CONSOLIDATED BALANCE SHEETS ALEXANDRIA REAL ESTATE EQUITIES, INC. AND SUBSIDIARIES See accompanying notes. As of December 31, (DOLLARS IN THOUSANDS, EXCEPT PER SHARE AMOUNTS) 2003 2002 Assets Rental properties, net $ 982,297 $ 976,422 Properties under development 153,379 68,386 Cash and cash equivalents 4,985 3,790 Tenant security deposits and other restricted cash 11,057 8,020 Tenant receivables 1,969 2,641 Deferred rent 31,503 26,063 Investments 47,126 39,650 Other assets 40,261 34,271 Total assets $ 1,272,577 $ 1,159,243 Liabilities and Stockholders’ Equity Secured notes payable $ 320,007 $ 276,878 Unsecured line of credit and unsecured term loan 389,000 338,000 Accounts payable, accrued expenses and tenant security deposits 43,408 47,118 Dividends payable 13,027 11,394 765,442 673,390 Commitments and contingencies Stockholders’ equity: 9.50% Series A cumulative redeemable preferred stock, $0.01 par value per share, 1,610,000 shares authorized; 1,543,500 shares issued and outstanding at December 31, 2003 and 2002; $25.00 liquidation value 38,588 38,588 9.10% Series B cumulative redeemable preferred stock, $0.01 par value per share, 2,300,000 shares authorized; 2,300,000 shares issued and outstanding at December 31, 2003 and 2002; $25.00 liquidation value 57,500 57,500 Common stock, $0.01 par value per share, 100,000,000 shares authorized; 19,264,023 and 18,973,957 shares issued and outstanding at December 31, 2003 and 2002, respectively 193 190 Additional paid-in capital 409,926 399,831 Deferred compensation (2,232) (1,432) Retained earnings 8,635 - Accumulated other comprehensive income (5,475) (8,824) Total stockholders’ equity 507,135 485,853 Total liabilities and stockholders’ equity $ 1,272,577 $ 1,159,243 34