PS BUSINESS PARKS, INC.
EXHIBIT 12
STATEMENT RE: COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES
Supplemental disclosure of Ratio of Funds from Operations ("FFO") to fixed
charges:
<TABLE>
<CAPTION>
Nine Months Ended
September 30,
----------------------------------------
2000 1999
-------------------- -----------------
<S> <C> <C>
FFO............................................................. $ 63,819,000 $ 56,848,000
Interest expense................................................ 1,246,000 2,658,000
Minority interest in income - preferred units................... 8,998,000 1,236,000
Preferred dividends............................................. 3,816,000 2,134,000
-------------------- -----------------
Adjusted FFO available to cover fixed charges................... $ 77,879,000 $ 62,876,000
==================== =================
Fixed charges (1)............................................... $ 2,242,000 $ 3,242,000
Preferred distributions......................................... 12,814,000 3,370,000
-------------------- -----------------
Combined fixed charges and preferred distributions.............. $ 15,056,000 $ 6,612,000
==================== =================
Ratio of FFO to fixed charges................................... 34.74 19.39
==================== =================
Ratio of FFO to combined fixed charges and preferred
distributions.................................................. 5.17 9.51
==================== =================
Years Ended December 31,
---------------------------------------------------------------------------------
1999 1998 1997 1996 1995
---------------- --------------- ---------------- --------------- ---------------
<S> <C> <C> <C> <C> <C> <C>
FFO................................ $ 76,353,000 $ 57,430,000 $ 17,597,000 $ 303,000 $ 720,000
Interest expense................... 3,153,000 2,361,000 1,000 - -
Minority interest in income -
preferred units................. 4,156,000 - - - -
Preferred dividends................ 3,406,000 - - - -
---------------- --------------- ---------------- --------------- ---------------
Adjusted FFO available to cover
fixed charges................... $ 87,068,000 $ 59,791,000 $ 17,598,000 $ 303,000 $ 720,000
================ =============== ================ =============== ===============
Fixed charges (1).................. $ 4,142,000 $ 2,629,000 $ 1,000 $ - $ -
Preferred distributions............ 7,562,000 - - - -
---------------- --------------- ---------------- --------------- ---------------
Combined fixed charges and preferred
distributions................... $ 11,704,000 $ 2,629,000 $ 1,000 $ - $ -
================ =============== ================ =============== ===============
Ratio of FFO to fixed charges...... 21.02 22.74 17,598 N/A N/A
================ =============== ================ =============== ===============
Ratio of FFO to combined fixed
charges and preferred
distributions................... 7.44 22.74 17,598 N/A N/A
================ =============== ================ =============== ===============
</TABLE>
(1) Fixed charges include interest expense plus capitalized interest.
Exhibit 12
