U.S. SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, D.C. 20549

 

FORM 8-K

Current Report Pursuant to Section 13 or 15(d) of
The Securities Exchange Act of 1934

AMB PROPERTY CORPORATION

(Exact name of registrant as specified in its charter)

Maryland		001-13545		94-3281941
(State or other jurisdiction of		(Commission file number)		(I.R.S. employer identification
incorporation)				number)

Pier 1, Bay 1, San Francisco, California 94111

415-394-9000

n/a

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below):

o		Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
o		Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
o		Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
o		Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

 

 

ITEM 2.02 RESULTS OF OPERATIONS AND FINANCIAL CONDITION.

On February 2, 2010, we issued a press release entitled “AMB Property Corporation Announces Fourth Quarter and Full Year 2009 Results,” which sets forth disclosure regarding our results of operation for the fourth quarter and full year 2009. A copy of the press release is attached hereto as Exhibit 99.1. This section and the attached exhibit are provided under Item 2.02 of Form 8-K and are furnished to, but not filed with, the U.S. Securities and Exchange Commission.

ITEM 8.01 OTHER EVENTS.

On February 2, 2010, we, an owner, operator and developer of global industrial real estate, reported results for the fourth quarter and full year 2009. Funds from operations per fully diluted share and unit was $0.29 for the fourth quarter of 2009 and $0.72 for the full year 2009 compared to $(1.68) and $0.77 for the same periods in 2008. Excluding the impact of early debt extinguishment costs, preferred unit redemption discount and restructuring charges, funds from operations, as adjusted, would have been $0.32 for the fourth quarter, and $2.09 for full year 2009, which also excludes the impact of impairments recognized in the first quarter.

Net income (loss) available to common stockholders per fully diluted share for the fourth quarter of 2009 was $(0.05), as compared to $(2.06) for the same quarter in 2008. Net income (loss) available to common stockholders per fully diluted share for the full year 2009 was $(0.37), as compared to $(0.68) for 2008. The loss in 2009 was primarily due to impairment charges that we incurred in the first quarter.

Owned and Managed Portfolio Operating Results

Our operating results were in line with expectations for the fourth quarter and full year 2009. Our operating portfolio was 91.2 percent occupied at December 31, 2009, up 20 basis points from September 30, 2009. Average occupancy during the quarter was 90.7 percent, up 30 basis points from the previous quarter. Cash-basis same store net operating income, without the effects of lease termination fees, decreased 7.3 percent in the fourth quarter and 4.5 percent for the full year from comparable periods, driven primarily by lower than average same store occupancies. For the trailing four quarters ended December 31, 2009, average rent change on renewals and rollovers in our operating portfolio decreased 6.9 percent.

Leasing Activity

We leased a total of 7.8 million square feet (719,900 square meters) in our operating portfolio in the fourth quarter and 29.0 million square feet (2.7 million square meters) in the full year 2009. In our development portfolio, we reduced vacancy by 2.5 million square feet (233,600 square meters) in the fourth quarter and 4.9 million square feet (455,300 square meters) in the full year 2009.

Disposition Activity

During the fourth quarter, we completed dispositions totaling $93 million, with gains of approximately $2 million and an 8.2 percent stabilized capitalization rate, consisting of the following:

§

The sale of eight development and value-added conversion properties in the Americas and Europe, including a land parcel, for an aggregate price of $70 million; and

§

The sale of four properties from our U.S. operating portfolio for an aggregate price of $23 million.

For the year ended December 31, 2009, we completed property dispositions and contributions totaling $763 million, with a stabilized capitalization rate of 6.8 percent.

Financing Activities

We completed more than $1.6 billion of debt repayments, repurchases and extensions during the fourth quarter and $2.7 billion for the full year 2009. The net result of these transactions further improved and extended the weighted average remaining life of over 25 percent of our debt to more than five and a half years at an average interest rate of 4.9 percent without effectively increasing our total indebtedness. As of December 31, 2009, our share of total debt to share of total assets was 43.6 percent, which includes our share of joint venture debt.

Our liquidity was $1.4 billion, consisting of $1.2 billion of availability on our lines of credit and more than $200 million of cash, cash equivalents and restricted cash. We will continue to look for opportunities to further term out our maturities and progress towards our long-term leverage goals.

