What changed in this filing

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Item 2. Properties

2023-02-21 compared with 2022-02-22 · 43 added, 77 removed, 132 unchanged (48% of the section changed)

1 unchanged sentence

We present certain financial information and metrics "at JBG SMITH Share,"

which is calculated on an entity-by-entity basis.

which is calculated on an entity-by-entity basis, but exclude our:

(i) 10.0% subordinated interest in one commercial building, (ii) 33.5% subordinated interest in four commercial buildings and (iii) 49.0% interest in three commercial buildings, as well as the associated non-recourse mortgage loans, held through unconsolidated real estate ventures;

these interests and debt are excluded because our investment in each real estate venture is zero, we do not anticipate receiving any near-term cash flow distributions from the real estate ventures and we have not guaranteed their obligations or otherwise committed to providing financial support.

"At JBG SMITH Share"

3 unchanged sentences

is not, and is not intended to be, a presentation in accordance with GAAP.

Because as of December 31, 2021, 10.3% of our assets, as measured by total square feet, were held through real estate ventures in which we own less than 100% of the ownership interest, we believe this form of presentation, which includes our economic interests in the unconsolidated real estate ventures, provides investors important information regarding a significant component of our portfolio, its composition, performance and capitalization.

Because as of December 31, 2022, 8.8% of our assets, as measured by total square feet, was held through real estate ventures in which we own less than 100% of the ownership interest, we believe this form of presentation, which includes our economic interests in the unconsolidated real estate ventures, provides investors important information regarding a significant component of our portfolio, its composition, performance and capitalization.

We classify our portfolio as "operating,"

"under-construction,"

"near-term development"

or "future development."

The following tables provide information about each of our commercial, multifamily, near-term development pipeline and future development pipeline portfolios as of December 31, 2021.

Many of our near-term and future development pipeline assets are adjacent to or an integrated component of operating commercial or multifamily assets in our portfolio.

or "development pipeline."

The following tables provide information about each of our commercial, multifamily and development pipeline portfolios as of December 31, 2022.

Many of our assets in the development pipeline are adjacent to or an integrated component of operating commercial or multifamily assets in our portfolio.

A significant number of our assets included in the following tables are held through real estate ventures with third parties or are subject to ground leases.

23 unchanged sentences

Crystal Drive Retail (3)

Clark Street - Office

Courthouse Plaza 1 and 2 (4)

800 North Glebe Road

Central Place Tower (4)

800 North Glebe Road

Stonebridge at Potomac Town Center (5)

1 unchanged sentence

Rosslyn Gateway-South

Universal Buildings

2101 L Street

1730 M Street (4)

1700 M Street (6)

L'Enfant Plaza Office-East (4)

L'Enfant Plaza Office-North

L'Enfant Plaza Retail (4)

1900 N Street (4)

1101 17th Street

4747 Bethesda Avenue (6)

7200 Wisconsin Avenue

One Democracy Plaza (4) (5)

4 unchanged sentences

At 100% share, unless otherwise noted.

Excludes our 10% subordinated interest in one commercial building held through a real estate venture in which we have no economic interest.

(1) "C"

denotes a consolidated interest.

"U"

denotes a consolidated interest and "U"

denotes an unconsolidated interest.

11 unchanged sentences

Crystal Drive Retail

Clark Street - Office

(4) Asset is subject to a ground lease where we are the lessee.

(5) Not Metro-served.

(6) This asset, a development site in Washington, D.C., was leased by us (as landlord) in 2018 for a 99-year term, with no extension options.

(6) Includes our corporate office lease for approximately 84,400 square feet.

8 unchanged sentences

Fort Totten Square

The Batley (5)

F1RST Residences

Atlantic Plumbing (5)

1221 Van Street

1 unchanged sentence

North End Retail

The Gale Eckington

Atlantic Plumbing

8001 Woodmont (6)

Falkland Chase-South & West

Falkland Chase-North

The Alaire (6)

The Terano (6)

Total / Weighted Average (3)

Recently Delivered

8001 Woodmont

Operating - Total / Weighted Average (3)

2 unchanged sentences

1900 Crystal Drive (7)

2000/2001 South Bell Street (7)

Under-Construction - Total

Totals at JBG SMITH Share (3)

National Landing

In-service assets

Recently delivered assets

Operating - Total / Weighted Average

In-service excluding newly developed and acquired assets (8)

Under-construction assets

1 unchanged sentence

(1) "C"

denotes a consolidated interest.

"U"

denotes a consolidated interest and "U"

denotes an unconsolidated interest.

3 unchanged sentences

Clark Street - Residential and 900 W Street are excluded from percent leased and percent occupied metrics as they are operated as short-term rental properties .

(4) Ownership percentage reflects expected dilution of our real estate venture partner as contributions are funded during the construction of the asset.

As of December 31, 2021, our ownership interest was 96.0%.

(5) The Batley was acquired in November 2021.

