Businessweek

Boston Properties, Inc. operates as an integrated self-administered and self-managed real estate investment trust (REIT). The company owns and develops office properties in the United States. It conducts its business through its subsidiary, Boston Properties Limited Partnership. The company's properties are concentrated in five markets—Boston, Washington, D.C., midtown Manhattan, San Francisco and Princeton, New Jersey. As of December 31, 2008, the company owned or had interests in 147 properties, totaling approximately 49.8 million net rentable square feet and structured parking for vehicles containing approximately 11.2 million square feet. The company’s properties consisted of: 143 office properties comprising 123 Class A office properties (including 10 properties under construction) and 20 Office/Technical properties; 1 hotel; and 3 retail properties. The company owns or controls undeveloped land totaling approximately 509.3 acres, which would support approximately 12.0 million square feet of development. In addition, the company has a minority interest in the Boston Properties Office Value-Added Fund, L.P. (the Value-Added Fund). As of December 31, 2008, the Value-Added Fund had investments in an office complex in San Carlos, California, an office property in Chelmsford, Massachusetts and office/technical properties in Mountain View, California. Tenants As of December 31, 2008, the company’s major tenants included US Government; Lockheed Martin; Citibank; Genentech; Kirkland & Ellis; Gillette; Shearman & Sterling; Weil Gotshal Manges; O’Melveny & Myers; Lehman Brothers; Parametric Technology; Accenture; Finnegan Henderson Farabow; Ann Taylor; Northrop Grumman; Biogen Idec; Washington Group International; Aramis (Estee Lauder); Bingham McCutchen; and Akin Gump Strauss Hauer & Feld. Real Estate Acquisitions/Dispositions In April 2008, the company sold a parcel of land located in Washington, DC. In May 2008, the company acquired the remaining development rights for its 250 West 55th Street development project located in New York City. In June 2008, the company completed the acquisition of the General Motors Building at 767 Fifth Avenue in New York City. In August 2008, the company completed the acquisitions of 540 Madison Avenue and Two Grand Central Tower located in New York City, New York; and 125 West 55th Street also located in New York City, New York. In September 2008, the company acquired from National Public Radio (NPR) its headquarters building at 635 Massachusetts Avenue (the NPR Building) comprising approximately 211,000 net rentable square feet located in Washington, DC. Tax Status The company has elected to be taxed as a REIT under Sections 856 through 860 of the Internal Revenue Code of 1986, as amended. As a REIT, the company generally distributes approximately 90% of its net taxable income and would not be subject to federal income tax on income that it distributes to its stockholders. History Boston Properties, Inc. was founded in 1970.