Investment Activity

Subsequent to quarter end, we invested $150 million into our core open-end funds, consisting of $100 million in AMB Alliance Fund III and $50 million in AMB Europe Fund I. AMB Alliance Fund III received $50 million in third-party equity, subsequent to quarter end. We expect AMB Alliance Fund III and AMB Europe Fund I to reinstate their investor distributions beginning in the first quarter.

SUPPLEMENTAL EARNINGS MEASURES

Included in the footnotes to our attached financial statements is a discussion of why management believes FFO, FFOPS and FFO, as adjusted (the “FFO Measures”) are useful supplemental measures of operating performance, ways in which investors might use the FFO Measures when assessing our financial performance and the FFO Measures’ limitations as a measurement tool. Reconciliation from net income available to common stockholders to the FFO Measures are provided in the attached tables.

We define net operating income, or NOI, as rental revenues, including reimbursements, less property operating expenses. NOI excludes depreciation, amortization, general and administrative expenses, restructuring charges, real estate impairment losses, development profits (losses), gains (losses) from sale or contribution of real estate interests, and interest expense. We believe that net income, as defined by GAAP, is the most appropriate earnings measure. However, NOI is a useful supplemental measure calculated to help investors understand our operating performance, excluding the effects of costs and expenses which are not related to the performance of the assets. NOI is widely used by the real estate industry as a useful supplemental measure, which helps investors compare our operating performance with that of other companies. Real estate

impairment losses have been excluded in deriving NOI because we do not consider our impairment losses to be a property operating expense. We believe that the exclusion of impairment losses from NOI is a common methodology used in the real estate industry. Real estate impairment losses relate to the changing values of our assets but do not reflect the current operating performance of the assets with respect to their revenues or expenses. Our real estate impairment losses are non-cash charges which represent the write down in the value of assets when estimated fair value over the holding period is lower than current carrying value. The impairment charges were principally a result of increases in estimated capitalization rates and deterioration in market conditions that adversely impacted underlying real estate values. Therefore, the impairment charges are not related to the current performance of our real estate operations and should be excluded from our calculation of NOI.

We consider cash-basis same store net operating income, or SS NOI, to be a useful supplemental measure of our operating performance for properties that are considered part of the same store pool. We define SS NOI as NOI on a same store basis excluding straight line rents and amortization of lease intangibles. Same store pool includes all properties that are owned as of the end of both the current and prior year reporting periods and excludes development properties for both the current and prior reporting periods. The same store pool is set annually and excludes properties purchased and developments stabilized after December 31, 2007. We consider SS NOI to be an appropriate and useful supplemental performance measure because it reflects the operating performance of the real estate portfolio excluding effects of non-cash adjustments and provides a better measure of actual cash basis rental growth for a year-over-year comparison. In addition, we believe that SS NOI helps investors compare the operating performance of our real estate as compared to other companies. While SS NOI is a relevant and widely used measure of operating performance of real estate investment trusts, it does not represent cash flow from operations or net income as defined by GAAP and should not be considered as an alternative to those measures in evaluating our liquidity or operating performance. SS NOI also does not reflect general and administrative expenses, interest expenses, real estate impairment losses, depreciation and amortization costs, capital expenditures and leasing costs, or trends in development and construction activities that could materially impact our results from operations. Further, our computation of SS NOI may not be comparable to that of other real estate companies, as they may use different methodologies for calculating SS NOI. A reconciliation from net income to SS NOI is provided below (dollars in thousands).

		For the Quarters Ended								For the Years Ended
		December 31,								December 31,
		2009				2008				2009				2008
Net loss		$	(10,102	)		$	(199,262	)		$	(27,960	)		$	(6,750	)
Private capital income			(10,503	)			(7,632	)			(37,879	)			(68,470	)
Depreciation and amortization			51,869				38,233				179,894				164,188
Real estate impairment losses			—				183,754				174,410				183,754
General and administrative and fund costs			31,369				40,802				116,315				145,040
Restructuring charges			2,544				12,306				6,368				12,306
Total other income and expenses			39,610				31,815				90,484				20,213
Total discontinued operations			(1,753	)			7,277				(94,725	)			(4,558	)
NOI			103,034				107,293				406,907				445,723
Less non same-store NOI			(23,937	)			(17,385	)			(77,719	)			(96,766	)
Less non cash adjustments(1)			(1,379	)			1,215				(398	)			(891	)
Cash-basis same-store NOI		$	77,718			$	91,123			$	328,790			$	348,066

“Owned and managed” is defined by us as assets in which we have at least a 10 percent ownership interest, we are the property or asset manager, and which we currently intend to hold for the long-term.

