Press Release
November 9, 2000
SAN FRANCISCO, CA -- Catellus Development Corporation (NYSE:CDX) yesterday reported earnings before depreciation
and deferred taxes (EBDDT) of $45.7 million for the third quarter of 2000 compared to $33.3 million for the third
quarter of 1999. On a diluted per share basis, EBDDT for the quarter was $0.42 per share, a 40% increase over $0.30
per share in the third quarter of 1999. Net income for the third quarter of 2000 was $35.6 million, or $0.33 per
share on a diluted basis, versus $19.1 million, or $0.18 per share on a diluted basis for the third quarter of
1999.
For the nine months ended September 30, 2000, EBDDT was $121.7 million versus $96.0 million for the same period
in 1999. On a diluted per share basis, EBDDT for the nine months ended September 30, 2000 was $1.12 per share,
a 27% increase over $0.88 per share for the first nine months of 1999. Net income through the end of the third
quarter of 2000 was $96.4 million, or $0.89 per share on a diluted basis, versus $53.3 million, or $0.49 per share
on a diluted basis for the same period in 1999.
Chairman and chief executive officer of Catellus, Nelson C. Rising, commented, ``Clearly, the 40% increase we reported
today puts us ahead of our projected growth rate of 15% for the year, and we expect earnings to grow 20% for the
full year 2000 over 1999.'' He went on to add, ``We are extremely confident that Catellus will continue to exhibit
strong growth based on the number of transactions we have announced and are currently negotiating, which are expected
to impact earnings in the coming years.''
Third Quarter Highlights and Subsequent Announcements
-- Catellus and Cisco Systems sign agreement for up to 3.4 million square feet in Pacific Commons. In early November Catellus signed a 34-year ground lease with a subsidiary of Cisco Systems. The agreement includes infrastructure funding, purchase options, and a development and construction management contract. The execution of these agreements is a major step toward completion of the overall transaction between Catellus and Cisco.
-- The agreements call for Cisco to prepay a substantial portion of the expected ground rent in two installments. The first installment totals $66.7 million for 84 acres based on satisfaction of certain conditions and is expected to be received by early January 2001. Cisco will lease the remaining 59 acres, subject to the satisfaction of various conditions (anticipated for mid-2001), with a prepayment of $35.2 million. This would result in total cash payments to Catellus of approximately $101.9 million by the end of the second quarter of 2001. Cisco will also contribute its pro rata share of the cost of the Pacific Commons infrastructure as it is constructed.
-- The agreement also includes options for Cisco to purchase the property encumbered by the ground lease in four different transactions of approximately equal entitlement commencing after the seventh year. If the purchase options were eventually exercised, the total value of the transaction, including the pre-paid rent, the infrastructure contribution, and the development and construction management fees, would be in excess of $200 million on an undiscounted basis.
-- The brisk pace of activity continues at Mission Bay:
-- Catellus signs full building lease with first tenant at new development outside Denver. Catellus signed a 121,000 square foot lease with American Skandia Life Assurance Company and its affiliates for an 11-year term at CirclePoint Corporate Center in Westminster, a suburb of Denver, Colorado. -- Catellus subsidiary acquires former steel mill site in Southern California's Inland Empire. The property is located in one of the nation's most active distribution centers near the intersection of Interstates 15 and 10. The site is served by both Union Pacific and Burlington Northern Santa Fe railroads and is proximate to Ontario International Airport. The site was purchased for approximately $16 million from Kaiser Ventures, Inc. Plans for the development, Kaiser Commerce Center, include a 6 million square foot industrial park and truck plaza. -- Intel signs lease for industrial building at Pacific Commons and acquires option to lease office building. Intel has signed a ten-year lease for a 74,000 square foot light industrial building including an option to purchase the project upon its completion scheduled for the first quarter of 2001. Intel also has an option to lease an additional 100,000 square feet of office space at market rates in the next phase of development. -- Catellus completes merchant housing transactions. Catellus sold a majority of its merchant housing assets to a newly formed limited liability company managed by Brookfield Homes of California, Inc. for $139 million in cash and a retained interest in the new company valued at $22.5 million. In a separate transaction, Standard Pacific Corporation paid $23 million for an 80-lot site in San Francisco, California, partially owned by Catellus, generating a pre-tax gain of approximately $6 million to Catellus. -- Second major desert land sale completed. Catellus received a total cash consideration of $20 million in exchange for approximately 180,500 acres, bringing the total for the year to $45 million in desert land sale proceeds. This transaction substantially completes the disposition of non-strategic assets that began in late 1995. To date, the Company has received $320 million in proceeds from its non-strategic land sale program.
