COPT Executes Over 460,000 SF of Development Leasing in 2023

Rhea-AI Summary

Corporate Office Properties Trust (OFC) announced two long-term leases with a Fortune 500 company for build-to-suit developments in Northern Virginia. The first project covers 225,000 square feet, expected for shell completion in Q2 2025, while the second spans 193,000 square feet, set for completion in Q4 2025. Additionally, a lease for a 46,000 square foot build-to-suit office building was executed with Davidson Technologies for their headquarters in Huntsville, AL. As of September 30, 2022, OFC's portfolio included 186 properties totaling 21.9 million square feet, with 95.0% leased, predominantly supporting government and defense contractors.

Positive

• Executed two long-term leases with a Fortune 500 company, enhancing future revenue potential.
• New build-to-suit developments will increase property portfolio and attract long-term tenants.
• Signed a lease with Davidson Technologies, diversifying clientele in the defense sector.

Negative

• None.

COLUMBIA, Md.--(BUSINESS WIRE)-- Corporate Office Properties Trust (“COPT” or the Company) (NYSE: OFC) executed two long-term leases in January with a Fortune 500 company for two build-to-suit developments in Northern Virginia. The first project is 225,000 square feet and is scheduled for shell completion in the second quarter of 2025. The second project is 193,000 square feet and is scheduled for shell completion in the fourth quarter of 2025.

Additionally, the Company executed a 46,000 square foot lease for a build-to-suit office building with Davidson Technologies, a growing defense contractor for their new headquarters at Redstone Gateway in Huntsville, AL.

About COPT

COPT is a REIT that owns, manages, leases, develops and selectively acquires office and data center properties. The majority of its portfolio is in locations that support the United States Government and its contractors, most of whom are engaged in national security, defense and information technology (“IT”) related activities servicing what the Company believes are growing, durable, priority missions (“Defense/IT Locations”). The Company also owns a portfolio of office properties located in select urban/urban-like submarkets in the Greater Washington, DC/Baltimore region with durable Class-A office fundamentals and characteristics (“Regional Office Properties”). As of September 30, 2022, the Company derived 90% of its core portfolio annualized rental revenue from Defense/IT Locations and 10% from its Regional Office Properties. As of the same date and including 19 properties owned through unconsolidated joint ventures, COPT’s core portfolio of 186 properties encompassed 21.9 million square feet and was 95.0% leased.

Forward-Looking Information

This press release may contain “forward-looking” statements, as defined in Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934, that are based on the Company’s current expectations, estimates and projections about future events and financial trends affecting the Company. Forward-looking statements can be identified by the use of words such as “may,” “will,” “should,” “could,” “believe,” “anticipate,” “expect,” “estimate,” “plan” or other comparable terminology. Forward-looking statements are inherently subject to risks and uncertainties, many of which the Company cannot predict with accuracy and some of which the Company might not even anticipate. Although the Company believes that the expectations, estimates and projections reflected in such forward-looking statements are based on reasonable assumptions at the time made, the Company can give no assurance that these expectations, estimates and projections will be achieved. Future events and actual results may differ materially from those discussed in the forward-looking statements and the Company undertakes no obligation to update or supplement any forward-looking statements.

The areas of risk that may affect these expectations, estimates and projections include, but are not limited to, those risks described in Item 1A of the Company’s Annual Report on Form 10-K for the year ended December 31, 2021.

Source: Corporate Office Properties Trust

View source version on businesswire.com: https://www.businesswire.com/news/home/20230209005710/en/

IR Contacts:

Venkat Kommineni, CFA

443-285-5587

venkat.kommineni@copt.com

Michelle Layne

443-285-5452

michelle.layne@copt.com

Source: Corporate Office Properties Trust

FAQ

What recent leases did Corporate Office Properties Trust (OFC) announce?

OFC announced two long-term leases for build-to-suit developments in Northern Virginia with a Fortune 500 company.

What is the square footage of the new projects by OFC?

The first project is 225,000 square feet and the second project is 193,000 square feet.

When is the completion date for OFC's new projects?

The first project is scheduled for completion in Q2 2025 and the second in Q4 2025.

Who is Davidson Technologies in relation to OFC?

Davidson Technologies is a defense contractor that signed a lease for a 46,000 square foot office building with OFC in Huntsville, AL.