We are an owner, operator and developer of industrial real estate, focused on major hub and gateway distribution markets in the Americas, Europe and Asia.

As of December 31, 2009, we owned, or had investments in, on a consolidated basis or through unconsolidated joint ventures, properties and development projects expected to total approximately 155.1 million square feet (14.4 million square meters) in 47 markets within 14 countries. We invest in properties located predominantly in the infill submarkets of our targeted markets. Our portfolio is comprised of High Throughput Distribution^® facilities—industrial properties built for speed and located near airports, seaports and ground transportation systems.

Forward looking statements

Some of the information included in this report contains forward-looking statements such as those related to our development projects (including completion, timing of stabilization and delivery, our share of remaining funding required, our ability to lease such projects, square feet at stabilization or completion, costs and total investment amounts), if and when our funds will reinstate investor distributions, our ability to address our future capital commitments, our ability to meet our business goals, customer and investor interest, a strengthening economy, cap rate stabilization, and our ability to complete current initiatives, take advantage of opportunities, maintain a solid financial position, term out our maturities and progress toward our leverage goals, which are made pursuant to the safe-harbor provisions of Section 21E of the Securities Exchange Act of 1934, as amended, and Section 27A of the Securities Act of 1933, as amended. Because these forward-looking statements involve risks and uncertainties, there are important factors that could cause our actual results to differ materially from those in the forward-looking statements, and you should not rely on the forward-looking statements as predictions of future events. The events or circumstances reflected in forward-looking statements might not occur. You can identify forward-looking statements by the use of forward-looking terminology such as “believes,” “expects,” “may,” “will,” “should,” “seeks,” “approximately,” “intends,” “plans,” “pro forma,” “estimates” or “anticipates” or the negative of these words and phrases or similar words or phrases. You can also identify forward-looking statements by discussions of strategy, plans or intentions. Forward-looking statements are necessarily dependent on assumptions, data or methods that may be incorrect or imprecise and we may not be able to realize them. We caution you not to place undue reliance on forward-looking statements, which reflect our analysis only and speak only as of the date of this report or the dates indicated in the statements. We assume no obligation to update or supplement forward-looking statements. The following factors, among others, could cause actual results and future events to differ materially from those set forth or contemplated in the forward-looking statements: defaults on or non-renewal of leases by tenants or renewal at lower than expected rent or failure to lease at all or on expected terms, decreases in real estate values and impairment losses, our failure to obtain, renew or extend financing or re-financing, risks related to debt and equity security financings (including dilution risk), our failure to divest properties we have contracted to sell or to timely reinvest proceeds from any divestitures, failure to maintain our current credit agency ratings or comply with our debt covenants, international currency and hedging risks, financial market fluctuations, changes in general economic conditions, global trade or in the real estate sector, inflation risks, a downturn in the U.S., California or global economy, increased interest rates and operating costs or greater than expected capital expenditures, risks related to suspending, reducing or changing our dividends, our failure to

contribute properties to our co-investment ventures, risks related to our obligations in the event of certain defaults under co-investment ventures and other debt, difficulties in identifying properties to acquire and in effecting acquisitions, our failure to successfully integrate acquired properties and operations, risks and uncertainties affecting property development, value-added conversions, redevelopment and construction (including construction delays, cost overruns, our inability to obtain necessary permits and public opposition to these activities), our failure to qualify and maintain our status as a real estate investment trust, risks related to our tax structuring, environmental uncertainties, risks related to natural disasters, changes in real estate and zoning laws, risks related to doing business internationally and global expansion, risks of opening offices globally, risks of changing personnel and roles, losses in excess of our insurance coverage, unknown liabilities acquired in connection with acquired properties or otherwise and increases in real property tax rates. Our success also depends upon economic trends generally, including interest rates, income tax laws, governmental regulation, legislation, population changes and certain other matters discussed under the heading “Risk Factors” and elsewhere in our annual report on Form 10-K for the year ended December 31, 2008 and our quarterly reports on Form 10-Q for the quarters ended March 31, 2009, June 30, 2009 and September 30, 2009.

