To manage the call in a timely manner, questions will be limited to 2 per caller. If you have additional questions, please feel free to return to the queue. I will now turn the call over to Hossein.Hossein Fateh Thank you, Chris, and good morning, everyone. Thank you for joining us on our second quarter 2012 earnings call. As noted in our press release, we again delivered solid financial results, and also raised the midpoint of our guidance. Mark will discuss this in greater detail later in the call. Leasing continues to be our primary focus. So I would like to begin with an update. Since our first call, quarter call, we signed 1 new lease for 1.14 megawatts in Santa Clara. As of today, SC1 is 44%leased and in line with our expectations. New Jersey remains at 36% leased. Chicago Phase II at 79% lease. Phase I at ACC6 at 83% leased and Phase II of ACC6 is 67% pre-leased. Our non-stabilized properties are 59% leased. We believe our year-end goal of being 70% leased on average for all the development properties remain obtainable. VA3, a 13-megawatt facility in Western Virginia is now 56% least. It has a lower power density per square foot compared to our recently developed facilities. This is ideal for cloud to resellers and enterprise tenants who do not require intense environment. There is good traffic for this space. We expect lease-up to occur over the next 12 months. Year-to-date, we have leased 24 megawatts of critical load. This compares with 25 megawatts in all of 2011, and 23 megawatts in all of 2010. Year-to-date, we have commenced leases totaling 26.3 megawatts as compared to 13.5 megawatts for the entire year of 2011. As I have said many times, leasing is always lumpy. Our sales team is tracking considerable demand in all our market, which could fill up our inventory. However, we continue to see enterprise businesses taking longer to make decisions, particularly in New Jersey. This is consistent to what we have stated over the past year. Power pricing in New Jersey has historically been about $0.12 per kilowatt and is now about $0.08 per kilowatt. This has resulted in some Internet-focused tenants considering New Jersey for their data center requirement. If power pricing continues at this level, it will likely increase the interest from a broader range of tenants for New Jersey.
We remain confident about the fundamentals of the data center space and our ability to lease up our available inventory. In April, we commenced development of the Phase II of ACC6 in Ashburn, Virginia. As stated on the last call, we expect to fund this development with cash on hand and with the unsecured loan. We expect to deliver this property at the end of this year.In May, the Governor of Virginia signed new legislation eliminating sales tax on servers and computer equipment, if certain conditions are met. This enables Virginia to compete with other states which have offer similar incentives. Leasing continues to be everyone's focus for 2012. Although we have done a significant amount of leasing year-to-date, we have plenty of work which needs to be done. As I have said, we are very confident in our ability to lease our vacant space with terms favorable to the company. Now I will turn the call over to Mark, who will take you through our financial results. Mark L. Wetzel Thank you, Hossein. Good morning, everyone, and thank you for joining us. I want to cover 2 main topics today, our second quarter results and the 2012 guidance update. For the second quarter of 2012, the company's FFO was $0.37 per share compared to $0.42 per share in the second quarter of 2011. The $0.05 per share decrease was primarily due to lower capitalized interest expense and increased preferred dividends. Quarterly revenues were $83 million, an increase of $12 million or 17% over the second quarter of 2011. This represents our highest revenue quarter-to-date ever. Read the rest of this transcript for free on seekingalpha.com