SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 10-K
[X] | ANNUAL REPORT PURSUANT TO SECTION 13 OR 15 (d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
(Exact Name of Registrant as Specified in Charter)
TENNESSEE |
62-1543819 |
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(State of
Incorporation) |
(I.R.S.
Employer Identification Number) |
Title of Each Class |
Name of Exchange on Which Registered |
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---|---|---|---|---|---|---|
Common Stock, par value
$.01 per share |
New York Stock
Exchange |
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Series F Cumulative
Redeemable Preferred Stock, par value $.01 per share Series H Cumulative Redeemable Preferred Stock, par value $.01 per share |
New York Stock
Exchange New York Stock Exchange |
Item |
Page |
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PART I |
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1. |
Business |
2 | ||||||||
2. |
Properties |
6 | ||||||||
3. |
Legal Proceedings |
13 | ||||||||
4. |
Submission of Matters to Vote of Security Holders |
13 | ||||||||
PART II |
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5. |
Market for Registrants Common Equity and Related Stockholder Matters |
13 | ||||||||
6. |
Selected Financial Data |
15 | ||||||||
7. |
Managements Discussion and Analysis of Financial Condition and Results of Operations |
17 | ||||||||
7A. |
Quantitative and Qualitative Disclosures About Market Risk |
29 | ||||||||
8. |
Financial Statements and Supplementary Data |
30 | ||||||||
9. |
Changes in and Disagreements with Accountants on Accounting and Financial Disclosure |
30 | ||||||||
9A. |
Controls and Procedures |
30 | ||||||||
9B. |
Other Information |
31 | ||||||||
PART III |
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10. |
Directors and Executive Officers of the Registrant |
32 | ||||||||
11. |
Executive Compensation |
32 | ||||||||
12. |
Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters |
32 | ||||||||
13. |
Certain Relationships and Related Transactions |
32 | ||||||||
14. |
Principal Accountant Fees and Services |
32 | ||||||||
PART IV |
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15. |
Exhibits, Financial Statement Schedules and Reports on Form 8-K |
33 |
PART I
ITEM 1. | BUSINESS |
WEBSITE ACCESS OF REGISTRANTS REPORTS
OVERVIEW OF THE COMPANY
OPERATING PHILOSOPHY
2
PROACTIVE BALANCE SHEET AND PORTFOLIO MANAGEMENT
STRATEGIES
|
empowering the Companys property managers to adjust rents in response to local market conditions and to concentrate resident turnover during peak rental demand months; |
|
offering new services to residents, including telephone, cable, and internet access, on which the Company generates fee and commission income; |
|
implementing programs to control expenses through investment in cost-saving initiatives, such as the installation of individual apartment unit water and utility meters in certain Communities; |
3
|
analyzing individual asset productivity performances to identify best practices and improvement areas; |
|
improving the curb appeal of the Communities through extensive landscaping and exterior improvements and repositioning Communities from time to time to maintain market leadership positions; |
|
compensating employees through performance-based compensation and stock ownership programs; |
|
maintaining a hands-on management style and flat organizational structure that emphasizes senior managements continued close contact with the market and employees; |
|
selling or exchanging underperforming assets and repurchasing or issuing shares of common and preferred stock when cost of capital and asset values permit; |
|
allocating additional capital where the investment will generate the highest returns for the Company; and |
|
developing new ancillary income programs aimed at delivering new consumer services and products to its residents while generating fee income for the Company. |
Property |
Location |
Number of Units |
Date Sold |
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---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
100% Owned
Properties: |
||||||||||||||
Island
Retreat |
St. Simons
Island, GA |
112 | October 1,
2004 |
|||||||||||
Joint Venture
Properties: |
||||||||||||||
Preserve at
Arbor Lakes |
Jacksonville,
FL |
284 | November 3, 2004 |
|||||||||||
396 |
4
Property |
Location |
Number of Units |
Date Purchased |
|||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
100% Owned
Properties: |
||||||||||||||
Monthaven
Park |
Hendersonville,
TN (Nashville Metro) |
456 | January 23,
2004 |
|||||||||||
Watermark |
Roanoke, TX
(Dallas Metro) |
240 | June 15,
2004 |
|||||||||||
Prescott |
Duluth, GA
(Atlanta Metro) |
384 | August 24,
2004 |
|||||||||||
Grand Reserve
at Sunset Valley |
Austin,
TX |
210 | November 5,
2004 |
|||||||||||
Preserve at
Coral Square |
Coral Springs, FL
(Ft. Lauderdale Metro) |
480 | November 5,
2004 |
|||||||||||
Villages at
Kirkwood |
Stafford, TX
(Houston Metro) |
274 | November 5,
2004 |
|||||||||||
Joint Venture
Properties: |
||||||||||||||
Verandas at
Timberglen |
Dallas,
TX |
522 | January 15, 2004 |
|||||||||||
2,566 |
COMMON AND PREFERRED STOCK
SHARE REPURCHASE PROGRAM
COMPETITION
5
ENVIRONMENTAL MATTERS
RECENT DEVELOPMENTS
ITEM 2. | PROPERTIES |
6
Tennessee and Texas markets. The Companys strategic focus is to provide its residents high quality apartment units in attractive community settings, characterized by extensive landscaping and attention to aesthetic detail. The Company utilizes its experience and expertise in maintenance, landscaping, marketing and management to effectively reposition many of the apartment communities it acquires to raise occupancy levels and per unit average rents. |
7
Encumbrances at December 31, 2004 |
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---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Property |
Location |
Year Completed |
Year Management Commenced |
Number of Units |
Approximate Rentable Area (Square Footage) |
Average Unit Size (Square Footage) |
Monthly Rent per Unit at December 31, 2004 |
Average Occupancy Percent at December 31, 2004 |
Mortgage Principal (000s) |
Interest Rate |
Maturity Date |
|||||||||||||||||||||||||||||||||||||
100%
Owned |
||||||||||||||||||||||||||||||||||||||||||||||||
Eagle
Ridge |
Birmingham, AL |
1986 | 1998 | 200 | 181,400 | 907 | $ | 662.15 | 98.50 | % | $ | | (1) | (1) | (1) | |||||||||||||||||||||||||||||||||
Abbington
Place |
Huntsville, AL |
1987 | 1998 | 152 | 162,792 | 1,071 | $ | 540.79 | 87.50 | % | $ | | (1) | (1) | (1) | |||||||||||||||||||||||||||||||||
Paddock Club
Huntsville |
Huntsville, AL |
1989/98 | 1997 | 392 | 414,736 | 1,058 | $ | 660.37 | 84.18 | % | $ | | (1) | (1) | (1) | |||||||||||||||||||||||||||||||||
Paddock Club
Montgomery |
Montgomery, AL |
1999 | 1998 | 208 | 230,880 | 1,110 | $ | 730.36 | 91.35 | % | $ | | (1) | (1) | (1) | |||||||||||||||||||||||||||||||||
952 | 989,808 | 1,040 | $ | 656.94 | 89.29 | % | $ | | ||||||||||||||||||||||||||||||||||||||||
Calais
Forest |
Little Rock, AR |
1987 | 1994 | 260 | 195,000 | 750 | $ | 610.63 | 94.62 | % | $ | | (1) | (1) | (1) | |||||||||||||||||||||||||||||||||
Napa
Valley |
Little Rock, AR |
1984 | 1996 | 240 | 183,120 | 763 | $ | 612.78 | 90.83 | % | $ | | (1) | (1) | (1) | |||||||||||||||||||||||||||||||||
Westside Creek
I |
Little Rock, AR |
1984 | 1997 | 142 | 147,964 | 1,042 | $ | 693.55 | 90.14 | % | $ | | (1) | (1) | (1) | |||||||||||||||||||||||||||||||||
Westside Creek
II |
Little Rock, AR |
1986 | 1997 | 166 | 172,972 | 1,042 | $ | 650.49 | 96.39 | % | $ | 4,591 | 8.760% | 10/1/2006 | ||||||||||||||||||||||||||||||||||
808 | 699,056 | 865 | $ | 634.03 | 93.07 | % | $ | 4,591 | ||||||||||||||||||||||||||||||||||||||||
Tiffany
Oaks |
Altamonte Springs, FL |
1985 | 1996 | 288 | 234,144 | 813 | $ | 671.17 | 97.22 | % | $ | | (1) | (1) | (1) | |||||||||||||||||||||||||||||||||
Marsh
Oaks |
Atlantic Beach, FL |
1986 | 1995 | 120 | 93,240 | 777 | $ | 652.50 | 95.00 | % | $ | | (1) | (1) | (1) | |||||||||||||||||||||||||||||||||
Indigo
Point |
Brandon, FL |
1989 | 2000 | 240 | 194,640 | 811 | $ | 729.67 | 99.17 | % | $ | | (4) | (4) | (4) | |||||||||||||||||||||||||||||||||
Paddock Club
Brandon |
Brandon, FL |
1997/99 | 1997 | 440 | 516,120 | 1,173 | $ | 877.41 | 95.00 | % | $ | | (2) | (2) | (2) | |||||||||||||||||||||||||||||||||
Preserve at
Coral Square |
Coral
Springs, FL |
1996 | 2004 | 480 | 528,480 | 1,101 | $ | 1,040.15 | 97.71 | % | $ | 33,141 | 6.983% | 9/28/2008 | ||||||||||||||||||||||||||||||||||
Anatole |
Daytona Beach, FL |
1986 | 1995 | 208 | 149,136 | 717 | $ | 666.99 | 99.52 | % | $ | 7,000 | (10) | 1.770% | (10) | 10/15/2032 | (10) | |||||||||||||||||||||||||||||||
Paddock Club
Gainesville |
Gainesville, FL |
1999 | 1998 | 264 | 293,040 | 1,110 | $ | 821.36 | 93.18 | % | $ | | (2) | (2) | (2) | |||||||||||||||||||||||||||||||||
Coopers
Hawk |
Jacksonville, FL |
1987 | 1995 | 208 | 218,400 | 1,050 | $ | 768.53 | 99.04 | % | $ | | (6) | (6) | (6) | |||||||||||||||||||||||||||||||||
Hunters
Ridge at Deerwood |
Jacksonville, FL |
1987 | 1997 | 336 | 295,008 | 878 | $ | 721.88 | 94.64 | % | $ | | (7) | (7) | (7) | |||||||||||||||||||||||||||||||||
Lakeside |
Jacksonville, FL |
1985 | 1996 | 416 | 344,032 | 827 | $ | 703.46 | 96.63 | % | $ | | (1) | (1) | (1) | |||||||||||||||||||||||||||||||||
Lighthouse
Court |
Jacksonville, FL |
2003 | 2003 | 501 | 556,110 | 1,110 | $ | 932.43 | 88.42 | % | $ | | (1) | (1) | (1) | |||||||||||||||||||||||||||||||||
Paddock Club
Jacksonville |
Jacksonville, FL |
1989/96 | 1997 | 440 | 475,200 | 1,080 | $ | 811.79 | 92.50 | % | $ | | (1) | (1) | (1) | |||||||||||||||||||||||||||||||||
Paddock Club
Mandarin |
Jacksonville, FL |
1998 | 1998 | 288 | 330,336 | 1,147 | $ | 843.10 | 94.79 | % | $ | | (2) | (2) | (2) | |||||||||||||||||||||||||||||||||
St.
Augustine |
Jacksonville, FL |
1987 | 1995 | 400 | 304,400 | 761 | $ | 639.07 | 89.25 | % | $ | | (6) | (6) | (6) | |||||||||||||||||||||||||||||||||
Woodbridge at
the Lake |
Jacksonville, FL |
1985 | 1994 | 188 | 166,004 | 883 | $ | 692.12 | 95.74 | % | $ | | (2) | (2) | (2) | |||||||||||||||||||||||||||||||||
Woodhollow |
Jacksonville, FL |
1986 | 1997 | 450 | 342,000 | 760 | $ | 705.36 | 93.78 | % | $ | | (1) | (1) | (1) | |||||||||||||||||||||||||||||||||
Paddock Club
Lakeland |
Lakeland, FL |
1988/90 | 1997 | 464 | 505,296 | 1,089 | $ | 719.85 | 95.47 | % | $ | | (1) | (1) | (1) | |||||||||||||||||||||||||||||||||
Savannahs at
James Landing |
Melbourne, FL |
1990 | 1995 | 256 | 238,592 | 932 | $ | 691.53 | 97.27 | % | $ | | (6) | (6) | (6) | |||||||||||||||||||||||||||||||||
Paddock Park
Ocala |
Ocala, FL |
1986/88 | 1997 | 480 | 485,280 | 1,011 | $ | 729.64 | 93.96 | % | $ | 6,805 | (2)(3) | (2)(3) | (2)(3) | |||||||||||||||||||||||||||||||||
Paddock Club
Panama City |
Panama City, FL |
2000 | 1998 | 254 | 283,972 | 1,118 | $ | 870.39 | 96.85 | % | $ | | (2) | (2) | (2) | |||||||||||||||||||||||||||||||||
Paddock Club
Tallahassee |
Tallahassee, FL |
1990/95 | 1997 | 304 | 329,232 | 1,083 | $ | 808.02 | 83.22 | % | $ | | (2) | (2) | (2) | |||||||||||||||||||||||||||||||||
Belmere |
Tampa, FL |
1984 | 1994 | 210 | 202,440 | 964 | $ | 736.68 | 92.38 | % | $ | | (1) | (1) | (1) | |||||||||||||||||||||||||||||||||
Links at
Carrollwood |
Tampa, FL |
1980 | 1998 | 230 | 214,820 | 934 | $ | 753.65 | 96.09 | % | $ | | (1) | (1) | (1) | |||||||||||||||||||||||||||||||||
7,465 | 7,299,922 | 978 | $ | 778.17 | 94.27 | % | $ | 46,946 | ||||||||||||||||||||||||||||||||||||||||
High
Ridge |
Athens, GA |
1987 | 1997 | 160 | 186,560 | 1,166 | $ | 683.40 | 96.25 | % | $ | | (1) | (1) | (1) | |||||||||||||||||||||||||||||||||
Bradford
Pointe |
Augusta, GA |
1986 | 1997 | 192 | 156,288 | 814 | $ | 611.01 | 91.67 | % | $ | 4,760 | 2.739% | 6/1/2028 | ||||||||||||||||||||||||||||||||||
Shenandoah
Ridge |
Augusta, GA |
1982 | 1994 | 272 | 222,768 | 819 | $ | 543.93 | 95.96 | % | $ | | (1) | (1) | (1) | |||||||||||||||||||||||||||||||||
Westbury
Creek |
Augusta, GA |
1984 | 1997 | 120 | 107,040 | 892 | $ | 632.48 | 91.67 | % | $ | 3,480 | (15) | 1.770% | (15) | 5/15/2033 | (15) | |||||||||||||||||||||||||||||||
Fountain
Lake |
Brunswick, GA |
1983 | 1997 | 110 | 129,800 | 1,180 | $ | 744.26 | 85.45 | % | $ | | (5) | (5) | (5) | |||||||||||||||||||||||||||||||||
Park
Walk |
College Park, GA |
1985 | 1997 | 124 | 112,716 | 909 | $ | 646.27 | 91.94 | % | $ | | (1) | (1) | (1) | |||||||||||||||||||||||||||||||||
Whisperwood |
Columbus, GA |
1980/82/ 84/86/98 |
1997 | 1,008 | 1,220,688 | 1,211 | $ | 718.96 | 95.24 | % | $ | | (1) | (1) | (1) | |||||||||||||||||||||||||||||||||
Willow
Creek |
Columbus, GA |
1971/77 | 1997 | 285 | 246,810 | 866 | $ | 567.88 | 88.42 | % | $ | | (1) | (1) | (1) | |||||||||||||||||||||||||||||||||
Terraces at
Fieldstone |
Conyers, GA |
1999 | 1998 | 316 | 351,076 | 1,111 | $ | 749.93 | 96.84 | % | $ | | (1) | (1) | (1) | |||||||||||||||||||||||||||||||||
Prescott |
Duluth, GA |
2001 | 2004 | 384 | 370,176 | 964 | $ | 878.05 | 96.88 | % | $ | | (8) | (8) | (8) |
8
Encumbrances at December 31, 2004 |
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---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Property |
Location |
Year Completed |
Year Management Commenced |
Number of Units |
Approximate Rentable Area (Square Footage) |
Average Unit Size (Square Footage) |
Monthly Rent per Unit at December 31, 2004 |
Average Occupancy Percent at December 31, 2004 |
Mortgage Principal (000s) |
Interest Rate |
Maturity Date | |||||||||||||||||||||||||||||||||||||
Whispering
Pines |
LaGrange, GA |
1982/84 | 1997 | 216 | 223,128 | 1,033 | $ | 542.25 | 90.74 | % | $ | | (5) | (5) | (5) | |||||||||||||||||||||||||||||||||
Westbury
Springs |
Lilburn, GA |
1983 | 1997 | 150 | 137,700 | 918 | $ | 658.04 | 93.33 | % | $ | | (1) | (1) | (1) | |||||||||||||||||||||||||||||||||
Austin
Chase |
Macon, GA |
1996 | 1997 | 256 | 292,864 | 1,144 | $ | 697.21 | 94.53 | % | $ | | (7) | (7) | (7) | |||||||||||||||||||||||||||||||||
The
Vistas |
Macon, GA |
1985 | 1997 | 144 | 153,792 | 1,068 | $ | 605.78 | 99.31 | % | $ | | (1) | (1) | (1) | |||||||||||||||||||||||||||||||||
Walden
Run |
McDonough, GA |
1997 | 1998 | 240 | 271,200 | 1,130 | $ | 721.03 | 95.00 | % | $ | | (1) | (1) | (1) | |||||||||||||||||||||||||||||||||
Georgetown
Grove |
Savannah, GA |
1997 | 1998 | 220 | 239,800 | 1,090 | $ | 821.88 | 96.36 | % | $ | 10,174 | 7.750% | 7/1/2037 | ||||||||||||||||||||||||||||||||||
Wildwood |
Thomasville, GA |
1980/84 | 1997 | 216 | 223,128 | 1,033 | $ | 567.42 | 96.30 | % | $ | | (1) | (1) | (1) | |||||||||||||||||||||||||||||||||
Hidden
Lake |
Union
City, GA |
1985/87 | 1997 | 320 | 342,400 | 1,070 | $ | 666.02 | 93.13 | % | $ | | (1) | (1) | (1) | |||||||||||||||||||||||||||||||||
Three
Oaks |