CONSOLIDATED STATEMENTS OF OPERATIONS⁽¹⁾

(in thousands, except per share data)

		For the Quarters ended								For the Years ended
		December 31,								December 31,
		2009				2008				2009				2008
Revenues
Rental revenues(1)		$	152,899			$	151,606			$	595,963			$	625,093
Private capital revenues			10,503				7,632				37,879				68,470
Total revenues			163,402				159,238				633,842				693,563
Costs and expenses
Property operating costs(1)			(49,865	)			(44,313	)			(189,056	)			(179,370	)
Depreciation and amortization			(51,869	)			(38,233	)			(179,894	)			(164,188	)
General and administrative			(31,131	)			(40,643	)			(115,253	)			(143,962	)
Restructuring charges			(2,544	)			(12,306	)			(6,368	)			(12,306	)
Fund costs			(238	)			(159	)			(1,062	)			(1,078	)
Real estate impairment losses			—				(183,754	)			(174,410	)			(183,754	)
Other expenses(2)			(2,176	)			(2,446	)			(10,247	)			(520	)
Total costs and expenses			(137,823	)			(321,854	)			(676,290	)			(685,178	)
Other income and expenses
Development profits, net of taxes			1,368				4,836				35,874				81,084
Gains from sale or contribution of real estate interests, net			—				—				—				19,967
Equity in earnings of unconsolidated joint ventures, net			3,824				2,762				11,331				17,121
Other (expenses) income(2)			(222	)			(3,061	)			6,284				(3,124	)
Interest expense, including amortization			(30,790	)			(33,775	)			(121,459	)			(133,955	)
Loss on early extinguishment of debt			(11,614	)			(131	)			(12,267	)			(786	)
Total other income and expenses, net			(37,434	)			(29,369	)			(80,237	)			(19,693	)
Loss from continuing operations			(11,855	)			(191,985	)			(122,685	)			(11,308	)
Discontinued operations
Income attributable to discontinued operations			173				(6,996	)			3,005				1,964
Development profits, net of taxes			—				—				53,002				—
Gains (losses) from sale of real estate interests, net of taxes			1,580				(281	)			38,718				2,594
Total discontinued operations			1,753				(7,277	)			94,725				4,558
Net loss			(10,102	)			(199,262	)			(27,960	)			(6,750	)
Noncontrolling interests’ share of net (income) loss
Joint venture partners’ share of net income			(2,234	)			(2,954	)			(11,063	)			(32,855	)
Joint venture partners’ and limited partnership unitholders’ share of development profits			(942	)			(1,924	)			(3,308	)			(9,041	)
Preferred unitholders			—				(1,432	)			(4,295	)			(5,727	)
Limited partnership unitholders			161				8,160				3,625				5,063
Total noncontrolling interests’ share of net (income) loss			(3,015	)			1,850				(15,041	)			(42,560	)
Net loss attributable to AMB Property Corporation			(13,117	)			(197,412	)			(43,001	)			(49,310	)
Preferred stock dividends			(3,950	)			(3,950	)			(15,806	)			(15,806	)
Preferred unit redemption discount			9,759				—				9,759				—
Allocation to participating securities(3)			(257	)			—				(1,029	)			(1,335	)
Net loss available to common stockholders		$	(7,565	)		$	(201,362	)		$	(50,077	)		$	(66,451	)
Net loss per common share (diluted)		$	(0.05	)		$	(2.06	)		$	(0.37	)		$	(0.68	)
Weighted average common shares (diluted)			147,047				97,584				134,321				97,404

CONSOLIDATED STATEMENTS OF FUNDS FROM OPERATIONS⁽¹⁾
(in thousands, except per share data)

