Capital Properties profit falls 8.8%

EAST PROVIDENCE – Capital Properties Inc., the landlord of most of Providence’s Capital Center, reported Monday a net income of $1.4 million last year, down $139,000 – or 8.8 percent – from 2008.
The company said that leasing revenues for 2009 decreased $72,000 year over year after it granted temporary rent relief to two tenants.
The company added that the hiring of a new employee, legal fees in connection with two leases and bad debt increased leasing expenses by $286,000 compared with 2008.
Capital Properties also reported lower revenue from its petroleum storage facility in East Providence. The company said revenue was $84,000 lower in 2009 compared with 2008 because of less throughput.
Expenses at the petroleum facility rose $138,000 after Capital Properties hired a new employee, repaired the Wilkesbarre Pier and continued to litigate a complaint related to an environmental incident in 2002. The company is seeking remediation of the site or reimbursement for the cost of remediation.
The company said administrative expenses for 2009 decreased $261,000 from 2008 due principally to $232,000 incurred by the company in 2008 in connection with a proposed reverse stock split and legal, consulting and printing costs for the amendment to its Articles of Incorporation.