Valdosta, GA |
1983/84 | 1997 | 240 | 247,920 | 1,033 | $ | 613.68 | 89.58 | % | $ | | (1) | (1) | (1) | |||||||||||||||||||||||||||||||||
Huntington
Chase |
Warner Robins, GA |
1997 | 2000 | 200 | 218,400 | 1,092 | $ | 673.33 | 96.00 | % | $ | 9,031 | 6.850% | 11/1/2008 | ||||||||||||||||||||||||||||||||||
Southland
Station |
Warner Robins, GA |
1987/90 | 1997 | 304 | 354,768 | 1,167 | $ | 677.27 | 98.68 | % | $ | | (1) | (1) | (1) | |||||||||||||||||||||||||||||||||
Terraces at
Townelake |
Woodstock, GA |
1999 | 1998 | 502 | 575,794 | 1,147 | $ | 704.22 | 94.02 | % | $ | | (1) | (1) | (1) | |||||||||||||||||||||||||||||||||
5,979 | 6,384,816 | 1,068 | $ | 683.34 | 94.41 | % | $ | 27,445 | ||||||||||||||||||||||||||||||||||||||||
Fairways at
Hartland |
Bowling Green, KY |
1996 | 1997 | 240 | 251,280 | 1,047 | $ | 637.02 | 98.33 | % | $ | | (1) | (1) | (1) | |||||||||||||||||||||||||||||||||
Paddock Club
Florence |
Florence, KY |
1994 | 1997 | 200 | 207,000 | 1,035 | $ | 703.11 | 96.50 | % | $ | 9,666 | 5.875% | 1/1/2044 | ||||||||||||||||||||||||||||||||||
Grand Reserve
Lexington |
Lexington, KY |
2000 | 1999 | 370 | 432,530 | 1,169 | $ | 815.54 | 91.35 | % | $ | | (1) | (1) | (1) | |||||||||||||||||||||||||||||||||
Lakepointe |
Lexington, KY |
1986 | 1994 | 118 | 90,624 | 768 | $ | 619.18 | 93.22 | % | $ | | (1) | (1) | (1) | |||||||||||||||||||||||||||||||||
Mansion,
The |
Lexington, KY |
1989 | 1994 | 184 | 138,736 | 754 | $ | 617.21 | 94.57 | % | $ | | (1) | (1) | (1) | |||||||||||||||||||||||||||||||||
Village,
The |
Lexington, KY |
1989 | 1994 | 252 | 182,700 | 725 | $ | 598.86 | 89.68 | % | $ | | (1) | (1) | (1) | |||||||||||||||||||||||||||||||||
Stonemill
Village |
Louisville, KY |
1985 | 1994 | 384 | 324,096 | 844 | $ | 607.17 | 92.19 | % | $ | | (1) | (1) | (1) | |||||||||||||||||||||||||||||||||
1,748 | 1,626,966 | 931 | $ | 667.02 | 93.31 | % | $ | 9,666 | ||||||||||||||||||||||||||||||||||||||||
Riverhills |
Grenada, MS |
1972 | 1985 | 96 | 81,984 | 854 | $ | 407.41 | 97.92 | % | $ | | (1) | (1) | (1) | |||||||||||||||||||||||||||||||||
Crosswinds |
Jackson, MS |
1988/90 | 1996 | 360 | 443,160 | 1,231 | $ | 668.89 | 94.72 | % | $ | | (1) | (1) | (1) | |||||||||||||||||||||||||||||||||
Pear
Orchard |
Jackson, MS |
1985 | 1994 | 389 | 338,430 | 870 | $ | 624.79 | 95.89 | % | $ | | (1) | (1) | (1) | |||||||||||||||||||||||||||||||||
Reflection
Pointe |
Jackson, MS |
1986 | 1988 | 296 | 254,856 | 861 | $ | 639.96 | 96.62 | % | $ | 5,880 | (11) | 1.770% | (11) | 5/15/2031 | (11) | |||||||||||||||||||||||||||||||
Somerset |
Jackson, MS |
1981 | 1995 | 144 | 126,864 | 881 | $ | 581.16 | 95.14 | % | $ | | (1) | (1) | (1) | |||||||||||||||||||||||||||||||||
Woodridge |
Jackson, MS |
1987 | 1988 | 192 | 175,104 | 912 | $ | 564.30 | 96.88 | % | $ | | (1) | (1) | (1) | |||||||||||||||||||||||||||||||||
Lakeshore
Landing |
Ridgeland, MS |
1974 | 1994 | 196 | 171,108 | 873 | $ | 586.41 | 94.90 | % | $ | | (1) | (1) | (1) | |||||||||||||||||||||||||||||||||
Savannah
Creek |
Southaven, MS |
1989 | 1996 | 204 | 237,048 | 1,162 | $ | 663.88 | 94.61 | % | $ | | (1) | (1) | (1) | |||||||||||||||||||||||||||||||||
Sutton
Place |
Southaven, MS |
1991 | 1996 | 253 | 268,686 | 1,062 | $ | 649.85 | 92.89 | % | $ | | (1) | (1) | (1) | |||||||||||||||||||||||||||||||||
2,130 | 2,097,240 | 985 | $ | 619.34 | 95.35 | % | $ | 5,880 | ||||||||||||||||||||||||||||||||||||||||
Hermitage at
Beechtree |
Cary,
NC |
1988 | 1997 | 194 | 169,750 | 875 | $ | 601.47 | 95.36 | % | $ | | (1) | (1) | (1) | |||||||||||||||||||||||||||||||||
Woodstream |
Greensboro, NC |
1983 | 1994 | 304 | 217,056 | 714 | $ | 530.83 | 96.05 | % | $ | | (1) | (1) | (1) | |||||||||||||||||||||||||||||||||
Corners,
The |
Winston-Salem, NC |
1982 | 1993 | 240 | 173,520 | 723 | $ | 538.55 | 94.58 | % | $ | | (2) | (2) | (2) | |||||||||||||||||||||||||||||||||
738 | 560,326 | 759 | $ | 551.91 | 95.39 | % | $ | | ||||||||||||||||||||||||||||||||||||||||
Fairways at
Royal Oak |
Cincinnati, OH |
1988 | 1994 | 214 | 214,428 | 1,002 | $ | 672.94 | 90.65 | % | $ | | (1) | (1) | (1) | |||||||||||||||||||||||||||||||||
Colony at
South Park |
Aiken, SC |
1989/91 | 1997 | 184 | 174,800 | 950 | $ | 660.86 | 94.57 | % | $ | | (1) | (1) | (1) | |||||||||||||||||||||||||||||||||
Woodwinds |
Aiken, SC |
1988 | 1997 | 144 | 165,168 | 1,147 | $ | 625.60 | 95.14 | % | $ | | (1) | (1) | (1) | |||||||||||||||||||||||||||||||||
Tanglewood |
Anderson, SC |
1980 | 1994 | 168 | 146,664 | 873 | $ | 554.50 | 95.24 | % | $ | | (1) | (1) | (1) | |||||||||||||||||||||||||||||||||
Fairways,
The |
Columbia, SC |
1992 | 1994 | 240 | 213,840 | 891 | $ | 589.75 | 93.75 | % | $ | 7,735 | (12) | 1.809% | (12) | 5/15/2031 | (12) | |||||||||||||||||||||||||||||||
Paddock Club
Columbia |
Columbia, SC |
1989/95 | 1997 | 336 | 367,584 | 1,094 | $ | 702.03 | 91.96 | % | $ | | (1) | (1) | (1) | |||||||||||||||||||||||||||||||||
Highland
Ridge |
Greenville, SC |
1984 | 1995 | 168 | 143,976 | 857 | $ | 488.97 | 97.02 | % | $ | | (9) | (9) | (9) | |||||||||||||||||||||||||||||||||
Howell
Commons |
Greenville, SC |
1986/88 | 1997 | 348 | 292,668 | 841 | $ | 501.60 | 90.80 | % | $ | | (1) | (1) | (1) | |||||||||||||||||||||||||||||||||
Paddock Club
Greenville |
Greenville, SC |
1996 | 1997 | 208 | 212,160 | 1,020 | $ | 657.71 | 92.31 | % | $ | | (1) | (1) | (1) |
9
Encumbrances at December 31, 2004 |
||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Property |
Location |
Year Completed |
Year Management Commenced |
Number of Units |
Approximate Rentable Area (Square Footage) |
Average Unit Size (Square Footage) |
Monthly Rent per Unit at December 31, 2004 |
Average Occupancy Percent at December 31, 2004 |
Mortgage Principal (000s) |
Interest Rate |
Maturity Date | |||||||||||||||||||||||||||||||||||||
Park
Haywood |
Greenville, SC |
1983 | 1993 | 208 | 156,832 | 754 | $ | 505.10 | 100.00 | % | $ | | (1) | (1) | (1) | |||||||||||||||||||||||||||||||||
Spring
Creek |
Greenville, SC |
1985 | 1995 | 208 | 182,000 | 875 | $ | 495.17 | 99.52 | % | $ | | (9) | (9) | (9) | |||||||||||||||||||||||||||||||||
Runaway
Bay |
Mt.
Pleasant, SC |
1988 | 1995 | 208 | 177,840 | 855 | $ | 758.58 | 98.56 | % | $ | | (9) | (9) | (9) | |||||||||||||||||||||||||||||||||
Park
Place |
Spartanburg, SC |
1987 | 1997 | 184 | 195,224 | 1,061 | $ | 601.56 | 90.76 | % | $ | | (1) | (1) | (1) | |||||||||||||||||||||||||||||||||
2,604 | 2,428,756 | 933 | $ | 596.12 | 94.59 | % | $ | 7,735 | ||||||||||||||||||||||||||||||||||||||||
Hamilton
Pointe |
Chattanooga, TN |
1989 | 1992 | 361 | 256,671 | 711 | $ | 519.19 | 95.57 | % | $ | | (1) | (1) | (1) | |||||||||||||||||||||||||||||||||
Hidden
Creek |
Chattanooga, TN |
1987 | 1988 | 300 | 259,200 | 864 | $ | 540.94 | 90.00 | % | $ | | (1) | (1) | (1) | |||||||||||||||||||||||||||||||||
Steeplechase |
Chattanooga, TN |
1986 | 1991 | 108 | 98,604 | 913 | $ | 612.69 | 93.52 | % | $ | | (1) | (1) | (1) | |||||||||||||||||||||||||||||||||
Windridge |
Chattanooga, TN |
1984 | 1997 | 174 | 238,728 | 1,372 | $ | 702.24 | 96.55 | % | $ | 5,465 | (16) | 1.770% | (16) | 5/15/2033 | (16) | |||||||||||||||||||||||||||||||
Oaks,
The |
Jackson, TN |
1978 | 1993 | 100 | 87,500 | 875 | $ | 556.77 | 90.00 | % | $ | | (1) | (1) | (1) | |||||||||||||||||||||||||||||||||
Post House
Jackson |
Jackson, TN |
1987 | 1989 | 150 | 163,650 | 1,091 | $ | 614.57 | 94.00 | % | $ | 5,095 | 1.770% | 10/15/2032 | ||||||||||||||||||||||||||||||||||
Post House
North |
Jackson, TN |
1987 | 1989 | 144 | 144,720 | 1,005 | $ | 605.12 | 95.14 | % | $ | 3,375 | (13) | 1.770% | (13) | 5/15/2031 | (13) | |||||||||||||||||||||||||||||||
Bradford
Chase |
Jackson, TN |
1987 | 1994 | 148 | 121,360 | 820 | $ | 551.73 | 93.92 | % | $ | | (1) | (1) | (1) | |||||||||||||||||||||||||||||||||
Woods at Post
House |
Jackson, TN |
1997 | 1995 | 122 | 118,950 | 975 | $ | 635.83 | 95.08 | % | $ | 5,056 | 6.070% | 9/1/2035 | ||||||||||||||||||||||||||||||||||
Cedar
Mill |
Memphis, TN |
1973/86 | 1982/94 | 276 | 297,804 | 1,079 | $ | 616.61 | 92.75 | % | $ | | (1) | (1) | (1) | |||||||||||||||||||||||||||||||||
Eastview |
Memphis, TN |
1973 | 1984 | 432 | 356,400 | 825 | $ | 537.56 | 79.17 | % | $ | | (1) | (1) | (1) | |||||||||||||||||||||||||||||||||
Gleneagles |
Memphis, TN |
1975 | 1990 | 184 | 189,520 | 1,030 | $ | 625.01 | 92.39 | % | $ | | (1) | (1) | (1) | |||||||||||||||||||||||||||||||||
Greenbrook |
Memphis, TN |
1974/78/83/86 | 1988 | 1,037 | 939,522 | 906 | $ | 583.14 | 93.15 | % | $ | | (4) | (4) | (4) | |||||||||||||||||||||||||||||||||
Hickory
Farm |
Memphis, TN |
1985 | 1994 | 200 | 150,200 | 751 | $ | 558.43 | 96.50 | % | $ | | (1) | (1) | (1) | |||||||||||||||||||||||||||||||||
Kirby
Station |
Memphis, TN |
1978 | 1994 | 371 | 310,156 | 836 | $ | 615.29 | 94.07 | % | $ | | (1) | (1) | (1) | |||||||||||||||||||||||||||||||||
Lincoln on the
Green |
Memphis, TN |
1988/98 | 1994 | 618 | 535,188 | 866 | $ | 658.57 | 92.88 | % | $ | | (1) | (1) | (1) | |||||||||||||||||||||||||||||||||
Park
Estate |
Memphis, TN |
1974 | 1977 | 82 | 96,924 | 1,182 | $ | 843.50 | 98.78 | % | $ | | (4) | (4) | (4) | |||||||||||||||||||||||||||||||||
Reserve at
Dexter Lake |
Memphis, TN |
1999/01 | 1998 | 740 | 792,540 | 1,071 | $ | 737.66 | 93.51 | % | $ | | (5) | (5) | (5) | |||||||||||||||||||||||||||||||||
River
Trace |
Memphis, TN |
1981/85 | 1997 | 440 | 370,920 | 843 | $ | 571.97 | 95.23 | % | $ | | (1) | (1) | (1) | |||||||||||||||||||||||||||||||||
Paddock Club
Murfreesboro |
Murfreesboro, TN |
1999 | 1998 | 240 | 268,800 | 1,120 | $ | 800.33 | 90.42 | % | $ | | (1) | (1) | (1) | |||||||||||||||||||||||||||||||||
Brentwood
Downs |
Nashville, TN |
1986 | 1994 | 286 | 220,220 | 770 | $ | 669.43 | 100.00 | % | $ | | (1) | (1) | (1) | |||||||||||||||||||||||||||||||||
Grand View
Nashville |
Nashville, TN |
2001 | 1999 | 433 | 479,331 | 1,107 | $ | 825.53 | 95.61 | % | $ | | (1) | (1) | (1) | |||||||||||||||||||||||||||||||||
Monthaven
Park |
Nashville, TN |
2001 | 2004 | 456 | 427,728 | 938 | $ | 693.61 | 96.05 | % | $ | 23,028 | 5.000% | 1/11/2008 | ||||||||||||||||||||||||||||||||||
Park at
Hermitage |
Nashville, TN |
1987 | 1995 | 440 | 392,480 | 892 | $ | 584.53 | 96.82 | % | $ | 6,645 | (17) | 1.770% | (17) | 2/15/2034 | (17) | |||||||||||||||||||||||||||||||
7,842 | 7,317,116 | 933 | $ | 635.37 | 93.47 | % | $ | 48,664 | ||||||||||||||||||||||||||||||||||||||||
Northwood |
Arlington, TX |
1980 | 1998 | 270 | 224,100 | 830 | $ | 577.69 | 91.11 | % | $ | | (2) | (2) | (2) | |||||||||||||||||||||||||||||||||
Balcones
Woods |
Austin, TX |
1983 | 1997 | 384 | 313,728 | 817 | $ | 628.32 | 95.57 | % | $ | | (2) | (2) | (2) | |||||||||||||||||||||||||||||||||
Grand Reserve
at Sunset Valley |
Austin, TX |
1996 | 2004 | 210 | 198,240 | 944 | $ | 997.90 | 96.19 | % | $ | 11,519 | 6.983% | 9/28/2008 | ||||||||||||||||||||||||||||||||||
Stassney
Woods |
Austin, TX |
1985 | 1995 | 288 | 248,832 | 864 | $ | 616.63 | 86.11 | % | $ | 4,050 | (18) | 1.770% | (18) | 10/15/2032 | (18) | |||||||||||||||||||||||||||||||
Travis
Station |
Austin, TX |
1987 | 1995 | 304 | 249,888 | 822 | $ | 533.73 | 97.70 | % | $ | 3,585 | (19) | 1.770% | (19) | 2/15/2034 | (19) | |||||||||||||||||||||||||||||||
Woods,
The |
Austin, TX |
1977 | 1997 | 278 | 214,060 | 770 | $ | 758.31 | 94.96 | % | $ | | (2) | (2) | (2) | |||||||||||||||||||||||||||||||||
Celery
Stalk |
Dallas, TX |
1978 | 1994 | 410 | 374,740 | 914 | $ | 695.70 | 85.61 | % | $ | | (8) | (8) | (8) | |||||||||||||||||||||||||||||||||
Courtyards at
Campbell |
Dallas, TX |
1986 | 1998 | 232 | 168,200 | 725 | $ | 656.00 | 92.67 | % | $ | | (2) | (2) | (2) | |||||||||||||||||||||||||||||||||
Deer
Run |
Dallas, TX |
1985 | 1998 | 304 | 206,720 | 680 | $ | 619.10 | 93.42 | % | $ | | (2) | (2) | (2) | |||||||||||||||||||||||||||||||||
Lodge at
Timberglen |
Dallas, TX |
1983 | 1994 | 260 | 226,200 | 870 | $ | 659.06 | 88.08 | % | $ | | (8) | (8) | (8) | |||||||||||||||||||||||||||||||||
Watermark |
Dallas, TX |
2002 | 2004 | 240 | 205,200 | 855 | $ | 718.42 | 87.92 | % | $ | | (8) | (8) | (8) | |||||||||||||||||||||||||||||||||
Legacy
Pines |
Houston, TX |
1999 | 2003 | 308 | 283,360 | 920 | $ | 908.06 | 95.78 | % | $ | | (2) | (2) | (2) | |||||||||||||||||||||||||||||||||
Westborough
Crossing |
Katy,
TX |
1984 | 1994 | 274 | 197,280 | 720 | $ | 596.74 | 87.23 | % | $ | | (8) | (8) | (8) | |||||||||||||||||||||||||||||||||
Kenwood
Club |
Katy,
TX |
2000 | 1999 | 320 | 318,080 | 994 | $ | 787.95 | 92.19 | % | $ | | (2) | (2) | (2) | |||||||||||||||||||||||||||||||||
Lane at Towne
Crossing |
Mesquite, TX |
1983 | 1994 | 384 | 277,632 | 723 | $ | 622.38 | 86.46 | % | $ | | (2) | (2) | (2) |
10
Encumbrances at December 31, 2004 |
||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Property |
Location |
Year Completed |
Year Management Commenced |
Number of Units |
Approximate Rentable Area (Square Footage) |
Average Unit Size (Square Footage) |
Monthly Rent per Unit at December 31, 2004 |
Average Occupancy Percent at December 31, 2004 |
Mortgage Principal (000s) |
Interest Rate |
Maturity Date | |||||||||||||||||||||||||||||||||||||
Highwood |
Plano, TX |
1983 | 1998 | 196 | 156,800 | 800 | $ | 645.27 | 90.31 | % | $ | | (4) | (4) | (4) | |||||||||||||||||||||||||||||||||
Los Rios
Park |
Plano, TX |
2000 | 2003 | 498 | 470,112 | 944 | $ | 747.43 | 92.37 | % | $ | | (2) | (2) | (2) | |||||||||||||||||||||||||||||||||
Cypresswood
Court |
Spring, TX |
1984 | 1994 | 208 | 160,576 | 772 | $ | 618.11 | 88.46 | % | $ | | (8) | (8) | (8) | |||||||||||||||||||||||||||||||||
Villages at
Kirkwood |
Stafford, TX |
1996 | 2004 | 274 | 244,682 | 893 | $ | 866.43 | 95.62 | % | $ | 14,860 | 6.983% | 9/28/2008 | ||||||||||||||||||||||||||||||||||
Green Tree
Place |
Woodlands, TX |
1984 | 1994 | 200 | 152,200 | 761 | $ | 651.33 | 95.00 | % | $ | | (8) | (8) | (8) | |||||||||||||||||||||||||||||||||
5,842 | 4,890,630 | 837 | $ | 694.30 | 91.54 | % | $ | 34,014 | ||||||||||||||||||||||||||||||||||||||||
Township |
Hampton, VA |
1987 | 1995 | 296 | 248,048 | 838 | $ | 790.41 | 95.27 | % | $ | 10,800 | (14) | 1.770% | (14) | 10/15/2032 | (14) | |||||||||||||||||||||||||||||||
Subtotal
100% Owned |
36,618 | 34,757,112 | 949 | $ | 679.82 | 93.58 | % | |||||||||||||||||||||||||||||||||||||||||
Joint
Venture Properties |
||||||||||||||||||||||||||||||||||||||||||||||||
Preston Hills
at Mill Creek |
Buford, GA |
2000 | 2002 | 464 | 517,360 | 1,115 | $ | 758.93 | 94.40 | % | N/A | |||||||||||||||||||||||||||||||||||||
Verandas at
Timberglen |
Dallas, TX |
1999 | 2004 | 522 | 500,076 | 958 | $ | 1,124.66 | 87.93 | % | N/A | |||||||||||||||||||||||||||||||||||||
Seasons at
Green Oaks |
Grand
Prairie, TX |
1996 | 2003 | 300 | 286,500 | 955 | $ | 782.29 | 92.00 | % | N/A | |||||||||||||||||||||||||||||||||||||
Subtotal
Joint Venture Properties |
