Company: HPP
Filing Date: 2025-02-25
Form Type: 10-K
Source: 0001482512-25-000029
Chunk: 211

Company: Hudson Pacific Properties, Inc.
Filing Date: 2025-02-25
Form: 10-K
Item: Item 7
Chunk 211
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Service and other revenues6,459 29.4 8,804 15.0 15,263 18.9 Total studio revenues(230)(.3)10,114 14.5 9,884 7.1 Total revenues(53,228)(7.1)(56,987)(27.6)(110,215)(11.6)OPERATING EXPENSESOffice operating expenses3,760 1.4 (10,129)(21.8)(6,369)(2.0)Studio operating expenses4,277 10.4 5,706 5.9 9,983 7.2 Total operating expenses8,037 2.6 (4,423)(3.1)3,614 0.8 Office NOI(56,758)(13.9)(56,972)(62.8)(113,730)(22.7)Studio NOI(4,507)(15.4)4,408 (15.9)(99)(6.7)NOI$(61,265)(14.0)%$(52,564)(83.6)%$(113,829)(22.7)%

NOI decreased $113.8 million, or 22.7%, for the year ended December 31, 2024 as compared to the year ended December 31, 2023, primarily resulting from:

•a $61.3 million decrease in same-store NOI driven by:

•a decrease in office NOI of $56.8 million primarily due to:

•a $52.3 million decrease in rental revenues related to a decrease in the average occupancy in our same-store portfolio from 82.9% during the year ended December 31, 2023 to 76.9% during the year ended December 31, 2024, primarily driven by lease expirations at several properties in the San Francisco Bay Area during the last twelve months and a straight-line rent reserve related to transitioning a tenant to cash basis reporting; and

•a $3.8 million increase in operating expenses predominantly driven by a prior-period property tax reimbursement at our ICON property in 2023 and higher engineering, utility, insurance and tax expenses at several properties in 2024.

•a decrease in studio NOI of $4.5 million primarily due to:

•a $6.7 million decrease in rental revenues primarily driven by lower occupancy at our Sunset Las Palmas Studios property; and