/32, LP ("DLF II")

During the first quarter of 2013, DLF II sold an office property to unrelated third parties for a sale price of $10.1 million (after $0.3 million in closing credits to buyer for free rent) and recorded a gain on disposition of property of less than $0.1 million. As our cost basis is different from the basis reflected at the joint venture level, we recorded $0.4 million of gain through equity in earnings of unconsolidated affiliates.
Intangible Assets and Below Market Lease Liabilities
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:
 
 
June 30,
2013
 
December 31,
2012
Assets:
 
 
 
Deferred financing costs
$
21,368

 
$
21,759

Less accumulated amortization
(9,528
)
 
(7,862
)
 
11,840

 
13,897

Deferred leasing costs (including lease incentives and above market lease and in-place lease acquisition-related intangible assets)
245,982

 
223,100

Less accumulated amortization
(76,020
)
 
(68,978
)
 
169,962

 
154,122

Deferred financing and leasing costs, net
$
181,802

 
$
168,019

 
 
 
 
Liabilities (in accounts payable, accrued expenses and other liabilities):
 
 
 
Acquisition-related below market lease liabilities
$
45,415

 
$
37,019

Less accumulated amortization
(5,350
)
 
(3,383
)
 
$
40,065

 
$
33,636


5.    Intangible Assets and Below Market Lease Liabilities - Continued

The following table sets forth amortization of intangible assets and acquisition-related below market lease liabilities:
 
 
Three Months Ended June 30,
 
Six Months Ended June 30,
 
2013
 
2012
 
2013
 
2012
Amortization of deferred financing costs
$
948

 
$
900

 
$
1,897

 
$
1,802

Amortization of deferred leasing costs and acquisition-related intangible assets (in depreciation and amortization)
$
8,123

 
$
7,180

 
$
16,431

 
$
13,505

Amortization of lease incentives (in rental and other revenues)
$
344

 
$
330

 
$
725

 
$
664

Amortization of acquisition-related intangible assets (in rental and other revenues)
$
484

 
$
324

 
$
951

 
$
594

Amortization of acquisition-related intangible assets (in rental property and other expenses)
$
139

 
$
—

 
$
276

 
$
—

Amortization of acquisition-related below market lease liabilities (in rental and other revenues)
$
(1,031
)
 
$
(553
)
 
$
(2,153
)
 
$
(1,097
)

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

 
 
Amortization of Deferred Financing Costs
 
Amortization of Deferred Leasing Costs and Acquisition-Related Intangible Assets (in Depreciation and Amortization)
 
Amortization of Lease Incentives (in Rental and Other Revenues)
 
Amortization of Acquisition-Related Intangible Assets (in Rental and Other Revenues)
 
Amortization of Acquisition-Related Intangible Assets (in Rental Property and Other Expenses)
 
Amortization of Acquisition-Related Below Market Lease Liabilities (in Rental and Other Revenues)
July 1 through December 31, 2013
 
$
1,828

 
$
17,283

 
$
621

 
$
1,032

 
$
277

 
$
(2,856
)
2014
 
3,241

 
30,455

 
1,160

 
1,817

 
553

 
(5,080
)
2015
 
2,606

 
24,935

 
932

 
1,438

 
553

 
(4,367
)
2016
 
1,508

 
20,563

 
738

 
1,085

 
553

 
(4,293
)
2017
 
1,220

 
17,526

 
664

 
951

 
553

 
(4,037
)
Thereafter
 
1,437

 
41,368

 
2,107

 
1,156

 
1,642

 
(19,432
)
 
 
$
11,840

 
$
152,130

 
$
6,222

 
$
7,479

 
$
4,131

 
$
(40,065
)
Weighted average remaining amortization periods as of June 30, 2013 (in years)
 
5.4

 
6.4

 
7.6

 
5.1

 
8.0

 
9.2



The following table sets forth the intangible assets acquired and below market lease liabilities assumed as a result of 2013 acquisition activity:

 
 
Acquisition-Related Intangible Assets (amortized in Rental and Other Revenues)
 
Acquisition-Related Intangible Assets (amortized in Depreciation and Amortization)
 
Acquisition-Related Below Market Lease Liabilities (amortized in Rental and Other Revenues)
Amount recorded from acquisition activity
 
$
3,383

 
$
19,180

 
$
(8,582
)
Weighted average remaining amortization periods (in years)
 
4.2

 
5.3

 
7.5



Mortgages and Notes Payable
Mortgages and Notes Payable
Mortgages and Notes Payable

The following table sets forth our mortgages and notes payable:

 
June 30,
2013
 
December 31,
2012
Secured indebtedness
$
544,510

 
$
549,607

Unsecured indebtedness
1,387,145

 
1,309,555

Total mortgages and notes payable
$
1,931,655

 
$
1,859,162



At June 30, 2013, our secured mortgage loans were collateralized by real estate assets with an aggregate undepreciated book value of $964.8 million.

Our $475.0 million unsecured revolving credit facility is scheduled to mature in July 2015 and includes an accordion feature that allows for an additional $75.0 million of borrowing capacity subject to additional lender commitments. Assuming no defaults have occurred, we have an option to extend the maturity for an additional year. There was $135.4 million and $113.0 million outstanding under our revolving credit facility at June 30, 2013 and July 18, 2013, respectively. At both June 30, 2013 and July 18, 2013, we had $0.1 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 at June 30, 2013 and July 18, 2013 was $339.5 million and $361.9 million, respectively.

During the first quarter of 2013, we prepaid the remaining $35.0 million balance on a $200.0 million bank term loan that was originally scheduled to mature in February 2016. We recorded $0.2 million of loss on debt extinguishment related to this repayment.

We are currently in compliance with the debt covenants and other requirements with respect to our debt.
Derivative Financial Instruments
Derivative Financial Instruments
Derivative Financial Instruments

Our interest rate swaps have been designated as and are being accounted for as cash flow hedges with changes in fair value recorded in other comprehensive income each reporting period. No gain or loss was recognized related to hedge ineffectiveness or to amounts excluded from effectiveness testing on our cash flow hedges during the six months ended June 30, 2013. We have no collateral requirements related to our interest rate swaps.

Amounts reported in accumulated other comprehensive loss ("AOCL") related to derivatives will be reclassified to interest expense as interest payments are made on our variable-rate debt. During the period from July 1, 2013 through June 30, 2014, we estimate that $3.2 million will be reclassified to interest expense.

For the periods ending June 30, 2013 and December 31, 2012, all of our derivatives were in a liability position. The following table sets forth the fair value of our liability derivatives:

 
June 30,
2013
 
December 31,
2012
Liability Derivatives:
 
 
 
Derivatives designated as cash flow hedges in accounts payable, accrued expenses and other liabilities:
 
 
 
Interest rate swaps
$
1,103

 
$
9,369



7.
Derivative Financial Instruments - Continued
The following table sets forth the effect of our cash flow hedges on AOCL and interest expense:
 
 
Three Months Ended June 30,
 
Six Months Ended June 30,
 
2013
 
2012
 
2013
 
2012
Derivatives Designated as Cash Flow Hedges:
 
 
 
 
 
 
 
Amount of unrealized gains/(losses) recognized in AOCL on derivatives (effective portion):
 
 
 
 
 
 
 
Interest rate swaps
$
6,319

 
$
(7,481
)
 
$
6,599

 
$
(7,087
)
Amount of losses reclassified out of AOCL into contractual interest expense (effective portion):
 
 
 
 
 
 
 
Interest rate swaps
$
800

 
$
782

 
$
1,588

 
$
1,459

Noncontrolling Interests
Noncontrolling Interests
Noncontrolling Interests

Noncontrolling Interests in Consolidated Affiliates
 
At June 30, 2013, our noncontrolling interests in consolidated affiliates relates to our joint venture partner's 50.0% interest in office properties located in Richmond, VA. 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:
 
 
Six Months Ended June 30,
 
2013
 
2012
Beginning noncontrolling interests in the Operating Partnership
$
124,869

 
$
110,655

Adjustment of noncontrolling interests in the Operating Partnership to fair value
9,649

 
16,501

Conversions of Common Units to Common Stock
(2,851
)
 
(631
)
Net income attributable to noncontrolling interests in the Operating Partnership
1,824

 
1,513

Distributions to noncontrolling interests in the Operating Partnership
(3,140
)
 
(3,158
)
Total noncontrolling interests in the Operating Partnership
$
130,351

 
$
124,880

The following table sets forth net income available for common stockholders and transfers from the Company's noncontrolling interests in the Operating Partnership:
 
 
Three Months Ended June 30,
 
Six Months Ended June 30,
 
2013
 
2012
 
2013
 
2012
Net income available for common stockholders
$
27,522

 
$
12,962

 
$
39,871

 
$
29,656

Increase in additional paid in capital from conversions of Common Units
to Common Stock
2,500

 
568

 
2,851

 
631

Change from net income available for common stockholders and transfers from noncontrolling interests
$
30,022

 
$
13,530

 
$
42,722

 
$
30,287


Disclosure About Fair Value of Financial Instruments
Disclosure About Fair Value of Financial Instruments
Disclosure About Fair Value of Financial Instruments

The following summarizes the three 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 assets are investments 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 asset is the fair value of certain of our mortgages and notes receivable, which was 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.
 
Our Level 2 liabilities include (1) the fair value of our mortgages and notes payable, which was 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 and (2) interest rate swaps whose fair value 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 our interest rate swaps are based on the expectation of future LIBOR interest rates (forward curves) derived from observed market LIBOR interest rate curves. In addition, credit valuation adjustments are incorporated 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 (1) certain of our mortgages and notes receivable, which were estimated by the income approach utilizing internal cash flow projections and market interest rates to estimate the price that would be paid in an orderly transaction between market participants, (2) our tax increment financing bond, which is not routinely traded but whose fair value is determined by the income approach utilizing contractual cash flows and market-based interest rates to estimate the projected redemption value based on quoted bid/ask prices for similar unrated municipal bonds, and (3) any real estate assets recorded at fair value on a non-recurring basis as a result of our quarterly impairment analysis, which were valued using the terms of definitive sales contracts or the sales comparison approach and substantiated with internal cash flow projections.
 
Our Level 3 liabilities include the fair value of our contingent consideration to acquire real estate assets and financing obligations, which were estimated by the income approach to approximate the price that would be paid in an orderly transaction between market participants, utilizing: (1) contractual cash flows; (2) market-based interest rates; and (3) a number of other assumptions including demand for space, competition for customers, changes in market rental rates, costs of operation and expected ownership periods.
 

9.
Disclosure About Fair Value of Financial Instruments - Continued
 
The following table sets forth our assets and liabilities and the Company's noncontrolling interests in the Operating Partnership that are measured at fair value within the fair value hierarchy.
 
 
 
 
Level 1
 
Level 2
 
Level 3
 
 
Total
 
Quoted Prices
in Active
Markets for Identical Assets or Liabilities
 
Significant Observable Inputs
 
Significant Unobservable Inputs
Fair Value at June 30, 2013:
 
 
 
 
 
 
 
 
Assets:
 
 
 
 
 
 
 
 
Mortgages and notes receivable, at fair value (1)
 
$
25,549

 
$
—

 
$
16,868

 
$
8,681

Marketable securities of non-qualified deferred compensation plan (in prepaid expenses and other assets)
 
3,556

 
3,556

 
—

 
—

Impaired real estate assets
 
5,866

 
—

 
—

 
5,866

Tax increment financing bond (in prepaid expenses and other assets)
 
14,233

 
—

 
—

 
14,233

Total Assets
 
$
49,204

 
$
3,556

 
$
16,868

 
$
28,780

Noncontrolling Interests in the Operating Partnership
 
$
130,351

 
$
130,351

 
$
—

 
$
—

Liabilities:
 
 
 
 
 
 
 
 
Mortgages and notes payable, at fair value (1)
 
$
2,020,130

 
$
—

 
$
2,020,130

 
$
—

Interest rate swaps (in accounts payable, accrued expenses and other liabilities)
 
1,103

 
—

 
1,103

 
—

Non-qualified deferred compensation obligation (in accounts payable, accrued expenses and other liabilities)
 
3,556

 
3,556

 
—

 
—

Contingent consideration to acquire real estate assets (in accounts payable, accrued expenses and other liabilities)
 
384

 
—

 
—

 
384

Financing obligations, at fair value (1)
 
24,220

 
—

 
—

 
24,220

Total Liabilities
 
$
2,049,393

 
$
3,556

 
$
2,021,233

 
$
24,604

Fair Value at December 31, 2012:
 
 
 
 
 
 
 
 
Assets:
 
 
 
 
 
 
 
 
Mortgages and notes receivable, at fair value (1)
 
$
24,725

 
$
—

 
$
16,077

 
$
8,648

Marketable securities of non-qualified deferred compensation plan (in prepaid expenses and other assets)
 
3,354

 
3,354

 
—

 
—

Tax increment financing bond (in prepaid expenses and other assets)
 
14,496

 
—

 
—

 
14,496

Total Assets
 
$
42,575

 
$
3,354

 
$
16,077

 
$
23,144

Noncontrolling Interests in the Operating Partnership
 
$
124,869

 
$
124,869

 
$
—

 
$
—

Liabilities:
 
 
 
 
 
 
 
 
Mortgages and notes payable, at fair value (1)
 
$
1,987,364

 
$
—

 
$
1,987,364

 
$
—

Interest rate swaps (in accounts payable, accrued expenses and other liabilities)
 
9,369

 
—

 
9,369

 
—

Non-qualified deferred compensation obligation (in accounts payable, accrued expenses and other liabilities)
 
3,354

 
3,354

 
—

 
—

Contingent consideration to acquire real estate assets (in accounts payable, accrued expenses and other liabilities)
 
563

 
—

 
—

 
563

Financing obligations, at fair value (1)
 
23,252

 
—

 
—

 
23,252

Total Liabilities
 
$
2,023,902

 
$
3,354

 
$
1,996,733

 
$
23,815


__________
(1)    Amounts recorded at historical cost on our Consolidated Balance Sheets at June 30, 2013 and December 31, 2012.

 
9.
Disclosure About Fair Value of Financial Instruments - Continued

The following table sets forth the changes in our Level 3 asset and liability, which are recorded at fair value on our Consolidated Balance Sheets:

 
Three Months Ended June 30,
 
Six Months Ended June 30,
 
2013
 
2012
 
2013
 
2012
Asset:
 
 
 
 
 
 
 
Tax Increment Financing Bond:
 
 
 
 
 
 
 
Beginning balance
$
14,324

 
$
15,075

 
$
14,496

 
$
14,788

Principal repayment
—

 
—

 
(562
)
 
—

Unrealized gains/(losses) (in AOCL)
(91
)
 
296

 
299

 
583

Ending balance
$
14,233

 
$
15,371

 
$
14,233

 
$
15,371

Liability:
 
 
 
 
 
 
 
Contingent Consideration to Acquire Real Estate Assets:
 
 
 
 
 
 
 
Beginning balance
$
375

 
$
—

 
$
563

 
$
—

Unrealized (gains)/losses (in general and administrative expenses)
9

 
—

 
(179
)
 
—

Ending balance
$
384

 
$
—

 
$
384

 
$
—



During 2007, we acquired a tax increment financing bond associated with a parking garage developed by us. This bond amortizes to maturity in 2020. The estimated fair value at June 30, 2013 was $1.6 million below the outstanding principal due on the bond. If the discount rate used to fair value this bond was 100 basis points higher or lower, the fair value of the bond would have been $0.5 million lower or $0.5 million higher, respectively, as of June 30, 2013. We intend to hold this bond and have concluded that we will not be required to sell this bond before recovery of the bond principal. Payment of the principal and interest for the bond is guaranteed by us. We have recorded no credit losses related to the bond during the three and six months ended June 30, 2013 and 2012. There is no legal right of offset with the liability, which we report as a financing obligation, related to this tax increment financing bond.