1,286 | 1,303,936 | 1,014 | $ | 912.83 | 91.21 | % | |||||||||||||||||||||||||||||||||||||||||
Total
100% Owned and Joint Venture Properties |
37,904 | 36,061,048 | 951 | $ | 687.73 | 93.50 | % |
(1) | Encumbered by a $600 million FNMA facility, with $574.1 million available and $529.8 million outstanding with a variable interest rate of 3.020% on which there exists thirteen interest rate swap agreements totaling $440 million at an average rate of 5.853% at December 31, 2004. |
(2) | Encumbered by a $250 million FNMA facility, with $183.8 available and $173.6 million outstanding, $63.6 million of which had a variable interest rate of 2.967%, $65 million with a fixed rate of 7.712%, $25 million with a fixed rate of 6.920% and $20 milllion with a fixed rate of 5.770% at December 31, 2004. |
(3) | Phase I of Paddock ParkOcala is encumbered by $6.8 million in bonds on which there exists a $6.8 million interest rate cap of 6.000% which terminates on October 24, 2007. |
(4) | Encumbered, along with one corporate property, by a mortgage with a principal balance of $40 million at December 31, 2004, with a maturity of April 1, 2009 and an interest rate of 3.419% on which there is a $25 million interest rate swap agreement with a rate of 4.580%. |
(5) | Encumbered by a credit line with AmSouth Bank, with an outstanding balance of $12.3 million at December 31, 2004. |
(6) | Encumbered by a mortgage securing a tax-exempt bond amortizing over 25 years with principal balance of $13.8 million at December 31, 2004, and an average interest rate of 5.867%. |
(7) | Encumbered by a mortgage securing a tax-exempt bond amortizing over 25 years with a principal balance of $12.7 million at December 31, 2004, and an average interest rate of 5.177%. |
(8) | Encumbered by a $100 million Freddie Mac facility, with an outstanding balance of $65.4 million and a variable interest rate of 3.061% on which there exists three interest rate swap agreements totaling $51 million at an average rate of 5.280 at December 31, 2004. |
(9) | Encumbered by a mortgage securing a tax-exempt bond amortizing over 25 years with a principal balance of $8.5 million at December 31, 2004, and an average interest rate of 6.090%. |
(10) | Encumbered by $7.0 million in bonds on which there exists a $7.0 million interest rate swap agreement fixed at 3.948% and maturing on October 24, 2007. |
(11) | Encumbered by $5.9 million in bonds on which there exists a $5.9 million interest rate swap agreement fixed at 5.049% and maturing on June 15, 2008. |
(12) | Encumbered by $7.7 million in bonds on which there exists a $7.7 million interest rate swap agreement fixed at 5.049% and maturing on June 15, 2008. |
(13) | Encumbered by $3.4 million in bonds on which there exists a $3.4 million interest rate swap agreement fixed at 5.049% and maturing on June 15, 2008. |
(14) | Encumbered by $10.8 million in bonds on which there exists a $10.8 million interest rate swap agreement fixed at 3.948% and maturing on October 24, 2007. |
(15) | Encumbered by $3.5 million in bonds on which there exist a $3.0 million interest rate swap agreement fixed at 2.301% and maturing on May 30, 2008. |
(16) | Encumbered by $5.5 million in bonds on which there exists a $5.0 million interest rate swap agreement fixed at 3.226% and maturing on May 30, 2008. |
(17) | Encumbered by $6.6 million in bonds on which there exists a $6.6 million interest rate swap agreement fixed at 3.622% and maturing on March 15, 2009. Also encumbered by a $11.7 million FNMA facility maturing on March 1, 2014 with a variable interest rate of 3.084% which there exists a $11.7 million interest rate cap of 6.0% which terminates on March 1, 2009. |
11
(18) | Encumbered by $4.0 million in bonds on which there exists a $4.0 million interest rate cap of 6.0% which terminates on March 15, 2009. Also encumbered by a $11.7 million FNMA facility maturing on March 1, 2014 with a variable interest rate of 3.084% which there exists a $11.7 million interest rate cap of 6.0% which terminates on March 1, 2009. |
(19) | Encumbered by $3.6 million in bonds on which there exists a $3.6 million interest rate swap agreement fixed at 3.622% and maturing on March 15, 2009. Also encumbered by a $11.7 million FNMA facility maturing on March 1, 2014 with a variable interest rate of 3.084% which there exists a $11.7 million interest rate cap of 6.0% which terminates on March 1, 2009. |
12
ITEM 3. | LEGAL PROCEEDINGS |
ITEM 4. | SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS |
PART II
ITEM 5. | MARKET FOR REGISTRANTS COMMON EQUITY AND RELATED STOCKHOLDER MATTERS |
Sales Prices |
||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
High |
Low |
Dividends Declared |
||||||||||||
2004: |
||||||||||||||
First
Quarter |
$ | 37.400 | $ | 33.420 | $ | 0.585 | ||||||||
Second
Quarter |
$ | 38.640 | $ | 30.750 | $ | 0.585 | ||||||||
Third
Quarter |
$ | 40.900 | $ | 35.130 | $ | 0.585 | ||||||||
Fourth
Quarter |
$ | 41.740 | $ | 37.920 | $ | 0.585 | ||||||||
2003: |
||||||||||||||
First
Quarter |
$ | 24.980 | $ | 23.100 | $ | 0.585 | ||||||||
Second
Quarter |
$ | 27.450 | $ | 23.670 | $ | 0.585 | ||||||||
Third
Quarter |
$ | 31.450 | $ | 26.740 | $ | 0.585 | ||||||||
Fourth
Quarter |
$ | 34.290 | $ | 30.020 | $ | 0.585 |
13
Number of Securities to be Issued upon Exercise of Outstanding Options, Warrants and Rights |
Weighted Average Exercise Price of Outstanding Options, Warrants and Rights |
Number of Securities Remaining Available for Future Issuance under Equity Compensation Plans (excluding securities reflected in column (a)) |
||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
(a)(1) |
(b)(1) |
(c)(2) |
||||||||||||||||||||
Equity
compensation plans approved by security holders |
674,066 | $ | 24.30 | 606,599 | ||||||||||||||||||
Equity
compensation plans not approved by security holders |
N/A | N/A | N/A | |||||||||||||||||||
Total |
674,066 | $ | 24.30 | 606,599 |
(1) |
Columns (a) and (b) above do not include 104,698 shares of restricted stock that are subject to vesting requirements which were issued through the Companys Fourth Amended and Restated 1994 Restricted Stock and Stock Option Plan or 43,401 shares of common stock which have been purchased by employees through the Employee Stock Purchase Plan. See Note 8 of the consolidated financial statements for more information on these plans. |
(2) |
Column (c) above includes 500,000 shares available to be issued under the Companys 2004 Stock Plan and 106,599 shares available to be issued under the Companys Employee Stock Purchase Plan. See Note 8 of the consolidated financial statements for more information on these plans. |
14
ITEM 6. | SELECTED FINANCIAL DATA |
MID-AMERICA APARTMENT COMMUNITIES, INC.
SELECTED FINANCIAL DATA
(Dollars
in thousands except per share data)
Year Ended December 31, |
|||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
2004 |
2003 |
2002 |
2001 |
2000 |
|||||||||||||||||||
Operating
Data: |
|||||||||||||||||||||||
Total
revenues |
$ | 267,784 | $ | 236,762 | $ | 228,851 | $ | 228,015 | $ | 222,131 | |||||||||||||
Expenses: |
|||||||||||||||||||||||
Property
operating expenses |
112,748 | 98,692 | 90,869 | 87,658 | 84,638 | ||||||||||||||||||
Depreciation |
68,653 | 58,074 | 54,285 | 51,091 | 50,898 | ||||||||||||||||||
Property
management and general and administrative expenses |
19,597 | 15,670 | 15,298 | 16,083 | 14,826 | ||||||||||||||||||
Income from
continuing operations before non-operating items |
66,786 | 64,326 | 68,399 | 73,183 | 71,769 | ||||||||||||||||||
Interest and
other non-property income |
593 | 835 | 729 | 1,301 | 1,511 | ||||||||||||||||||
Interest
expense |
(50,858 | ) | (44,991 | ) | (48,381 | ) | (51,487 | ) | (49,556 | ) | |||||||||||||
Gain (loss)
on debt extinguishment |
1,095 | 111 | (1,441 | ) | (1,189 | ) | (243 | ) | |||||||||||||||
Amortization
of deferred financing costs |
(1,753 | ) | (2,050 | ) | (2,700 | ) | (2,339 | ) | (2,748 | ) | |||||||||||||
Minority
interest in operating partnership income |
(2,264 | ) | (1,360 | ) | (388 | ) | (2,417 | ) | (2,587 | ) | |||||||||||||
Loss from
investments in unconsolidated entities |
(287 | ) | (949 | ) | (532 | ) | (296 | ) | (157 | ) | |||||||||||||
Net gain on
insurance and other settlement proceeds |
2,683 | 2,860 | 397 | 11,933 | 11,595 | ||||||||||||||||||
Gain on
disposition within unconsolidated entities |
3,249 | | | | | ||||||||||||||||||
Income from
continuing operations |
19,244 | 18,782 | 16,083 | 28,689 | 29,584 | ||||||||||||||||||
Discontinued
operations: |
|||||||||||||||||||||||
Income (loss)
from discontinued operations before asset impairment, settlement proceeds and gain on sale |
(197 | ) | (577 | ) | 58 | 9 | 203 | ||||||||||||||||
Asset
impairment of discontinued operations |
(200 | ) | | | | | |||||||||||||||||
Net gain on
insurance and other settlement proceeds of discontinued operations |
526 | 82 | | | | ||||||||||||||||||
Gain on sale
of discontinued operations |
5,825 | 1,919 | | | | ||||||||||||||||||
Net
income |
25,198 | 20,206 | 16,141 | 28,698 | 29,787 | ||||||||||||||||||
Preferred
dividend distribution |
14,825 | 15,419 | 16,029 | 16,113 | 16,114 | ||||||||||||||||||
Premiums and
original issuance costs associated with the redemption of preferred stock |
| 5,987 | 2,041 | | | ||||||||||||||||||
Net income
(loss) available for common shareholders |
$ | 10,373 | $ | (1,200 | ) | $ | (1,929 | ) | $ | 12,585 | $ | 13,673 |
15
Year Ended December 31, |
|||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
2004 |
2003 |
2002 |
2001 |
2000 | |||||||||||||||||||
Per Share
Data: |
|||||||||||||||||||||||
Weighted
average shares outstanding (in thousands): |
|||||||||||||||||||||||
Basic |
20,317 | 18,374 | 17,561 | 17,427 | 17,544 | ||||||||||||||||||
Effect of
dilutive stock options |
335 | | | 105 | 53 | ||||||||||||||||||
Diluted |
20,652 | 18,374 | 17,561 | 17,532 | 17,597 | ||||||||||||||||||
Net income
(loss) available for common shareholders |
$ | 10,373 | $ | (1,200 | ) | $ | (1,929 | ) | $ | 12,585 | $ | 13,673 | |||||||||||
Discontinued
property operations |
(5,954 | ) | (1,424 | ) | (58 | ) | (9 | ) | (203 | ) | |||||||||||||
Income (loss)
from continuing operations available for common shareholders |
$ | 4,419 | $ | (2,624 | ) | $ | (1,987 | ) | $ | 12,576 | $ | 13,470 | |||||||||||
Earnings per
sharebasic: |
|||||||||||||||||||||||
Income (loss)
from continuing operations available for common shareholders |
$ | 0.22 | $ | (0.14 | ) | $ | (0.11 | ) | $ | 0.72 | $ | 0.77 | |||||||||||
Discontinued
property operations |
0.29 | 0.07 | | | 0.01 | ||||||||||||||||||
Net income
(loss) available for common shareholders |
$ | 0.51 | $ | (0.07 | ) | $ | (0.11 | ) | $ | 0.72 | $ | 0.78 | |||||||||||
Earnings per
sharediluted: |
|||||||||||||||||||||||
Income (loss)
from continuing operations available for common shareholders |
$ | 0.21 | $ | (0.14 | ) | $ | (0.11 | ) | $ | 0.72 | $ | 0.77 | |||||||||||
Discontinued
property operations |
0.29 | 0.07 | | | 0.01 | ||||||||||||||||||
Net income
(loss) available for common shareholders |
$ | 0.50 | $ | (0.07 | ) | $ | (0.11 | ) | $ | 0.72 | $ | 0.78 | |||||||||||
Balance
Sheet Data: |
|||||||||||||||||||||||
Real estate
owned, at cost |
$ | 1,862,850 | $ | 1,695,111 | $ | 1,478,793 | $ | 1,449,720 | $ | 1,430,378 | |||||||||||||
Real estate
assets, net |
$ | 1,459,952 | $ | 1,351,849 | $ | 1,192,539 | $ | 1,216,933 | $ | 1,244,475 | |||||||||||||
Total
assets |
$ | 1,522,307 | $ | 1,406,533 | $ | 1,239,467 | $ | 1,263,488 | $ | 1,303,771 | |||||||||||||
Total
debt |
$ | 1,083,473 | $ | 951,941 | $ | 803,703 | $ | 779,664 | $ | 781,089 | |||||||||||||
Minority
interest |
$ | 31,376 | $ | 32,019 | $ | 33,405 | $ | 43,902 | $ | 50,020 | |||||||||||||
Shareholders equity |
$ | 357,325 | $ | 361,294 | $ | 338,171 | $ | 398,358 | $ | 435,356 | |||||||||||||
Other Data
(at end of period): |
|||||||||||||||||||||||
Market
capitalization (shares and units) |
$ | 1,145,183 | $ | 939,581 | $ | 673,431 | $ | 709,224 | $ | 634,903 | |||||||||||||
Ratio of
total debt to total capitalization(1) |
48.6 | % | 50.3 | % | 54.4 | % | 52.4 | % | 55.2 | % | |||||||||||||
Number of
properties, including joint venture ownership interest(2) |
132 | 127 | 123 | 122 | 124 | ||||||||||||||||||
Number of
apartment units, including joint venture ownership interest(2) |
37,904 | 35,734 | 33,923 | 33,411 | 33,612 |
(1) |
Total capitalization is total debt and market capitalization of preferred shares (value based on $25 per share liquidation preference), common shares and partnership units (value based on common stock equivalency). |
(2) |
Property and apartment unit totals have not been adjusted for properties held for sale. |
16
ITEM 7. | MANAGEMENTS DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS |
RISKS ASSOCIATED WITH FORWARD-LOOKING STATEMENTS
The Companys ability to make distributions may be adversely affected by factors beyond its control
|
competition from other apartment communities; |
|
overbuilding of new apartment units or oversupply of available apartment units in the Companys markets, which might adversely affect apartment occupancy or rental rates and/or require rent concessions in order to lease apartment units; |
|
increases in operating costs (including real estate taxes and insurance premiums) due to inflation and other factors, which may not be offset by increased rents; |
|
the Companys inability to rent apartments on favorable economic terms; |
|
changes in governmental regulations and the related costs of compliance; |
|
changes in tax laws and housing laws including the enactment of rent control laws or other laws regulating multifamily housing; |
|
changes in interest rate levels and the availability of financing, which could lead renters to purchase homes (if interest rates decrease and home loans are more readily available) or increase the Companys acquisition and operating costs (if interest rates increase and financing is less readily available); |
|
weakness in the overall economy which lowers job growth and the associated demand for apartment housing; |
|
decisions relating to the dispositions of assets by the Companys Joint Ventures; and |
|
the relative illiquidity of real estate investments. |
17
funds from operations could adversely affect the Companys ability to make distributions to its shareholders or to met its loan covenants and could have a material adverse effect on the Companys stock price. |
Debt level and refinancing risk may adversely affect financial condition and operating results
Variable interest rates may adversely affect funds from operations
Increasing real estate taxes and insurance costs may negatively impact financial condition
CRITICAL ACCOUNTING POLICIES AND ESTIMATES
18
Capitalization of expenditures and depreciation of assets
Impairment of long-lived assets, including goodwill