		For the Quarters Ended December 31,								For the Years Ended December 31,
		2009				2008				2009				2008
Net loss available to common stockholders		$	(7,565	)		$	(201,362	)		$	(50,077	)		$	(66,451	)
(Gains) losses from sale or contribution of real estate interests, net of taxes			(1,580	)			281				(38,718	)			(22,561	)
Depreciation and amortization
Total depreciation and amortization			51,869				38,233				179,894				164,188
Discontinued operations’ depreciation			57				1,412				2,042				5,011
Non-real estate depreciation			(2,576	)			(1,484	)			(8,593	)			(7,270	)
Adjustments to derive FFO from consolidated joint ventures
Joint venture partners’ noncontrolling interests (Net income)			2,234				2,954				11,063				32,855
Limited partnership unitholders’ noncontrolling interests (Net loss)			(161	)			(8,160	)			(3,625	)			(5,063	)
Limited partnership unitholders’ noncontrolling interests (Development profits)			11				114				2,377				2,822
FFO attributable to noncontrolling interests			(7,245	)			(9,036	)			(26,695	)			(49,957	)
Adjustments to derive FFO from unconsolidated joint ventures
AMB’s share of net income			(3,824	)			(2,762	)			(11,331	)			(17,121	)
AMB’s share of FFO			12,549				10,015				42,938				42,742
Allocation to participating securities(2)			(10	)			—				—				—
Funds from operations		$	43,759			$	(169,795	)		$	99,275			$	79,195
FFO per common share and unit (diluted)		$	0.29			$	(1.68	)		$	0.72			$	0.77
Weighted average common shares and units (diluted)			150,993				101,102				137,904				102,735
Adjustments for impairment charges, restructuring charges, preferred unit redemption discount and debt extinguishment
Real estate impairment losses		$	—			$	183,754			$	174,410			$	183,754
Discontinued operations’ real estate impairment losses			—				10,164				7,443				10,164
Pursuit costs and tax reserve			—				11,834				—				11,834
AMB’s share of real estate impairment losses from unconsolidated joint ventures			—				1,847				4,611				1,847
Joint venture partners’ noncontrolling interest share of real estate impairment losses			—				(424	)			(4,876	)			(424	)
AMB’s share of total impairment charges(1)			—				207,175				181,588				207,175
Restructuring charges(1)			2,544				12,306				6,368				12,306
Loss on early extinguishment of debt			11,614				131				12,267				786
Preferred unit redemption discount			(9,759	)			—				(9,759	)			—
Allocation to participating securities(2)			(27	)			(418	)			(898	)			(1,186	)
Funds from operations, as adjusted(1)		$	48,131			$	49,399			$	288,841			$	298,276
FFO, as adjusted per common share and unit (diluted)		$	0.32			$	0.49			$	2.09			$	2.90
Weighted average common shares and units (diluted)			150,993				101,112				137,904				102,735

Unless stated otherwise, AMB includes the gains from development, including those from value-added conversion projects, before depreciation recapture, as a component of FFO. AMB believes gains from development should be included in FFO to more completely reflect the performance of one of our lines of business. AMB believes that value-added conversion dispositions are in substance land sales and as such should be included in FFO, consistent with the real estate investment trust industry’s long standing practice to include gains on the sale of land in FFO. However, AMB’s interpretation of FFO or FFOPS may not be consistent with the views of others in the real estate investment trust industry, who may consider it to be a divergence from the NAREIT definition, and may not be comparable to FFO or FFOPS reported by other real estate investment trusts that interpret the current NAREIT definition differently than AMB does. In connection with the formation of a joint venture, AMB may warehouse assets that are acquired with the intent to contribute these assets to the newly formed venture. Some of the properties held for contribution may, under certain circumstances, be required to be depreciated under U.S. GAAP. If this circumstance arises, AMB intends to include in its calculation of FFO gains or losses related to the contribution of previously depreciated real estate to joint ventures. Although such a change, if instituted, will be a departure from the current NAREIT definition, AMB believes such calculation of FFO will better reflect the value created as a result of the contributions. To date, AMB has not included gains or losses from the contribution of previously depreciated warehoused assets in FFO.

In addition to presenting FFO as described above, AMB presents FFO, as adjusted. AMB calculates FFO, as adjusted, as FFO less impairment and restructuring charges, debt extinguishment losses and the Series D preferred unit redemption discount. The impairment charges were principally a result of increases in estimated capitalization rates and deterioration in market conditions that adversely impacted values. The restructuring charges reflected costs associated with AMB’s reduction in global headcount and cost structure. Debt extinguishment losses generally included the costs of repurchasing debt securities. AMB repurchased certain tranches of senior unsecured debt to manage its debt maturities in response to the current financing environment, resulting in greater debt extinguishment costs. The Series D preferred unit redemption discount reflects the gain associated with the discount to liquidation preference in the Series D preferred unit redemption price less costs incurred as a result of the redemption. Although difficult to predict, these items may be recurring given the uncertainty of the current economic climate and its adverse effects on the real estate and financial markets. While not infrequent or unusual in nature, these items result from market fluctuations that can have inconsistent effects on AMB’s results of operations. The economics underlying these items reflect market and financing conditions in the short-term but can obscure AMB’s performance and the value of AMB’s long-term investment decisions and strategies. Management believes FFO, as adjusted, is significant and useful to both it and its investors. FFO, as adjusted, more appropriately reflects the value and strength of AMB’s business model and its potential performance isolated from the volatility of the current economic environment and unobscured by costs (or gains) resulting from AMB’s management of its financing profile in response to the tightening of the capital markets. However, in addition to the limitations of FFO

Measures generally discussed below, FFO, as adjusted, does not present a comprehensive measure of AMB’s financial condition and operating performance. This measure is a modification of the NAREIT definition of FFO and should not be considered a replacement of FFO as AMB defines it or used as an alternative to net income or cash as defined by U.S. GAAP.