The impaired real estate assets that were measured in the second quarter of 2013 at fair value and deemed to be Level 3 assets were valued based primarily on market-based inputs and our assumptions about the use of the assets, as observable inputs were not available. In the absence of observable inputs, we estimate the fair value of real estate using unobservable data such as estimated discount and capitalization rates. We also utilize local and national industry market data such as comparable sales, sales contracts and appraisals to assist us in our estimation of fair value. 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 quantitative information about the unobservable inputs of our Level 3 assets and liability, which are recorded at fair value on our Consolidated Balance Sheets:

 
Fair Value at
June 30, 2013
 
Valuation
Technique
 
Unobservable
Input
 
Rate/ Percentage
Assets:
 
 
 
 
 
 
 
Tax increment financing bond
$
14,233

 
Income approach
 
Discount rate
 
10.2%
Impaired real estate assets
$
5,866

 
Income approach
 
Capitalization rate
 
9.5%-10.5%
 
 
 
 
 
Discount rate
 
14.0%-15.0%
Liability:
 
 
 
 
 
 
 
Contingent consideration to acquire real estate assets
$
384

 
Income approach
 
Payout percentage
 
50.0%
Share-Based Payments
Share-Based Payments
Share-Based Payments

During the six months ended June 30, 2013, the Company granted 168,700 stock options with an exercise price equal to the closing market price of a share of its Common Stock on the date of grant. The fair value of each option grant is estimated on the date of grant using the Black-Scholes option pricing model, which resulted in a weighted average grant date fair value per share of $6.50. During the six months ended June 30, 2013, the Company also granted 86,144 shares of time-based restricted stock and 65,486 shares of total return-based restricted stock with weighted average grant date fair values per share of $36.64 and $31.73, respectively. We recorded stock-based compensation expense of $1.3 million and $2.0 million during the three months ended June 30, 2013 and 2012, respectively, and $4.7 million and $4.5 million during the six months ended June 30, 2013 and 2012, respectively. At June 30, 2013, there was $6.1 million of total unrecognized stock-based compensation costs, which will be recognized over a weighted average remaining contractual term of 2.6 years.
Accumulated Other Comprehensive Loss
Accumulated Other Comprehensive Loss
Accumulated Other Comprehensive Loss

The following table sets forth the components of AOCL:

 
Three Months Ended June 30,
 
Six Months Ended June 30,
 
2013
 
2012
 
2013
 
2012
Tax increment financing bond:
 
 
 
 
 
 
 
Beginning balance
(1,508
)
 
(2,022
)
 
$
(1,898
)
 
$
(2,309
)
Unrealized gains/(losses) on tax increment financing bond
(91
)
 
296

 
299

 
583

Ending balance
(1,599
)
 
(1,726
)
 
(1,599
)
 
(1,726
)
Cash flow hedges:
 
 
 
 
 
 
 
Beginning balance
(9,662
)
 
(2,354
)
 
(10,730
)
 
(3,425
)
Unrealized gains/(losses) on cash flow hedges
6,319

 
(7,481
)
 
6,599

 
(7,087
)
Amortization of cash flow hedges (1)
800

 
782

 
1,588

 
1,459

Ending balance
(2,543
)
 
(9,053
)
 
(2,543
)
 
(9,053
)
Total accumulated other comprehensive loss
$
(4,142
)

$
(10,779
)
 
$
(4,142
)
 
$
(10,779
)
__________
(1)    Amounts reclassified out of AOCL into contractual interest expense.
Discontinued Operations
Discontinued Operations
Discontinued Operations

The following table sets forth our operations classified as discontinued operations:

 
Three Months Ended June 30,
 
Six Months Ended June 30,
 
2013
 
2012
 
2013
 
2012
Rental and other revenues
$
365

 
$
6,051

 
$
1,624

 
$
12,389

Operating expenses:
 
 
 
 
 
 
 
Rental property and other expenses
100

 
2,171

 
405

 
4,306

Depreciation and amortization
81

 
1,607

 
559

 
3,426

Impairments of real estate assets
—

 
—

 
415

 
—

Total operating expenses
181

 
3,778

 
1,379

 
7,732

Interest expense
—

 
123

 
—

 
248

Income from discontinued operations
184

 
2,150

 
245

 
4,409

Net gains on disposition of discontinued operations
13,163

 
1,385

 
13,694

 
6,519

Total discontinued operations
$
13,347

 
$
3,535

 
$
13,939

 
$
10,928


The following table sets forth the major classes of assets of our real estate and other assets, net, held for sale:

 
June 30,
2013
 
December 31,
2012
Assets:
 
 
 
Land
$
—

 
$
8,450

Buildings and tenant improvements
—

 
50,663

Land held for development
—

 
2,368

Less-accumulated depreciation
—

 
(17,969
)
Net real estate assets
—

 
43,512

Accrued straight-line rents receivable, net
—

 
1,962

Deferred leasing costs, net
—

 
2,004

Prepaid expenses and other assets
—

 
30

Real estate and other assets, net, held for sale
$
—

 
$
47,508



As of June 30, 2013, there were no real estate and other assets, net, held for sale. As of December 31, 2012, real estate and other assets, net, held for sale included 13 industrial properties and a land parcel in Atlanta, GA and two office properties in Orlando, FL. All of these properties are classified as discontinued operations during the six months ended June 30, 2013.
Earnings Per Share/Unit
Earnings Per Share/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 June 30,
 
Six Months Ended June 30,
 
2013
 
2012
 
2013
 
2012
Earnings per Common Share - basic:
 
 
 
 
 
 
 
Numerator:
 
 
 
 
 
 
 
Income from continuing operations
$
16,232

 
$
10,963

 
$
29,400

 
$
21,902

Net (income) attributable to noncontrolling interests in the Operating Partnership from continuing operations
(672
)
 
(517
)
 
(1,227
)
 
(982
)
Net (income) attributable to noncontrolling interests in consolidated affiliates from continuing operations
(187
)
 
(223
)
 
(390
)
 
(407
)
Dividends on Preferred Stock
(627
)
 
(627
)
 
(1,254
)
 
(1,254
)
Income from continuing operations available for common stockholders
14,746

 
9,596

 
26,529

 
19,259

Income from discontinued operations
13,347

 
3,535

 
13,939

 
10,928

Net (income) attributable to noncontrolling interests in the Operating Partnership from discontinued operations
(571
)
 
(169
)
 
(597
)
 
(531
)
Income from discontinued operations available for common stockholders
12,776

 
3,366

 
13,342

 
10,397

Net income available for common stockholders
$
27,522

 
$
12,962

 
$
39,871

 
$
29,656

Denominator:
 
 
 
 
 
 
 
Denominator for basic earnings per Common Share – weighted average shares (1) (2)
82,811

 
74,662

 
81,925

 
73,749

Earnings per Common Share - basic:
 
 
 
 
 
 
 
Income from continuing operations available for common stockholders
$
0.18

 
$
0.13

 
$
0.33

 
$
0.26

Income from discontinued operations available for common stockholders
0.15

 
0.04

 
0.16

 
0.14

Net income available for common stockholders
$
0.33

 
$
0.17

 
$
0.49

 
$
0.40

Earnings per Common Share - diluted:
 
 
 
 
 
 
 
Numerator:
 
 
 
 
 
 
 
Income from continuing operations
$
16,232

 
$
10,963

 
$
29,400

 
$
21,902

Net (income) attributable to noncontrolling interests in consolidated affiliates from continuing operations
(187
)
 
(223
)
 
(390
)
 
(407
)
Dividends on Preferred Stock
(627
)
 
(627
)
 
(1,254
)
 
(1,254
)
Income from continuing operations available for common stockholders before net (income) attributable to noncontrolling interests in the Operating Partnership
15,418

 
10,113

 
27,756

 
20,241

Income from discontinued operations available for common stockholders
13,347

 
3,535

 
13,939

 
10,928

Net income available for common stockholders before net (income) attributable to noncontrolling interests in the Operating Partnership
$
28,765

 
$
13,648

 
$
41,695

 
$
31,169

Denominator:
 
 
 
 
 
 
 
Denominator for basic earnings per Common Share –weighted average shares (1) (2)
82,811

 
74,662

 
81,925

 
73,749

Add:
 
 
 
 
 
 
 
Stock options using the treasury method
132

 
141

 
120

 
129

Noncontrolling interests Common Units
3,688

 
3,718

 
3,707

 
3,723

Denominator for diluted earnings per Common Share – adjusted weighted average shares and assumed conversions (1)
86,631

 
78,521

 
85,752

 
77,601

Earnings per Common Share - diluted:
 
 
 
 
 
 
 
Income from continuing operations available for common stockholders
$
0.18

 
$
0.13

 
$
0.33

 
$
0.26

Income from discontinued operations available for common stockholders
0.15

 
0.04

 
0.16

 
0.14

Net income available for common stockholders
$
0.33

 
$
0.17

 
$
0.49

 
$
0.40

__________

13.
Earnings Per Share and Per Unit - Continued
(1)
There were 0.3 million and 0.5 million options outstanding during the three months ended June 30, 2013 and 2012, respectively, and 0.3 million and 0.5 million options outstanding during the six months ended June 30, 2013 and 2012, respectively, that were not included in the computation of diluted earnings per share because the impact of including such options would be anti-dilutive.
(2)
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 June 30,
 
Six Months Ended June 30,
 
2013
 
2012
 
2013
 
2012
Earnings per Common Unit - basic:
 
 
 
 
 
 
 
Numerator:
 
 
 
 
 
 
 
Income from continuing operations
$
16,235

 
$
10,966

 
$
29,350

 
$
21,907

Net (income) attributable to noncontrolling interests in consolidated affiliates from continuing operations
(187
)
 
(223
)
 
(390
)
 
(407
)
Distributions on Preferred Units
(627
)
 
(627
)
 
(1,254
)
 
(1,254
)
Income from continuing operations available for common unitholders
15,421

 
10,116

 
27,706

 
20,246

Income from discontinued operations available for common unitholders
13,347

 
3,535

 
13,939

 
10,928

Net income available for common unitholders
$
28,768

 
$
13,651

 
$
41,645

 
$
31,174

Denominator:
 
 
 
 
 
 
 
Denominator for basic earnings per Common Unit – weighted average units (1) (2)
86,090

 
77,971

 
85,223

 
77,063

Earnings per Common Unit - basic:
 
 
 
 
 
 
 
Income from continuing operations available for common unitholders
$
0.18

 
$
0.13

 
$
0.33

 
$
0.26

Income from discontinued operations available for common unitholders
0.15

 
0.05

 
0.16

 
0.14

Net income available for common unitholders
$
0.33

 
$
0.18

 
$
0.49

 
$
0.40

Earnings per Common Unit - diluted:
 
 
 
 
 
 
 
Numerator:
 
 
 
 
 
 
 
Income from continuing operations
$
16,235

 
$
10,966

 
$
29,350

 
$
21,907

Net (income) attributable to noncontrolling interests in consolidated affiliates from continuing operations
(187
)
 
(223
)
 
(390
)
 
(407
)
Distributions on Preferred Units
(627
)
 
(627
)
 
(1,254
)
 
(1,254
)
Income from continuing operations available for common unitholders
15,421

 
10,116

 
27,706

 
20,246

Income from discontinued operations available for common unitholders
13,347

 
3,535

 
13,939

 
10,928

Net income available for common unitholders
$
28,768

 
$
13,651

 
$
41,645

 
$
31,174

Denominator:
 
 
 
 
 
 
 
Denominator for basic earnings per Common Unit –weighted average units (1) (2)
86,090

 
77,971

 
85,223

 
77,063

Add:
 
 
 
 
 
 
 
Stock options using the treasury method
132

 
141

 
120

 
129

Denominator for diluted earnings per Common Unit – adjusted weighted average units and assumed conversions (1)
86,222

 
78,112

 
85,343

 
77,192

Earnings per Common Unit - diluted:
 
 
 
 
 
 
 
Income from continuing operations available for common unitholders
$
0.18

 
$
0.13

 
$
0.33

 
$
0.26

Income from discontinued operations available for common unitholders
0.15

 
0.04

 
0.16

 
0.14

Net income available for common unitholders
$
0.33

 
$
0.17

 
$
0.49

 
$
0.40

__________
(1)
There were 0.3 million and 0.5 million options outstanding during the three months ended June 30, 2013 and 2012, respectively, and 0.3 million and 0.5 million options outstanding during the six months ended June 30, 2013 and 2012, respectively, that were not included in the computation of diluted earnings per unit because the impact of including such options would be anti-dilutive.
(2)
Includes all unvested restricted stock where dividends on such restricted stock are non-forfeitable.
Segment Information
Segment Information
Segment Information

The following tables summarize the rental and other revenues and net operating income, the primary industry property-level performance metric which is defined as rental and other revenues less rental property and other expenses, for each of our reportable segments:

 
Three Months Ended June 30,
 
Six Months Ended June 30,
 
2013
 
2012
 
2013
 
2012
Rental and Other Revenues: (1)
 
 
 
 
 
 
 
Office:
 
 
 
 
 
 
 
Atlanta, GA
$
18,303

 
$
15,331

 
$
35,837

 
$
30,238

Greenville, SC
3,130

 
3,488

 
6,359

 
6,991

Kansas City, MO
4,035

 
3,559

 
8,005

 
7,161

Memphis, TN
9,657

 
9,248

 
19,040

 
18,503

Nashville, TN
14,194

 
14,317

 
28,269

 
28,178

Orlando, FL
2,231

 
2,219

 
4,453

 
4,377

Piedmont Triad, NC
7,086

 
5,071

 
13,977

 
10,149

Pittsburgh, PA
13,957

 
9,110

 
27,649

 
18,194

Raleigh, NC
21,726

 
20,395

 
42,394

 
40,169

Richmond, VA
11,861

 
12,092

 
23,637

 
23,599

Tampa, FL
18,025

 
17,573

 
36,053

 
34,706

Total Office Segment
124,205

 
112,403

 
245,673

 
222,265

Industrial:
 
 
 
 
 
 
 
Atlanta, GA
2,226

 
2,167

 
4,286

 
4,254

Piedmont Triad, NC
3,118

 
3,086

 
6,241

 
6,250

Total Industrial Segment
5,344

 
5,253

 
10,527

 
10,504

Retail:
 
 
 
 
 
 
 
Kansas City, MO
8,966

 
9,072

 
18,431

 
17,993

Total Retail Segment
8,966

 
9,072

 
18,431

 
17,993

Total Rental and Other Revenues
$
138,515

 
$
126,728

 
$
274,631

 
$
250,762


14.
Segment Information - Continued

 
Three Months Ended June 30,
 
Six Months Ended June 30,
 
2013
 
2012
 
2013
 
2012
Net Operating Income: (1)
 
 
 
 
 
 
 
Office:
 
 
 
 
 
 
 