Fair value of derivative financial instruments
19
OVERVIEW OF THE YEAR ENDED DECEMBER 31, 2004
RESULTS OF OPERATIONS
COMPARISON OF THE YEAR ENDED DECEMBER 31, 2004 TO THE YEAR ENDED DECEMBER 31, 2003
20
COMPARISON OF THE YEAR ENDED DECEMBER 31, 2003 TO THE YEAR ENDED DECEMBER 31, 2002
21
FUNDS FROM OPERATIONS
22
Years ended December 31, |
|||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
2004 |
2003 |
2002 |
|||||||||||||
Net
income |
$ | 25,198 | $ | 20,206 | $ | 16,141 | |||||||||
Depreciation
real estate assets |
67,302 | 56,701 | 52,928 | ||||||||||||
Net gain on
insurance and other settlement proceeds |
(2,683 | ) | (2,860 | ) | (397 | ) | |||||||||
Gain on
disposition within unconsolidated entities |
(3,249 | ) | | | |||||||||||
Net gain on
insurance and other settlement proceeds of discontinued operations |
(526 | ) | (82 | ) | | ||||||||||
Depreciation
real estate assets of discontinued operations |
681 | 1,022 | 978 | ||||||||||||
Gain on sale
of discontinued operations |
(5,825 | ) | (1,919 | ) | | ||||||||||
Depreciation
real estate assets of unconsolidated entities |
1,688 | 2,345 | 1,430 | ||||||||||||
Gain on sale
of non-depreciable assets |
| | (45 | ) | |||||||||||
Preferred
dividend distribution |
(14,825 | ) | (15,419 | ) | (16,029 | ) | |||||||||
Minority
interest in operating partnership income |
2,264 | 1,360 | 388 | ||||||||||||
Premiums and
original issuance costs associated with the redemption of preferred stock |
| (5,987 | ) | (2,041 | ) | ||||||||||
Funds from
operations |
$ | 70,025 | $ | 55,367 | $ | 53,353 | |||||||||
Weighted
average shares and units: |
|||||||||||||||
Basic |
22,981 | 21,093 | 20,415 | ||||||||||||
Diluted |
23,316 | 21,354 | 20,613 |
TRENDS
23
LIQUIDITY AND CAPITAL RESOURCES
24
25
Line Limit |
Line Availability |
Outstanding Balance/ Notional Amount |
Interest Rate |
Rate Maturity |
Contract Maturity |
|||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
COMBINED
DEBT |
||||||||||||||||||||||||||
Fixed Rate or
Swapped |
||||||||||||||||||||||||||
Conventional |
$ | 721,327,184 | 6.4 | % | 1/28/2010 | 8/28/2012 | ||||||||||||||||||||
Tax
Exempt |
87,960,000 | 4.8 | % | 6/30/2015 | 12/24/2018 | |||||||||||||||||||||
Subtotal
Fixed Rate or Swapped |
809,287,184 | 6.2 | % | 8/31/2010 | 5/5/2013 | |||||||||||||||||||||
Variable
Rate |
||||||||||||||||||||||||||
Conventional |
240,756,100 | 3.1 | % | 3/1/2005 | 9/21/2011 | |||||||||||||||||||||
Tax
Exempt |
10,855,004 | 2.6 | % | 1/31/2005 | 5/30/2020 | |||||||||||||||||||||
Capped |
22,575,000 | 2.8 | % | 10/3/2008 | 3/1/2014 | |||||||||||||||||||||
Subtotal
Variable Rate |
274,186,104 | 3.1 | % | 6/15/2005 | 4/7/2012 | |||||||||||||||||||||
Total
Combined Debt Outstanding |
$ | 1,083,473,288 | 5.4 | % | 5/6/2009 | 1/26/2013 | ||||||||||||||||||||
UNDERLYING
DEBT |
||||||||||||||||||||||||||
Individual
Property Mortgages/Bonds |
||||||||||||||||||||||||||
Conventional
Fixed Rate |
$ | 121,065,184 | 6.6 | % | 11/22/2014 | 11/22/2014 | ||||||||||||||||||||
Tax Exempt
Fixed Rate |
34,995,000 | 5.7 | % | 4/9/2026 | 4/9/2026 | |||||||||||||||||||||
Tax Exempt
Variable Rate |
4,760,004 | 2.7 | % | 1/31/2005 | 6/1/2028 | |||||||||||||||||||||
FNMA Credit
Facilities |
||||||||||||||||||||||||||
Tax Free
Variable Rate Bond Facility |
||||||||||||||||||||||||||
Tax Free
Borrowings |
$ | 88,280,000 | $ | 69,915,000 | 69,915,000 | 2.7 | % | 1/31/2005 | 3/1/2014 | |||||||||||||||||
Taxable
Borrowings |
11,720,000 | 11,720,000 | 11,720,000 | 3.1 | % | 1/31/2005 | 3/1/2014 | |||||||||||||||||||
Facility
I |
||||||||||||||||||||||||||
Fixed Rate
Borrowings |
110,000,000 | 110,000,000 | 110,000,000 | 7.2 | % | 1/10/2009 | 1/10/2009 | |||||||||||||||||||
Extended
Fixed Rate Borrowings (1) |
24,262,000 | 2.8 | % | 5/1/2005 | 12/1/2011 | |||||||||||||||||||||
Variable Rate
Borrowings |
140,000,000 | 73,769,000 | 39,367,000 | 3.0 | % | 3/31/2005 | 12/1/2011 | |||||||||||||||||||
Facility
II |
||||||||||||||||||||||||||
Variable Rate
Borrowings |
600,000,000 | 574,056,000 | 529,753,000 | 3.0 | % | 3/1/2005 | 5/28/2013 | |||||||||||||||||||
Subtotal FNMA
Facilities |
950,000,000 | 839,460,000 | 785,017,000 | 3.6 | % | 9/15/2005 | 9/30/2012 | |||||||||||||||||||
Freddie Mac
Credit Facility |
100,000,000 | 65,374,000 | 65,374,000 | 3.1 | % | 3/13/2005 | 7/1/2011 | |||||||||||||||||||
AmSouth Credit
Facility |
40,000,000 | 32,061,333 | 12,262,100 | 4.5 | % | 1/31/2005 | 5/24/2006 | |||||||||||||||||||
Union Planters
Mortgage |
40,000,000 | 3.4 | % | 1/31/2005 | 4/1/2009 | |||||||||||||||||||||
Compass Bank
Unsecured Note |
20,000,000 | 2.8 | % | 2/10/2005 | 2/10/2005 | |||||||||||||||||||||
Total
Underlying Debt Outstanding |
$ | 1,083,473,288 | 3.9 | % | 4/28/2007 | 1/28/2013 | ||||||||||||||||||||
HEDGING
INSTRUMENTS IN EFFECT |
||||||||||||||||||||||||||
Taxable
Interest Rate Swaps |
||||||||||||||||||||||||||
FNMA
Facility |
$ | 390,000,000 | 5.9 | % | 9/3/2008 | 9/3/2008 | ||||||||||||||||||||
Freddie Mac
Facility |
51,000,000 | 5.3 | % | 6/1/2011 | 6/1/2011 | |||||||||||||||||||||
Union
Planters Mortgage |
25,000,000 | 4.0 | % | 3/1/2009 | 3/1/2009 | |||||||||||||||||||||
Tax Exempt
Interest Rate Swaps |
||||||||||||||||||||||||||
FNMA Tax Free
Bond Facility |
52,965,000 | 4.1 | % | 5/17/2008 | 5/17/2008 | |||||||||||||||||||||
Total
Swaps |
$ | 518,965,000 | 5.6 | % | 12/7/2008 | 12/7/2008 | ||||||||||||||||||||
Interest Rate
Caps |
||||||||||||||||||||||||||
FNMA Tax Free
Bond Facility |
$ | 22,575,000 | 6.0 | % | 10/3/2008 | 10/3/2008 | ||||||||||||||||||||
HEDGING
INSTRUMENTS NOT IN EFFECT |
||||||||||||||||||||||||||
Future Interest
Rate Swaps |
||||||||||||||||||||||||||
FNMA
Facility |
$ | 50,000,000 | 5.2 | % | 5/1/2012 | 5/1/2012 |
(1) | Represents variable rate debt that reprices after nine months. |
26
27
Payments Due by Period |
||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Contractual Obligations |
2005 |
2006 |
2007 |
2008 |
2009 |
Thereafter |
Total |
|||||||||||||||||||||||||||
Long-Term Debt
(1) |
$ | 23,954 | $ | 20,816 | $ | 4,199 | $ | 85,165 | $ | 41,640 | $ | 907,699 | $ | 1,083,473 | ||||||||||||||||||||
Capital
Lease |
| | | | | | | |||||||||||||||||||||||||||
Operating
Lease |
| | | | | | | |||||||||||||||||||||||||||
Purchase
Obligations |
| | | | | | | |||||||||||||||||||||||||||
Other Long-Term
Liabilities |
| |||||||||||||||||||||||||||||||||
Reflected on
the Registrants Balance Sheet under GAAP |
| | | | | | | |||||||||||||||||||||||||||
Total |
$ | 23,954 | $ | 20,816 | $ | 4,199 | $ | 85,165 | $ | 41,640 | $ | 907,699 | $ | 1,083,473 |
(1) | Represents principal payments. |
OFF-BALANCE SHEET ARRANGEMENTS
INSURANCE
INFLATION
IMPACT OF RECENTLY ISSUED ACCOUNTING STANDARDS
28
ITEM 7A. | QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK |
29
2005 |
2006 |
2007 |
2008 |
2009 |
Total Thereafter |
Total |
Fair Value |
|||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Long-term
Debt |
||||||||||||||||||||||||||||||||||
Fixed Rate
(1) |
$ | 24,262 | $ | 24,591 | | $ | 116,579 | $ | 65,000 | $ | 59,890 | $ | 290,322 | $ | 240,519 | |||||||||||||||||||
Average
interest rate |
2.79 | % | 6.33 | % | | 6.57 | % | 7.71 | % | 6.10 | % | 6.39 | % | |||||||||||||||||||||
Variable Rate
(1) |
$ | 20,000 | $ | 12,262 | | | $ | 40,000 | $ | 720,889 | $ | 793,151 | $ | 793,151 | ||||||||||||||||||||
Average
interest rate |
2.83 | % | 4.50 | % | | | 3.42 | % | 2.99 | % | 3.03 | % | ||||||||||||||||||||||
Interest Rate
Swaps (2) |
||||||||||||||||||||||||||||||||||
Variable to
Fixed |
$ | 75,000 | $ | 25,000 | $ | 92,800 | $ | 74,935 | $ | 35,230 | $ | 266,000 | $ | 568,965 | $ | (14,598 | ) | |||||||||||||||||
Average Pay
Rate |
6.67 | % | 7.49 | % | 5.89 | % | 5.46 | % | 3.88 | % | 5.20 | % | 5.56 | % | ||||||||||||||||||||
Interest Rate
Cap |
||||||||||||||||||||||||||||||||||
Variable to
Fixed |
| | $ | 6,805 | | $ | 15,770 | | $ | 22,575 | $ | 66 | ||||||||||||||||||||||
Average Pay
Rate |
| | 6.00 | % | | 6.00 | % | | 6.00 | % |
(1) | Excluding the effect of interest rate swap and cap agreements. |
(2) | Includes the Companys forward interest rate swap agreement. |
ITEM 8. | FINANCIAL STATEMENTS AND SUPPLEMENTARY DATA |
ITEM 9. | CHANGES IN AND DISAGREEMENTS WITH ACCOUNTANTS ON ACCOUNTING AND FINANCIAL DISCLOSURE |
ITEM 9A. | CONTROLS AND PROCEDURES |
EVALUATION OF DISCLOSURE CONTROLS AND PROCEDURES
30
MANAGEMENTS REPORT ON INTERNAL CONTROL OVER FINANCIAL REPORTING
MANAGEMENTS EVALUATION OF INTERNAL CONTROL OVER FINANCIAL REPORTING
Special Note Regarding Analyst Reports
ITEM 9B. | OTHER INFORMATION |
31
PART III
ITEM 10. | DIRECTORS AND EXECUTIVE OFFICERS OF THE REGISTRANT |
ITEM 11. | EXECUTIVE COMPENSATION |
ITEM 12. | SECURITY OWNERSHIP OF CERTAIN BENEFICIAL OWNERS AND MANAGEMENT AND RELATED STOCKHOLDER MATTERS |
ITEM 13. | CERTAIN RELATIONSHIPS AND RELATED TRANSACTIONS |
ITEM 14. | PRINCIPAL ACCOUNTANT FEES AND SERVICES |
32
PART IV
ITEM 15. | EXHIBITS, FINANCIAL STATEMENT SCHEDULES AND REPORTS ON FORM 8-K |
(a) | The following documents are filed as part of this Annual Report on Form 10-K: |
1. |
Reports of Independent Registered Public Accounting Firm |
F-1 |
||||||||
Consolidated Balance Sheets as of December 31, 2004 and 2003 |
F-3 |
|||||||||
Consolidated Statements of Operations for the years ended December 31, 2004, 2003 and 2002 |
F-4 |
|||||||||
Consolidated Statements of Shareholders Equity for the years ended December 31, 2004, 2003 and 2002 |
F-5 |
|||||||||
Consolidated Statements of Cash Flows for the years ended December 31, 2004, 2003 and 2002 |
F-6 |
|||||||||
Notes to Consolidated Financial Statements for the years ended December 31, 2004, 2003 and 2002 |
F-8 |
|||||||||
2. |
Financial Statement Schedule required to be filed by Item 8 and Paragraph (d) of this Item 14: |
|||||||||
Schedule IIIReal Estate Investments and Accumulated Depreciation as of December 31, 2004 |
F-27 |
|||||||||
3. |
The exhibits required by Item 601 of Regulation S-K, except as otherwise noted, have been filed with previous reports by the registrant and
are herein incorporated by reference. |
Exhibit Numbers |
Exhibit Description |
|||||
---|---|---|---|---|---|---|
3.1+ |
Amended and Restated Charter of Mid-America Apartment Communities, Inc. dated as of January 10, 1994, as filed with the Tennessee Secretary of
State on January 25, 1994 |
|||||
3.2****** |
Articles of Amendment to the Charter of Mid-America Apartment Communities, Inc. dated as of January 28, 1994, as filed with the Tennessee
Secretary of State on January 28, 1994 |
|||||
3.3** |
Mid-America Apartment Communities, Inc. Articles of Amendment to the Amended and Restated Charter Designating and Fixing the Rights and
Preferences of a Series of Preferred Stock dated as of October 9, 1996, as filed with the Tennessee Secretary of State on October 10,
1996 |
|||||
3.4****** |
Mid-America Apartment Communities, Inc. Articles of Amendment to the Amended and Restated Charter dated November 17, 1997, as filed with the
Tennessee Secretary of State on November 18, 1997 |
|||||
3.5*** |
Mid-America Apartment Communities, Inc. Articles of Amendment to the Amended and Restated Charter Designating and Fixing the Rights and
Preferences of a Series of Shares of Preferred Stock dated as of November 17, 1997, as filed with the Tennessee Secretary of State on November 18,
1997 |
|||||
3.6**** |
Mid-America Apartment Communities, Inc. Articles of Amendment to the Amended and Restated Charter Designating and Fixing the Rights and
Preferences of a Series of Shares of Preferred Stock dated as of June 26, 1998, as filed with the Tennessee Secretary of State on June 30,
1998 |
|||||
3.7@ |
Mid-America Apartment Communities, Inc. Articles of Amendment to the Amended and Restated Charter Designating and Fixing the Rights and
Preferences of A Series of Shares of Preferred Stock dated as of December 24, 1998, as filed with the Tennessee Secretary of State on December 30,
1998 |
33
Exhibit Numbers |
Exhibit Description | |||||
---|---|---|---|---|---|---|
3.8***** |
Mid-America Apartment Communities, Inc. Articles of Amendment to the Amended and Restated Charter Designating and Fixing the Rights and
Preferences of a Series of Shares of Preferred Stock dated as of October 11, 2002, as filed with the Tennessee Secretary of State on October 14,
2002 |
|||||
3.9@ |
Mid-America Apartment Communities, Inc. Articles of Amendment to the Amended and Restated Charter Designating and Fixing the Rights and
Preferences of a Series of Shares of Preferred Stock dated as of October 28, 2002, as filed with the Tennessee Secretary of State on October 28,
2002 |
|||||
3.10@ |
Mid-America Apartment Communities, Inc. Articles of Amendment to the Amended and Restated Charter Designating and Fixing the Rights and
Preferences of a Series of Shares of Preferred Stock dated as of August 7, 2003, as filed with the Tennessee Secretary of State on August 7,
2003 |
|||||
3.11* |
Bylaws of Mid-America Apartment Communities, Inc. |
|||||
4.1+ |
Form
of Common Share Certificate |
|||||
4.2** |
Form
of 9.5% Series A Cumulative Preferred Stock Certificate |
|||||
4.3*** |
Form
of 8-7/8% Series B Cumulative Preferred Stock Certificate |
|||||
4.4**** |
Form
of 9-3/8% Series C Cumulative Preferred Stock Certificate |
|||||
4.5@ |
Form
of 9.5% Series E Cumulative Preferred Stock Certificate |
|||||
4.6***** |
Form
of 9-1/4% Series F Cumulative Preferred Stock Certificate |
|||||
4.7@ |
Form
of 8.30% Series G Cumulative Preferred Stock Certificate |
|||||
4.8@ |
Form
of 8.30% Series H Cumulative Preferred Stock Certificate |
|||||
4.9+++ |
Shareholder Protection Rights Agreement dated March 1, 1999 |
|||||
10.1### |
Second Amended and Restated Agreement of Limited Partnership of Mid-America Apartments, L.P., a Tennessee limited
partnership |
|||||
10.2+++ |
Employment Agreement between the Registrant and H. Eric Bolton, Jr. |
|||||
10.3+++ |
Employment Agreement between the Registrant and Simon R.C. Wadsworth |
|||||
10.4# |
Fourth Amended and Restated 1994 Restricted Stock and Stock Option Plan |
|||||
10.5+++ |
Revolving Credit Agreement (Amended and Restated) between the Registrant and AmSouth Bank dated March 16, 1998 |
|||||
10.6+++ |
Sixth Amendment to Revolving Credit Agreement between the Registrant and AmSouth Bank dated November 12, 1999 |
|||||
10.7## |
Seventh Amendment to Revolving Credit Agreement between the Registrant and AmSouth Bank dated July 21, 2000 |
|||||
10.8### |
Eighth Amendment to Revolving Credit Agreement between the Registrant and AmSouth Bank dated April 19, 200l |
|||||
10.9@ |
AmSouth Revolving Credit Agreement (Amended and Restated) dated July 17, 2003 |
|||||
10.10 |
First Amendment to Amended and Restated Revolving Credit Agreement dated May 19, 2004 |
|||||
10.11+++ |
Master Credit Facility Agreement between the Registrant and WMF Washington Mortgage Corp. dated November 10, 1999 |
|||||