Catellus Commercial Group
The commercial group contributed $33.1 million to pre-tax EBDDT during the third quarter versus a contribution
of $26.6 million in the third quarter 1999. The group started construction of 1.2 million square feet of commercial
space in the quarter. Also during the quarter, approximately 428,000 square feet of commercial space was completed
and added to the rental portfolio at an approximate cost of $14.3 million. When stabilized, the new space is expected
to make an annual contribution to operating income of $1.6 million versus the $254,000 it contributed during the
third quarter.
At quarter-end, the commercial group had 5.7 million square feet under construction, 4.7 million square feet of
which the company expects to add to its portfolio. Approximately 64% of this space is pre-leased to tenants. When
complete and fully leased, the 4.7 million square feet is expected to cost $188.5 million and contribute approximately
$22.6 million to operating income on an annual basis.
The commercial group sold $30.5 million in commercial and other properties (excluding sales of non-strategic assets)
during the third quarter, contributing $8.4 million to pre-tax EBDDT. At September 30, 2000, the commercial group
had an additional $55.6 million of property sales under contract but not yet closed and owned or controlled industrial/suburban
commercial land capable of supporting development up to an estimated 34.4 million square feet, including the recently
approved space at Pacific Commons.
At September 30, 2000, the company's core portfolio included 26.4 million square feet of industrial, office and
retail space and was 96.7% occupied. Operating income from the wholly owned portfolio of rental buildings and land
leases was $36.8 million in the third quarter of 2000 versus $29.7 million for the same period a year ago. This
24% increase is primarily from the net addition of 2.9 million square feet to Catellus' portfolio since the third
quarter of 1999.
The final approval of Pacific Commons in Fremont, California came at a time when market conditions are extremely
favorable. The company began construction on 239,000 square feet in July, including the 74,000 square feet of industrial
space leased to Intel Corporation.
Catellus Residential Group
During the quarter, the residential group contributed $18.6 million to pre-tax EBDDT versus a contribution of $9.4
million for the quarter a year ago, primarily due to the sale of the merchant housing division, and higher sale
activities from joint ventures. Approximately $20 million of the retained interest in the merchant housing sale
is expected to be realized over the next several quarters.
Excluding assets in the merchant housing division, 1,083 lots were sold during the quarter, consisting of 726 lots
from unconsolidated joint ventures and 357 lots from wholly owned projects.
Total sales proceeds from wholly owned and consolidated joint venture projects were $182.7 million, with a net
contribution to operating income of $28 million. Total sales proceeds from unconsolidated joint venture projects
were $72.5 million resulting in a net contribution to Catellus operating income of $9.2 million.
Catellus Residential Group has a backlog of sales under contract but not yet closed of $42.0 million at September
30, 2000. In addition, we received approval on the tentative tract map and parcel map for Victoria-by-the-Bay,
our 800-lot residential development on the site of a former oil refinery in Hercules, California. Marketing to
homebuilders has begun on the first two sites and has been met with strong demand. Sales of these sites are expected
to close during the next several months.
Catellus Residential Group and its joint ventures owned or controlled land capable of supporting the development
of up to 9,776 lots or single-family homes.
Catellus Urban Group
In October, Catellus announced plans for two Class A office towers at Santa Fe Place, its 15-acre development in
downtown San Diego. Construction of the first building is not expected to begin until 2002 upon substantial pre-leasing,
with completion expected in 2004.