Atlanta, GA
$
11,446

 
$
9,785

 
$
22,616

 
$
19,511

Greenville, SC
1,680

 
2,050

 
3,569

 
4,181

Kansas City, MO
2,637

 
2,184

 
5,200

 
4,516

Memphis, TN
5,300

 
5,297

 
10,931

 
10,851

Nashville, TN
10,034

 
9,831

 
19,722

 
19,482

Orlando, FL
1,070

 
1,056

 
2,149

 
2,120

Piedmont Triad, NC
4,568

 
3,218

 
8,923

 
6,449

Pittsburgh, PA
7,904

 
4,624

 
15,327

 
8,904

Raleigh, NC
15,682

 
14,381

 
30,312

 
28,339

Richmond, VA
8,245

 
8,532

 
16,361

 
16,412

Tampa, FL
10,799

 
10,805

 
22,301

 
21,640

Total Office Segment
79,365

 
71,763

 
157,411

 
142,405

Industrial:
 
 
 
 
 
 
 
Atlanta, GA
1,559

 
1,549

 
3,039

 
3,048

Piedmont Triad, NC
2,365

 
2,307

 
4,611

 
4,594

Total Industrial Segment
3,924

 
3,856

 
7,650

 
7,642

Retail:
 
 
 
 
 
 
 
Kansas City, MO
5,609

 
5,320

 
11,232

 
10,853

Total Retail Segment
5,609

 
5,320

 
11,232

 
10,853

Residential:
 
 
 
 
 
 
 
Raleigh, NC
—

 
(65
)
 
—

 
(145
)
Total Residential Segment
—


(65
)
 
—

 
(145
)
Corporate and other
(16
)
 
(30
)
 
(34
)
 
(59
)
Total Net Operating Income
88,882

 
80,844

 
176,259

 
160,696

Reconciliation to income from continuing operations before disposition of property and condominiums and equity in earnings of unconsolidated affiliates:
 
 
 
 
 
 
 
Depreciation and amortization
(42,394
)
 
(38,991
)
 
(84,208
)
 
(75,687
)
Impairments of real estate assets
(1,066
)
 
—

 
(1,066
)
 
—

General and administrative expenses
(8,397
)
 
(8,900
)
 
(18,979
)
 
(18,573
)
Interest expense
(23,286
)
 
(24,372
)
 
(47,154
)
 
(49,049
)
Other income
1,617

 
764

 
3,236

 
2,994

Income from continuing operations before disposition of property and condominiums
and equity in earnings of unconsolidated affiliates
$
15,356

 
$
9,345

 
$
28,088

 
$
20,381

__________
(1)
Net of discontinued operations.
Subsequent Events
Subsequent Events
Subsequent Events

In early July 2013, the Company issued 515,536 shares of Common Stock under its equity sales agreements at an average gross sales price of $35.21 per share and raised net proceeds, after sales commissions, of $17.9 million.

On July 19, 2013, we acquired our joint venture partner's 60.0% interest in the HIW-KC Orlando, LLC joint venture, which owns five office buildings encompassing 1.3 million square feet in Orlando, FL, for a purchase price of $113.3 million. We expect to expense $0.1 million of related acquisition costs. We previously accounted for our 40.0% interest in this joint venture using the equity method of accounting. The assets and liabilities of the joint venture are now wholly owned and will be recorded in our future Consolidated Financial Statements, including assets expected to be recorded at fair value of $188.9 million and secured debt expected to be recorded at fair value of $127.9 million, with an effective interest rate of 3.11%. This debt matures in July 2014. As a result of acquiring a controlling interest in this joint venture, our previously held equity interest was remeasured at fair value resulting in a gain of approximately $7 million. Due to the limited time since the acquisition date, our initial accounting for this transaction is incomplete and, as such, we are unable to provide purchase price allocation disclosures.
Description of Business and Significant Accounting Policies (Policies)
Basis of Accounting, Policy [Policy Text Block] 
Our Consolidated Financial Statements are prepared in conformity with accounting principles generally accepted in the United States of America (“GAAP”). Our Consolidated Balance Sheets at December 31, 2012 were retrospectively revised from previously reported amounts to reflect in real estate and other assets, net, held for sale those properties classified as held for sale during the three months ended June 30, 2013. Our Consolidated Statements of Income for the three and six months ended June 30, 2012 were retrospectively revised from previously reported amounts to reflect in discontinued operations the operations for those properties classified as discontinued operations.

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. All intercompany transactions and accounts have been eliminated. At June 30, 2013 and December 31, 2012, we had involvement with, but are not the primary beneficiary in, an entity that we concluded to be a variable interest entity (see Note 3).

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 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 2012 Annual Report on Form 10-K.
Use of Estimates, Policy [Policy Text Block] 
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 the Consolidated Financial Statements and accompanying notes. Actual results could differ from those estimates.
Mortgages and Notes Receivable (Tables)
Schedule of Mortgages and Notes Receivable [Table Text Block] 
The following table sets forth our mortgages and notes receivable:

 
June 30,
2013
 
December 31,
2012
Seller financing (first mortgages)
$
16,113

 
$
15,853

Less allowance
—

 
—

 
16,113

 
15,853

Mortgage receivable
8,715

 
8,648

Less allowance
—

 
—

 
8,715

 
8,648

Promissory notes
1,131

 
1,153

Less allowance
(376
)
 
(182
)
 
755

 
971

Mortgages and notes receivable, net
$
25,583

 
$
25,472

Schedule of Notes Receivable Allowance [Table Text Block] 
The following table sets forth our notes receivable allowance, which relates only to promissory notes:

 
Three Months Ended June 30,
 
Six Months Ended June 30,
 
2013
 
2012
 
2013
 
2012
Beginning notes receivable allowance
$
437

 
$
122

 
$
182

 
$
61

Recoveries/write-offs/other
(61
)
 
(4
)
 
194

 
57

Total notes receivable allowance
$
376

 
$
118

 
$
376

 
$
118

Investments In and Advances To Affiliates (Tables)
Schedule of Equity Method Investments Summarized Income Statement Information [Table Text Block] 
The following table sets forth combined summarized financial information for the Company's unconsolidated affiliates:

 
Three Months Ended June 30,
 
Six Months Ended June 30,
 
2013
 
2012
 
2013
 
2012
Income Statements:
 
 
 
 
 
 
 
Rental and other revenues
$
23,935

 
$
26,049

 
$
47,451

 
$
50,869

Expenses:
 
 
 
 
 
 
 
Rental property and other expenses
11,739

 
12,666

 
22,948

 
24,082

Depreciation and amortization
6,227

 
5,919

 
12,373

 
12,484

Impairments of real estate assets
—

 
—

 
4,790

 
7,180

Interest expense
4,689

 
5,267

 
9,428

 
11,097

Total expenses
22,655

 
23,852

 
49,539

 
54,843

Income/(loss) before disposition of properties
1,280

 
2,197

 
(2,088
)
 
(3,974
)
Gains on disposition of properties
43

 
6,275

 
67

 
6,275

Net income/(loss)
$
1,323

 
$
8,472

 
$
(2,021
)
 
$
2,301

The Company's share of:
 
 
 
 
 
 
 
Depreciation and amortization
$
2,092

 
$
1,675

 
$
4,107

 
$
3,773

Impairments of real estate assets
$
—

 
$
—

 
$
1,020

 
$
1,002

Interest expense
$
1,732

 
$
1,843

 
$
3,484

 
$
3,823

Gains on disposition of properties
$
10

 
$
—

 
$
431

 
$
—

Net income
$
571

 
$
1,133

 
$
575

 
$
338

 
 
 
 
 
 
 
 
The Company's share of net income
$
571

 
$
1,133

 
$
575

 
$
338

Adjustments for management and other fees
342

 
375

 
774

 
1,008

Equity in earnings of unconsolidated affiliates
$
913

 
$
1,508

 
$
1,349

 
$
1,346

Schedule of Equity Method Investments Summarized Income Statement Information [Table Text Block] 
The following table sets forth combined summarized financial information for the Operating Partnership's unconsolidated affiliates:

 
Three Months Ended June 30,
 
Six Months Ended June 30,
 
2013
 
2012
 
2013
 
2012
Income Statements:
 
 
 
 
 
 
 
Rental and other revenues
$
22,892

 
$
25,057

 
$
45,371

 
$
48,854

Expenses:
 
 
 
 
 
 
 
Rental property and other expenses
11,087

 
12,076

 
21,695

 
22,877

Depreciation and amortization
5,915

 
5,607

 
11,750

 
11,861

Impairments of real estate assets
—

 
—

 
4,790

 
7,180

Interest expense
4,532

 
5,103

 
9,110

 
10,766

Total expenses
21,534

 
22,786

 
47,345

 
52,684

Income/(loss) before disposition of properties
1,358

 
2,271

 
(1,974
)
 
(3,830
)
Gains on disposition of properties
43

 
6,275

 
67

 
6,275

Net income/(loss)
$
1,401

 
$
8,546

 
$
(1,907
)
 
$
2,445

The Operating Partnership's share of:
 
 
 
 
 
 
 
Depreciation and amortization
$
2,053

 
$
1,636

 
$
4,029

 
$
3,695

Impairments of real estate assets
$
—

 
$
—

 
$
1,020

 
$
1,002

Interest expense
$
1,712

 
$
1,823

 
$
3,444

 
$
3,782

Gains on disposition of properties
$
10

 
$
—

 
$
431

 
$
—

Net income
$
582

 
$
1,142

 
$
590

 
$
356

 
 
 
 
 
 
 
 
The Operating Partnership's share of net income
$
582

 
$
1,142

 
$
590

 
$
356

Adjustments for management and other fees
334

 
369

 
709

 
995

Equity in earnings of unconsolidated affiliates
$
916

 
$
1,511

 
$
1,299

 
$
1,351

Intangible Assets and Below Market Lease Liabilities (Tables)
Total intangible assets and below market lease liabilities [Table Text Block] 
The following table sets forth total intangible assets and acquisition-related below market lease liabilities, net of accumulated amortization:
 
 
June 30,
2013
 
December 31,
2012
Assets:
 
 
 
Deferred financing costs
$
21,368

 
$
21,759

Less accumulated amortization
(9,528
)
 
(7,862
)
 
11,840

 
13,897

Deferred leasing costs (including lease incentives and above market lease and in-place lease acquisition-related intangible assets)
245,982

 
223,100

Less accumulated amortization
(76,020
)
 
(68,978
)
 
169,962

 
154,122

Deferred financing and leasing costs, net
$
181,802

 
$
168,019

 
 
 
 
Liabilities (in accounts payable, accrued expenses and other liabilities):
 
 
 
Acquisition-related below market lease liabilities
$
45,415

 
$
37,019

Less accumulated amortization
(5,350
)
 
(3,383
)
 
$
40,065

 
$
33,636

Amortization of intangible assets and below market lease liabilities [Table Text Block] 
The following table sets forth amortization of intangible assets and acquisition-related below market lease liabilities:
 
 
Three Months Ended June 30,
 
Six Months Ended June 30,
 
2013
 
2012
 
2013
 
2012
Amortization of deferred financing costs
$
948

 
$
900

 
$
1,897

 
$
1,802

Amortization of deferred leasing costs and acquisition-related intangible assets (in depreciation and amortization)
$
8,123

 
$
7,180

 
$
16,431

 
$
13,505

Amortization of lease incentives (in rental and other revenues)
$
344

 
$
330

 
$
725

 
$
664

Amortization of acquisition-related intangible assets (in rental and other revenues)
$
484

 
$
324

 
$
951

 
$
594

Amortization of acquisition-related intangible assets (in rental property and other expenses)
$
139

 
$
—

 
$
276

 
$
—

Amortization of acquisition-related below market lease liabilities (in rental and other revenues)
$
(1,031
)
 
$
(553
)
 
$
(2,153
)
 
$
(1,097
)

Scheduled future amortization of intangible assets and below market lease liabilities [Table Text Block] 
The following table sets forth scheduled future amortization of intangible assets and below market lease liabilities:

 
 
Amortization of Deferred Financing Costs
 
Amortization of Deferred Leasing Costs and Acquisition-Related Intangible Assets (in Depreciation and Amortization)
 
Amortization of Lease Incentives (in Rental and Other Revenues)
 
Amortization of Acquisition-Related Intangible Assets (in Rental and Other Revenues)
 
Amortization of Acquisition-Related Intangible Assets (in Rental Property and Other Expenses)
 
Amortization of Acquisition-Related Below Market Lease Liabilities (in Rental and Other Revenues)
July 1 through December 31, 2013
 
$
1,828

 
$
17,283

 
$
621

 
$
1,032

 
$
277

 
$
(2,856
)
2014
 
3,241

 
30,455

 
1,160

 
1,817

 
553

 
(5,080
)
2015
 
2,606

 
24,935

 
932

 
1,438

 
553

 
(4,367
)
2016
 
1,508

 
20,563

 
738

 
1,085

 
553

 
(4,293
)
2017
 
1,220

 
17,526

 
664

 
951

 
553

 
(4,037
)
Thereafter
 
1,437

 
41,368

 
2,107

 
1,156

 
1,642

 
(19,432
)
 
 
$
11,840

 
$
152,130

 
$
6,222

 
$
7,479

 
$
4,131

 
$
(40,065
)
Weighted average remaining amortization periods as of June 30, 2013 (in years)
 
5.4

 
6.4

 
7.6

 
5.1

 
8.0

 
9.2

Total intangible assets and below market lease liabilities from acquisition activity [Table Text Block] 
The following table sets forth the intangible assets acquired and below market lease liabilities assumed as a result of 2013 acquisition activity:

 
 
Acquisition-Related Intangible Assets (amortized in Rental and Other Revenues)
 
Acquisition-Related Intangible Assets (amortized in Depreciation and Amortization)
 
Acquisition-Related Below Market Lease Liabilities (amortized in Rental and Other Revenues)
Amount recorded from acquisition activity
 
$
3,383

 
$
19,180

 
$
(8,582
)
Weighted average remaining amortization periods (in years)
 
4.2

 
5.3

 
7.5

Mortgages and Notes Payable (Tables)
Schedule of Consolidated Mortgages and Notes Payable [Table Text Block]
The following table sets forth our mortgages and notes payable:

 
June 30,
2013
 
December 31,
2012
Secured indebtedness
$
544,510

 
$
549,607

Unsecured indebtedness
1,387,145

 
1,309,555

Total mortgages and notes payable
$
1,931,655

 
$
1,859,162

Derivative Financial Instruments (Tables)
Schedule of Derivative Instruments, Fair Value [Table Text Block] 
The following table sets forth the fair value of our liability derivatives:

 
June 30,
2013
 
December 31,
2012
Liability Derivatives:
 
 
 
Derivatives designated as cash flow hedges in accounts payable, accrued expenses and other liabilities:
 
 
 
Interest rate swaps
$
1,103

 
$
9,369

Schedule of Derivative Instruments, Gain (Loss) in Statement of Financial Performance [Table Text Block] 
The following table sets forth the effect of our cash flow hedges on AOCL and interest expense:
 
 
Three Months Ended June 30,
 
Six Months Ended June 30,
 
2013
 
2012
 
2013
 
2012
Derivatives Designated as Cash Flow Hedges:
 
 
 
 
 
 
 
Amount of unrealized gains/(losses) recognized in AOCL on derivatives (effective portion):
 
 
 
 
 
 
 
Interest rate swaps
$
6,319

 
$
(7,481
)
 
$
6,599

 
$
(7,087
)
Amount of losses reclassified out of AOCL into contractual interest expense (effective portion):
 
 
 
 
 
 
 
Interest rate swaps
$
800

 
$
782

 
$
1,588

 
$
1,459

Noncontrolling Interests (Tables) (Highwoods Properties, Inc. [Member])
Noncontrolling Interests in the Operating Partnership [Table Text Block] 
The following table sets forth the Company's noncontrolling interests in the Operating Partnership:
 
 
Six Months Ended June 30,
 
2013
 
2012
Beginning noncontrolling interests in the Operating Partnership
$
124,869

 
$
110,655

Adjustment of noncontrolling interests in the Operating Partnership to fair value
9,649

 
16,501

Conversions of Common Units to Common Stock
(2,851
)
 
(631
)
Net income attributable to noncontrolling interests in the Operating Partnership
1,824

 
1,513

Distributions to noncontrolling interests in the Operating Partnership
(3,140
)
 
(3,158
)
Total noncontrolling interests in the Operating Partnership
$
130,351

 
$
124,880

Net Income Available for Common Stockholders and Transfers From Noncontrolling Interests in the Operating Partnership [Table Text Block] 
The following table sets forth net income available for common stockholders and transfers from the Company's noncontrolling interests in the Operating Partnership:
 
 
Three Months Ended June 30,
 
Six Months Ended June 30,
 
2013
 
2012
 
2013
 
2012
Net income available for common stockholders
$
27,522

 
$
12,962

 
$
39,871

 
$
29,656

Increase in additional paid in capital from conversions of Common Units
to Common Stock
2,500

 
568

 
2,851

 
631

Change from net income available for common stockholders and transfers from noncontrolling interests
$
30,022

 
$
13,530

 
$
42,722

 
$
30,287


Disclosure About Fair Value of Financial Instruments (Tables)
Fair Value Measurements of Assets, Liabilities and Noncontrolling Interests [Table Text Block] 
The following table sets forth our assets and liabilities and the Company's noncontrolling interests in the Operating Partnership that are measured at fair value within the fair value hierarchy.
 