10.12@ |
Second Amended and Restated Master Credit Facility Agreement by and among Prudential Multifamily Mortgage, Inc., Mid-America Apartment
Communities, Inc. and Mid-America Apartments, L.P., dated March 30, 2004 |
34
Exhibit Numbers |
Exhibit Description | |||||
---|---|---|---|---|---|---|
10.13 |
First Amendment to Second Amended and Restated Master Credit Facility Agreement dated March 31, 2004 |
|||||
10.14 |
Second Amendment to Second Amended and Restated Master Credit Facility Agreement dated April 30, 2004 |
|||||
10.15 |
Third Amendment to Second Amended and Restated Master Credit Facility Agreement dated August 3, 2004 |
|||||
10.16 |
Fourth Amendment to Second Amended and Restated Master Credit Facility Agreement dated August 31, 2004 |
|||||
10.17 |
Fifth Amendment to Second Amended and Restated Master Credit Facility Agreement dated October 1, 2004 |
|||||
10.18 |
Sixth Amendment to Second Amended and Restated Master Credit Facility Agreement dated December 1, 2004 |
|||||
10.19 |
Seventh Amendment to Second Amended and Restated Master Credit Facility Agreement dated December 15, 2004 |
|||||
10.20@ |
Third Amended and Restated Master Credit Facility Agreement by and among Prudential Multifamily Mortgage, Inc., Mid-America Apartment
Communities, Inc., Mid-America Apartments, L.P. and Mid-America Apartments of Texas, L.P., dated March 31, 2004 |
|||||
10.21 |
Second Amendment to the Third Amended and Restated Master Credit Facility Agreement dated as of August 3, 2004 |
|||||
10.22 |
Third Amendment to the Third Amended and Restated Master Credit Facility Agreement dated as of December 1, 2004 |
|||||
10.23+ |
Note
Purchase Agreement of the Operating Partnership and the Registrant and Prudential Insurance Company of America |
|||||
10.24+ |
Amendment 1 to Note Purchase Agreement of the Operating Partnership and the Registrant and Prudential Insurance Company of
America |
|||||
10.25@ |
Master Reimbursement Agreement by and among Fannie Mae, Mid-America Apartments, L.P. and Fairways-Columbia, L.P. dated June 1,
2001 |
|||||
10.26@ |
Amendment No. 1 to Master Reimbursement Agreement by and among Fannie Mae, Mid-America Apartments, L.P. and Fairways-Columbia, L.P. dated
December 24, 2002 |
|||||
10.27@ |
Amendment No. 2 to Master Reimbursement Agreement by and among Fannie Mae, Mid-America Apartments, L.P. and Fairways-Columbia, L.P. dated May
30, 2003 |
|||||
10.28 |
Consent, Modification, Assumption of Indemnity Obligations and Release Agreement dated November 4, 2004 (Sunset Valley Apartments,
Texas) |
|||||
10.29 |
Consent, Modification, Assumption of Indemnity Obligations and Release Agreement dated November 4, 2004 (Village Apartments,
Texas) |
|||||
10.30 |
Consent, Modification, Assumption of Indemnity Obligations and Release Agreement dated November 4, 2004 (Coral Springs Apartments,
Florida) |
|||||
10.31 |
Credit Agreement dated September 28, 1998 by and among Jefferson Village, L.P., Jefferson at Sunset Valley, L.P. and JPI Coral Springs,
L.P. |
|||||
10.32@@ |
Credit Agreement by and among Mid-America Apartment Communities, Inc., Mid-America Apartments L.P. and Mid-America Apartments of Texas, L.P.
and Financial Federal Savings Bank dated June 29, 2004 |
|||||
10.33 |
Mid-America Apartment Communities, Inc. Non-Qualified Deferred Compensation Plan for Outside Company Directors as Amended Effective January 1,
2005 |
35
Exhibit Numbers |
Exhibit Description | |||||
---|---|---|---|---|---|---|
10.34 |
Mid-America Apartment Communities Non-Qualified Executive Deferred Compensation Retirement Plan as Amended Effective January 1,
2005 |
|||||
11.1 |
Statement re: computation of per share earnings (included within the Form 10-K) |
|||||
14.1@@ |
Code
of Ethics |
|||||
21.1 |
List
of Subsidiaries |
|||||
23.1 |
Consent of Independent Registered Public Accounting Firm |
|||||
31.1 |
Certification of Chief Executive Officer Pursuant to Section 302 of the Sarbanes-Oxley Act of 2002 |
|||||
31.2 |
Certification of Chief Financial Officer Pursuant to Section 302 of the Sarbanes-Oxley Act of 2002 |
|||||
32.1 |
Certification of Chief Executive Officer Pursuant to 18 U.S.C. Section 1350, as Adopted Pursuant to Section 906 of the Sarbanes-Oxley Act of
2002 |
|||||
32.2 |
Certification of Chief Financial Officer Pursuant to 18 U.S.C. Section 1350, as Adopted Pursuant to Section 906 of the Sarbanes-Oxley Act of
2002 |
|||||
@ |
Filed as Exhibit to the Registrants Registration Statement on Form S-3 (333-112469) filed with the Commission on February 4,
2004 |
|||||
@@ |
Filed as an Exhibit to the 2003 Annual Report of the Registrant on Form 10-K for the year ended December 31, 2003 |
|||||
* |
Filed as an exhibit to the Registrants Registration Statement on Form S-11/A (SEC File No. 33-69434) filed on January 21,
1994 |
|||||
** |
Filed as Exhibit 1 to the Registrants Registration Statement on Form 8-A filed with the Commission on October 11, 1996 |
|||||
*** |
Filed as Exhibit 4.1 to the Registrants Registration Statement on Form 8-A/A filed with the Commission on November 19,
1997 |
|||||
**** |
Filed as Exhibit 4.3 to the Registrants Registration Statement on Form 8-A filed with the Commission on June 26, 1998 |
|||||
***** |
Filed as Exhibit 4.2 to the Registrants Registration Statement on Form 8-A/A filed with the Commission on October 11,
2002 |
|||||
****** |
Filed as an exhibit to the 1996 Annual Report of the Registrant on Form 10-K for the year ended December 31, 1996 |
|||||
+ |
Filed as an exhibit to the 1997 Annual Report of the Registrant on Form 10-K for the year ended December 31, 1997 |
|||||
+++ |
Filed as an exhibit to the 1999 Annual Report of the Registrant on Form 10-K for the year ended December 31, 1999 |
|||||
# |
Filed as an exhibit to the Registrants Proxy Statement filed on April 24, 2002 |
|||||
## |
Filed as an exhibit to the 2000 Annual Report of the Registrant on Form 10-K for the year ended December 31, 2000 |
|||||
### |
Filed as an exhibit to the 2001 Annual Report of the Registrant on Form 10-K for the year ended December 31, 2001 |
|||||
#### |
Filed as an exhibit to the Quarterly Report of the Registrant on Form 10-Q for the quarterly period ended June 30, 2004 |
36
(b) | Reports on Form 8-K |
Form |
Events Reported |
Date of Report |
||||||||
---|---|---|---|---|---|---|---|---|---|---|
8-K |
Sale
of Island Retreat and update of hurricane damage |
10/1/2004 | ||||||||
8-K |
3Q04
Earnings Release |
11/4/2004 | ||||||||
8-K |
NAREIT Investor Update |
11/17/2004 |
(c) | Exhibits: |
(d) | Financial Statement Schedule: |
37
SIGNATURES
MID-AMERICA APARTMENT COMMUNITIES, INC. |
||||||
Date: March 8,
2005 |
/s/ H. ERIC BOLTON, JR. H. Eric Bolton, Jr. Chairman of the Board of Directors, President and Chief Executive Officer (Principal Executive Officer) |
Date: March 8,
2005 |
/s/
H. ERIC BOLTON, JR. H. Eric Bolton, Jr. Chairman of the Board of Directors, President and Chief Executive Officer (Principal Executive Officer) |
|||||
Date: March 8,
2005 |
/s/
SIMON R.C. WADSWORTH Simon R.C. Wadsworth Executive Vice President and Chief Financial Officer (Principal Financial and Accounting Officer) |
|||||
Date: March 8,
2005 |
/s/
GEORGE E. CATES George E. Cates Director |
|||||
Date: March 8,
2005 |
/s/
JOHN F. FLOURNOY John F. Flournoy Director |
|||||
Date: March 8,
2005 |
/s/
ROBERT F. FOGELMAN Robert F. Fogelman Director |
|||||
Date: March 8,
2005 |
/s/
ALAN B. GRAF, JR. Alan B. Graf, Jr. Director |
|||||
Date: March 8,
2005 |
/s/
JOHN S. GRINALDS John S. Grinalds Director |
|||||
Date: March 8,
2005 |
/s/
RALPH HORN Ralph Horn Director |
|||||
Date: March 8,
2005 |
/s/
MICHAEL S. STARNES Michael S. Starnes Director |
38
Report of Independent Registered Public Accounting Firm
F-1
Report of Independent Registered Public Accounting Firm
F-2
MID-AMERICA APARTMENT COMMUNITIES, INC.
CONSOLIDATED BALANCE SHEETS
December 31, 2004 and 2003
(Dollars in thousands)
2004 |
2003 |
|||||||||
---|---|---|---|---|---|---|---|---|---|---|
ASSETS: |
||||||||||
Real
estate assets: |
||||||||||
Land |
$ | 163,381 | $ | 142,416 | ||||||
Buildings and
improvements |
1,625,194 | 1,481,854 | ||||||||
Furniture,
fixtures and equipment |
41,682 | 38,812 | ||||||||
Capital
improvements in progress |
6,519 | 7,335 | ||||||||
1,836,776 | 1,670,417 | |||||||||
Less
accumulated depreciation |
(399,762 | ) | (339,704 | ) | ||||||
1,437,014 | 1,330,713 | |||||||||
Land held for
future development |
1,366 | 1,366 | ||||||||
Commercial
properties, net |
7,429 | 7,150 | ||||||||
Investments
in and advances to real estate joint ventures |
14,143 | 12,620 | ||||||||
Real
estate assets, net |
1,459,952 | 1,351,849 | ||||||||
Cash and cash
equivalents |
9,133 | 8,795 | ||||||||
Restricted
cash |
6,041 | 10,728 | ||||||||
Deferred
financing costs, net |
16,365 | 13,185 | ||||||||
Other
assets |
16,837 | 16,214 | ||||||||
Goodwill,
net |
5,400 | 5,762 | ||||||||
Assets held
for sale |
8,579 | | ||||||||
Total
assets |
$ | 1,522,307 | $ | 1,406,533 | ||||||
LIABILITIES AND SHAREHOLDERS EQUITY: |
||||||||||
Liabilities: |
||||||||||
Notes
payable |
$ | 1,083,473 | $ | 951,941 | ||||||
Accounts
payable |
767 | 1,696 | ||||||||
Accrued
expenses and other liabilities |
43,381 | 54,547 | ||||||||
Security
deposits |
5,821 | 5,036 | ||||||||
Liabilities
associated with assets held for sale |
164 | | ||||||||
Total
liabilities |
1,133,606 | 1,013,220 | ||||||||
Minority
interest |
31,376 | 32,019 | ||||||||
Shareholders equity: |
||||||||||
Preferred
stock, $.01 par value, 20,000,000 shares authorized, $176,862,500 or $25 per share liquidation preference: |
||||||||||
9.25% Series
F Cumulative Redeemable Preferred Stock, 3,000,000 shares authorized, 474,500 shares issued and outstanding |
5 | 5 | ||||||||
8.625% Series
G Cumulative Redeemable Preferred Stock, 400,000 shares authorized, 400,000 shares issued and outstanding |
4 | 4 | ||||||||
8.30% Series
H Cumulative Redeemable Preferred Stock, 6,200,000 shares authorized, 6,200,000 shares issued and outstanding |
62 | 62 | ||||||||
Common stock,
$.01 par value per share, 50,000,000 shares authorized; 20,856,791 and 20,031,614 shares issued and outstanding at December 31, 2004 and December 31,
2003, respectively |
209 | 200 | ||||||||
Additional
paid-in capital |
644,516 | 622,406 | ||||||||
Other |
(3,252 | ) | (3,711 | ) | ||||||
Accumulated
distributions in excess of net income |
(269,482 | ) | (232,224 | ) | ||||||
Accumulated
other comprehensive loss |
(14,737 | ) | (25,448 | ) | ||||||
Total
shareholders equity |
357,325 | 361,294 | ||||||||
Total
liabilities and shareholders equity |
$ | 1,522,307 | $ | 1,406,533 |
See accompanying notes to consolidated financial statements.
F-3
MID-AMERICA APARTMENT COMMUNITIES, INC.
CONSOLIDATED STATEMENTS OF
OPERATIONS
Years ended December 31, 2004, 2003 and 2002
(Dollars in thousands, except per share data)
2004 |
2003 |
2002 |
||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Operating
revenues: |
||||||||||||||
Rental
revenues |
$ | 257,265 | $ | 227,541 | $ | 220,123 | ||||||||
Other
property revenues |
9,937 | 8,399 | 7,953 | |||||||||||
Total
property revenues |
267,202 | 235,940 | 228,076 | |||||||||||
Management
fee income |
582 | 822 | 775 | |||||||||||
Total
operating revenues |
267,784 | 236,762 | 228,851 | |||||||||||
Property
operating expenses: |
||||||||||||||
Personnel |
32,154 | 27,485 | 25,647 | |||||||||||
Building
repairs and maintenance |
9,994 | 9,119 | 9,137 | |||||||||||
Real estate
taxes and insurance |
35,135 | 31,331 | 28,374 | |||||||||||
Utilities |
14,734 | 12,117 | 11,207 | |||||||||||
Landscaping |
7,251 | 6,462 | 6,100 | |||||||||||
Other
operating |
13,480 | 12,178 | 10,404 | |||||||||||
Depreciation |
68,653 | 58,074 | 54,285 | |||||||||||
Total
property operating expenses |
181,401 | 156,766 | 145,154 | |||||||||||
Property
management expenses |
10,357 | 8,435 | 8,633 | |||||||||||
General and
administrative expenses |
9,240 | 7,235 | 6,665 | |||||||||||
Income from
continuing operations before non-operating items |
66,786 | 64,326 | 68,399 | |||||||||||
Interest and
other non-property income |
593 | 835 | 729 | |||||||||||
Interest
expense |
(50,858 | ) | (44,991 | ) | (48,381 | ) | ||||||||
Gain (loss) on
debt extinguishment |
1,095 | 111 | (1,441 | ) | ||||||||||
Amortization of
deferred financing costs |
(1,753 | ) | (2,050 | ) | (2,700 | ) | ||||||||
Minority
interest in operating partnership income |
(2,264 | ) | (1,360 | ) | (388 | ) | ||||||||
Loss from
investments in unconsolidated entities |
(287 | ) | (949 | ) | (532 | ) | ||||||||
Net gain on
insurance and other settlement proceeds |
2,683 | 2,860 | 397 | |||||||||||
Gain on
disposition within unconsolidated entities |
3,249 | | | |||||||||||
Income from
continuing operations |
19,244 | 18,782 | 16,083 | |||||||||||
Discontinued
operations: |
||||||||||||||
Income (loss)
from discontinued operations before asset impairment, settlement proceeds and gain on sale |
(197 | ) | (577 | ) | 58 | |||||||||
Asset
impairment on discontinued operations |
(200 | ) | | | ||||||||||
Net gain on
insurance and other settlement proceeds on discontinued operations |
526 | 82 | | |||||||||||
Gain on sale
of discontinued operations |
5,825 | 1,919 | | |||||||||||
Net
income |
25,198 | 20,206 | 16,141 | |||||||||||
Preferred
dividend distribution |
14,825 | 15,419 | 16,029 | |||||||||||
Premiums and
original issuance costs associated with the redemption of preferred stock |
| 5,987 | 2,041 | |||||||||||
Net income
(loss) available for common shareholders |
$ | 10,373 | $ | (1,200 | ) | $ | (1,929 | ) | ||||||
Weighted
average shares outstanding (in thousands): |
||||||||||||||
Basic |
20,317 | 18,374 | 17,561 | |||||||||||
Effect of
dilutive stock options |
335 | | | |||||||||||
Diluted |
20,652 | 18,374 | 17,561 | |||||||||||
Net income
(loss) available for common shareholders |
$ | 10,373 | $ | (1,200 | ) | $ | (1,929 | ) | ||||||
Discontinued
property operations |
(5,954 | ) | (1,424 | ) | (58 | ) | ||||||||
Income (loss)
from continuing operations available for common shareholders |
$ | 4,419 | $ | (2,624 | ) | $ | (1,987 | ) | ||||||
Earnings per
sharebasic: |
||||||||||||||
Income (loss)
from continuing operations available for common shareholders |
$ | 0.22 | $ | (0.14 | ) | $ | (0.11 | ) | ||||||
Discontinued
property operations |
0.29 | 0.07 | | |||||||||||
Net income
(loss) available for common shareholders |
$ | 0.51 | $ | (0.07 | ) | $ | (0.11 | ) | ||||||
Earnings per
sharediluted: |
||||||||||||||
Income (loss)
from continuing operations available for common shareholders |
$ | 0.21 | $ | (0.14 | ) | $ | (0.11 | ) | ||||||
Discontinued
property operations |
0.29 | 0.07 | | |||||||||||
Net income
(loss) available for common shareholders |
$ | 0.50 | $ | (0.07 | ) | $ | (0.11 | ) |
See accompanying notes to consolidated financial statements.