At September 30, 2000 the Urban Group had a total backlog of sales under contract but not yet closed of $26 million
consisting of two parcels in San Diego expected to close in the first and third quarters of 2001. Additionally,
the announced sale of a 100-unit condominium site for $13.5 million is expected to close by mid-year 2001.
We expect the variability of our quarterly and annual EBDDT and net income to continue. The timing of development
sales and sales of non-strategic assets have resulted in significant variability in our historic operating results,
particularly on a quarterly basis. Many of the company's projects require a lengthy process to complete the development
cycle before they are sold. Sales of real estate assets are generally subject to lengthy negotiations and contingencies
that need to be resolved before closing. These factors tend to ``bunch'' income in particular periods rather than
producing a more even pattern throughout a year. In addition, gross margins vary significantly as the mix of properties
varies. The cost basis of the properties sold varies because a number of properties have been owned for many years
while some properties were acquired within the last few years; because properties are owned in various geographical
locations; and because development projects have varying infrastructure and build-out periods.
Catellus Development Corporation is one of the nation's premier diversified real estate development companies.
The Company specializes in developing, managing and investing in a broad range of product types including industrial,
residential, office, retail and major urban development projects. It owns one of the largest portfolios of developable
land in the Western United States capable of supporting over 49.7 million square feet of new commercial development
and an estimated 14,800 residential lots and units. More information on the Company is available at www.catellus.com
We will hold a conference call to discuss this quarter's results and this earnings report today, November 8, 2000,
at 9:00 AM Pacific Standard Time (12:00 PM EST). The dial-in phone number for the call is 800/230-1059 or the call
can be listened to live or via audio replay on our website.
A copy of the Third Quarter 2000 Supplemental Disclosure Package will be available after 5 PM on November 10, 2000
in the Investor Relations section of our website at www.catellus.com. These materials
are also available by contacting Catellus Development Corporation at 415/974-4500 or by writing to:
Investor Relations Catellus Development Corporation 201 Mission Street, 2nd Floor San Francisco, CA 94105 InvestorRelations@catellus.com
Except for historical matters, the matters discussed in this release and in the Supplemental Disclosure Package
are forward-looking statements that involve risks and uncertainties. We have tried, wherever practical, to identify
these forward-looking statements by using words like ``anticipate,'' ``believe,'' ``estimate,'' ``project,'' ``expect,''
and similar expressions. Forward-looking statements include, but are not limited to, statements about plans; opportunities;
negotiations; markets and economic conditions; development, construction, and sales activities; availability of
financing; and property values.
We caution you not to place undue reliance on these forward-looking statements, which reflect our current beliefs
and are based on information currently available to us. We do not undertake any obligation to publicly revise these
forward-looking statements to reflect future events or changes in circumstances.
These forward-looking statements are subject to risks and uncertainties that could cause our actual results, performance,
or achievements to differ materially from those expressed in or implied by these statements. In particular, among
the factors that could cause actual results to differ materially are:
For further information, you should refer to our report on Form 10-K for the fiscal year ended December 31,
1999, and our report on Form 10-Q for the quarter ended June 30, 2000, filed with the Securities and Exchange Commission.
