* First-qtr results include charges
* Cuts 2009 forecast
* Shares close up 3.8 percent before earnings release
(Adds Reuters Estimates, recasts first paragraph)
NEW YORK, April 29 Boston Properties Inc
(BXP.N), which owns signature office buildings in key U.S.
cities, reported better-than-expected first-quarter funds from
operations that rose 3 percent, chiefly on higher rent.
The real estate investment trust (REIT) reported
first-quarter funds from operations (FFO), a performance
measure, of $134.8 million, or $1.11 per share, compared with
$130.7 million, or $1.08 per share, in the year-earlier
The first-quarter results include a charge of 19 cents per
share for the suspension of construction of a Manhattan
skyscraper and a non-cash charge of 6 cents per share related
to an accounting change.
Excluding the charge for the suspension of development at
250 West 55th St, FFO would have been $1.30, ahead of the $1.25
analysts had forecast, according to Reuters Estimates.
The company, whose chairman is publisher Mortimer
Zuckerman, cut its forecast for 2009 FFO of $4.65 to $4.80 per
share from a prior outlook of $4.75 to $4.95.
For the second quarter, Boston Properties expects FFO of
$1.26 to $1.28 per share.
Boston Properties owns high-quality office buildings, such
as the Prudential Tower in Boston, the General Motors Building
in New York, Embarcadero Center in San Francisco and
Metropolitan Square in Washington D.C.
At the end of the quarter, the company had 147 properties
comprising approximately 49.8 million square feet, including 10
properties under construction totalling 3.8 million square
Among Boston Properties' 1,200 tenants are some prominent
financial players such as Citigroup Inc (C.N), Lehman Brothers
Holdings Inc LEHMQ.PK and a host of hedge funds and law
Boston Properties shares closed up $1.78, or 3.8 percent,
at $48.49 on Wednesday on the New York Stock Exchange.
(Reporting by Ilaina Jonas; Editing by Muralikumar