F-4
MID-AMERICA APARTMENT COMMUNITIES, INC.
CONSOLIDATED STATEMENTS OF
SHAREHOLDERS EQUITY
Years Ended December 31, 2004, 2003 and 2002
(Dollars and Shares in Thousands)
Preferred Stock |
Common Stock |
|||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Shares |
Amount |
Shares |
Amount |
Additional Paid-In Capital |
Other |
Accumulated Distributions in Excess of Net Income |
Accumulated Other Comprehensive Income (Loss) |
Total |
||||||||||||||||||||||||||||||||||
BALANCE
DECEMBER 31, 2001 |
6,939 | $ | 69 | 17,453 | $ | 175 | $ | 552,705 | $ | (774 | ) | (145,061 | ) | $ | (8,756 | ) | $ | 398,358 | ||||||||||||||||||||||||
Comprehensive
loss: |
||||||||||||||||||||||||||||||||||||||||||
Net
income |
| | | | | | 16,141 | | 16,141 | |||||||||||||||||||||||||||||||||
Other
comprehensive lossderivative instruments (cash flow hedges) |
| | | | | | | (19,344 | ) | (19,344 | ) | |||||||||||||||||||||||||||||||
Comprehensive
loss |
(3,203 | ) | ||||||||||||||||||||||||||||||||||||||||
Issuance and
registration of common shares |
| | 53 | 1 | 1,306 | | | | 1,307 | |||||||||||||||||||||||||||||||||
Exercise of
stock options |
| | 48 | | 1,053 | | | | 1,053 | |||||||||||||||||||||||||||||||||
Restricted
shares issued to officers and directors (Note 8) |
| | 104 | 1 | 2,665 | (2,625 | ) | | | 41 | ||||||||||||||||||||||||||||||||
Notes
receivable issued for shares (Note 8) |
| | | | | (1,525 | ) | | | (1,525 | ) | |||||||||||||||||||||||||||||||
Amortization of
LESOP provision employee advances (Note 8) |
| | | | | 486 | | | 486 | |||||||||||||||||||||||||||||||||
Shares issued
in exchange for units |
| | 182 | 1 | 2,602 | | | | 2,603 | |||||||||||||||||||||||||||||||||
Adjustment for
Minority Interest Ownership in Operating Partnership |
| | | | 1,571 | | | | 1,571 | |||||||||||||||||||||||||||||||||
Amortization of
unearned compensation |
| | | | | 139 | | | 139 | |||||||||||||||||||||||||||||||||
Cash dividends
on common stock ($2.34 per share) |
| | | | | | (41,165 | ) | | (41,165 | ) | |||||||||||||||||||||||||||||||
Redemption of
preferred stock |
(1,000 | ) | (10 | ) | | | (24,699 | ) | | (2,041 | ) | | (26,750 | ) | ||||||||||||||||||||||||||||
Issuance of
preferred stock |
874 | 9 | | | 21,276 | | | | 21,285 | |||||||||||||||||||||||||||||||||
Dividends on
preferred stock |
| | | | | | (16,029 | ) | | (16,029 | ) | |||||||||||||||||||||||||||||||
BALANCE
DECEMBER 31, 2002 |
6,813 | 68 | 17,840 | 178 | 558,479 | (4,299 | ) | (188,155 | ) | (28,100 | ) | 338,171 | ||||||||||||||||||||||||||||||
Comprehensive
income: |
||||||||||||||||||||||||||||||||||||||||||
Net
income |
| | | | | | 20,206 | | 20,206 | |||||||||||||||||||||||||||||||||
Other
comprehensive incomederivative instruments (cash flow hedges) |
| | | | | | | 2,652 | 2,652 | |||||||||||||||||||||||||||||||||
Comprehensive
income |
22,858 | |||||||||||||||||||||||||||||||||||||||||
Issuance and
registration of common shares |
| | 1,821 | 18 | 52,837 | | | | 52,855 | |||||||||||||||||||||||||||||||||
Exercise of
stock options |
| | 308 | 3 | 7,178 | | | | 7,181 | |||||||||||||||||||||||||||||||||
Repurchase of
common shares |
| | | | (47 | ) | | | | (47 | ) | |||||||||||||||||||||||||||||||
Restricted
shares issued to officers and directors (Note 8) |
| | 8 | | 213 | (213 | ) | | | | ||||||||||||||||||||||||||||||||
Amortization of
LESOP provision employee advances (Note 8) |
| | | | | 385 | | | 385 | |||||||||||||||||||||||||||||||||
Shares issued
in exchange for units |
| | 55 | 1 | 627 | | | | 628 | |||||||||||||||||||||||||||||||||
Adjustment for
Minority Interest Ownership in Operating Partnership |
| | | | (4,258 | ) | | | | (4,258 | ) | |||||||||||||||||||||||||||||||
Amortization of
unearned compensation |
| | | | | 416 | | | 416 | |||||||||||||||||||||||||||||||||
Cash dividends
on common stock ($2.34 per share) |
| | | | | | (42,869 | ) | | (42,869 | ) | |||||||||||||||||||||||||||||||
Redemption of
preferred stock |
(5,938 | ) | (59 | ) | | | (142,447 | ) | | (5,987 | ) | | (148,493 | ) | ||||||||||||||||||||||||||||
Issuance of
preferred stock |
6,200 | 62 | | | 149,824 | | | | 149,886 | |||||||||||||||||||||||||||||||||
Dividends on
preferred stock |
| | | | | | (15,419 | ) | | (15,419 | ) | |||||||||||||||||||||||||||||||
BALANCE
DECEMBER 31, 2003 |
7,075 | 71 | 20,032 | 200 | 622,406 | (3,711 | ) | (232,224 | ) | (25,448 | ) | 361,294 | ||||||||||||||||||||||||||||||
Comprehensive
income: |
||||||||||||||||||||||||||||||||||||||||||
Net
income |
| | | | | | 25,198 | | 25,198 | |||||||||||||||||||||||||||||||||
Other
comprehensive incomederivative instruments (cash flow hedges) |
| | | | | | | 10,711 | 10,711 | |||||||||||||||||||||||||||||||||
Comprehensive
income |
35,909 | |||||||||||||||||||||||||||||||||||||||||
Issuance and
registration of common shares |
| | 435 | 5 | 16,512 | | | | 16,517 | |||||||||||||||||||||||||||||||||
Exercise of
stock options |
| | 343 | 3 | 8,888 | | | | 8,891 | |||||||||||||||||||||||||||||||||
Repurchase of
common shares |
| | (2 | ) | | (54 | ) | | | | (54 | ) | ||||||||||||||||||||||||||||||
Restricted
shares issued to officers and directors (Note 8) |
| | 2 | | 104 | (104 | ) | | | | ||||||||||||||||||||||||||||||||
Amortization of
LESOP provision employee advances (Note 8) |
| | | | | 293 | | | 293 | |||||||||||||||||||||||||||||||||
Shares issued
in exchange for units |
| | 47 | 1 | 511 | | | | 512 | |||||||||||||||||||||||||||||||||
Adjustment for
Minority Interest Ownership in Operating Partnership |
| | | | (3,851 | ) | | | | (3,851 | ) | |||||||||||||||||||||||||||||||
Amortization of
unearned compensation |
| | | | | 270 | | | 270 | |||||||||||||||||||||||||||||||||
Cash dividends
on common stock ($2.34 per share) |
| | | | | | (47,631 | ) | | (47,631 | ) | |||||||||||||||||||||||||||||||
Dividends on
preferred stock |
| | | | | | (14,825 | ) | | (14,825 | ) | |||||||||||||||||||||||||||||||
BALANCE
DECEMBER 31, 2004 |
7,075 | $ | 71 | 20,857 | $ | 209 | $ | 644,516 | $ | (3,252 | ) | $ | (269,482 | ) | $ | (14,737 | ) | $ | 357,325 |
F-5
See accompanying notes to consolidated financial statements.
MID-AMERICA APARTMENT COMMUNITIES, INC.
CONSOLIDATED STATEMENTS OF CASH
FLOWS
Years ended December 31, 2004, 2003 and 2002
(Dollars in thousands)
2004 |
2003 |
2002 |
||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Cash flows
from operating activities: |
||||||||||||||||||
Net
income |
$ | 25,198 | $ | 20,206 | $ | 16,141 | ||||||||||||
Adjustments
to reconcile net income to net cash provided by operating activities: |
||||||||||||||||||
(Income) loss
from discontinued operations before asset impairment, settlement proceeds and gain on sale |
197 | 577 | (58 | ) | ||||||||||||||
Depreciation
and amortization |
70,406 | 60,124 | 56,985 | |||||||||||||||
Amortization
of unearned stock compensation |
563 | 801 | 625 | |||||||||||||||
Amortization
of debt premium |
(1,575 | ) | (1,429 | ) | | |||||||||||||
Equity in
loss of real estate joint ventures |
287 | 949 | 532 | |||||||||||||||
Minority
interest in operating partnership income |
2,264 | 1,360 | 388 | |||||||||||||||
(Gain) loss
on debt extinguishment |
(1,095 | ) | (111 | ) | 1,441 | |||||||||||||
Gain on the
sale of discontinued operations |
(5,825 | ) | (1,919 | ) | | |||||||||||||
Insurance and
other settlement proceeds on discontinued operations |
(526 | ) | (82 | ) | | |||||||||||||
Asset
impairment on discontinued operations |
200 | | | |||||||||||||||
Net gain on
insurance and other settlement proceeds |
(2,683 | ) | (2,860 | ) | (397 | ) | ||||||||||||
Gain on
dispositions related to unconsolidated entities |
(3,249 | ) | | | ||||||||||||||
Changes in
assets and liabilities: |
||||||||||||||||||
Restricted
cash |
4,687 | (3,265 | ) | 3,777 | ||||||||||||||
Other
assets |
(778 | ) | (2,517 | ) | (2,883 | ) | ||||||||||||
Accounts
payable |
(926 | ) | 1,232 | (755 | ) | |||||||||||||
Accrued
expenses and other |
264 | 2,824 | 4,337 | |||||||||||||||
Security
deposits |
820 | 630 | (108 | ) | ||||||||||||||
Net cash
provided by operating activities |
88,229 | 76,520 | 80,025 | |||||||||||||||
Cash flows
from investing activities: |
||||||||||||||||||
Purchases of
real estate and other assets |
(155,088 | ) | (116,835 | ) | (37,233 | ) | ||||||||||||
Improvements
to existing real estate assets |
(30,413 | ) | (22,832 | ) | (22,032 | ) | ||||||||||||
Construction
of units in progress and future developments |
| | (2,270 | ) | ||||||||||||||
Distributions
from real estate joint venture |
6,427 | 445 | 275 | |||||||||||||||
Contributions
to real estate joint ventures |
(5,222 | ) | (4,727 | ) | (4,054 | ) | ||||||||||||
(Note issued
to) payments received from real estate joint ventures |
234 | | (4,708 | ) | ||||||||||||||
Proceeds from
disposition of real estate assets |
15,679 | 26,247 | 36,891 | |||||||||||||||
Purchase of
Blacksone Joint Venture |
| (21,853 | ) | | ||||||||||||||
Net cash
used in investing activities |
(168,383 | ) | (139,555 | ) | (33,131 | ) | ||||||||||||
Cash flows
from financing activities: |
||||||||||||||||||
Net change in
credit lines |
189,496 | 218,399 | 60,623 | |||||||||||||||
Proceeds from
notes payable |
91,434 | 27,498 | 11,900 | |||||||||||||||
Principal
payments on notes payable |
(152,046 | ) | (175,852 | ) | (49,625 | ) | ||||||||||||
Payment of
deferred financing costs |
(5,044 | ) | (5,083 | ) | (2,896 | ) | ||||||||||||
Repurchase of
common stock |
(54 | ) | (47 | ) | | |||||||||||||
Proceeds from
issuances of common shares and units |
25,408 | 60,036 | 875 | |||||||||||||||
Distributions
to unitholders |
(6,246 | ) | (6,376 | ) | (6,710 | ) | ||||||||||||
Dividends
paid on common shares |
(47,631 | ) | (42,869 | ) | (41,165 | ) | ||||||||||||
Dividends
paid on preferred shares |
(14,825 | ) | (15,419 | ) | (16,029 | ) | ||||||||||||
Proceeds from
isssuance of preferred stock |
| 149,886 | 21,285 | |||||||||||||||
Redemption of
preferred stock |
| (148,493 | ) | (26,750 | ) | |||||||||||||
Net cash
provided by (used in) financing activities |
80,492 | 61,680 | (48,492 | ) | ||||||||||||||
Net
increase (decrease) in cash and cash equivalents |
338 | (1,355 | ) | (1,598 | ) | |||||||||||||
Cash and cash
equivalents, beginning of period |
8,795 | 10,150 | 11,748 | |||||||||||||||
Cash and cash
equivalents, end of period |
$ | 9,133 | $ | 8,795 | $ | 10,150 |
See accompanying notes to consolidated financial statements.
F-6
2004 |
2003 |
2002 |
||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Supplemental disclosure of cash flow information: |
||||||||||||||||||
Interest
paid |
$ | 53,295 | $ | 45,277 | $ | 49,786 | ||||||||||||
Supplemental disclosure of noncash investing and financing activities: |
||||||||||||||||||
Conversion of
units to common shares |
$ | 512 | $ | 628 | $ | 2,603 | ||||||||||||
Issuance of
restricted common shares |
$ | 104 | $ | 213 | $ | 2,665 | ||||||||||||
Interest
capitalized |
$ | 239 | ||||||||||||||||
Marked-to-market adjustment on derivative instruments |
$ | 10,711 | $ | 2,652 | $ | (19,344 | ) | |||||||||||
Fair value
adjustment on debt assumed |
$ | 5,757 | $ | | $ | | ||||||||||||
In August
2003, the Company purchased the limited partnership interest held by Blackstone Real Estate Advisors in BRE/MAAC Associates, LLC. In conjunction with
the acquisition, liabilities were assumed as follows: |
||||||||||||||||||
Fair value of
assets acquired |
$ | | $ | 75,091 | $ | | ||||||||||||
Cash
paid |
| (21,853 | ) | | ||||||||||||||
Debt
assumed |
$ | | $ | 53,238 | $ | |
See accompanying notes to consolidated financial statements.
F-7
Mid-America Apartment Communities, Inc.
