L I Q U I D I T Y A N D C A P I TA L R E S O U R C E S Cash Flows Off-Balance Sheet Arrangements Contractual Obligations and Commitments Net cash provided by operating activities for 2004 decreased by $7.1 million to $67.8 million compared to $74.8 million for 2003.An increase in cash flows from our portfolio of operating properties was off- set by a decrease in net cash provided by operating activities primarily from changes in operating assets (tenant security deposits and other restricted cash, deferred rent and other assets). Net cash used in investing activities for 2004 increased by $310.9 million to $450.7 million compared to $139.8 million for 2003. This increase was primarily due to an increase in property acquisitions, increases in additions to rental properties and properties under development, and a decrease in proceeds from sales of rental properties. Net cash provided by financing activities for 2004 increased by $315.0 million to $381.1 million com- pared to $66.2 million for 2003.This increase was primarily due to the net proceeds from our Series C preferred stock offering, increases in borrowings from our unsecured line of credit and unsecured term loan, and an increase in proceeds from secured notes payable.This was partially offset by the redemption of our Series A cumulative redeemable preferred stock.  As of December 31, 2004, we had no off-balance sheet arrangements. Contractual obligations as of December 31, 2004, consist of the following (in thousands): (1) Excludes unamortized premium of $3.5 million as of December 31, 2004. Secured notes payable as of December 31, 2004 included 26 notes secured by 54 properties and seven land development parcels. In December 2004, we amended our unsecured line of credit and our unsecured term loan  (see “Unsecured Line of Credit and Unsecured Term Loan” below).The unsecured line of credit expires December 2007 and may be extended at our sole option for an additional one-year period.The unse- cured term loan expires December 2009. Ground lease obligations as of December 31, 2004 included leases at seven of our properties and one land development parcel.These lease obligations have remaining lease terms of 28 to 51 years, exclusive of extension options. In addition to the above, we were committed under the terms of construction contracts to complete the construction of properties under development at a remaining aggregate cost of $18.3 million.  As of December 31, 2004, we were also committed to fund approximately $23.2 million for the con- struction of building infrastructure improvements under the terms of leases and/or construction con- tracts and approximately $17.2 million for certain investments.  P 10 Payments by Period Total 2005 2006-2007 2008-2009 Thereafter Secured notes payable  (1) $ 635,432 $ 23,227 $223,598 $157,724 $230,883 Unsecured line of credit and unsecured term loan 548,000 - 298,000 250,000 - Ground lease obligations 65,346 1,805 3,683 3,801 56,057 Other obligations 4,814 425 1,277 1,208 1,904 Total $1,253,592 $ 25,457 $526,558 $412,733 $288,844