Mission West Properties, Inc. announced that Funds From Operations (FFO) for the first quarter of 2010 was $16.5 million, or $0.16 per diluted share. The company reported FFO of $12.1 million, or $0.11 per diluted share, in the same quarter of 2009.

FFO is a non-GAAP financial measurement that is the preferred method of evaluating real estate investment trusts (REIT). It is calculated as net income, not including one-time gains or losses, depreciation, amortization and the effects of unconsolidated partnerships and joint ventures.

Mission West Properties, Inc. said that net income also increased on a year over year basis, to $10.2 million, or $0.11 per diluted share, in the first quarter of 2010, compared to $5.6 million, or $0.07 per diluted share, in 2009.

During the quarter, Mission West Properties, Inc. acquired a research and development property in California for $3.8 million. The property was 41,300 square feet, and was leased at the time of purchase. The company did not disclose the seller.

Mission West Properties, Inc. is a REIT focused on the acquisition of research and development facilities in Northern California. The company owns 112 properties with over 8 million square feet of space.