-0-
CATELLUS DEVELOPMENT CORPORATION
CONSOLIDATED BALANCE SHEET
(In thousands)
(Unaudited)
September 30, December 31,
2000 1999
----------- -----------
Assets
Properties $ 1,968,327 $ 1,944,017
Less accumulated depreciation (309,577) (294,846)
----------- -----------
1,658,750 1,649,171
Other assets and deferred charges, net 98,434 93,021
Notes receivable, less allowance 28,791 32,890
Accounts receivable, less allowance 16,238 24,820
Restricted cash and investments 86,389 19,565
Cash and cash equivalents 115,389 35,410
----------- -----------
$ 2,003,991 $ 1,854,877
=========== ===========
Liabilities and stockholders' equity
Mortgage and other debt $ 924,167 $ 875,564
Accounts payable and accrued expenses 76,291 92,791
Deferred credits and other liabilities 46,848 58,751
Deferred income taxes 235,587 185,592
----------- -----------
Total liabilities 1,282,893 1,212,698
----------- -----------
Minority interests 52,854 51,207
=========== ===========
Stockholders' equity
Common stock -- 108,056 and 107,185
shares issued at September 30, 2000
and December 31, 1999, respectively 1,081 1,072
Paid-in capital 493,017 483,503
Treasury stock, at cost (1,997 shares
at September 30, 2000) (28,660) --
Accumulated earnings 202,806 106,397
----------- -----------
Total stockholders' equity 668,244 590,972
----------- -----------
Total $ 2,003,991 $ 1,854,877
=========== ===========
CATELLUS DEVELOPMENT CORPORATION
CONSOLIDATED STATEMENT OF OPERATIONS
(In thousands, except per share data)
(Unaudited)
Three Months Ended Nine Months Ended
September 30, September 30,
2000 1999 2000 1999
--------- --------- --------- ---------
Rental properties
Rental revenue $ 52,523 $ 43,081 $ 153,179 $ 125,851
Property
operating costs (14,251) (11,897) (40,640) (34,655)
Equity in
earnings of
operating joint
ventures, net 1,324 1,517 7,913 8,106
--------- --------- --------- ---------
39,596 32,701 120,452 99,302
--------- --------- --------- ---------
Property sales
and fee services
Sales revenue 213,190 98,123 396,189 242,217
Cost of sales (172,512) (77,013) (292,894) (189,230)
--------- --------- --------- ---------
Gain on
property sales 40,678 21,110 103,295 52,987
Management and
development fees 2,749 3,936 9,342 10,611
Equity in
earnings of
development
joint ventures,
net 9,238 3,239 12,084 7,658
Selling, general
and administrative
expenses (14,249) (5,564) (33,581) (17,038)
Other, net (3,043) (1,840) (7,963) 7
--------- --------- --------- ---------
35,373 20,881 83,177 54,225
--------- --------- --------- ---------
Interest expense (12,957) (10,404) (33,529) (29,450)
Depreciation and
amortization (11,661) (10,039) (33,910) (28,623)
Corporate
administrative
costs (3,656) (3,727) (11,376) (11,321)
Gain on
non-strategic
asset sales 18,662 2,529 46,131 6,419
Other, net (743) 116 (1,495) (1,229)
--------- --------- --------- ---------
Income before
minority
interests and
income taxes 64,614 32,057 169,450 89,323
Minority
interests (5,294) 45 (8,768) 54
--------- --------- --------- ---------
Income before
income taxes 59,320 32,102 160,682 89,377
--------- --------- --------- ---------
Income tax expense
Current (2,378) (2,054) (12,255) (11,264)
Deferred (21,338) (10,922) (52,018) (24,800)
--------- --------- --------- ---------
(23,716) (12,976) (64,273) (36,064)
--------- --------- --------- ---------
Net income $ 35,604 $ 19,126 $ 96,409 $ 53,313
========= ========= ========= =========
Net income per
share
Basic $ 0.34 $ 0.18 $ 0.90 $ 0.50
========= ========= ========= =========
Assuming dilution $ 0.33 $ 0.18 $ 0.89 $ 0.49
========= ========= ========= =========
Average number of
common shares
outstanding --