(4) In October 2022, we acquired an additional 3.7% ownership interest in The Wren, increasing our ownership interest to 99.7%.

In February 2023, we acquired the remaining 0.3% ownership interest in The Wren, increasing our ownership interest to 100.0%.

(5) In August 2022, we acquired the remaining 36.0% ownership interest in Atlantic Plumbing.

See Note 3 to the consolidated financial statements for additional information.

(6) Asset is subject to a ground lease.

In January 2022, our unconsolidated real estate venture sold The Alaire and The Terano.

(7) In March 2021, we leased the land underlying 1900 Crystal Drive to a lessee.

The asset is consolidated in our financial statements as it is owned through a variable interest entity of which we are the primary beneficiary.

(6) In October 2022, we acquired the remaining 50.0% ownership interest in 8001 Woodmont.

See Note 3 to the consolidated financial statements for additional information.

(8) Excludes West Half, The Wren, The Batley and 901 W Street.

Near-Term Development Pipeline

(7) In 2021, we leased the land underlying 1900 Crystal Drive and 2000/2001 South Bell Street to a lessee.

The assets are consolidated in our financial statements as they are owned through variable interest entities for which we are the primary beneficiary.

See Note 6 to the consolidated financial statements for additional information.

Development Pipeline

Estimated Potential Development Density (SF)

National Landing

2000 South Bell Street (1)

2001 South Bell Street (1)

Potomac Yard Landbay F - Block 15 - 3331 Exchange Avenue

Potomac Yard Landbay F - Block 19 - 3330 Exchange Avenue

3330 Exchange Avenue (1)

3331 Exchange Avenue (1)

Potomac Yard Landbay F/G/H (2)

50.0% / 100.0%

2250 Crystal Drive

223 23rd Street

101 12th Street S.

RiverHouse Land

2525 Crystal Drive

101 12th Street

RTC - West Trophy Office

1800 South Bell Street Land (3)

Gallaudet Parcel 2-3 (4) (5)

5 M Street Southwest

Capitol Point - North

Gallaudet Parcel 4 (5)

Other Development Parcels (6)

Totals at JBG SMITH Share

National Landing

At JBG SMITH share.

(1) In December 2021, we leased the land underlying 2000/2001 South Bell Street to a lessee.

This asset, consisting of two multifamily towers, is consolidated in our financial statements as we are the primary beneficiary of the variable interest entity.

See Note 6 to the consolidated financial statements for additional information.

In January 2022, we commenced construction on 2000/2001 South Bell Street, a 775-unit multifamily asset.

(2) Estimated potential development density (SF) use is subject to change based on market demand and entitlement.

At 100% share, unless otherwise noted.

(1) Formerly referred to as Potomac Yard Landbay F – Block 19 and 15.

(2) The ownership percentage for Potomac Yard Landbay F/G is 50.0%, and the ownership percentage for Potomac Yard Landbay H is 100.0%.

(3) Currently encumbered by an operating commercial asset.

(4) Formerly referred to as Gallaudet Parcel 1-3.

(5) Controlled through an option to acquire a leasehold interest.

As of December 31, 2022, the weighted average remaining term for the option is 1.8 years.

Future Development Pipeline

Commercial SF /

Estimated Potential Development Density (SF)

National Landing

Silver Spring

Greater Rockville

Total / weighted average

227,877 SF / 170 units

Held for Sale

National Landing (3)

Total / Weighted Average

227,877 SF / 170 units

At JBG SMITH share.

(1) Represents management's estimate of the total office and/or retail rentable square feet and multifamily units currently included in our Operating Portfolio that would need to be redeveloped to access some of the estimated potential development density.

(2) As of December 31, 2021, the weighted average remaining term for the optioned future development pipeline assets is 3.4 years.

(3) Represents the estimated potential development density that we have under contract for sale to Amazon pursuant to an executed purchase and sale agreement.

In March 2019, we entered into an agreement for the sale of Pen Place, a land site with an estimated potential development density of 2.1 million square feet.

In December 2021, we finalized the agreement for the sale of Pen Place for $198.0 million, which represents a $48.1 million increase over the previously estimated contract value.

The sale of Pen Place is expected to close during the second quarter of 2022.

(6) Comprises six assets in which we have a minority interest.

809,500 SF is currently encumbered by two operating commercial assets.

Major Tenants

2 unchanged sentences

(In thousands)

Family Health International

Lockheed Martin Corporation

Arlington County

Booz Allen Hamilton Inc

Greenberg Traurig LLP

Accenture LLP

Public Broadcasting Service

Evolent Health LLC

Greenberg Traurig LLP

The International Justice Mission

Includes all in-place leases as of December 31, 2022 for which a tenant has taken occupancy for office and retail space within our Operating Portfolio.

16 unchanged sentences

Compared sentence by sentence after normalising whitespace, quotation marks, case and digits, so re-formatting and restated figures do not read as changed language. Wording changes appear as one removal and one addition. The current filing and the prior one are authoritative.

What changed 10-K

Item 2. Properties