Notes to Consolidated Financial
Statements
Years ended December 31, 2004, 2003 and 2002
1. | Organization and Summary of Significant Accounting Policies |
Organization and Formation of the Company
Basis of Presentation
Minority Interest
Use of Estimates
Revenue Recognition
F-8
Rental Costs
Earnings Per Share
Cash and Cash Equivalents
Restricted Cash
Real Estate Assets and Depreciation
F-9
Goodwill and Intangible Assets
F-10
Land Held for Future Development
Investment In and Advances to Real Estate Joint Ventures
Deferred Financing Costs
Derivative Financial Instruments
F-11
Recent Accounting Pronouncements
Stock-Based Compensation
F-12
Years Ended December 31, |
|||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
2004 |
2003 |
2002 |
|||||||||||||
Net income
(loss) available for common shareholders |
$ | 10,373 | $ | (1,200 | ) | $ | (1,929 | ) | |||||||
Add:
Stock-based employee compensation expense included in reported net income |
| | | ||||||||||||
Less:
Stock-based employee compensation expense from employee stock purchase plan discount |
27 | 22 | 17 | ||||||||||||
Less:
Stock-based employee compensation expense determined under fair value method of accounting |
144 | 225 | 189 | ||||||||||||
Pro forma net
income (loss) available for common shareholders |
$ | 10,202 | $ | (1,447 | ) | $ | (2,135 | ) | |||||||
Average
common shares outstandingbasic |
20,317 | 18,374 | 17,561 | ||||||||||||
Average
common shares outstandingdiluted |
20,652 | 18,374 | 17,561 | ||||||||||||
Net income
(loss) available per common share: |
|||||||||||||||
Basic as
reported |
$ | 0.51 | $ | (0.07 | ) | $ | (0.11 | ) | |||||||
Basic pro
forma |
$ | 0.50 | $ | (0.08 | ) | $ | (0.12 | ) | |||||||
Diluted as
reported |
$ | 0.50 | $ | (0.07 | ) | $ | (0.11 | ) | |||||||
Diluted pro
forma |
$ | 0.49 | $ | (0.08 | ) | $ | (0.12 | ) | |||||||
Assumptions: |
|||||||||||||||
Risk free
interest rate |
N/A | N/A | 4.30 | % | |||||||||||
Expected
lifeyears |
N/A | N/A | 6.5 | ||||||||||||
Expected
volatility |
N/A | N/A | 15.45 | % | |||||||||||
Expected
dividends |
N/A | N/A | 9.57 | % |
2. | Real Estate Joint Ventures |
Assets Held for
Sale |
||||||
Real Estate
Assets, Net |
$ | 49,221 | ||||
Other
Assets |
1,674 | |||||
Total Assets
Held for Sale |
$ | 50,895 | ||||
Liabilities and
Equity Associated with Assets Held for Sale |
||||||
Mortgage
Debt |
$ | 30,009 | ||||
DebtMid-America Apartments, L.P. |
4,474 | |||||
Other
Liabilities |
725 | |||||
Total
Liabilities Associated with Assets Held for Sale |
35,208 | |||||
Equity |
15,687 | |||||
Total
Liabilities and Equity |
$ | 50,895 | ||||
Total
Revenues |
$ | 9,344 | ||||
Depreciation
Expense |
$ | 2,498 | ||||
Net Gain on
Disposition of Real Estate Assets |
$ | 9,746 | ||||
Net
Income |
$ | 10,709 |
F-13
Assets |
||||||
Real Estate
Assets, Gross |
$ | 45,381 | ||||
Real Estate
Assets, Net |
42,813 | |||||
Other
Assets |
1,953 | |||||
Total
Assets |
$ | 44,766 | ||||
Liabilities and
Equity |
||||||
Mortgage
Debt |
$ | 30,000 | ||||
Other
Liabilities |
1,517 | |||||
Equity |
13,249 | |||||
Total
Liabilities and Equity |
$ | 44,766 | ||||
Total
Revenues |
$ | 5,016 | ||||
Depreciation
Expense |
$ | 2,568 | ||||
Net
Loss |
($1,763 | ) |
Investment In |
Advances To |
|||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
2004 |
2003 |
2002 |
2004 |
2003 |
2002 |
|||||||||||||||||||||||||||
CH/Realty |
$ | 5.2 | $ | 7.9 | $ | 4.1 | $ | 4.5 | $ | 4.7 | $ | 4.7 | ||||||||||||||||||||
CH/Realty
II |
$ | 4.4 | $ | | $ | | $ | | $ | | $ | | ||||||||||||||||||||
Bre/MAAC |
$ | | $ | | $ | 2.8 | $ | | $ | | $ | 3.4 |
3. | Borrowings |
F-14
F-15
At December 31, 2004 |
||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Actual Interest Rates |
Average Interest Rate |
Maturity |
Balance |
Balance at December 31, 2003 |
||||||||||||||||||
Fixed
Rate: |
||||||||||||||||||||||
Taxable |
2.7888.760% | 6.488 | % | 20052044 | $ | 255.3 | $ | 312.5 | ||||||||||||||
Tax-exempt |
5.1776.090% | 5.671 | % | 20202028 | 35.0 | 73.3 | ||||||||||||||||
Interest rate swaps |
3.2267.515% | 5.591 | % | 20052012 | 519.0 | 342.7 | ||||||||||||||||
$ | 809.3 | $ | 728.5 | |||||||||||||||||||
Variable
Rate:(1) |
||||||||||||||||||||||
Taxable |
2.8344.500% | 3.099 | % | 20052014 | $ | 240.8 | $ | 205.7 | ||||||||||||||
Tax-exempt |
2.5652.739% | 2.648 | % | 20282033 | 10.8 | 10.9 | ||||||||||||||||
Interest rate
caps |
2.846% |
2.846 | % | 20072009 | 22.6 | 6.8 | ||||||||||||||||
$ | 274.2 | $ | 223.4 | |||||||||||||||||||
$ | 1,083.5 | $ | 951.9 |
(1) |
Amounts are adjusted to reflect interest rate swap and cap agreements which results in the Company paying fixed interest payments over the terms of the interest rate swaps and on changes in interest rates above the strike rate of the cap. |
Year |
Amortization |
Maturities |
Total |
|||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
2005 |
$ | 3,954 | $ | 20,000 | $ | 23,954 | ||||||||
2006 |
4,095 | 16,721 | 20,816 | |||||||||||
2007 |
4,199 | | 4,199 | |||||||||||
2008 |
3,450 | 81,715 | 85,165 | |||||||||||
2009 |
1,640 | 40,000 | 41,640 | |||||||||||
Thereafter |
61,493 | 846,206 | 907,699 | |||||||||||
$ | 78,831 | $ | 1,004,642 | $ | 1,083,473 |
4. | Fair Value Disclosure of Financial Instruments |
F-16
5. | Commitments and Contingencies |
6. | Income Taxes |
2004 |
2003 |
2002 |
||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Per common
share |
||||||||||||||
Ordinary
income |
$ | 1.05 | $ | 1.13 | $ | 1.16 | ||||||||
Capital
gains |
0.26 | 0.14 | | |||||||||||
Return of
capital |
1.03 | 1.07 | 1.18 | |||||||||||
Total |
$ | 2.34 | $ | 2.34 | $ | 2.34 |
7. | Shareholders Equity |
Series A Preferred Stock
F-17
Series B Preferred Stock
Series C Preferred Stock
Series D Preferred StockShareholders Rights Plan
Series F Preferred Stock
Series G Preferred Stock
Series H Preferred Stock
Direct Stock Purchase and Distribution Reinvestment Plan
F-18
Stock Repurchase Plan
8. | Employee Benefit Plans |
401 (k) Savings Plan
Non-Qualified Deferred Compensation Retirement Plan
Non-Qualified Deferred Compensation Plan for Outside Company Directors
Employee Stock Purchase Plan
F-19
Employee Stock Ownership Plan
Stock Option Plan
F-20
Options |
Weighted Average Exercise Price |
|||||||||
---|---|---|---|---|---|---|---|---|---|---|
Outstanding
at December 31, 2001 |
1,229,494 | $ | 23.94 | |||||||
Granted |
349,400 | $ | 25.52 | |||||||
Exercised |
(44,290 | ) | $ | 21.64 | ||||||
Forfeited |
(110,580 | ) | $ | 24.34 | ||||||
Outstanding
at December 31, 2002 |
1,424,024 | $ | 24.37 | |||||||
Granted |
| |||||||||
Exercised |
(308,467 | ) | $ | 23.12 | ||||||
Forfeited |
(77,587 | ) | $ | 23.85 | ||||||
Outstanding
at December 31, 2003 |
1,037,970 | $ | 24.78 | |||||||
Granted |
| |||||||||
Exercised |
(343,429 | ) | $ | 25.76 | ||||||
Forfeited |
(20,475 | ) | $ | 24.14 | ||||||
Outstanding
at December 31, 2004 |
674,066 | $ | 24.30 | |||||||
Options
exercisable: |
||||||||||
December 31,
2002 |
534,819 | $ | 25.58 | |||||||
December 31,
2003 |
403,070 | $ | 26.75 | |||||||
December 31,
2004 |
247,216 | $ | 25.06 |
Long-Term Performance Based Incentive Plan for Executive Officers
9. | Earnings from Discontinued Operations |
F-21
(Dollars in thousands) |
2004 |
2003 |
2002 |
|||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Revenues: |
||||||||||||||
Rental
revenues |
$ | 2,857 | $ | 3,355 | $ | 3,997 | ||||||||
Other
revenues |
64 | 89 | 94 | |||||||||||
Total
revenues |
2,921 | 3,444 | 4,091 | |||||||||||
Expenses: |
||||||||||||||
Property
operating expenses |
1,798 | 1,945 | 1,973 | |||||||||||
Depreciation
and amortization |
681 | 1,023 | 978 | |||||||||||
Interest
expense |
575 | 1,041 | 1,067 | |||||||||||
Loss on debt
extinguishment |
60 | | 3 | |||||||||||
Amortization
of deferred financing costs |
4 | 12 | 12 | |||||||||||
Asset
impairment |
200 | | | |||||||||||
Total
expenses |
3,318 | 4,021 | 4,033 | |||||||||||
Earnings from
discontinued operations before gain on sale and settlement proceeds |
(397 | ) | (577 | ) | 58 | |||||||||
Net gain on
insurance and other settlement proceeds |
526 | 82 | | |||||||||||
Gain on
sale |
5,825 | 1,919 | | |||||||||||
Earnings
from discontinued operations |
$ | 5,954 | $ | 1,424 | $ | 58 |
10. | Derivative Financial Instruments |
F-22
11. | Related Party Transactions |
12. | Segment Information |
F-23
2004 |
2003 |
2002 |
||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Multifamily
rental revenues |
$ | 274,004 | $ | 250,709 | $ | 242,913 | ||||||||
Other
multifamily revenues |
10,479 | 9,297 | 8,212 | |||||||||||
Segment
revenues |
284,483 | 260,006 | 251,125 | |||||||||||
Reconciling
items to consolidated revenues: |
||||||||||||||
Joint
ventures revenues including discontinued operations |
(14,360 | ) | (20,622 | ) | (18,958 | ) | ||||||||
Discontinued
operations revenues |
(2,921 | ) | (3,444 | ) | (4,091 | ) | ||||||||
Management
fee income |
582 | 822 | 775 | |||||||||||
Total
revenues |
$ | 267,784 | $ | 236,762 | $ | 228,851 | ||||||||
Multifamily
net operating income |
163,575 | 149,579 | 150,360 | |||||||||||
Reconciling
items to net income: |
||||||||||||||
Joint venture
net operating income |
(7,416 | ) | (10,010 | ) | (10,260 | ) | ||||||||
Discontinued
operations net operating income |
(1,123 | ) | (1,499 | ) | (2,118 | ) | ||||||||
Interest
income and other non-property income |
593 | 835 | 729 | |||||||||||
Loss from
investments in unconsolidated entities |
(287 | ) | (949 | ) | (532 | ) | ||||||||
Depreciation
and amortization |
(68,653 | ) | (58,074 | ) | (54,285 | ) | ||||||||
Property
management expenses |
(10,357 | ) | (8,435 | ) | (8,633 | ) | ||||||||
General and
administrative expenses |
(9,240 | ) | (7,235 | ) | (6,665 | ) | ||||||||
Interest
expense |
(50,858 | ) | (44,991 | ) | (48,381 | ) | ||||||||
Gain (loss)
on debt extinguishment |
1,095 | 111 | (1,441 | ) | ||||||||||
Amortization
of deferred financing costs |
(1,753 | ) | (2,050 | ) | (2,700 | ) | ||||||||
Net gain on
insurance and other settlement proceeds |
2,683 | 2,860 | 397 | |||||||||||
Gain on
disposition within unconsolidated entities |
3,249 | | | |||||||||||
Minority
interest in operating partnership income |
(2,264 | ) | (1,360 | ) | (388 | ) | ||||||||
Discontinued
property operations before asset impairment, settlement proceeds and gain on sale |
(197 | ) | (577 | ) | 58 | |||||||||
Asset
impairment on discontinued operations |
(200 | ) | | | ||||||||||
Net gain on
insurance and settlement proceeds on discontinued operations |
526 | 82 | | |||||||||||
Gain on sale
of discontinued operations |
5,825 | 1,919 | | |||||||||||
Preferred
dividend distributions |
(14,825 | ) | (15,419 | ) | (16,029 | ) | ||||||||
Premiums and
original issuance costs associated with the redemption of preferred stock |
| (5,987 | ) | (2,041 | ) | |||||||||
Net income
(loss) available for common shareholders |
$ | 10,373 | $ | (1,200 | ) | $ | (1,929 | ) | ||||||
Assets: |
2004 |
2003 |
||||||||||||
Multifamily
real estate assets |
$ | 1,950,444 | $ | 1,747,154 | ||||||||||
Accumulated
depreciationmultifamily assets |
(412,847 | ) | (343,968 | ) | ||||||||||
1,537,597 | 1,403,186 | |||||||||||||
Reconciling
items to total assets: |
||||||||||||||
Joint
ventures multifamily real estate assets, net |
(92,034 | ) | (72,473 | ) | ||||||||||
Land held for
future development |
1,366 | 1,366 | ||||||||||||
Commercial
properties, net |
7,429 | 7,150 | ||||||||||||
Investment in
and advances to real estate joint ventures |
14,143 | 12,620 | ||||||||||||
Cash and
restricted cash |
15,174 | 19,523 | ||||||||||||
Other
assets |
38,602 | 35,161 | ||||||||||||
Non real
estate assets held for sale |
30 | | ||||||||||||
Total
assets |
$ | 1,522,307 | $ | 1,406,533 | ||||||||||
2004 |
2003 |
2002 |
||||||||||||
Multifamily
expenditures for property improvements and construction |
$ | 30,560 | $ | 25,316 | $ | 23,860 | ||||||||
Less
reconciling items: |
||||||||||||||
Joint
ventures property improvements |
(147 | ) | (2,484 | ) | (1,828 | ) | ||||||||
Total
expenditures for property improvements and construction |
$ | 30,413 | $ | 22,832 | $ | 22,032 |
F-24
13. | Subsequent Events |
14. | Selected Quarterly Financial Information (Unaudited) |
Mid-America Apartment Communities, Inc.
Quarterly Financial Data
(Unaudited)
(Dollars in thousands except per share data)
Year Ended December 31, 2004 |
|||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
First |
Second |
Third |
Fourth |
||||||||||||||||
Total
revenues |
$ | 65,501 | $ | 66,066 | $ | 67,527 | $ | 68,690 | |||||||||||
Income from
continuing operations before non-operating items |
$ | 16,540 | $ | 16,456 | $ | 16,573 | $ | 17,217 | |||||||||||
Interest
expense |
$ | 12,341 | $ | 12,030 | $ | 12,868 | $ | 13,619 | |||||||||||
Gain (loss)
on debt extinguishment |
$ | 82 | $ | (299 | ) | $ | 38 | $ | 1,274 | ||||||||||
Minority
interest in operating partnership income |
$ | 460 | $ | 405 | $ | 436 | $ | 452 | |||||||||||
Loss from
investments in unconsolidated entities |
$ | 41 | $ | 33 | $ | 61 | $ | 152 | |||||||||||
Net gain
(loss) on insurance and other settlement proceeds |
$ | 1,628 | $ | 1,228 | $ | 248 | $ | (421 | ) | ||||||||||
Gain on
disposition within unconsolidated entities |
$ | | $ | | $ | | $ | 3,249 | |||||||||||
Discontinued
operations: |
|||||||||||||||||||
Loss from
discontinued operations before asset impairment, settlement proceeds and gain on sale |
$ | (76 | ) | $ | (53 | ) | $ | (54 | ) | $ | (14 | ) | |||||||
Asset
impairment on discontinued operations |
$ | | $ | | $ | | $ | (200 | ) | ||||||||||
Net gain on
insurance and other settlement proceeds on discontinued operations |
$ | | $ | 526 | $ | | $ | | |||||||||||
Gain on sale
of discontinued operations |
$ | | $ | | $ | | $ | 5,825 | |||||||||||
Net
income |
$ | 5,055 | $ | 4,992 | $ | 3,131 | $ | 12,020 | |||||||||||
Premiums and
original issuance costs associated with the redemption of preferred stock |
$ | | $ | | $ | | $ | | |||||||||||
Net income
(loss) available for common shareholders |
$ | 1,349 | $ | 1,286 | $ | (576 | ) | $ | 8,314 | ||||||||||
Per
share: |
|||||||||||||||||||
Net income
(loss) available per common sharebasic |
$ | 0.07 | $ | 0.06 | $ | (0.03 | ) | $ | 0.40 | ||||||||||
Net income
(loss) available per common sharediluted |
$ | 0.07 | $ | 0.06 | $ | (0.03 | ) | $ | 0.40 | ||||||||||
Dividend
declared |
$ | 0.585 | $ | 0.585 | $ | 0.585 | $ | 0.585 |
F-25
Year Ended December 31, 2003 |
|||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
First |
Second |
Third |
Fourth |
||||||||||||||||
Total
revenues |
$ | 56,721 | $ | 57,241 | $ | 59,332 | $ | 63,468 | |||||||||||
Income from
continuing operations before non-operating items |
$ | 16,354 | $ | 16,113 | $ | 15,021 | $ | 16,838 | |||||||||||
Interest
expense |
$ | 11,380 | $ | 10,510 | $ | 11,426 | $ | 11,675 | |||||||||||
Gain (loss)
on debt extinguishment |
$ | | $ | (205 | ) | $ | 101 | $ | 215 | ||||||||||
Minority
interest in operating partnership income |
$ | 133 | $ | 206 | $ | 778 | $ | 243 | |||||||||||
Loss from
investments in unconsolidated entities |
$ | 125 | $ | 183 | $ | 8 | $ | 633 | |||||||||||
Net gain
(loss) on insurance and other settlement proceeds |
$ | (3 | ) | $ | 528 | $ | 2,075 | $ | 260 | ||||||||||
Gain on
disposition within unconsolidated entities |
$ | | $ | | $ | | $ | | |||||||||||
Discontinued
operations: |
|||||||||||||||||||
Loss from
discontinued operations before asset impairment, settlement proceeds and gain on sale |
$ | (75 | ) | $ | (164 | ) | $ | (177 | ) | $ | (161 | ) | |||||||
Asset
impairment on discontinued operations |
$ | | $ | | $ | | $ | | |||||||||||
Net gain on
insurance and other settlement proceeds on discontinued operations |
$ | 82 | $ | | $ | | $ | | |||||||||||
Gain (loss)
on sale of discontinued operations |
$ | | $ | | $ | 1,921 | $ | (2 | ) | ||||||||||
Net
income |
$ | 4,326 | $ | 5,105 | $ | 6,470 | $ | 4,305 | |||||||||||
Premiums and
original issuance costs associated with the redemption of preferred stock |
$ | | $ | | $ | 5,987 | $ | | |||||||||||
Net income
(loss) available for common shareholders |
$ | 401 | $ | 1,180 | $ | (3,062 | ) | $ | 281 | ||||||||||
Per
share: |
|||||||||||||||||||
Net income
(loss) available per common sharebasic |
$ | 0.02 | $ | 0.07 | $ | (0.17 | ) | $ | 0.01 | ||||||||||
Net income
(loss) available per common sharediluted |
$ | 0.02 | $ | 0.07 | $ | (0.17 | ) | $ | 0.01 | ||||||||||
Dividend
declared |
$ | 0.585 | $ | 0.585 | $ | 0.585 | $ | 0.585 |
F-26
MID-AMERICA APARTMENT COMMUNITIES, INC.