basic 106,039 107,085 106,723 106,964
========= ========= ========= =========
Average number of
common shares
outstanding --
diluted 109,398 109,266 108,884 109,261
========= ========= ========= =========
CATELLUS DEVELOPMENT CORPORATION
SUMMARY OF EARNINGS BEFORE DEPRECIATION AND DEFERRED TAXES
(In thousands, except per share data)
(Unaudited)
Three Months Ended Nine Months Ended
September 30, September 30,
2000 1999 2000 1999
--------- --------- --------- ---------
Net income $ 35,604 $ 19,126 $ 96,409 $ 53,313
Depreciation and
amortization 11,661 10,039 33,910 28,623
Deferred income
taxes 21,338 10,922 52,018 24,800
Gain on
non-strategic
asset sales (18,662) (2,529) (46,131) (6,419)
Depreciation
recapture (4,289) (4,290) (14,486) (4,290)
--------- --------- --------- ---------
Earnings before
depreciation and
deferred taxes $ 45,652 $ 33,268 $ 121,720 $ 96,027
========= ========= ========= =========
Earnings before
depreciation and
deferred taxes
per share of
common stock
- basic $ 0.43 $ 0.31 $ 1.14 $ 0.90
========= ========= ========= =========
Earnings before
depreciation and
deferred taxes
per share of
common stock -
assuming dilution $ 0.42 $ 0.30 $ 1.12 $ 0.88
========= ========= ========= =========
Average number of
common shares
outstanding
- basic 106,039 107,085 106,723 106,964
========= ========= ========= =========
Average number of
common shares
outstanding
- diluted 109,398 109,266 108,884 109,261
========= ========= ========= =========
NOTE: We use a supplemental performance measure, earnings before
depreciation and deferred taxes (EBDDT), along with net income, to
report our operating results. EBDDT is not a measure of operating
results or cash flows from operating activities as defined by
generally accepted accounting principles. Further, EBDDT is not
necessarily indicative of cash available to fund cash needs and should
not be considered as an alternative to cash flows as a measure of
liquidity. We believe that EBDDT provides relevant information about
our operations and is useful, along with net income, for an
understanding of our operating results.
EBDDT is calculated by making various adjustments to net income.
Depreciation expense, amortization and deferred income taxes are added
back to net income as they represent non-cash charges. Since
depreciation expense is added back to net income in arriving at EBDDT,
the portion of gain on property sales attributable to depreciation
recapture is excluded from EBDDT. In addition, gains on the sale of
non-strategic assets represent unusual and/or non-recurring items and
are excluded from the EBDDT calculation. A reconciliation from net
income to EBDDT is provided.
CATELLUS DEVELOPMENT CORPORATION
ADDITIONAL INFORMATION
(In thousands, except percentages)
(Unaudited)
PRE-TAX EBDDT by SEGMENT
Three Months Ended Nine Months Ended
September 30, September 30,
2000 1999 2000 1999
-------- -------- --------- ---------
Commercial $ 33,105 $ 26,562 $ 115,242 $ 93,755
Residential 18,558 9,449 26,169 17,453
Urban Development 893 1,481 3,580 4,033
Corporate (4,526) (2,170) (11,016) (7,950)
-------- -------- --------- ---------
Pre-tax EBDDT 48,030 35,322 133,975 107,291
Current taxes (2,378) (2,054) (12,255) (11,264)
-------- -------- --------- ---------
Total $ 45,652 $ 33,268 $ 121,720 $ 96,027
======== ======== ========= =========
PROPERTIES
September 30, 2000
Commercial Residential Urban Dev. Corporate Total
----------- ----------- ---------- --------- --------
Rental
properties $ 1,152,993 $ -- $ -- $ -- $ 1,152,993
Development
properties 208,753 45,496 345,119 -- 599,368
Work-in-
process 127,658 7,144 -- -- 134,802
Investments
in joint
