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1. It's like Blackstone (BX) or Brookfield Asset Management (BAM), but exclusively focused on owning and developing top-tier office buildings as a publicly traded real estate company.

2. Think of it as the Simon Property Group (SPG) for premium office buildings, owning and developing a vast portfolio of major corporate real estate in prime U.S. cities.

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• Office Space Leasing: Providing Class A office space for rent to businesses across various industries.
• Life Science Space Leasing: Offering specialized laboratory and research facilities for biotechnology and pharmaceutical companies.
• Retail Space Leasing: Renting out retail units primarily within their commercial properties, often integrated with their office developments.
• Property Development: Developing new commercial properties, including office, life science, and mixed-use projects, for future leasing and investment.

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BXP (Boston Properties Inc.) Major Customers

BXP (Boston Properties Inc.) is a real estate investment trust (REIT) that primarily owns, manages, operates, acquires, and develops Class A office, life science, and residential properties. Consequently, its "customers" are primarily other companies and entities that lease space in its properties.

BXP emphasizes a highly diversified tenant base across various industries and does not have individual "major customers" that account for a significant portion of its total revenue. According to its 2023 Annual Report (10-K), its top ten tenants, based on annualized rental revenue as of December 31, 2023, accounted for approximately 11.2% of its total annualized rental revenue. This indicates no single tenant is overwhelmingly dominant, and specific individual "major customers" are not publicly disclosed by name.

While specific names of its individual tenants are not publicly disclosed as "major customers," BXP's diverse tenant roster includes a broad mix of companies and entities from sectors such as:

• Financial services
• Technology
• Consulting
• Law firms
• Government entities

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Owen D. Thomas, Chairman & CEO

Owen D. Thomas is the Chairman and CEO of BXP. He joined BXP in 2013 after serving as the first Chairman of Lehman Brothers Holdings from 2012 to 2013. Before his time at Lehman, Mr. Thomas spent 24 years at Morgan Stanley, where he held various leadership roles, including Chief Executive Officer of Morgan Stanley Asia, President of Morgan Stanley Investment Management, and Head of Morgan Stanley Real Estate. He was also a member of Morgan Stanley's Management Committee from 2005 to 2011.

Michael E. LaBelle, Executive Vice President, Chief Financial Officer & Treasurer

Michael E. LaBelle serves as Executive Vice President, Chief Financial Officer & Treasurer of BXP, a role he has held since October 2007, with the Executive Vice President title added in January 2016. He joined BXP in March 2000. Prior to BXP, Mr. LaBelle was a Vice President & Relationship Manager with Fleet National Bank from 1991 to 2000, where he was responsible for financing large-scale commercial real estate developments. He began his career as an Associate National Bank Examiner with the Office of the Comptroller of the Currency.

Douglas T. Linde, President

Douglas T. Linde is the President of BXP, a position he assumed in May 2007. He previously served as Executive Vice President from January 2005 and also as Chief Financial Officer and Treasurer from September 2000 until November 2007. Mr. Linde joined BXP in January 1997. Before joining BXP, he was the President of Capstone Investments, a Boston real estate investment company, from 1993 to 1997. He also worked as Project Manager and Assistant to the Chief Financial Officer at Wright Runstad and Company, a private real estate developer, from 1989 to 1993, and started his career at Salomon Brothers' Real Estate Finance Group.

Raymond A. Ritchey, Senior Executive Vice President

Raymond A. Ritchey has served as Senior Executive Vice President of BXP since January 2016. He has held various positions at BXP since 1980, including Executive Vice President, Head of the Washington, DC Office, and National Director of Acquisitions and Development from April 1998 to January 2016.

Hilary Spann, Executive Vice President, New York Region

Hilary Spann has been the Executive Vice President, New York Region of BXP since September 2021, overseeing all aspects of BXP's activities in New York and Princeton, New Jersey. From March 2016 to July 2021, Ms. Spann held several roles at CPP Investments, including Managing Director, Head of Real Estate Investments Americas.

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1. Decline in the Office Real Estate Market and Occupancy Pressures: BXP's revenue stream is primarily concentrated in premier office assets, making it highly susceptible to the broader trend of remote work and increasing office vacancy rates. The U.S. office market is anticipated to face continued declines, with a significant collapse predicted before recovery. This operational risk is evident in the company's portfolio occupancy, which remains a concern despite strong leasing activity.
2. Significant Debt Load and Interest Rate Risk: Like many real estate investment trusts (REITs), BXP carries a substantial debt load. Analysts have indicated a "less-than-robust financial position" and above-average leverage as major risks, especially in a challenging environment with high interest rates and economic uncertainty. Elevated interest rates increase the interest costs on unhedged variable rate debt, which could adversely affect BXP's cash flow, its ability to pay principal and interest on debt, and its capacity to make distributions to shareholders. Furthermore, high interest rates could limit the company's ability to refinance existing debt when it matures or significantly increase future interest expenses.
3. Development and Capital Spending Risks: BXP has a material development pipeline, which introduces execution risks. Funding these substantial development projects, such as the 343 Madison Avenue project, without incurring additional debt is crucial and dependent on factors like asset sales and securing partners. Capital spending risks are a concern that has weighed on the company's shares.