 
 
 
Level 1
 
Level 2
 
Level 3
 
 
Total
 
Quoted Prices
in Active
Markets for Identical Assets or Liabilities
 
Significant Observable Inputs
 
Significant Unobservable Inputs
Fair Value at June 30, 2013:
 
 
 
 
 
 
 
 
Assets:
 
 
 
 
 
 
 
 
Mortgages and notes receivable, at fair value (1)
 
$
25,549

 
$
—

 
$
16,868

 
$
8,681

Marketable securities of non-qualified deferred compensation plan (in prepaid expenses and other assets)
 
3,556

 
3,556

 
—

 
—

Impaired real estate assets
 
5,866

 
—

 
—

 
5,866

Tax increment financing bond (in prepaid expenses and other assets)
 
14,233

 
—

 
—

 
14,233

Total Assets
 
$
49,204

 
$
3,556

 
$
16,868

 
$
28,780

Noncontrolling Interests in the Operating Partnership
 
$
130,351

 
$
130,351

 
$
—

 
$
—

Liabilities:
 
 
 
 
 
 
 
 
Mortgages and notes payable, at fair value (1)
 
$
2,020,130

 
$
—

 
$
2,020,130

 
$
—

Interest rate swaps (in accounts payable, accrued expenses and other liabilities)
 
1,103

 
—

 
1,103

 
—

Non-qualified deferred compensation obligation (in accounts payable, accrued expenses and other liabilities)
 
3,556

 
3,556

 
—

 
—

Contingent consideration to acquire real estate assets (in accounts payable, accrued expenses and other liabilities)
 
384

 
—

 
—

 
384

Financing obligations, at fair value (1)
 
24,220

 
—

 
—

 
24,220

Total Liabilities
 
$
2,049,393

 
$
3,556

 
$
2,021,233

 
$
24,604

Fair Value at December 31, 2012:
 
 
 
 
 
 
 
 
Assets:
 
 
 
 
 
 
 
 
Mortgages and notes receivable, at fair value (1)
 
$
24,725

 
$
—

 
$
16,077

 
$
8,648

Marketable securities of non-qualified deferred compensation plan (in prepaid expenses and other assets)
 
3,354

 
3,354

 
—

 
—

Tax increment financing bond (in prepaid expenses and other assets)
 
14,496

 
—

 
—

 
14,496

Total Assets
 
$
42,575

 
$
3,354

 
$
16,077

 
$
23,144

Noncontrolling Interests in the Operating Partnership
 
$
124,869

 
$
124,869

 
$
—

 
$
—

Liabilities:
 
 
 
 
 
 
 
 
Mortgages and notes payable, at fair value (1)
 
$
1,987,364

 
$
—

 
$
1,987,364

 
$
—

Interest rate swaps (in accounts payable, accrued expenses and other liabilities)
 
9,369

 
—

 
9,369

 
—

Non-qualified deferred compensation obligation (in accounts payable, accrued expenses and other liabilities)
 
3,354

 
3,354

 
—

 
—

Contingent consideration to acquire real estate assets (in accounts payable, accrued expenses and other liabilities)
 
563

 
—

 
—

 
563

Financing obligations, at fair value (1)
 
23,252

 
—

 
—

 
23,252

Total Liabilities
 
$
2,023,902

 
$
3,354

 
$
1,996,733

 
$
23,815


__________
(1)    Amounts recorded at historical cost on our Consolidated Balance Sheets at June 30, 2013 and December 31, 2012.

Fair Value Measurements, Unobservable Inputs Reconciliation [Table Text Block] 
The following table sets forth the changes in our Level 3 asset and liability, which are recorded at fair value on our Consolidated Balance Sheets:

 
Three Months Ended June 30,
 
Six Months Ended June 30,
 
2013
 
2012
 
2013
 
2012
Asset:
 
 
 
 
 
 
 
Tax Increment Financing Bond:
 
 
 
 
 
 
 
Beginning balance
$
14,324

 
$
15,075

 
$
14,496

 
$
14,788

Principal repayment
—

 
—

 
(562
)
 
—

Unrealized gains/(losses) (in AOCL)
(91
)
 
296

 
299

 
583

Ending balance
$
14,233

 
$
15,371

 
$
14,233

 
$
15,371

Liability:
 
 
 
 
 
 
 
Contingent Consideration to Acquire Real Estate Assets:
 
 
 
 
 
 
 
Beginning balance
$
375

 
$
—

 
$
563

 
$
—

Unrealized (gains)/losses (in general and administrative expenses)
9

 
—

 
(179
)
 
—

Ending balance
$
384

 
$
—

 
$
384

 
$
—

Fair Value Measurements, Valuation Techniques [Table Text Block] 
The following table sets forth quantitative information about the unobservable inputs of our Level 3 assets and liability, which are recorded at fair value on our Consolidated Balance Sheets:

 
Fair Value at
June 30, 2013
 
Valuation
Technique
 
Unobservable
Input
 
Rate/ Percentage
Assets:
 
 
 
 
 
 
 
Tax increment financing bond
$
14,233

 
Income approach
 
Discount rate
 
10.2%
Impaired real estate assets
$
5,866

 
Income approach
 
Capitalization rate
 
9.5%-10.5%
 
 
 
 
 
Discount rate
 
14.0%-15.0%
Liability:
 
 
 
 
 
 
 
Contingent consideration to acquire real estate assets
$
384

 
Income approach
 
Payout percentage
 
50.0%
Accumulated Other Comprehensive Loss (Tables)
Components of Accumulated Other Comprehensive Loss [Table Text Block]
The following table sets forth the components of AOCL:

 
Three Months Ended June 30,
 
Six Months Ended June 30,
 
2013
 
2012
 
2013
 
2012
Tax increment financing bond:
 
 
 
 
 
 
 
Beginning balance
(1,508
)
 
(2,022
)
 
$
(1,898
)
 
$
(2,309
)
Unrealized gains/(losses) on tax increment financing bond
(91
)
 
296

 
299

 
583

Ending balance
(1,599
)
 
(1,726
)
 
(1,599
)
 
(1,726
)
Cash flow hedges:
 
 
 
 
 
 
 
Beginning balance
(9,662
)
 
(2,354
)
 
(10,730
)
 
(3,425
)
Unrealized gains/(losses) on cash flow hedges
6,319

 
(7,481
)
 
6,599

 
(7,087
)
Amortization of cash flow hedges (1)
800

 
782

 
1,588

 
1,459

Ending balance
(2,543
)
 
(9,053
)
 
(2,543
)
 
(9,053
)
Total accumulated other comprehensive loss
$
(4,142
)

$
(10,779
)
 
$
(4,142
)
 
$
(10,779
)
__________
(1)    Amounts reclassified out of AOCL into contractual interest expense.
Discontinued Operations (Tables)
Operations Classified As Discontinued Operations [Table Text Block] 
The following table sets forth our operations classified as discontinued operations:

 
Three Months Ended June 30,
 
Six Months Ended June 30,
 
2013
 
2012
 
2013
 
2012
Rental and other revenues
$
365

 
$
6,051

 
$
1,624

 
$
12,389

Operating expenses:
 
 
 
 
 
 
 
Rental property and other expenses
100

 
2,171

 
405

 
4,306

Depreciation and amortization
81

 
1,607

 
559

 
3,426

Impairments of real estate assets
—

 
—

 
415

 
—

Total operating expenses
181

 
3,778

 
1,379

 
7,732

Interest expense
—

 
123

 
—

 
248

Income from discontinued operations
184

 
2,150

 
245

 
4,409

Net gains on disposition of discontinued operations
13,163

 
1,385

 
13,694

 
6,519

Total discontinued operations
$
13,347

 
$
3,535

 
$
13,939

 
$
10,928


Major Classes of Assets and Liabilities of the Properties Classified As Held For Sale [Table Text Block] 
The following table sets forth the major classes of assets of our real estate and other assets, net, held for sale:

 
June 30,
2013
 
December 31,
2012
Assets:
 
 
 
Land
$
—

 
$
8,450

Buildings and tenant improvements
—

 
50,663

Land held for development
—

 
2,368

Less-accumulated depreciation
—

 
(17,969
)
Net real estate assets
—

 
43,512

Accrued straight-line rents receivable, net
—

 
1,962

Deferred leasing costs, net
—

 
2,004

Prepaid expenses and other assets
—

 
30

Real estate and other assets, net, held for sale
$
—

 
$
47,508

Earnings Per Share/Unit (Tables)
Earnings Per Share [Table Text Block] 
The following table sets forth the computation of basic and diluted earnings per share of the Company:

 
Three Months Ended June 30,
 
Six Months Ended June 30,
 
2013
 
2012
 
2013
 
2012
Earnings per Common Share - basic:
 
 
 
 
 
 
 
Numerator:
 
 
 
 
 
 
 
Income from continuing operations
$
16,232

 
$
10,963

 
$
29,400

 
$
21,902

Net (income) attributable to noncontrolling interests in the Operating Partnership from continuing operations
(672
)
 
(517
)
 
(1,227
)
 
(982
)
Net (income) attributable to noncontrolling interests in consolidated affiliates from continuing operations
(187
)
 
(223
)
 
(390
)
 
(407
)
Dividends on Preferred Stock
(627
)
 
(627
)
 
(1,254
)
 
(1,254
)
Income from continuing operations available for common stockholders
14,746

 
9,596

 
26,529

 
19,259

Income from discontinued operations
13,347

 
3,535

 
13,939

 
10,928

Net (income) attributable to noncontrolling interests in the Operating Partnership from discontinued operations
(571
)
 
(169
)
 
(597
)
 
(531
)
Income from discontinued operations available for common stockholders
12,776

 
3,366

 
13,342

 
10,397

Net income available for common stockholders
$
27,522

 
$
12,962

 
$
39,871

 
$
29,656

Denominator:
 
 
 
 
 
 
 
Denominator for basic earnings per Common Share – weighted average shares (1) (2)
82,811

 
74,662

 
81,925

 
73,749

Earnings per Common Share - basic:
 
 
 
 
 
 
 
Income from continuing operations available for common stockholders
$
0.18

 
$
0.13

 
$
0.33

 
$
0.26

Income from discontinued operations available for common stockholders
0.15

 
0.04

 
0.16

 
0.14

Net income available for common stockholders
$
0.33

 
$
0.17

 
$
0.49

 
$
0.40

Earnings per Common Share - diluted:
 
 
 
 
 
 
 
Numerator:
 
 
 
 
 
 
 
Income from continuing operations
$
16,232

 
$
10,963

 
$
29,400

 
$
21,902

Net (income) attributable to noncontrolling interests in consolidated affiliates from continuing operations
(187
)
 
(223
)
 
(390
)
 
(407
)
Dividends on Preferred Stock
(627
)
 
(627
)
 
(1,254
)
 
(1,254
)
Income from continuing operations available for common stockholders before net (income) attributable to noncontrolling interests in the Operating Partnership
15,418

 
10,113

 
27,756

 
20,241

Income from discontinued operations available for common stockholders
13,347

 
3,535

 
13,939

 
10,928

Net income available for common stockholders before net (income) attributable to noncontrolling interests in the Operating Partnership
$
28,765

 
$
13,648

 
$
41,695

 
$
31,169

Denominator:
 
 
 
 
 
 
 
Denominator for basic earnings per Common Share –weighted average shares (1) (2)
82,811

 
74,662

 
81,925

 
73,749

Add:
 
 
 
 
 
 
 
Stock options using the treasury method
132

 
141

 
120

 
129

Noncontrolling interests Common Units
3,688

 
3,718

 
3,707

 
3,723

Denominator for diluted earnings per Common Share – adjusted weighted average shares and assumed conversions (1)
86,631

 
78,521

 
85,752

 
77,601

Earnings per Common Share - diluted:
 
 
 
 
 
 
 
Income from continuing operations available for common stockholders
$
0.18

 
$
0.13

 
$
0.33

 
$
0.26

Income from discontinued operations available for common stockholders
0.15

 
0.04

 
0.16

 
0.14

Net income available for common stockholders
$
0.33

 
$
0.17

 
$
0.49

 
$
0.40

__________

13.
Earnings Per Share and Per Unit - Continued
(1)
There were 0.3 million and 0.5 million options outstanding during the three months ended June 30, 2013 and 2012, respectively, and 0.3 million and 0.5 million options outstanding during the six months ended June 30, 2013 and 2012, respectively, that were not included in the computation of diluted earnings per share because the impact of including such options would be anti-dilutive.
(2)
Includes all unvested restricted stock where dividends on such restricted stock are non-forfeitable.
Earnings Per Unit [Table Text Block] 
The following table sets forth the computation of basic and diluted earnings per unit of the Operating Partnership:

 
Three Months Ended June 30,
 
Six Months Ended June 30,
 
2013
 
2012
 
2013
 
2012
Earnings per Common Unit - basic:
 
 
 
 
 
 
 
Numerator:
 
 
 
 
 
 
 
Income from continuing operations
$
16,235

 
$
10,966

 
$
29,350

 
$
21,907

Net (income) attributable to noncontrolling interests in consolidated affiliates from continuing operations
(187
)
 
(223
)
 
(390
)
 
(407
)
Distributions on Preferred Units
(627
)
 
(627
)
 
(1,254
)
 
(1,254
)
Income from continuing operations available for common unitholders
15,421

 
10,116

 
27,706

 
20,246

Income from discontinued operations available for common unitholders
13,347

 
3,535

 
13,939

 
10,928

Net income available for common unitholders
$
28,768

 
$
13,651

 
$
41,645

 
$
31,174

Denominator:
 
 
 
 
 
 
 
Denominator for basic earnings per Common Unit – weighted average units (1) (2)
86,090

 
77,971

 
85,223

 
77,063

Earnings per Common Unit - basic:
 
 
 
 
 
 
 
Income from continuing operations available for common unitholders
$
0.18

 
$
0.13

 
$
0.33

 
$
0.26

Income from discontinued operations available for common unitholders
0.15

 
0.05

 
0.16

 
0.14

Net income available for common unitholders
$
0.33

 
$
0.18

 
$
0.49

 
$
0.40

Earnings per Common Unit - diluted:
 
