Liberty Property Trust Announces 2012 Financial Projections

                                                                                

MALVERN, Pa., Dec. 13, 2011 /PRNewswire/ -- Liberty Property Trust has announced its expected 2012 financial results, and is clarifying previously-announced expectations for 2011. Liberty expects to report funds from operations ("FFO") for 2011 in the range of $2.59 - $2.62 per diluted share, and for 2012 in the range of $2.45 - $2.60 per diluted share.

Expectations for 2012 include the impact of a previously-undisclosed $190 million suburban office and high-finish flex portfolio sale that is currently under contract and is anticipated to close late in the first quarter of 2012. Guidance will be revisited should the transaction fail to close.

Commenting on this guidance, Liberty's chief executive officer, Bill Hankowsky said: "Viewing next year's prospects, the economy is in much the same place it was when we discussed 2011 prospects. In developing guidance, we have assumed that the economic recovery will continue to move forward at a very slow pace. Occupancy and rents will grow at a slow pace for office and a more positive pace for industrial. But the firming marketplace, the return of development opportunities, and the outstanding execution on our portfolio repositioning strategy should position 2012 as an inflection year for Liberty's growth."

Liberty had previously announced the expectation for 2011 funds from operations in the range of $2.55 - $2.58 per diluted share. The new range of $2.59 - $2.62 reflects the addback of $.04 in impairment charges that had been taken in the first half of 2011. Excluding impairment charges from the computation of FFO is consistent with the National Association of Real Estate Investment Trusts' reaffirmation in November of 2011 of its July, 2000 guidance on NAREIT-defined FFO, which indicated that impairment write-downs of depreciable real estate should be excluded in the computation of FFO. A reconciliation of FFO to GAAP net income for both 2011 and 2012 is below:

About the Company

Liberty Property Trust (NYSE: LRY) is a leader in commercial real estate, serving customers in the United States and United Kingdom, through the development, acquisition, ownership and management of superior office and industrial properties.  Liberty's 78 million square foot portfolio includes nearly 700 properties providing office, distribution and light manufacturing facilities to 1,900 tenants. 

Additional information about the company is available in the Investors section of the company's web site at www.libertyproperty.com. 

Liberty will host a conference call during which management will discuss these projections and underlying assumptions on Tuesday, December 13, 2011, at 11 a.m. eastern time. To access the conference call in the United States or Canada, please dial 1-888-870-2815. The passcode needed to access the call is 33884164. A replay of the call will be available by dialing 1-855-859-2056, using the same passcode as above. The call can also be accessed via the Internet on the Investors page of Liberty's web site at www.libertyproperty.com for two weeks following the call.

The statements contained in this press release may include forward-looking statements within the meaning of the federal securities law.  Although Liberty believes that the expectations reflected in such forward-looking statements are based on reasonable assumptions, it can give no assurance that its expectations will be achieved.  As forward-looking statements, these statements involve risks, uncertainties and other factors that could cause actual results to differ materially from the expected results.  These factors include, without limitation, the uncertainties affecting real estate businesses generally (such as entry into new leases, renewals of leases and dependence on tenants' business operations), risks relating to our ability to maintain and increase property occupancy and rental rates, the financial condition of tenants, the uncertainties of real estate development and construction activity, the costs and availability of financing, the effects of local economic and market conditions, regulatory changes, potential liability relative to environmental matters and other risks and uncertainties detailed in the company's filings with the Securities and Exchange Commission.  The company assumes no obligation to update or supplement forward-looking statements that become untrue because of subsequent events.

SOURCE Liberty Property Trust