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The clear emerging threat for BXP is the ongoing, structural recalibration of office space demand driven by permanent hybrid and remote work models. While initially a response to the pandemic, this trend is solidifying into a long-term shift, potentially leading to decreased overall office space utilization, companies requiring less square footage per employee, and increased tenant demands for flexibility and specialized amenities that may require significant capital expenditure to meet. This fundamentally alters the market for BXP's core Class A office product, potentially impacting occupancy rates, rental growth, and property valuations over time as the long-term equilibrium for office work continues to emerge.

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Boston Properties (BXP) is expected to drive future revenue growth over the next two to three years through several key strategies:

1. Increased Occupancy and Strong Leasing Momentum: BXP anticipates a meaningful recovery in occupancy, with management estimates projecting an improvement in its in-service portfolio occupancy from 86.4% in Q2 2025 to approximately 89% by year-end 2026 and around 91% by year-end 2027. This consistent increase in occupied square footage, driven by robust leasing activity, is expected to be a primary driver for earnings growth. Leasing volume has shown strong year-over-year increases, with 3.8 million square feet leased year-to-date, representing a 14% increase over the first three quarters of 2024.
2. "Flight to Quality" and Pricing Power in Premier Office Markets: The company benefits from a market trend where businesses are increasingly opting for higher-quality, premier office spaces, especially in supply-constrained urban markets. BXP's portfolio of premier assets in key gateway markets such as Boston, New York, San Francisco, Los Angeles, Seattle, and Washington, D.C., allows it to command pricing power and maintain lower vacancy rates, directly contributing to revenue growth.
3. Expansion and Deliveries in the Life Sciences Sector: BXP has strategically focused on the resilient life sciences sector, with a substantial portfolio in innovation hubs like Boston, Cambridge, and Los Angeles. The company's life sciences pipeline includes 5.8 million square feet of development opportunities, with redevelopments slated for delivery within the next three years, catering to the high demand for quality lab spaces.
4. New Development and Redevelopment Project Deliveries: The completion and successful leasing of new developments and redevelopments are significant revenue growth drivers. Projects such as 300 Binney Street (100% leased) and 725 12th Street in Washington, D.C. (87% pre-leased) are examples of properties that will contribute to future revenue streams as they are fully placed in service and revenue recognition commences.
5. Strategic Capital Recycling through Non-Core Asset Sales and Reinvestment: BXP's strategy includes selling non-core, non-income-producing assets to generate capital for reinvestment into new, high-priority developments and to deleverage its balance sheet. This approach allows the company to focus on premier assets with higher occupancy potential, thereby expanding its portfolio and enhancing long-term revenue growth without relying solely on traditional debt or equity financing.

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Share Issuance

• Boston Properties Limited Partnership, BXP's operating partnership, priced an offering of $850.0 million aggregate principal amount of 2.000% exchangeable senior notes due 2030, which was upsized from a previously announced $600.0 million offering.

Inbound Investments

• BXP actively seeks private equity partnerships on select assets to complement funding sources and increase investment yields.
• A joint venture with BXP holding a 50% ownership interest closed on a $465.0 million non-recourse commercial mortgage-backed securities (CMBS) loan secured by The Hub on Causeway in Boston, Massachusetts.
• BXP has successful joint venture executions on 1,930 units across projects like HubHouse, Skymark, 290 Coles, and 17 Hartwell Ave, and also included a BXP Preferred Equity Investment of $65 million at a 13% IRR for 290 Coles Street.

Outbound Investments

• BXP acquired a 45% stake in 343 Madison Avenue in New York City for approximately $43.5 million, electing to acquire its partner's interest at cost in Q3 2025.

Capital Expenditures

• In Q2 2025, consolidated capital expenditures totaled $52.9 million, including $32.9 million for maintenance, $13.2 million for repositioning, and $6.0 million for acquisition-related planned capital expenditures. In Q1 2025, consolidated capital expenditures amounted to $41.2 million.
• BXP has a robust active development pipeline totaling $2.3 billion across 3.0 million square feet, which is 62% pre-leased overall.
• BXP intends to strategically reinvest approximately $50.0 million in incremental cash each quarter from a dividend reset into development projects, including 343 Madison Avenue, with a primary focus on projects targeting high sustainability certifications, such as the 570,000 SF laboratory/life science property at 290 Binney Street (LEED Platinum) and the 439-unit all-electric residential property at 121 Broadway (LEED Gold).