 
 
 
 
 
 
Numerator:
 
 
 
 
 
 
 
Income from continuing operations
$
16,235

 
$
10,966

 
$
29,350

 
$
21,907

Net (income) attributable to noncontrolling interests in consolidated affiliates from continuing operations
(187
)
 
(223
)
 
(390
)
 
(407
)
Distributions on Preferred Units
(627
)
 
(627
)
 
(1,254
)
 
(1,254
)
Income from continuing operations available for common unitholders
15,421

 
10,116

 
27,706

 
20,246

Income from discontinued operations available for common unitholders
13,347

 
3,535

 
13,939

 
10,928

Net income available for common unitholders
$
28,768

 
$
13,651

 
$
41,645

 
$
31,174

Denominator:
 
 
 
 
 
 
 
Denominator for basic earnings per Common Unit –weighted average units (1) (2)
86,090

 
77,971

 
85,223

 
77,063

Add:
 
 
 
 
 
 
 
Stock options using the treasury method
132

 
141

 
120

 
129

Denominator for diluted earnings per Common Unit – adjusted weighted average units and assumed conversions (1)
86,222

 
78,112

 
85,343

 
77,192

Earnings per Common Unit - diluted:
 
 
 
 
 
 
 
Income from continuing operations available for common unitholders
$
0.18

 
$
0.13

 
$
0.33

 
$
0.26

Income from discontinued operations available for common unitholders
0.15

 
0.04

 
0.16

 
0.14

Net income available for common unitholders
$
0.33

 
$
0.17

 
$
0.49

 
$
0.40

__________
(1)
There were 0.3 million and 0.5 million options outstanding during the three months ended June 30, 2013 and 2012, respectively, and 0.3 million and 0.5 million options outstanding during the six months ended June 30, 2013 and 2012, respectively, that were not included in the computation of diluted earnings per unit because the impact of including such options would be anti-dilutive.
(2)
Includes all unvested restricted stock where dividends on such restricted stock are non-forfeitable.
Segment Information (Tables)
Segment Information [Table Text Block]
The following tables summarize the rental and other revenues and net operating income, the primary industry property-level performance metric which is defined as rental and other revenues less rental property and other expenses, for each of our reportable segments:

 
Three Months Ended June 30,
 
Six Months Ended June 30,
 
2013
 
2012
 
2013
 
2012
Rental and Other Revenues: (1)
 
 
 
 
 
 
 
Office:
 
 
 
 
 
 
 
Atlanta, GA
$
18,303

 
$
15,331

 
$
35,837

 
$
30,238

Greenville, SC
3,130

 
3,488

 
6,359

 
6,991

Kansas City, MO
4,035

 
3,559

 
8,005

 
7,161

Memphis, TN
9,657

 
9,248

 
19,040

 
18,503

Nashville, TN
14,194

 
14,317

 
28,269

 
28,178

Orlando, FL
2,231

 
2,219

 
4,453

 
4,377

Piedmont Triad, NC
7,086

 
5,071

 
13,977

 
10,149

Pittsburgh, PA
13,957

 
9,110

 
27,649

 
18,194

Raleigh, NC
21,726

 
20,395

 
42,394

 
40,169

Richmond, VA
11,861

 
12,092

 
23,637

 
23,599

Tampa, FL
18,025

 
17,573

 
36,053

 
34,706

Total Office Segment
124,205

 
112,403

 
245,673

 
222,265

Industrial:
 
 
 
 
 
 
 
Atlanta, GA
2,226

 
2,167

 
4,286

 
4,254

Piedmont Triad, NC
3,118

 
3,086

 
6,241

 
6,250

Total Industrial Segment
5,344

 
5,253

 
10,527

 
10,504

Retail:
 
 
 
 
 
 
 
Kansas City, MO
8,966

 
9,072

 
18,431

 
17,993

Total Retail Segment
8,966

 
9,072

 
18,431

 
17,993

Total Rental and Other Revenues
$
138,515

 
$
126,728

 
$
274,631

 
$
250,762


14.
Segment Information - Continued

 
Three Months Ended June 30,
 
Six Months Ended June 30,
 
2013
 
2012
 
2013
 
2012
Net Operating Income: (1)
 
 
 
 
 
 
 
Office:
 
 
 
 
 
 
 
Atlanta, GA
$
11,446

 
$
9,785

 
$
22,616

 
$
19,511

Greenville, SC
1,680

 
2,050

 
3,569

 
4,181

Kansas City, MO
2,637

 
2,184

 
5,200

 
4,516

Memphis, TN
5,300

 
5,297

 
10,931

 
10,851

Nashville, TN
10,034

 
9,831

 
19,722

 
19,482

Orlando, FL
1,070

 
1,056

 
2,149

 
2,120

Piedmont Triad, NC
4,568

 
3,218

 
8,923

 
6,449

Pittsburgh, PA
7,904

 
4,624

 
15,327

 
8,904

Raleigh, NC
15,682

 
14,381

 
30,312

 
28,339

Richmond, VA
8,245

 
8,532

 
16,361

 
16,412

Tampa, FL
10,799

 
10,805

 
22,301

 
21,640

Total Office Segment
79,365

 
71,763

 
157,411

 
142,405

Industrial:
 
 
 
 
 
 
 
Atlanta, GA
1,559

 
1,549

 
3,039

 
3,048

Piedmont Triad, NC
2,365

 
2,307

 
4,611

 
4,594

Total Industrial Segment
3,924

 
3,856

 
7,650

 
7,642

Retail:
 
 
 
 
 
 
 
Kansas City, MO
5,609

 
5,320

 
11,232

 
10,853

Total Retail Segment
5,609

 
5,320

 
11,232

 
10,853

Residential:
 
 
 
 
 
 
 
Raleigh, NC
—

 
(65
)
 
—

 
(145
)
Total Residential Segment
—


(65
)
 
—

 
(145
)
Corporate and other
(16
)
 
(30
)
 
(34
)
 
(59
)
Total Net Operating Income
88,882

 
80,844

 
176,259

 
160,696

Reconciliation to income from continuing operations before disposition of property and condominiums and equity in earnings of unconsolidated affiliates:
 
 
 
 
 
 
 
Depreciation and amortization
(42,394
)
 
(38,991
)
 
(84,208
)
 
(75,687
)
Impairments of real estate assets
(1,066
)
 
—

 
(1,066
)
 
—

General and administrative expenses
(8,397
)
 
(8,900
)
 
(18,979
)
 
(18,573
)
Interest expense
(23,286
)
 
(24,372
)
 
(47,154
)
 
(49,049
)
Other income
1,617

 
764

 
3,236

 
2,994

Income from continuing operations before disposition of property and condominiums
and equity in earnings of unconsolidated affiliates
$
15,356

 
$
9,345

 
$
28,088

 
$
20,381

__________
(1)
Net of discontinued operations.
Description of Business and Significant Accounting Policies (Details) (USD $)
In Millions, except Share data, unless otherwise specified
3 Months Ended 6 Months Ended
Jun. 30, 2013
sqft
Jun. 30, 2013
sqft
Dec. 31, 2012
Description of Business and Significant Accounting Policies [Line Items]
 
 
 
In-service office, industrial and retail properties (in units)
291 
291 
 
Square footage of commercial property (in sq feet)
29,600,000 
29,600,000 
 
Undeveloped land suitable for future development (in acres)
634 
634 
 
Undeveloped land considered core holdings (in acres)
566 
566 
 
Office properties under/planned for development (in units)
2 
2 
 
Percentage of equity interest in joint ventures, maximum (in hundredths)
50.00% 
50.00% 
 
Number of real estate properties not wholly owned (in units)
30 
30 
 
Area of undeveloped land not wholly owned (in acres)
11 
11 
 
Number of directors of the Company who are also limited partners
2 
2 
 
Common Units redeemed for a like number of common shares of stock (in shares)
 
72,471 
 
Highwoods Properties, Inc. [Member]
 
 
 
Description of Business and Significant Accounting Policies [Line Items]
 
 
 
Percentage of equity interest in joint venture not owned by Operating Partership
12.50% 
12.50% 
 
Square footage of real estate property not owned by Operating Partnership (in sq feet)
261,000 
261,000 
 
Common Units of partnership owned by the Company (in shares)
83,600,000 
83,600,000 
 
Percentage of ownership of Common Units
95.80% 
95.80% 
95.60% 
Number of Common Stock sold at the market during period (in shares)
1,756,590 
3,056,381 
 
Average price of Common Stock sold at the market during period (in dollars per share)
$ 38.32 
$ 37.31 
 
Net proceeds of Common Stock sold at the market during period
$ 66.3 
$ 112.3 
 
Highwoods Realty Limited Partnership [Member]
 
 
 
Description of Business and Significant Accounting Policies [Line Items]
 
 
 
Common Units of partnership not owned by the Company (in shares)
3,700,000 
3,700,000 
 
Real Estate Assets (Details) (USD $)
3 Months Ended 6 Months Ended 3 Months Ended
Jun. 30, 2013
acre
Jun. 30, 2012
Jun. 30, 2013
acre
Jun. 30, 2012
Jun. 30, 2013
Atlanta, GA Office Property Acquisition (6/2013) [Member]
sqft
Mar. 31, 2013
Tampa, FL Office Properties Acquisition (3/2013) [Member]
property
sqft
Mar. 31, 2013
Greensboro, NC Office Properties Acquisition (3/2013) [Member]
sqft
property
Mar. 31, 2013
Memphis, TN Development Land Acquisition (3/2013) [Member]
acre
Jun. 30, 2013
Atlanta, GA Industrial Property Disposition (6/2013) [Member]
property
Jun. 30, 2013
Atlanta, GA Industrial Property/Land Disposition 2 (6/2013) [Member]
property
Jun. 30, 2013
Atlanta, GA Industrial Property Disposition 3 (6/2013) [Member]
property
Mar. 31, 2013
Orlando, FL Office Properties Disposition (3/2013) [Member]
property
Mar. 31, 2013
Jackson, MS Office Property Disposition (9/2012) [Member]
Jun. 30, 2013
Winston-Salem, NC Office Properties (6/2013) [Member]
property
Mar. 31, 2013
Atlanta, GA Industrial Properties (3/2013) [Member]
property
Mar. 31, 2013
Atlanta, GA Industrial Properties Held For Sale (3/2013) [Member]
property
Acquisitions [Abstract]
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Number of office properties acquired
 
 
 
 
 
2 
2 
 
 
 
 
 
 
 
 
 
Rentable square feet of acquisition (in sq. ft)
 
 
 
 
553,000 
372,000 
195,000 
 
 
 
 
 
 
 
 
 
Acquisition development land (in acres)
634 
 
634 
 
 
 
 
5 
 
 
 
 
 
 
 
 
Acquisition purchase price
 
 
 
 
$ 140,100,000 
$ 52,500,000 
$ 30,800,000 
$ 4,800,000 
 
 
 
 
 
 
 
 
Acquisition-related costs
400,000 
 
900,000 
 
 
 
 
 
 
 
 
 
 
 
 
 
Dispositions [Abstract]
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Number of office properties sold
 
 
 
 
 
 
 
 
 
 
 
2 
 
 
 
 
Number of industrial real estate properties sold
 
 
 
 
 
 
 
 
5 
6 
2 
 
 
 
 
 
Proceeds received from sale of real estate
 
 
 
 
 
 
 
 
4,500,000 
38,700,000 
4,800,000 
14,600,000 
 
 
 
 
Closing credits for unfunded tenant improvements
 
 
 
 
 
 
 
 
 
1,800,000 
   
800,000 
 
 
 
 
Closing credits for free rent
 
 
 
 
 
 
 
 
100,000 
1,300,000 
   
 
 
 
 
 
Gain/(loss) on disposition of discontinued operations
13,163,000 
1,385,000 
13,694,000 
6,519,000 
 
 
 
 
100,000 
13,200,000 
(100,000)
(300,000)
1,500,000 
 
 
 
Impairments [Abstract]
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Number of impaired properties
 
 
 
 
 
 
 
 
 
 
 
 
 
4 
2 
5 
Impairments of real estate assets
1,066,000 
0 
1,066,000 
0 
 
 
 
 
 
 
 
 
 
1,100,000 
400,000 
 
Impairments of real estate assets held for sale
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
$ 700,000 
Mortgages and Notes Receivable (Details) (USD $)
3 Months Ended 6 Months Ended
Jun. 30, 2013
Jun. 30, 2012
Jun. 30, 2013
Jun. 30, 2012
Dec. 31, 2012
Schedule of mortgages and notes receivable [Abstract]
 
 
 
 
 
Mortgages and notes receivable, allowance
$ (376,000)
 
$ (376,000)
 
$ (182,000)
Mortgages and notes receivable, net
25,583,000 
 
25,583,000 
 
25,472,000 
Notes receivable allowance, promissory notes [Roll Forward]
 
 
 
 
 
Beginning notes receivable allowance
 
 
 
 
182,000 
Total notes receivable allowance
376,000 
 
376,000 
 
182,000 
Seller Financing [Member]
 
 
 
 
 
Schedule of mortgages and notes receivable [Abstract]
 
 
 
 
 
Mortgages and notes receivable, gross
16,113,000 
 
16,113,000 
 
15,853,000 
Mortgages and notes receivable, allowance
0 
 
0 
 
0 
Mortgages and notes receivable, net
16,113,000 
 
16,113,000 
 
15,853,000 
Number of transactions with seller financing
2 
 
 
 
 
Notes receivable allowance, promissory notes [Roll Forward]
 
 
 
 
 
Beginning notes receivable allowance
 
 
 
 
0 
Total notes receivable allowance
0 
 
0 
 
0 
Mortgage Receivable [Member]
 
 
 
 
 
Schedule of mortgages and notes receivable [Abstract]
 
 
 
 
 
Mortgages and notes receivable, gross
8,715,000 
 
8,715,000 
 
8,648,000 
Mortgages and notes receivable, allowance
0 
 
0 
 
 
Mortgages and notes receivable, net
8,715,000 
 
8,715,000 
 
8,648,000 
Additional loan commitment to third party
8,400,000 
 
8,400,000 
 
 
Cumulative funds for future infrastructure disbursed to third party
 
 
100,000 
 
 
Notes receivable allowance, promissory notes [Roll Forward]
 
 
 
 
 
Beginning notes receivable allowance
 
 
0 
 
 
Total notes receivable allowance
0 
 
0 
 
 
Promissory Notes [Member]
 
 
 
 
 
Schedule of mortgages and notes receivable [Abstract]
 
 
 
 
 
Mortgages and notes receivable, gross
1,131,000 
 
1,131,000 
 
1,153,000 
Mortgages and notes receivable, allowance
(376,000)
(118,000)
(376,000)
(118,000)
 
Mortgages and notes receivable, net
755,000 
 
755,000 
 
971,000 
Notes receivable allowance, promissory notes [Roll Forward]
 
 
 
 
 
