v3.26.1
Reportable Segments
 6 Months Ended
Jun. 30, 2026
Segment Reporting [Abstract]  
REPORTABLE SEGMENTS REPORTABLE SEGMENTS
The Company's segments are based on the method of internal reporting with operating segments being each of the operating office properties. These operating segments are aggregated for reporting by geographical area, with these geographical regions being: Austin, Atlanta, Charlotte, Dallas, Houston, Nashville, Phoenix, and Tampa.
Company management evaluates the performance of its operating segments in part based on Net Operating Income ("NOI"). Office Property NOI is regularly reported to the Chief Operating Decision Maker ("CODM") by operating segment. The CODM is the Company's President and Chief Executive Officer. Each segment includes both consolidated operations and the Company's share of unconsolidated joint venture operations.
Segment net income, individually significant components of rental property operating expenses, amount of capital expenditures, and total assets are not presented in this note because the CODM does not utilize these measures when analyzing segments or when making resource allocation decisions. Information on the Company's segments along with a reconciliation of NOI to net income for the three and six months ended June 30, 2026, and 2025 are as follows ($ in thousands):
Three Months Ended June 30, 2026Rental Property RevenuesRental Property Operating ExpensesNOI
Office Properties
Austin$90,488 $28,840 $61,648 
Atlanta85,724 30,088 55,636 
Charlotte29,729 7,846 21,883 
Phoenix18,048 4,832 13,216 
Tampa19,275 6,521 12,754 
Dallas12,470 3,893 8,577 
Houston8,268 3,058 5,210 
Nashville1,900 928 972 
Segment Totals$265,902 $86,006 $179,896 
Non - Office Properties4,211 1,763 2,448 
Portfolio Totals$270,113 $87,769 $182,344 
Less: Company's share from unconsolidated joint ventures$(6,638)$(3,103)
Termination Fees2,239 — 
Consolidated Totals$265,714 $84,666 
Three Months Ended June 30, 2025Rental Property RevenuesRental Property Operating ExpensesNOI
Office Properties
Austin$86,828 $26,116 $60,712 
Atlanta79,128 27,077 52,051 
Charlotte22,691 5,759 16,932 
Phoenix16,212 4,302 11,910 
Tampa20,037 6,828 13,209 
Dallas4,609 968 3,641 
Houston9,027 3,494 5,533 
Nashville1,415 464 951 
Segment Totals$239,947 $75,008 $164,939 
Non - Office Properties3,432 1,670 1,762 
Portfolio Totals$243,379 $76,678 $166,701 
Less: Company's share from unconsolidated joint ventures$(5,664)$(2,499)
Consolidated Totals$237,715 $74,179 


Six Months Ended June 30, 2026Rental Property RevenuesRental Property Operating ExpensesNOI
Office Properties
Austin$180,357 $56,486 $123,871 
Atlanta170,071 59,581 110,490 
Charlotte55,862 14,958 40,904 
Phoenix35,979 9,022 26,957 
Tampa39,703 13,791 25,912 
Dallas24,923 7,928 16,995 
Houston17,040 6,272 10,768 
Nashville3,579 1,832 1,747 
Segment Totals$527,514 $169,870 $357,644 
Non - Office Properties8,225 3,462 4,763 
Portfolio Totals$535,739 $173,332 $362,407 
Less: Company's share from unconsolidated joint ventures$(12,987)$(6,081)
Termination Fees4,070 — 
Consolidated Totals$526,822 $167,251 
Six Months Ended June 30, 2025Rental Property RevenuesRental Property Operating ExpensesNOI
Office Properties
Austin$173,965 $53,415 $120,550 
Atlanta160,738 56,617 104,121 
Charlotte45,109 11,345 33,764 
Phoenix32,237 8,235 24,002 
Tampa40,596 14,211 26,385 
Dallas9,165 1,906 7,259 
Houston17,564 6,345 11,219 
Nashville2,302 834 1,468 
Segment Totals$481,676 $152,908 $328,768 
Non - Office Properties6,398 3,237 3,161 
Portfolio Totals$488,074 $156,145 $331,929 
Less: Company's share from unconsolidated joint ventures$(10,198)$(4,810)
Termination Fees2,866 — 
Consolidated Totals$480,742 $151,335 


The following reconciles Net Operating Income from net income for each of the periods presented ($ in thousands):
Three Months Ended June 30,Six Months Ended June 30,
 2026202520262025
Net Income$26,234 $14,658 $1,564 $35,751 
Fee income(2,267)(494)(3,512)(990)
Termination fee income(2,239)— (4,070)(2,866)
Other income(547)(1,919)(1,303)(8,724)
General and administrative expenses12,115 9,738 23,955 20,447 
Interest expense47,064 38,514 92,165 75,288 
Depreciation and amortization104,845 100,890 213,251 203,004 
Operating Property Impairment— — 36,600 — 
Reimbursed expenses172 119 292 296 
Other expenses389 443 827 865 
Loss from unconsolidated joint ventures2,215 1,587 4,857 3,470 
Net operating income from unconsolidated joint ventures3,535 3,165 6,906 5,388 
Gain on investment property transaction(9,172)— (9,125)— 
Net Operating Income$182,344 $166,701 $362,407 $331,929