ventures (16,648) 73,751 -- -- 57,103
Other -- 1,844 -- 22,217 24,061
----------- --------- --------- -------- -----------
Subtotal 1,472,756 128,235 345,119 22,217 1,968,327
Accumulated
depreciation (281,481) (1,106) (12,826) (14,164) (309,577)
----------- --------- --------- -------- -----------
Total $ 1,191,275 $ 127,129 $ 332,293 $ 8,053 $ 1,658,750
=========== ========= ========= ======== ===========
Mortgage
debt $ 872,091 $ 30,631 $ 21,164 $ 281 $ 924,167
=========== ========= ========= ======== ===========
December 31, 1999
Commercial Residential Urban Dev. Corporate Total
----------- ----------- ---------- --------- --------
Rental
properties $ 1,096,648 $ 380 $ -- $ -- $ 1,097,028
Development
properties 208,976 114,133 325,508 -- 648,617
Work-in-
process 65,245 65,154 -- -- 130,399
Investments
in joint
ventures (2,482) 47,491 -- -- 45,009
Other -- 2,014 -- 20,950 22,964
----------- --------- --------- -------- -----------
Subtotal 1,368,387 229,172 325,508 20,950 1,944,017
Accumulated
depreciation (269,445) (1,048) (11,637) (12,716) (294,846)
----------- --------- --------- -------- -----------
Total $ 1,098,942 $ 228,124 $ 313,871 $ 8,234 $ 1,649,171
=========== ========= ========= ======== ===========
Mortgage
debt $ 759,078 $ 94,271 $ 21,781 $ 434 $ 875,564
=========== ========= ========= ======== ===========
CATELLUS DEVELOPMENT CORPORATION
ADDITIONAL INFORMATION
(In thousands, except percentages)
(Unaudited)
Three Months Ended Nine Months Ended
September 30, September 30,
2000 1999 2000 1999
-------- --------- --------- ---------
COMMERCIAL
Rental Properties
Rental revenue $ 49,050 $ 39,760 $ 142,115 $ 116,569
Property
operating costs (12,267) (10,110) (35,160) (29,656)
Equity in
earnings of
operating
joint ventures 1,324 1,517 7,913 8,106
-------- --------- --------- ---------
38,107 31,167 114,868 95,019
-------- --------- --------- ---------
Property Sales
and Fee Services
Sales revenue 30,468 46,918 120,970 163,991
Cost of
sales (1) (22,041) (40,905) (81,951) (135,234)
-------- --------- --------- ---------
Gain on
property
sales 8,427 6,013 39,019 28,757
Management and
development
fees 2,647 2,970 8,154 8,357
Equity in
earnings of
development
joint
ventures -- -- 14 (23)
Selling,
general and
administrative
expense (3,730) (2,108) (11,441) (6,585)
Other 1,318 94 3,174 1,579
-------- --------- --------- ---------
8,662 6,969 38,920 32,085
-------- --------- --------- ---------
Interest expense (12,113) (11,574) (33,891) (33,349)
Minority
interest (1,551) -- (4,655) --
-------- --------- --------- ---------
Pre-tax EBDDT $ 33,105 $ 26,562 $ 115,242 $ 93,755
======== ========= ========= =========
Six Months Ended
June 30,
2000 1999
-------- ---------
COMMERCIAL
Rental
Properties
Rental revenue $ 93,065 $ 76,809
Property
operating costs (22,893) (19,546)
Equity in
earnings of
operating
joint ventures 6,589 6,589
-------- ---------
76,761 63,852
-------- ---------
Property Sales
and Fee Services
Sales revenue 90,502 117,073
Cost of
sales (1) (59,910) (94,329)
-------- ---------
Gain on
property
sales 30,592 22,744
Management and
development
fees 5,507 5,387
Equity in
earnings of
development
joint
ventures 14 (23)
Selling,
general and
administrative
expense (7,711) (4,477)
Other 1,856 1,485
-------- ---------
30,258 25,116
-------- ---------
Interest expense (21,778) (21,775)
Minority
interest (3,104) --
-------- ---------
Pre-tax EBDDT $ 82,137 $ 67,193
======== =========
(1) Cost of sales for the three and nine months ended September
30, 2000 includes is $4.3 million and $14.5 million,
respectively, of depreciation recapture which is included in
net income, but not in EBDDT.