Beginning notes receivable allowance
437,000 
122,000 
182,000 
61,000 
 
Recoveries/write-offs/other
(61,000)
(4,000)
194,000 
57,000 
 
Total notes receivable allowance
$ 376,000 
$ 118,000 
$ 376,000 
$ 118,000 
 
Investments In and Advances To Affiliates (Details) (USD $)
3 Months Ended 6 Months Ended 3 Months Ended 6 Months Ended
Jun. 30, 2013
Jun. 30, 2012
Jun. 30, 2013
Jun. 30, 2012
Jun. 30, 2013
Highwoods DLF 98/29, LLC Joint Venture [Member]
Mar. 31, 2013
Highwoods DLF 98/29, LLC Joint Venture [Member]
Mar. 31, 2013
Highwoods DLF 97/26 DLF 99/32, LP Joint Venture [Member]
Jun. 30, 2013
Highwoods Realty Limited Partnership [Member]
Jun. 30, 2012
Highwoods Realty Limited Partnership [Member]
Jun. 30, 2013
Highwoods Realty Limited Partnership [Member]
Jun. 30, 2012
Highwoods Realty Limited Partnership [Member]
Income Statements:
 
 
 
 
 
 
 
 
 
 
 
Rental and other revenues
$ 23,935,000 
$ 26,049,000 
$ 47,451,000 
$ 50,869,000 
 
 
 
$ 22,892,000 
$ 25,057,000 
$ 45,371,000 
$ 48,854,000 
Expenses:
 
 
 
 
 
 
 
 
 
 
 
Rental property and other expenses
11,739,000 
12,666,000 
22,948,000 
24,082,000 
 
 
 
11,087,000 
12,076,000 
21,695,000 
22,877,000 
Depreciation and amortization
6,227,000 
5,919,000 
12,373,000 
12,484,000 
 
 
 
5,915,000 
5,607,000 
11,750,000 
11,861,000 
Impairments of real estate assets
0 
0 
4,790,000 
7,180,000 
 
4,800,000 
 
0 
0 
4,790,000 
7,180,000 
Interest expense
4,689,000 
5,267,000 
9,428,000 
11,097,000 
 
 
 
4,532,000 
5,103,000 
9,110,000 
10,766,000 
Total expenses
22,655,000 
23,852,000 
49,539,000 
54,843,000 
 
 
 
21,534,000 
22,786,000 
47,345,000 
52,684,000 
Income/(loss) before disposition of properties
1,280,000 
2,197,000 
(2,088,000)
(3,974,000)
 
 
 
1,358,000 
2,271,000 
(1,974,000)
(3,830,000)
Gains on disposition of properties
43,000 
6,275,000 
67,000 
6,275,000 
100,000 
 
100,000 
43,000 
6,275,000 
67,000 
6,275,000 
Net income/(loss)
1,323,000 
8,472,000 
(2,021,000)
2,301,000 
 
 
 
1,401,000 
8,546,000 
(1,907,000)
2,445,000 
Our share of:
 
 
 
 
 
 
 
 
 
 
 
Depreciation and amortization of real estate assets
2,092,000 
1,675,000 
4,107,000 
3,773,000 
 
 
 
2,053,000 
1,636,000 
4,029,000 
3,695,000 
Impairments of real estate assets
0 
0 
1,020,000 
1,002,000 
 
1,000,000 
 
0 
0 
1,020,000 
1,002,000 
Interest expense
1,732,000 
1,843,000 
3,484,000 
3,823,000 
 
 
 
1,712,000 
1,823,000 
3,444,000 
3,782,000 
Our share of gains recorded on disposition of property
10,000 
0 
431,000 
0 
100,000 
 
400,000 
10,000 
0 
431,000 
0 
Net income
571,000 
1,133,000 
575,000 
338,000 
 
 
 
582,000 
1,142,000 
590,000 
356,000 
Our share of net income
571,000 
1,133,000 
575,000 
338,000 
 
 
 
582,000 
1,142,000 
590,000 
356,000 
Adjustments for management and other fees
342,000 
375,000 
774,000 
1,008,000 
 
 
 
334,000 
369,000 
709,000 
995,000 
Equity in earnings of unconsolidated affiliates
913,000 
1,508,000 
1,349,000 
1,346,000 
 
 
 
916,000 
1,511,000 
1,299,000 
1,351,000 
Percentage of equity interest in joint ventures, maximum (in hundredths)
50.00% 
 
50.00% 
 
 
 
 
 
 
 
 
Proceeds received from disposition of property
 
 
 
 
5,900,000 
 
10,100,000 
 
 
 
 
Closing credits for free rent
 
 
 
 
$ 100,000 
 
$ 300,000 
 
 
 
 
Intangible Assets and Below Market Lease Liabilities (Details) (USD $)
In Thousands, unless otherwise specified
3 Months Ended 6 Months Ended
Jun. 30, 2013
Jun. 30, 2012
Jun. 30, 2013
Jun. 30, 2012
Dec. 31, 2012
Intangible assets and below market lease liabilities, net [Abstract]
 
 
 
 
 
Deferred financing and leasing costs, accumulated amortization
$ (85,548)
 
$ (85,548)
 
$ (76,840)
Deferred financing and leasing costs, net/Total scheduled future amortization of intangible assets
181,802 
 
181,802 
 
168,019 
Acquired above market lease intangible assets
3,383 
 
3,383 
 
 
Acquired in-place lease intangible assets
19,180 
 
19,180 
 
 
Assumed below market lease liabilities
(8,582)
 
(8,582)
 
 
Deferred Financing Costs [Member]
 
 
 
 
 
Intangible assets and below market lease liabilities, net [Abstract]
 
 
 
 
 
Deferred financing and leasing costs, gross
21,368 
 
21,368 
 
21,759 
Deferred financing and leasing costs, accumulated amortization
(9,528)
 
(9,528)
 
(7,862)
Deferred financing and leasing costs, net/Total scheduled future amortization of intangible assets
11,840 
 
11,840 
 
13,897 
Amortization of intangible assets and below market lease liabilities [Abstract]
 
 
 
 
 
Amortization of intangible assets
948 
900 
1,897 
1,802 
 
Deferred Leasing Costs [Member]
 
 
 
 
 
Intangible assets and below market lease liabilities, net [Abstract]
 
 
 
 
 
Deferred financing and leasing costs, gross
245,982 
 
245,982 
 
223,100 
Deferred financing and leasing costs, accumulated amortization
(76,020)
 
(76,020)
 
(68,978)
Deferred financing and leasing costs, net/Total scheduled future amortization of intangible assets
169,962 
 
169,962 
 
154,122 
Deferred Leasing Costs and Acquisition-Related Intangible Assets [Member]
 
 
 
 
 
Intangible assets and below market lease liabilities, net [Abstract]
 
 
 
 
 
Deferred financing and leasing costs, net/Total scheduled future amortization of intangible assets
152,130 
 
152,130 
 
 
Amortization of intangible assets and below market lease liabilities [Abstract]
 
 
 
 
 
Amortization of intangible assets
8,123 
7,180 
16,431 
13,505 
 
Lease Incentives [Member]
 
 
 
 
 
Intangible assets and below market lease liabilities, net [Abstract]
 
 
 
 
 
Deferred financing and leasing costs, net/Total scheduled future amortization of intangible assets
6,222 
 
6,222 
 
 
Amortization of intangible assets and below market lease liabilities [Abstract]
 
 
 
 
 
Amortization of intangible assets
344 
330 
725 
664 
 
Acquisition-Related Intangible Assets (in Rental and Other Revenues) [Member]
 
 
 
 
 
Intangible assets and below market lease liabilities, net [Abstract]
 
 
 
 
 
Deferred financing and leasing costs, net/Total scheduled future amortization of intangible assets
7,479 
 
7,479 
 
 
Amortization of intangible assets and below market lease liabilities [Abstract]
 
 
 
 
 
Amortization of intangible assets
484 
324 
951 
594 
 
Acquisition-Related Intangible Assets (in Rental Property and Other Expenses) [Member]
 
 
 
 
 
Intangible assets and below market lease liabilities, net [Abstract]
 
 
 
 
 
Deferred financing and leasing costs, net/Total scheduled future amortization of intangible assets
4,131 
 
4,131 
 
 
Amortization of intangible assets and below market lease liabilities [Abstract]
 
 
 
 
 
Amortization of intangible assets
139 
0 
276 
0 
 
Acquisition-Related Below Market Lease Liabilities [Member]
 
 
 
 
 
Intangible assets and below market lease liabilities, net [Abstract]
 
 
 
 
 
Acquisition-related below market lease liabilities, gross
45,415 
 
45,415 
 
37,019 
Acquisition-related below market lease liabilities, accumulated amortization
(5,350)
 
(5,350)
 
(3,383)
Acquisition-related below market lease liabilities, net
40,065 
 
40,065 
 
33,636 
Amortization of intangible assets and below market lease liabilities [Abstract]
 
 
 
 
 
Amortization of acquisition-related below market lease liabilities
$ (1,031)
$ (553)
$ (2,153)
$ (1,097)
 
Intangible Assets and Below Market Lease Liabilities - Scheduled Future Amortization (Details) (USD $)
In Thousands, unless otherwise specified
3 Months Ended 6 Months Ended
Jun. 30, 2013
Jun. 30, 2013
Dec. 31, 2012
Scheduled future amortization of intangible assets [Abstract]
 
 
 
Deferred financing and leasing costs, net/Total scheduled future amortization of intangible assets
$ 181,802 
$ 181,802 
$ 168,019 
Deferred Financing Costs [Member]
 
 
 
Scheduled future amortization of intangible assets [Abstract]
 
 
 
July 1, 2013 through December 31, 2013
1,828 
1,828 
 
2014
3,241 
3,241 
 
2015
2,606 
2,606 
 
2016
1,508 
1,508 
 
2017
1,220 
1,220 
 
Thereafter
1,437 
1,437 
 
Deferred financing and leasing costs, net/Total scheduled future amortization of intangible assets
11,840 
11,840 
13,897 
Weighted average remaining amortization periods for intangible assets and below market lease liabilities [Abstract]
 
 
 
Finite-lived intangible assets, average useful life (in years)
 
5 years 4 months 24 days 
 
Deferred Leasing Costs and Acquisition-Related Intangible Assets [Member]
 
 
 
Scheduled future amortization of intangible assets [Abstract]
 
 
 
July 1, 2013 through December 31, 2013
17,283 
17,283 
 
2014
30,455 
30,455 
 
2015
24,935 
24,935 
 
2016
20,563 
20,563 
 
2017
17,526 
17,526 
 
Thereafter
41,368 
41,368 
 
Deferred financing and leasing costs, net/Total scheduled future amortization of intangible assets
152,130 
152,130 
 
Weighted average remaining amortization periods for intangible assets and below market lease liabilities [Abstract]
 
 
 
Finite-lived intangible assets, average useful life (in years)
 
6 years 4 months 24 days 
 
Lease Incentives [Member]
 
 
 
Scheduled future amortization of intangible assets [Abstract]
 
 
 
July 1, 2013 through December 31, 2013
621 
621 
 
2014
1,160 
1,160 
 
2015
932 
932 
 
2016
738 
738 
 
2017
664 
664 
 
Thereafter
2,107 
2,107 
 
Deferred financing and leasing costs, net/Total scheduled future amortization of intangible assets
6,222 
6,222 
 
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 7 months 6 days 
 
Acquisition-Related Intangible Assets (in Rental and Other Revenues) [Member]
 
 
 
Scheduled future amortization of intangible assets [Abstract]
 
 
 
July 1, 2013 through December 31, 2013
1,032 
1,032 
 
2014
1,817 
1,817 
 
2015
1,438 
1,438 
 
2016
1,085 
1,085 
 
2017
951 
951 
 
Thereafter
1,156 
1,156 
 
Deferred financing and leasing costs, net/Total scheduled future amortization of intangible assets
7,479 
7,479 
 
Weighted average remaining amortization periods for intangible assets and below market lease liabilities [Abstract]
 
 
 
Finite-lived intangible assets, average useful life (in years)
 
5 years 1 month 6 days 
 
Acquired finite-lived intangible assets, average useful life (in years)
4 years 2 months 12 days 
 
 
Acquisition-Related Intangible Assets (in Rental Property and Other Expenses) [Member]
 
 
 
Scheduled future amortization of intangible assets [Abstract]
 
 
 
July 1, 2013 through December 31, 2013
277 
277 
 
2014
553 
553 
 
2015
553 
553 
 
2016
553 
553 
 
2017
553 
553 
 
Thereafter
1,642 
1,642 
 
Deferred financing and leasing costs, net/Total scheduled future amortization of intangible assets
4,131 
4,131 
 
Weighted average remaining amortization periods for intangible assets and below market lease liabilities [Abstract]
 
 
 
Finite-lived intangible assets, average useful life (in years)
 
8 years 
 
Acquisition-Related Below Market Lease Liabilities [Member]
 
 
 
Scheduled future amortization of below market lease liabilities [Abstract]
 
 
 
July 1, 2013 through December 31, 2013
(2,856)
(2,856)
 
2014
(5,080)
(5,080)
 
2015
(4,367)
(4,367)
 
2016
(4,293)
(4,293)
 
2017
(4,037)
(4,037)
 
Thereafter
(19,432)
(19,432)
 
Total scheduled future amortization of acquisition-related below market lease liabilities
$ (40,065)
$ (40,065)
$ (33,636)
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)
 
9 years 2 months 12 days 
 
Assumed finite-lived below market lease liabilities, average useful life (in years)
7 years 6 months 
 
 
in-Place Lease Intangible Assets [Member]
 
 
 
Weighted average remaining amortization periods for intangible assets and below market lease liabilities [Abstract]
 
 
 
Acquired finite-lived intangible assets, average useful life (in years)
5 years 3 months 18 days 
 
 
Mortgages and Notes Payable (Details) (USD $)
3 Months Ended 6 Months Ended 3 Months Ended 3 Months Ended
Jun. 30, 2013
Jun. 30, 2012
Jun. 30, 2013
Jun. 30, 2012
Dec. 31, 2012
Jun. 30, 2013
Revolving Credit Facility due 2015 [Member]
Jul. 18, 2013
Revolving Credit Facility due 2015 [Member]
Mar. 31, 2013
Variable Rate Term Loan due 2016 [Member]
Jun. 30, 2013
Secured indebtedness [Member]
Dec. 31, 2012
Secured indebtedness [Member]
Jun. 30, 2013
Unsecured indebtedness [Member]
Dec. 31, 2012
Unsecured indebtedness [Member]
Debt Instrument [Line Items]
 
 
 
 
 
 
 
 
 
 
 
 
Mortgages and notes payable
$ 1,931,655,000 
 
$ 1,931,655,000 
 
$ 1,859,162,000 
 
 
 
$ 544,510,000 
$ 549,607,000 
$ 1,387,145,000 
$ 1,309,555,000 
Aggregate undepreciated book value of secured real estate assets
 
 
 
 
 
 
 
 
964,800,000 
 
 
 
Maximum borrowing capacity on revolving credit facility
 
 
 
 
 
475,000,000 
 
 
 
 
 
 
Maturity date on revolving credit facility
 
 
 
 
 
Jul. 27, 2015 
 
 
 
 
 
 
Additional borrowing capacity on revolving credit facility
 
 
 
 
 
75,000,000 
 
 
 
 
 
 
Amount outstanding on revolving credit facility
 
 
 
 
 
135,400,000 
113,000,000 
 
 
 
 
 
Outstanding letters of credit on revolving credit facility
 
 
 
 
 
100,000 
100,000 
 
 
 
 
 
Unused borrowing capacity on revolving credit facility
 
 
 
 
 
339,500,000 
361,900,000 
 
 
 
 
 
Early repayment of debt
 
 
 
 
 
 
 
35,000,000 
 
 
 
 
Debt instrument maturity date
 
 
 
 
 
 
 
Feb. 28, 2016 
 
 
 
 
Principal amount of debt
 
 
 
 
 
 
 
200,000,000 
 
 
 