AMB believes that the FFO Measures are meaningful supplemental measures of its operating performance because historical cost accounting for real estate assets in accordance with U.S. GAAP implicitly assumes that the value of real estate assets diminishes predictably over time, as reflected through depreciation and amortization expenses. However, since real estate values have historically risen or fallen with market and other conditions, many industry investors and analysts have considered presentation of operating results for real estate companies that use historical cost accounting to be insufficient. Thus, the FFO Measures are supplemental measures of operating performance for real estate investment trusts that exclude historical cost depreciation and amortization, among other items, from net income available to common stockholders, as defined by U.S. GAAP. AMB believes that the use of the FFO Measures, combined with the required U.S. GAAP presentations, has been beneficial in improving the understanding of operating results of real estate investment trusts among the investing public and making comparisons of operating results among such companies more meaningful. AMB considers the FFO Measures to be useful measures for reviewing comparative operating and financial performance because, by excluding gains or losses related to sales of previously depreciated operating real estate assets and real estate depreciation and amortization, the FFO Measures can help the investing public compare the operating performance of a company’s real estate between periods or as compared to other companies. While FFO and FFOPS are relevant and widely used measures of operating performance of real estate investment trusts, the FFO Measures do not represent cash flow from operations or net income as defined by U.S. GAAP and should not be considered as alternatives to those measures in evaluating AMB’s liquidity or operating performance. The FFO Measures also do not consider the costs associated with capital expenditures related to AMB’s real estate assets nor are the FFO Measures necessarily indicative of cash available to fund AMB’s future cash requirements. Management compensates for the limitations of the FFO Measures by providing investors with financial statements prepared according to U.S. GAAP, along with this detailed discussion of the FFO Measures and a reconciliation of the FFO Measures to net income available to common stockholders, a U.S. GAAP measurement.

See Consolidated Statements of Funds from Operations for a reconciliation of FFO from net income available to common stockholders.

 

CONSOLIDATED BALANCE SHEETS
(dollars in thousands)

		As of
		December 31, 2009				December 31, 2008
Assets
Investments in real estate
Total investments in properties		$	6,708,660			$	6,603,856
Accumulated depreciation and amortization			(1,113,808	)			(970,737	)
Net investments in properties			5,594,852				5,633,119
Investments in unconsolidated joint ventures			462,130				431,322
Properties held for sale or contribution, net			214,426				609,023
Net investments in real estate			6,271,408				6,673,464
Cash and cash equivalents and restricted cash			206,077				251,231
Accounts receivable, net			155,958				160,528
Other assets			208,515				216,425
Total assets		$	6,841,958			$	7,301,648
Liabilities and equity
Liabilities
Secured debt		$	1,096,554			$	1,522,571
Unsecured senior debt			1,155,529				1,153,926
Unsecured credit facilities			477,630				920,850
Other debt			482,883				392,838
Accounts payable and other liabilities			338,042				345,259
Total liabilities			3,550,638				4,335,444
Equity
Stockholders’ equity
Common equity			2,716,604				2,291,695
Preferred equity			223,412				223,412
Total stockholders’ equity			2,940,016				2,515,107
Noncontrolling interests
Joint venture partners			289,909				293,367
Preferred unitholders			—				77,561
Limited partnership unitholders			61,395				80,169
Total noncontrolling interests			351,304				451,097
Total equity			3,291,320				2,966,204
Total liabilities and equity		$	6,841,958			$	7,301,648

ITEM 9.01 FINANCIAL STATEMENTS AND EXHIBITS.

     (d) Exhibits:

Exhibit
Number		Description
99.1		AMB Property Corporation Press Release dated February 2, 2010.

SIGNATURES

     Pursuant to the requirements of the Securities Exchange Act of 1934, as amended, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

Exhibits

Exhibit
Number		Description
99.1		AMB Property Corporation Press Release dated February 2, 2010.