CoreSite executed new and expansion data center leases representing $5.8
million of annualized GAAP rent during the quarter, comprised of 30,810
NRSF at a weighted average GAAP rate of $188 per NRSF.
CoreSite’s renewal leases signed in the second quarter totaled 44,702
NRSF at a weighted average GAAP rate of $166 per NRSF, reflecting a 5.4%
increase in rent on a cash basis and an 11.7% increase on a GAAP basis.
The second quarter rental churn rate was 2.0%.
CoreSite’s second quarter data center lease commencements totaled 42,672
NRSF at a weighted average GAAP rental rate of $147 per NRSF, which
represents $6.3 million of annualized GAAP rent.
CoreSite had 236,673 NRSF of data center space under construction at
four key locations as of June 30, 2013. The projects under construction
include new data centers at SV5 (San Francisco Bay area), VA2 (Northern
Virginia area), NY2 (New York) and additional inventory at LA2 (Los
Angeles). As of June 30, 2013, CoreSite had incurred $59.4 million of
the estimated $188.0 million required to complete these projects.
Balance Sheet and Liquidity
As of June 30, 2013, CoreSite had $132.0 million of total long-term debt
equal to 1.2x annualized adjusted EBITDA and long-term debt and
preferred stock equal to 2.3x annualized adjusted EBITDA.
At quarter end, CoreSite had $2.8 million of cash available on its
balance sheet and $324.5 million of available capacity under its credit
On May 24, 2013, CoreSite announced a dividend of $0.27 per share of
common stock and common stock equivalents for the second quarter of
2013. The dividend was paid on July 15, 2013, to shareholders of record
on June 28, 2013.
CoreSite also announced on May 24, 2013, a dividend of $0.4531 per share
of Series A preferred stock for the period April 15, 2013, to July 14,
2013. The preferred dividend was paid on July 15, 2013, to shareholders
of record on June 28, 2013.
CoreSite is increasing and narrowing its FFO per share and OP unit
guidance to $1.76 to $1.84 from the prior range of $1.72 to $1.82.