 
Loss on extinguishment of debt
$ 0 
$ (973,000)
$ (164,000)
$ (973,000)
 
 
 
$ (200,000)
 
 
 
 
Derivative Financial Instruments (Details) (USD $)
3 Months Ended 6 Months Ended
Jun. 30, 2013
Jun. 30, 2012
Jun. 30, 2013
Jun. 30, 2012
Dec. 31, 2012
Derivative Instruments and Hedging Activities Disclosure [Abstract]
 
 
 
 
 
Expected increase to interest expense
$ 3,200,000 
 
$ 3,200,000 
 
 
Derivatives designated as cash flow hedges in accounts payable, accrued expenses and other liabilities [Abstract]
 
 
 
 
 
Interest rate swaps
1,103,000 
 
1,103,000 
 
9,369,000 
Amount of unrealized gains/(losses) recognized in AOCL on derivatives (effective portion) [Abstract]
 
 
 
 
 
Interest rate swaps
6,319,000 
(7,481,000)
6,599,000 
(7,087,000)
 
Amount of (gains)/losses reclassified out of AOCL into contractual interest expense (effective portion) [Abstract]
 
 
 
 
 
Interest rate swaps
$ 800,000 
$ 782,000 
$ 1,588,000 
$ 1,459,000 
 
Noncontrolling Interests (Details) (USD $)
In Thousands, unless otherwise specified
3 Months Ended 6 Months Ended
Jun. 30, 2013
Jun. 30, 2012
Jun. 30, 2013
Jun. 30, 2012
Noncontrolling Interests in the Operating Partnership [Roll Forward]
 
 
 
 
Beginning noncontrolling interests in the Operating Partnership
 
 
$ 124,869 
 
Adjustment of noncontrolling interests in the Operating Partnership to fair value
 
 
9,649 
16,501 
Conversions of Common Units to Common Stock
 
 
(2,851)
(631)
Net income attributable to noncontrolling interests in the Operating Partnership
1,243 
686 
1,824 
1,513 
Distributions to noncontrolling interests in the Operating Partnership
 
 
(3,140)
(3,158)
Total noncontrolling interests in the Operating Partnership
130,351 
 
130,351 
 
Net Income Available for Common Stockholders and Transfers From Noncontrolling Interests in the Operating Partnership [Abstract]
 
 
 
 
Net income available for common stockholders
27,522 
12,962 
39,871 
29,656 
Noncontrolling Interests in Consolidated Affiliates [Abstract]
 
 
 
 
Consolidated joint venture, partner's interest (in hundredths)
50.00% 
 
50.00% 
 
Highwoods Properties, Inc. [Member]
 
 
 
 
Noncontrolling Interests in the Operating Partnership [Roll Forward]
 
 
 
 
Beginning noncontrolling interests in the Operating Partnership
 
 
124,869 
110,655 
Adjustment of noncontrolling interests in the Operating Partnership to fair value
 
 
9,649 
16,501 
Conversions of Common Units to Common Stock
 
 
(2,851)
(631)
Net income attributable to noncontrolling interests in the Operating Partnership
 
 
1,824 
1,513 
Distributions to noncontrolling interests in the Operating Partnership
 
 
3,140 
3,158 
Total noncontrolling interests in the Operating Partnership
130,351 
124,880 
130,351 
124,880 
Net Income Available for Common Stockholders and Transfers From Noncontrolling Interests in the Operating Partnership [Abstract]
 
 
 
 
Net income available for common stockholders
27,522 
12,962 
39,871 
29,656 
Increase in additional paid in capital from conversions of Common Units to Common Stock
2,500 
568 
2,851 
631 
Change from net income available for common stockholders and transfers from noncontrolling interests
$ 30,022 
$ 13,530 
$ 42,722 
$ 30,287 
Disclosure About Fair Value of Financial Instruments - Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis (Details) (USD $)
In Thousands, unless otherwise specified
Jun. 30, 2013
Dec. 31, 2012
Assets:
 
 
Mortgages and notes receivable, at fair value
$ 25,549 1
$ 24,725 1
Marketable securities of non-qualified deferred compensation plan (in prepaid expenses and other assets)
3,556 
3,354 
Tax increment financing bond (in prepaid expenses and other assets)
14,233 
14,496 
Impaired real estate assets
5,866 
 
Total Assets
49,204 
42,575 
Liabilities[Abstract]
 
 
Mortgages and notes payable, at fair value
2,020,130 1
1,987,364 1
Interest rate swaps (in accounts payable, accrued expenses and other liabilities)
1,103 
9,369 
Non-qualified deferred compensation obligation (in accounts payable, accrued expenses and other liabilities)
3,556 
3,354 
Contingent consideration to acquire real estate assets (in accounts payable, accrued expenses and other liabilities)
384 
563 
Financing obligations, at fair value
24,220 1
23,252 1
Total Liabilities
2,049,393 
2,023,902 
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)
3,556 
3,354 
Tax increment financing bond (in prepaid expenses and other assets)
0 
0 
Impaired real estate assets
0 
 
Total Assets
3,556 
3,354 
Liabilities[Abstract]
 
 
Mortgages and notes payable, at fair value
0 
0 
Interest rate swaps (in accounts payable, accrued expenses and other liabilities)
0 
0 
Non-qualified deferred compensation obligation (in accounts payable, accrued expenses and other liabilities)
3,556 
3,354 
Contingent consideration to acquire real estate assets (in accounts payable, accrued expenses and other liabilities)
0 
0 
Financing obligations, at fair value
0 
0 
Total Liabilities
3,556 
3,354 
Level 2 [Member]
 
 
Assets:
 
 
Mortgages and notes receivable, at fair value
16,868 
16,077 
Marketable securities of non-qualified deferred compensation plan (in prepaid expenses and other assets)
0 
0 
Tax increment financing bond (in prepaid expenses and other assets)
0 
0 
Impaired real estate assets
0 
 
Total Assets
16,868 
16,077 
Liabilities[Abstract]
 
 
Mortgages and notes payable, at fair value
2,020,130 
1,987,364 
Interest rate swaps (in accounts payable, accrued expenses and other liabilities)
1,103 
9,369 
Non-qualified deferred compensation obligation (in accounts payable, accrued expenses and other liabilities)
0 
0 
Contingent consideration to acquire real estate assets (in accounts payable, accrued expenses and other liabilities)
0 
0 
Financing obligations, at fair value
0 
0 
Total Liabilities
2,021,233 
1,996,733 
Level 3 [Member]
 
 
Assets:
 
 
Mortgages and notes receivable, at fair value
8,681 
8,648 
Marketable securities of non-qualified deferred compensation plan (in prepaid expenses and other assets)
0 
0 
Tax increment financing bond (in prepaid expenses and other assets)
14,233 
14,496 
Impaired real estate assets
5,866 
 
Total Assets
28,780 
23,144 
Liabilities[Abstract]
 
 
Mortgages and notes payable, at fair value
0 
0 
Interest rate swaps (in accounts payable, accrued expenses and other liabilities)
0 
0 
Non-qualified deferred compensation obligation (in accounts payable, accrued expenses and other liabilities)
0 
0 
Contingent consideration to acquire real estate assets (in accounts payable, accrued expenses and other liabilities)
384 
563 
Financing obligations, at fair value
24,220 
23,252 
Total Liabilities
24,604 
23,815 
Highwoods Properties, Inc. [Member]
 
 
Assets:
 
 
Noncontrolling Interests in the Operating Partnership
130,351 
124,869 
Highwoods Properties, Inc. [Member] |
Level 1 [Member]
 
 
Assets:
 
 
Noncontrolling Interests in the Operating Partnership
130,351 
124,869 
Highwoods Properties, Inc. [Member] |
Level 2 [Member]
 
 
Assets:
 
 
Noncontrolling Interests in the Operating Partnership
0 
0 
Highwoods Properties, Inc. [Member] |
Level 3 [Member]
 
 
Assets:
 
 
Noncontrolling Interests in the Operating Partnership
$ 0 
$ 0 
Disclosure About Fair Value of Financial Instruments - Assets and Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation (Details) (USD $)
3 Months Ended 6 Months Ended
Jun. 30, 2013
Jun. 30, 2012
Jun. 30, 2013
Jun. 30, 2012
Mar. 31, 2013
Dec. 31, 2012
Mar. 31, 2012
Dec. 31, 2011
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward]
 
 
 
 
 
 
 
 
Unrealized gains (in AOCL)
$ (91,000)
$ 296,000 
$ 299,000 
$ 583,000 
 
 
 
 
Amount by which outstanding principal amount exceeds estimated fair value
1,599,000 
1,726,000 
1,599,000 
1,726,000 
1,508,000 
1,898,000 
2,022,000 
2,309,000 
Contingent Consideration to Acquire Real Estate Assets [Member]
 
 
 
 
 
 
 
 
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward]
 
 
 
 
 
 
 
 
Beginning balance
375,000 
0 
563,000 
0 
 
 
 
 
Unrealized gains (in general and administrative)
9,000 
0 
(179,000)
0 
 
 
 
 
Ending balance
384,000 
0 
384,000 
0 
 
 
 
 
Fair value of Level 3 liability
384,000 
0 
384,000 
0 
 
 
 
 
Payout percentage (in hundredths)
 
 
50.00% 
 
 
 
 
 
Tax Increment Financing Bond [Member]
 
 
 
 
 
 
 
 
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward]
 
 
 
 
 
 
 
 
Beginning balance
14,324,000 
15,075,000 
14,496,000 
14,788,000 
 
 
 
 
Principal repayment
0 
0 
(562,000)
0 
 
 
 
 
Unrealized gains (in AOCL)
(91,000)
296,000 
299,000 
583,000 
 
 
 
 
Ending balance
14,233,000 
15,371,000 
14,233,000 
15,371,000 
 
 
 
 
Maturity date
Dec. 20, 2020 
 
 
 
 
 
 
 
Amount by which outstanding principal amount exceeds estimated fair value
1,600,000 
 
1,600,000 
 
 
 
 
 
Decrease in fair value of bond if yield-to-maturity was 100 basis points higher
500,000 
 
500,000 
 
 
 
 
 
Increase in fair value of bond if yield-to-maturity was 100 basis points lower
500,000 
 
500,000 
 
 
 
 
 
Fair value of Level 3 asset
14,233,000 
15,371,000 
14,233,000 
15,371,000 
 
 
 
 
Discount rate (in hundredths)
 
 
10.20% 
 
 
 
 
 
Impaired Real Estate Assets [Member]
 
 
 
 
 
 
 
 
Impaired real estate assets [Abstract]
 
 
 
 
 
 
 
 
Fair value of Level 3 asset
$ 5,866,000 
 
$ 5,866,000 
 
 
 
 
 
Impaired Real Estate Assets [Member] |
Minimum [Member]
 
 
 
 
 
 
 
 
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward]
 
 
 
 
 
 
 
 
Discount rate (in hundredths)
 
 
14.00% 
 
 
 
 
 
Impaired real estate assets [Abstract]
 
 
 
 
 
 
 
 
Capitalization rate (in hundredths)
 
 
9.50% 
 
 
 
 
 
Impaired Real Estate Assets [Member] |
Maximum [Member]
 
 
 
 
 
 
 
 
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward]
 
 
 
 
 
 
 
 
Discount rate (in hundredths)
 
 
15.00% 
 
 
 
 
 
Impaired real estate assets [Abstract]
 
 
 
 
 
 
 
 
Capitalization rate (in hundredths)
 
 
10.50% 
 
 
 
 
 
Share-Based Payments (Details) (USD $)
3 Months Ended 6 Months Ended
Jun. 30, 2013
Jun. 30, 2012
Jun. 30, 2013
Jun. 30, 2012
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
 
 
 
 
Stock-based compensation expense
$ 1,297,000 
$ 2,037,000 
$ 4,737,000 
$ 4,459,000 
Total unrecognized stock-based compensation costs
$ 6,100,000 
 
$ 6,100,000 
 
Weighted average remaining contractual term for recognition of unrecognized stock-based compensation costs (in years)
 
 
2 years 7 months 12 days 
 
Highwoods Properties, Inc. [Member] |
Stock Options [Member]
 
 
 
 
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
 
 
 
 
Stock options granted
 
 
168,700 
 
Weighted average grant date fair value of each stock option granted (in dollars per option)
 
 
$ 6.50 
 
Highwoods Properties, Inc. [Member] |
Time-Based Restricted Stock [Member]
 
 
 
 
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
 
 
 
 
Restricted stock shares granted
 
 
86,144 
 
Weighted average grant date fair value of each restricted stock granted (in dollars per share)
 
 
$ 36.64 
 
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
 
 
65,486 
 
Weighted average grant date fair value of each restricted stock granted (in dollars per share)
 
 
$ 31.73 
 
Accumulated Other Comprehensive Loss (Details) (USD $)
In Thousands, unless otherwise specified
3 Months Ended 6 Months Ended
Jun. 30, 2013
Jun. 30, 2012
Jun. 30, 2013
Jun. 30, 2012
Dec. 31, 2012
Available For Sale Securities Gross Unrealized Gain Loss Calculation [Roll Forward]
 
 
 
 
 
Tax increment financing bond, beginning balance
$ (1,508)
$ (2,022)
$ (1,898)
$ (2,309)
 
Unrealized gains/(losses) on tax increment financing bond
(91)
296 
299 
583 
 
Tax increment financing bond, ending balance
(1,599)
(1,726)
(1,599)
(1,726)
 
Cash Flow Hedges Derivative Instruments At Fair Value Net Calculation [Roll Forward]
 
 
 
 
 
Cash flow hedges, beginning balance
(9,662)
(2,354)
(10,730)
(3,425)
 
Unrealized gains/(losses) on cash flow hedges
6,319 
(7,481)
6,599 
(7,087)
 
Amortization of cash flow hedges
800 1
782 1
1,588 1
1,459 1
 
Cash flow hedges, ending balance
(2,543)
(9,053)
(2,543)
(9,053)
 
Total accumulated other comprehensive loss
$ (4,142)
$ (10,779)
$ (4,142)
$ (10,779)
$ (12,628)
Discontinued Operations (Details) (USD $)
In Thousands, unless otherwise specified
3 Months Ended 6 Months Ended
Jun. 30, 2013
Jun. 30, 2012
Jun. 30, 2013
Jun. 30, 2012
Dec. 31, 2012
Discontinued operations [Abstract]
 
 
 
 
 
Rental and other revenues
$ 365 
$ 6,051 
$ 1,624 
$ 12,389 
 
Operating expenses:
 
 
 
 
 
Rental property and other expenses
100 
2,171 
405 
4,306 
 
Depreciation and amortization
81 
1,607 
559 
3,426 
 
Impairments of real estate assets
0 
0 
415 
0 
 
Total operating expenses
181 
3,778 
1,379 
7,732 
 
Interest expense
0 
123 
0 
248 
 
Income from discontinued operations
184 
2,150 
245 
4,409 
 
Net gains on disposition of discontinued operations
13,163 
1,385 
13,694 
6,519 
 
Total discontinued operations
13,347 
3,535 
13,939 
10,928 
 
Assets, held for sale [Abstract]
 
 
 
 
 
Land
0 
 
0 
 
8,450 
Buildings and tenant improvements
0 
 
0 
 
50,663 
Land held for development
0 
 
0 
 
2,368 
Less accumulated depreciation
0 
 
0 
 
(17,969)
Net real estate assets
0 
 
0 
 
43,512 
Accrued straight line rents receivable
0 
 
0 
 
1,962 
Deferred leasing costs, net
0 
 
0 
 
2,004 
Prepaid expenses and other assets
0 
 
0 
 
30 
Real estate and other assets, net, held for sale
$ 0 
 
$ 0 
 
$ 47,508 
Orlando, FL Office Properties Disposition (3/2013) [Member]
 