Buildings owned and
leasing statistics: September 30,
2000 1999
-------- ---------
Industrial buildings
Square feet owned 23,868 20,929
Square feet leased 23,153 19,117
Percent leased 97.0% 91.3%
Office buildings
Square feet owned 1,623 1,622
Square feet leased 1,495 1,485
Percent leased 92.1% 91.6%
Retail buildings
Square feet owned 880 881
Square feet leased 843 790
Percent leased 95.8% 89.7%
Total
Square feet owned 26,371 23,432
Square feet leased 25,491 21,392
Percent leased 96.7% 91.3%
Three Months Nine Months
Ended Ended
September 30, September 30,
2000 vs. 1999 2000 vs. 1999
% Change % Change
--------------- -------------
Same space NOI (1)(2) 6.0% 6.0%
=============== =============
(1) Same space properties have been owned and operated for all of
1999 and through September 30, 2000.
(2) Change in same space NOI is adjusted for
one-time/non-recurring items.
As of or for the As of or for the
Three Months Ended Nine Months Ended
September 30, September 30,
2000 1999 2000 1999
------ ------ ------ ------
(in square feet) (in square feet)
Development Activity:
Under construction,
beginning of period 4,962 4,644 4,641 5,037
Construction starts 1,204 1,501 3,862 3,067
Completed - retained
in portfolio (428) (1,809) (2,765) (2,760)
Completed -
design-build or
sold (80) (693) (80) (1,701)
------ ------ ------ ------
Under
construction,
end of period 5,658 3,643 5,658 3,643
====== ====== ====== ======
Contracts signed,
construction not
started -- 581
====== ======
September 30,
2000 1999
--------- --------
Commercial Property Sales Backlog:
Sales under contract but not closed $ 55,585 $ 69,553
========= ========
RESIDENTIAL
Pre-tax EBDDT
Three Months Ended Nine Months Ended
September 30, September 30,
2000 1999 2000 1999
--------- -------- --------- ---------
Sales proceeds --
Owned and
consolidated
JV's $ 182,721 $ 51,205 $ 275,218 $ 78,226
Cost of Sales (154,758) (40,398) (225,427) (58,286)
--------- -------- --------- ---------
Gain 27,963 10,807 49,791 19,940
--------- -------- --------- ---------
Sales proceeds --
Unconsolidated
JV's 72,491 32,072 121,468 105,918
Cost of Sales (55,600) (25,092) (92,267) (78,553)
--------- -------- --------- ---------
Gain 16,891 6,980 29,201 27,365
Minority
interest and
other (7,653) (3,741) (17,131) (19,684)
--------- -------- --------- ---------
Unconsolidated
JV income 9,238 3,239 12,070 7,681
Selling,
general and
administrative (9,981) (3,249) (20,555) (10,103)
Other (8,662) (1,348) (15,137) (65)
--------- -------- --------- ---------
$ 18,558 $ 9,449 $ 26,169 $ 17,453
========= ======== ========= =========
September 30,
Property sales backlog - sales under contract: 2000 1999
-------- -------
Residential Development
Owned projects and consolidated joint ventures
Units $ 14,541 $60,827
======== =======
Lots $ -- $ 6,370
======== =======
Unconsolidated joint venture projects (1)
Units $ -- $ 7,592
======== =======
Lots $ 27,488 $ 9,866
======== =======
(1) The Company is entitled to receive 25% - 67% of the net
profits from these joint ventures.
URBAN DEVELOPMENT
Pre-tax EBDDT
Three Months Ended Nine Months Ended
September 30, September 30,
2000 1999 2000 1999
------- ------- ------- -------
Net operating income $ 1,489 $ 1,449 $ 5,402 $ 4,033
Management and
development fees 13 526 631 1,126
Selling, general and
admin. expenses (538) (207) (1,585) (350)
Interest expenses (136) (241) (890) (623)
Other 65 (46) 22 (153)
------- ------- ------- -------
$ 893 $ 1,481 $ 3,580 $ 4,033
======= ======= ======= =======
-----------------------------------------------------------
Contact:
Catellus Development Corporation
Pamela Matthews, 415/974-4616 (Corporate Communications)
Minnie Wright, 415/974-4649 (Investor Relations)