 
 
 
 
Assets, held for sale [Abstract]
 
 
 
 
 
Number of office properties included in real estate and other assets, net, held for sale
 
 
 
 
2 
Atlanta, GA Industrial Properties Held For Sale (3/2013) [Member]
 
 
 
 
 
Assets, held for sale [Abstract]
 
 
 
 
 
Number of industrial properties included in real estate and other assets, net, held for sale
 
 
 
 
13 
Earnings Per Share/Unit (Details) (USD $)
In Thousands, except Share data, unless otherwise specified
3 Months Ended 6 Months Ended
Jun. 30, 2013
Jun. 30, 2012
Jun. 30, 2013
Jun. 30, 2012
Numerator:
 
 
 
 
Income from continuing operations
$ 16,232 
$ 10,963 
$ 29,400 
$ 21,902 
Net (income) attributable to noncontrolling interests in the Operating Partnership from continuing operations
(672)
(517)
(1,227)
(982)
Net (income) attributable to noncontrolling interests in consolidated affiliates from continuing operations
(187)
(223)
(390)
(407)
Dividends on Preferred Stock
(627)
(627)
(1,254)
(1,254)
Income from continuing operations available for common stockholders
14,746 
9,596 
26,529 
19,259 
Income from discontinued operations
13,347 
3,535 
13,939 
10,928 
Net (income) attributable to noncontrolling interests in the Operating Partnership from discontinued operations
(571)
(169)
(597)
(531)
Income from discontinued operations available for common stockholders
12,776 
3,366 
13,342 
10,397 
Net income available for common stockholders
27,522 
12,962 
39,871 
29,656 
Denominator:
 
 
 
 
Denominator for basic earnings per Common Share - weighted average shares (in shares)
82,811,000 1 2
74,662,000 1 2
81,925,000 1 2
73,749,000 1 2
Earnings per Common Share - basic:
 
 
 
 
Income from continuing operations available for common stockholders (in dollars per share)
$ 0.18 
$ 0.13 
$ 0.33 
$ 0.26 
Income from discontinued operations available for common stockholders (in dollars per share)
$ 0.15 
$ 0.04 
$ 0.16 
$ 0.14 
Net income available for common stockholders (in dollars per share)
$ 0.33 
$ 0.17 
$ 0.49 
$ 0.40 
Numerator:
 
 
 
 
Income from continuing operations
16,232 
10,963 
29,400 
21,902 
Net (income) attributable to noncontrolling interests in consolidated affiliates from continuing operations
(187)
(223)
(390)
(407)
Dividends on Preferred Stock
(627)
(627)
(1,254)
(1,254)
Income from continuing operations available for common stockholders before net (income) attributable to noncontrolling interests in the Operating Partnership
15,418 
10,113 
27,756 
20,241 
Income from discontinued operations available for common stockholders
13,347 
3,535 
13,939 
10,928 
Net income available for common stockholders before net (income) attributable to noncontrolling interests in the Operating Partnership
28,765 
13,648 
41,695 
31,169 
Denominator:
 
 
 
 
Denominator for basic earnings per Common Share - weighted average shares (in shares)
82,811,000 1 2
74,662,000 1 2
81,925,000 1 2
73,749,000 1 2
Stock options using the treasury method
132,000 
141,000 
120,000 
129,000 
Noncontrolling interests Common Units
3,688,000 
3,718,000 
3,707,000 
3,723,000 
Denominator for diluted earnings per Common Share - adjusted weighted average shares and assumed conversions (in shares) (1)
86,631,000 2
78,521,000 2
85,752,000 2
77,601,000 2
Earnings per Common Share - diluted:
 
 
 
 
Income from continuing operations available for common stockholders (in dollars per share)
$ 0.18 
$ 0.13 
$ 0.33 
$ 0.26 
Income from discontinued operations available for common stockholders (in dollars per share)
$ 0.15 
$ 0.04 
$ 0.16 
$ 0.14 
Net income available for common stockholders (in dollars per share)
$ 0.33 
$ 0.17 
$ 0.49 
$ 0.40 
Earnings per Common Unit - diluted:
 
 
 
 
Number of anti-dilutive options and warrants not included in earnings per share (in dollars per share)
300,000 
500,000 
300,000 
500,000 
Highwoods Realty Limited Partnership [Member]
 
 
 
 
Numerator:
 
 
 
 
Income from continuing operations
16,235 
10,966 
29,350 
21,907 
Net (income) attributable to noncontrolling interests in consolidated affiliates from continuing operations
(187)
(223)
(390)
(407)
Distributions on Preferred Units
(627)
(627)
(1,254)
(1,254)
Income from continuing operations available for common unitholders
15,421 
10,116 
27,706 
20,246 
Income from discontinued operations available for common unitholders
13,347 
3,535 
13,939 
10,928 
Net income available for common unitholders
28,768 
13,651 
41,645 
31,174 
Denominator:
 
 
 
 
Denominator for basic earnings per Common Unit - weighted average units (in shares)
86,090,000 1 2 3
77,971,000 1 3
85,223,000 1 3
77,063,000 1 3
Earnings per Common Unit - basic:
 
 
 
 
Income from continuing operations available for common unitholders (in dollars per share)
$ 0.18 
$ 0.13 
$ 0.33 
$ 0.26 
Income from discontinued operations available for common unitholders (in dollars per share)
$ 0.15 
$ 0.05 
$ 0.16 
$ 0.14 
Net income available for common unitholders (in dollars per share)
$ 0.33 
$ 0.18 
$ 0.49 
$ 0.40 
Numerator:
 
 
 
 
Income from continuing operations
16,235 
10,966 
29,350 
21,907 
Net (income) attributable to noncontrolling interests in consolidated affiliates from continuing operations
(187)
(223)
(390)
(407)
Distributions on Preferred Units
(627)
(627)
(1,254)
(1,254)
Income from continuing operations available for common unitholders
15,421 
10,116 
27,706 
20,246 
Income from discontinued operations available for common unitholders
13,347 
3,535 
13,939 
10,928 
Net income available for common unitholders
$ 28,768 
$ 13,651 
$ 41,645 
$ 31,174 
Denominator:
 
 
 
 
Denominator for basic earnings per Common Unit - weighted average units (in shares)
86,090,000 1 2 3
77,971,000 1 3
85,223,000 1 3
77,063,000 1 3
Stock options using the treasury method
132,000 
141,000 
120,000 
129,000 
Denominator for diluted earnings per Common Unit - adjusted weighted average units and assumed conversions (in shares)
86,222,000 3
78,112,000 2 3
85,343,000 3
77,192,000 3
Earnings per Common Unit - diluted:
 
 
 
 
Income from continuing operations available for common unitholders (in dollars per share)
0.18 
0.13 
0.33 
0.26 
Income from discontinued operations available for common unitholders (in dollars per share)
0.15 
0.04 
0.16 
0.14 
Net income available for common unitholders (in dollars per share)
0.33 
0.17 
0.49 
0.40 
Number of anti-dilutive options and warrants not included in earnings per share (in dollars per share)
300,000 
500,000 
300,000 
500,000 
Segment Information (Details) (USD $)
In Thousands, unless otherwise specified
3 Months Ended 6 Months Ended
Jun. 30, 2013
Jun. 30, 2012
Jun. 30, 2013
Jun. 30, 2012
Segment Reporting Information [Line Items]
 
 
 
 
Total Rental and Other Revenues
$ 138,515 
$ 126,728 
$ 274,631 
$ 250,762 
Total Net Operating Income
88,882 
80,844 
176,259 
160,696 
Reconciliation to income from continuing operations before disposition of condominiums and equity in earnings/(losses) of unconsolidated affiliates:
 
 
 
 
Depreciation and amortization
(42,394)
(38,991)
(84,208)
(75,687)
Impairments of real estate assets
(1,066)
0 
(1,066)
0 
General and administrative expenses
(8,397)
(8,900)
(18,979)
(18,573)
Interest expense
(23,286)
(24,372)
(47,154)
(49,049)
Other income
1,617 
764 
3,236 
2,994 
Income from continuing operations before disposition of property and condominiums and equity in earnings of unconsolidated affiliates
15,356 
9,345 
28,088 
20,381 
Total Office Segment [Member]
 
 
 
 
Segment Reporting Information [Line Items]
 
 
 
 
Total Rental and Other Revenues
124,205 1
112,403 1
245,673 1
222,265 1
Total Net Operating Income
79,365 1
71,763 1
157,411 1
142,405 1
Office Atlanta, GA [Member]
 
 
 
 
Segment Reporting Information [Line Items]
 
 
 
 
Total Rental and Other Revenues
18,303 
15,331 
35,837 
30,238 
Total Net Operating Income
11,446 
9,785 
22,616 
19,511 
Office Greenville, SC [Member]
 
 
 
 
Segment Reporting Information [Line Items]
 
 
 
 
Total Rental and Other Revenues
3,130 
3,488 
6,359 
6,991 
Total Net Operating Income
1,680 
2,050 
3,569 
4,181 
Office Kansas City, MO [Member]
 
 
 
 
Segment Reporting Information [Line Items]
 
 
 
 
Total Rental and Other Revenues
4,035 
3,559 
8,005 
7,161 
Total Net Operating Income
2,637 
2,184 
5,200 
4,516 
Office Memphis, TN [Member]
 
 
 
 
Segment Reporting Information [Line Items]
 
 
 
 
Total Rental and Other Revenues
9,657 
9,248 
19,040 
18,503 
Total Net Operating Income
5,300 
5,297 
10,931 
10,851 
Office Nashville, TN [Member]
 
 
 
 
Segment Reporting Information [Line Items]
 
 
 
 
Total Rental and Other Revenues
14,194 
14,317 
28,269 
28,178 
Total Net Operating Income
10,034 
9,831 
19,722 
19,482 
Office Orlando, FL [Member]
 
 
 
 
Segment Reporting Information [Line Items]
 
 
 
 
Total Rental and Other Revenues
2,231 
2,219 
4,453 
4,377 
Total Net Operating Income
1,070 
1,056 
2,149 
2,120 
Office Piedmont Triad, NC [Member]
 
 
 
 
Segment Reporting Information [Line Items]
 
 
 
 
Total Rental and Other Revenues
7,086 
5,071 
13,977 
10,149 
Total Net Operating Income
4,568 
3,218 
8,923 
6,449 
Office Pittsburgh, PA [Member]
 
 
 
 
Segment Reporting Information [Line Items]
 
 
 
 
Total Rental and Other Revenues
13,957 
9,110 
27,649 
18,194 
Total Net Operating Income
7,904 
4,624 
15,327 
8,904 
Office Raleigh, NC [Member]
 
 
 
 
Segment Reporting Information [Line Items]
 
 
 
 
Total Rental and Other Revenues
21,726 
20,395 
42,394 
40,169 
Total Net Operating Income
15,682 
14,381 
30,312 
28,339 
Office Richmond, VA [Member]
 
 
 
 
Segment Reporting Information [Line Items]
 
 
 
 
Total Rental and Other Revenues
11,861 
12,092 
23,637 
23,599 
Total Net Operating Income
8,245 
8,532 
16,361 
16,412 
Office Tampa, FL [Member]
 
 
 
 
Segment Reporting Information [Line Items]
 
 
 
 
Total Rental and Other Revenues
18,025 
17,573 
36,053 
34,706 
Total Net Operating Income
10,799 
10,805 
22,301 
21,640 
Total Industrial Segment [Member]
 
 
 
 
Segment Reporting Information [Line Items]
 
 
 
 
Total Rental and Other Revenues
5,344 1
5,253 1
10,527 1
10,504 1
Total Net Operating Income
3,924 1
3,856 1
7,650 1
7,642 1
Industrial Atlanta, GA [Member]
 
 
 
 
Segment Reporting Information [Line Items]
 
 
 
 
Total Rental and Other Revenues
2,226 
2,167 
4,286 
4,254 
Total Net Operating Income
1,559 
1,549 
3,039 
3,048 
Industrial Piedmont Triad, NC [Member]
 
 
 
 
Segment Reporting Information [Line Items]
 
 
 
 
Total Rental and Other Revenues
3,118 
3,086 
6,241 
6,250 
Total Net Operating Income
2,365 
2,307 
4,611 
4,594 
Total Retail Segment [Member]
 
 
 
 
Segment Reporting Information [Line Items]
 
 
 
 
Total Rental and Other Revenues
8,966 1
9,072 1
18,431 1
17,993 1
Total Net Operating Income
5,609 1
5,320 1
11,232 1
10,853 1
Retail Kansas City, MO [Member]
 
 
 
 
Segment Reporting Information [Line Items]
 
 
 
 
Total Rental and Other Revenues
8,966 
9,072 
18,431 
17,993 
Total Net Operating Income
5,609 
5,320 
11,232 
10,853 
Total Residential Segment [Member]
 
 
 
 
Segment Reporting Information [Line Items]
 
 
 
 
Total Net Operating Income
0 1
(65)1
0 1
(145)1
Residential Raleigh, NC [Member]
 
 
 
 
Segment Reporting Information [Line Items]
 
 
 
 
Total Net Operating Income
0 
(65)
0 
(145)
Corporate and Other [Member]
 
 
 
 
Segment Reporting Information [Line Items]
 
 
 
 
Total Net Operating Income
$ (16)1
$ (30)1
$ (34)1
$ (59)1
Subsequent Events (Details) (USD $)
In Millions, except Share data, unless otherwise specified
3 Months Ended 6 Months Ended 1 Months Ended 3 Months Ended 6 Months Ended 0 Months Ended
Jun. 30, 2013
Jun. 30, 2013
Jul. 19, 2013
Orlando, FL Office Properties Acquisition (7/2013) [Member]
property
sqft
Jun. 30, 2013
Highwoods Properties, Inc. [Member]
Jun. 30, 2013
Highwoods Properties, Inc. [Member]
Jul. 10, 2013
Highwoods Properties, Inc. [Member]
ATM 2012 Equity Sales Offering [Member]
Subsequent Event [Line Items]
 
 
 
 
 
 
Number of Common Stock sold at the market during period (in shares)
 
 
 
1,756,590 
3,056,381 
515,536 
Average price of Common Stock sold at the market during period (in dollars per share)
 
 
 
$ 38.32 
$ 37.31 
$ 35.21 
Net proceeds of Common Stock sold at the market during period
 
 
 
$ 66.3 
$ 112.3 
$ 17.9 
Percentage of equity interest acquired in unconsolidated affiliate (in hundredths)
 
 
60.00% 
 
 
 
Percentage of equity interest in joint ventures, maximum (in hundredths)
50.00% 
50.00% 
40.00% 
 
 
 
Number of office properties acquired
 
 
5 
 
 
 
Rentable square feet of acquisition (in sq. ft)
 
 
1,300,000 
 
 
 
Purchase price of acquisition
 
 
113.3 
 
 
 
Fair value of assets recorded from the acquisition
 
 
188.9 
 
 
 
Fair value of debt assumed from the acquisition
 
 
127.9 
 
 
 
Effective interest rate of secured debt assumed from the acquisition (in hundredths)
 
 
3.11% 
 
 
 
Maturity date of debt assumed from the acquisition
 
 
Jul. 01, 2014 
 
 
 
Acquisition-related costs
0.4 
0.9 
0.1 
 
 
 
Gain on acquisition of controlling interests in joint venture
 
 
$ 7