SCHEDULE III
REAL ESTATE AND
ACCUMULATED DEPRECIATION
December 31, 2004
(Dollars in thousands)
Initial Cost |
Cost Capitalized subsequent to Acquisition |
Gross Amount carried at December 31, 2004 (20) |
||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Property |
Location |
Encumbrances |
Land |
Buildings and Fixtures |
Land |
Buildings and Fixtures |
Land |
Buildings and Fixtures |
Total |
Accumulated Depreciation |
Net |
Date of Construction |
Life used to compute depreciation in latest income statement (21) |
|||||||||||||||||||||||||||||||||||||||||
Eagle
Ridge |
Birmingham, AL |
$ | | (1) | $ | 851 | $ | 7,667 | $ | | $ | 957 | $ | 851 | $ | 8,624 | $ | 9,475 | $ | (2,187 | ) | $ | 7,288 | 1986 | 540 | |||||||||||||||||||||||||||||
Abbington
Place |
Huntsville, AL |
| (1) | 524 | 4,724 | | 1,186 | 524 | 5,910 | 6,434 | (1,624 | ) | 4,810 | 1987 | 540 | |||||||||||||||||||||||||||||||||||||||
Paddock Club
Huntsville |
Huntsville, AL |
| (1) | 909 | 10,152 | 830 | 8,759 | 1,739 | 18,911 | 20,650 | (4,102 | ) | 16,548 | 1989/98 | 540 | |||||||||||||||||||||||||||||||||||||||
Paddock Club
Montgomery |
Montgomery, AL |
| (1) | 965 | 13,190 | | 535 | 965 | 13,725 | 14,690 | (2,538 | ) | 12,152 | 1999 | 540 | |||||||||||||||||||||||||||||||||||||||
Calais
Forest |
Little Rock, AR |
| (1) | 1,026 | 9,244 | | 2,289 | 1,026 | 11,533 | 12,559 | (4,361 | ) | 8,198 | 1987 | 540 | |||||||||||||||||||||||||||||||||||||||
Napa
Valley |
Little Rock, AR |
| (1) | 960 | 8,642 | | 1,440 | 960 | 10,082 | 11,042 | (3,165 | ) | 7,877 | 1984 | 540 | |||||||||||||||||||||||||||||||||||||||
Westside Creek
I |
Little Rock, AR |
| (1) | 616 | 5,559 | | 1,122 | 616 | 6,681 | 7,297 | (1,927 | ) | 5,370 | 1984 | 540 | |||||||||||||||||||||||||||||||||||||||
Westside Creek
II |
Little Rock, AR |
4,591 | 654 | 5,904 | | 467 | 654 | 6,371 | 7,025 | (1,731 | ) | 5,294 | 1986 | 540 | ||||||||||||||||||||||||||||||||||||||||
Tiffany
Oaks |
Altamonte Springs, FL |
| (1) | 1,024 | 9,219 | | 2,141 | 1,024 | 11,360 | 12,384 | (3,510 | ) | 8,874 | 1985 | 540 | |||||||||||||||||||||||||||||||||||||||
Marsh
Oaks |
Atlantic Beach, FL |
| (1) | 244 | 2,829 | | 989 | 244 | 3,818 | 4,062 | (1,479 | ) | 2,583 | 1986 | 540 | |||||||||||||||||||||||||||||||||||||||
Indigo
Point |
Brandon, FL |
| (4) | 1,167 | 10,500 | | 1,413 | 1,167 | 11,913 | 13,080 | (2,143 | ) | 10,937 | 1989 | 540 | |||||||||||||||||||||||||||||||||||||||
Paddock Club
Brandon |
Brandon, FL |
| (2) | 2,896 | 26,111 | | 787 | 2,896 | 26,898 | 29,794 | (6,267 | ) | 23,527 | 1997/99 | 540 | |||||||||||||||||||||||||||||||||||||||
Preserve at
Coral Square |
Coral Springs, FL |
33,141 | 9,600 | 41,206 | | | 9,600 | 41,206 | 50,806 | (421 | ) | 50,385 | 1996 | 540 | ||||||||||||||||||||||||||||||||||||||||
Anatole |
Daytona Beach, FL |
7,000 | (10) | 1,227 | 5,879 | | 1,146 | 1,227 | 7,025 | 8,252 | (2,523 | ) | 5,729 | 1986 | 540 | |||||||||||||||||||||||||||||||||||||||
Paddock Club
Gainesville |
Gainesville, FL |
| (2) | 1,800 | 15,879 | | 293 | 1,800 | 16,172 | 17,972 | (2,751 | ) | 15,221 | 1999 | 540 | |||||||||||||||||||||||||||||||||||||||
Coopers
Hawk |
Jacksonville, FL |
| (6) | 854 | 7,500 | | 1,377 | 854 | 8,877 | 9,731 | (3,262 | ) | 6,469 | 1987 | 540 | |||||||||||||||||||||||||||||||||||||||
Hunters
Ridge at Deerwood |
Jacksonville, FL |
| (7) | 1,533 | 13,835 | | 1,342 | 1,533 | 15,177 | 16,710 | (3,952 | ) | 12,758 | 1987 | 540 | |||||||||||||||||||||||||||||||||||||||
Lakeside |
Jacksonville, FL |
| (1) | 1,431 | 12,883 | (1 | ) | 4,418 | 1,430 | 17,301 | 18,731 | (6,453 | ) | 12,278 | 1985 | 540 | ||||||||||||||||||||||||||||||||||||||
Lighthouse
Court |
Jacksonville, FL |
| (1) | 4,047 | 36,431 | | 180 | 4,047 | 36,611 | 40,658 | (2,564 | ) | 38,094 | 2003 | 540 | |||||||||||||||||||||||||||||||||||||||
Paddock Club
Jacksonville |
Jacksonville, FL |
| (1) | 2,294 | 20,750 | (2 | ) | 1,035 | 2,292 | 21,785 | 24,077 | (5,292 | ) | 18,785 | 1989/96 | 540 | ||||||||||||||||||||||||||||||||||||||
Paddock Club
Mandarin |
Jacksonville, FL |
| (2) | 1,410 | 14,967 | | 541 | 1,410 | 15,508 | 16,918 | (2,766 | ) | 14,152 | 1998 | 540 | |||||||||||||||||||||||||||||||||||||||
St.
Augustine |
Jacksonville, FL |
| (6) | 2,858 | 6,475 | (1 | ) | 3,098 | 2,857 | 9,573 | 12,430 | (4,022 | ) | 8,408 | 1987 | 540 | ||||||||||||||||||||||||||||||||||||||
Woodbridge at
the Lake |
Jacksonville, FL |
| (2) | 645 | 5,804 | | 1,937 | 645 | 7,741 | 8,386 | (3,028 | ) | 5,358 | 1985 | 540 | |||||||||||||||||||||||||||||||||||||||
Woodhollow |
Jacksonville, FL |
| (1) | 1,686 | 15,179 | | 3,992 | 1,686 | 19,171 | 20,857 | (5,675 | ) | 15,182 | 1986 | 540 | |||||||||||||||||||||||||||||||||||||||
Paddock Club
Lakeland |
Lakeland, FL |
| (1) | 2,254 | 20,452 | (1,033 | ) | 2,656 | 1,221 | 23,108 | 24,329 | (6,044 | ) | 18,285 | 1988/90 | 540 | ||||||||||||||||||||||||||||||||||||||
Savannahs at
James Landing |
Melbourne, FL |
| (6) | 582 | 7,868 | | 2,390 | 582 | 10,258 | 10,840 | (3,599 | ) | 7,241 | 1990 | 540 | |||||||||||||||||||||||||||||||||||||||
Paddock Park
Ocala |
Ocala, FL |
6,805 | (2)(3) | 2,284 | 21,970 | | 1,135 | 2,284 | 23,105 | 25,389 | (6,249 | ) | 19,140 | 1986/88 | 540 | |||||||||||||||||||||||||||||||||||||||
Paddock Club
Panama City |
Panama City, FL |
| (2) | 898 | 14,276 | | 399 | 898 | 14,675 | 15,573 | (3,250 | ) | 12,323 | 2000 | 540 | |||||||||||||||||||||||||||||||||||||||
Paddock Club
Tallahassee |
Tallahassee, FL |
| (2) | 530 | 4,805 | 950 | 9,527 | 1,480 | 14,332 | 15,812 | (3,667 | ) | 12,145 | 1990/95 | 540 | |||||||||||||||||||||||||||||||||||||||
Belmere |
Tampa, FL |
| (1) | 851 | 7,667 | 1 | 2,544 | 852 | 10,211 | 11,063 | (3,929 | ) | 7,134 | 1984 | 540 | |||||||||||||||||||||||||||||||||||||||
Links at
Carrollwood |
Tampa, FL |
| (1) | 817 | 7,355 | 110 | 2,747 | 927 | 10,102 | 11,029 | (2,532 | ) | 8,497 | 1980 | 540 | |||||||||||||||||||||||||||||||||||||||
High
Ridge |
Athens, GA |
| (1) | 884 | 7,958 | | 453 | 884 | 8,411 | 9,295 | (2,211 | ) | 7,084 | 1987 | 540 | |||||||||||||||||||||||||||||||||||||||
Bradford
Pointe |
Augusta, GA |
4,760 | 772 | 6,949 | | 1,068 | 772 | 8,017 | 8,789 | (2,117 | ) | 6,672 | 1986 | 540 | ||||||||||||||||||||||||||||||||||||||||
Shenandoah
Ridge |
Augusta, GA |
| (1) | 650 | 5,850 | 8 | 2,932 | 658 | 8,782 | 9,440 | (3,424 | ) | 6,016 | 1975/84 | 540 | |||||||||||||||||||||||||||||||||||||||
Westbury
Creek |
Augusta, GA |
3,480 | (15) | 400 | 3,626 | | 687 | 400 | 4,313 | 4,713 | (1,211 | ) | 3,502 | 1984 | 540 | |||||||||||||||||||||||||||||||||||||||
Fountain
Lake |
Brunswick, GA |
| (5) | 502 | 4,551 | | 1,198 | 502 | 5,749 | 6,251 | (1,671 | ) | 4,580 | 1983 | 540 | |||||||||||||||||||||||||||||||||||||||
Park
Walk |
College Park, GA |
| (1) | 536 | 4,859 | | 605 | 536 | 5,464 | 6,000 | (1,450 | ) | 4,550 | 1985 | 540 | |||||||||||||||||||||||||||||||||||||||
Whisperwood |
Columbus, GA |
| (1) | 4,290 | 42,722 | (2 | ) | 6,072 | 4,288 | 48,794 | 53,082 | (12,082 | ) | 41,000 | 1980/86/88/98 | 540 | ||||||||||||||||||||||||||||||||||||||
Willow
Creek |
Columbus, GA |
| (1) | 614 | 5,523 | | 1,767 | 614 | 7,290 | 7,904 | (2,079 | ) | 5,825 | 1968/78 | 540 | |||||||||||||||||||||||||||||||||||||||
Terraces at
Fieldstone |
Conyers, GA |
| (1) | 1,284 | 15,819 | | 401 | 1,284 | 16,220 | 17,504 | (2,714 | ) | 14,790 | 1999 | 540 | |||||||||||||||||||||||||||||||||||||||
Prescott |
Duluth, GA |
| (8) | 3,840 | 24,876 | | 220 | 3,840 | 25,096 | 28,936 | (584 | ) | 28,352 | 2000 | 540 | |||||||||||||||||||||||||||||||||||||||
Whispering
Pines |
LaGrange, GA |
| (5) | 823 | 7,470 | | 1,282 | 823 | 8,752 | 9,575 | (2,424 | ) | 7,151 | 1982/84 | 540 | |||||||||||||||||||||||||||||||||||||||
Westbury
Springs |
Lilburn, GA |
| (1) | 665 | 6,038 | | 935 | 665 | 6,973 | 7,638 | (1,849 | ) | 5,789 | 1983 | 540 | |||||||||||||||||||||||||||||||||||||||
Austin
Chase |
Macon, GA |
| (7) | 1,409 | 12,687 | | 48 | 1,409 | 12,735 | 14,144 | (2,866 | ) | 11,278 | 1996 | 540 | |||||||||||||||||||||||||||||||||||||||
The
Vistas |
Macon, GA |
| (1) | 595 | 5,403 | | 772 | 595 | 6,175 | 6,770 | (1,696 | ) | 5,074 | 1985 | 540 | |||||||||||||||||||||||||||||||||||||||
Walden
Run |
McDonough, GA |
| (1) | 1,281 | 11,935 | | (45 | ) | 1,281 | 11,890 | 13,171 | (863 | ) | 12,308 | 1997 | 540 | ||||||||||||||||||||||||||||||||||||||
Georgetown
Grove |
Savannah, GA |
10,174 | 1,288 | 11,579 | | 653 | 1,288 | 12,232 | 13,520 | (2,916 | ) | 10,604 | 1997 | 540 | ||||||||||||||||||||||||||||||||||||||||
Wildwood |
Thomasville, GA |
| (1) | 438 | 3,971 | 371 | 4,342 | 809 | 8,313 | 9,122 | (2,270 | ) | 6,852 | 1980/84 | 540 | |||||||||||||||||||||||||||||||||||||||
Hidden
Lake |
Union City, GA |
| (1) | 1,296 | 11,715 | | 1,597 | 1,296 | 13,312 | 14,608 | (3,537 | ) | 11,071 | 1985/87 | 540 |
F-27
Initial Cost |
Cost Capitalized subsequent to Acquisition |
Gross Amount carried at December 31, 2004 (20) |
||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Property |
Location |
Encumbrances |
Land |
Buildings and Fixtures |
Land |
Buildings and Fixtures |
Land |
Buildings and Fixtures |
Total |
Accumulated Depreciation |
Net |
Date of Construction |
Life used to compute depreciation in latest income statement (21) | |||||||||||||||||||||||||||||||||||||||||
Three
Oaks |
Valdosta, GA |
| (1) | 462 | 4,188 | 459 | 5,426 | 921 | 9,614 | 10,535 | (2,659 | ) | 7,876 | 1983/84 | 540 | |||||||||||||||||||||||||||||||||||||||
Huntington
Chase |
Warner Robins, GA |
9,031 | 1,160 | 10,437 | | 540 | 1,160 | 10,977 | 12,137 | (1,913 | ) | 10,224 | 1997 | 540 | ||||||||||||||||||||||||||||||||||||||||
Southland
Station |
Warner Robins, GA |
| (1) | 1,470 | 13,284 | | 1,553 | 1,470 | 14,837 | 16,307 | (4,091 | ) | 12,216 | 1987/90 | 540 | |||||||||||||||||||||||||||||||||||||||
Terraces at
Townelake |
Woodstock, GA |
| (1) | 1,331 | 11,918 | 1,688 | 16,183 | 3,019 | 28,101 | 31,120 | (6,172 | ) | 24,948 | 1998/99 | 540 | |||||||||||||||||||||||||||||||||||||||
Fairways at
Hartland |
Bowling Green, KY |
| (1) | 1,038 | 9,342 | | 1,281 | 1,038 | 10,623 | 11,661 | (3,002 | ) | 8,659 | 1996 | 540 | |||||||||||||||||||||||||||||||||||||||
Paddock Club
Florence |
Florence, KY |
9,666 | 1,209 | 10,969 | | 1,146 | 1,209 | 12,115 | 13,324 | (3,053 | ) | 10,271 | 1994 | 540 | ||||||||||||||||||||||||||||||||||||||||
Grand Reserve
Lexington |
Lexington, KY |
| (1) | 2,024 | 31,120 | | | 2,024 | 31,120 | 33,144 | (4,559 | ) | 28,585 | 2000 | 540 | |||||||||||||||||||||||||||||||||||||||
Lakepointe |
Lexington, KY |
| (1) | 411 | 3,699 | | 1,041 | 411 | 4,740 | 5,151 | (1,808 | ) | 3,343 | 1986 | 540 | |||||||||||||||||||||||||||||||||||||||
Mansion,
The |
Lexington, KY |
| (1) | 694 | 6,242 | | 1,489 | 694 | 7,731 | 8,425 | (2,881 | ) | 5,544 | 1989 | 540 | |||||||||||||||||||||||||||||||||||||||
Village,
The |
Lexington, KY |
| (1) | 900 | 8,097 | | 2,238 | 900 | 10,335 | 11,235 | (3,888 | ) | 7,347 | 1987 | 540 | |||||||||||||||||||||||||||||||||||||||
Stonemill
Village |
Louisville, KY |
| (1) | 1,169 | 10,518 | | 2,998 | 1,169 | 13,516 | 14,685 | (5,198 | ) | 9,487 | 1985 | 540 | |||||||||||||||||||||||||||||||||||||||
Riverhills |
Grenada, MS |
| (1) | 153 | 2,092 | | 678 | 153 | 2,770 | 2,923 | (1,433 | ) | 1,490 | 1972 | 540 | |||||||||||||||||||||||||||||||||||||||
Crosswinds |
Jackson, MS |
| (1) | 1,535 | 13,826 | | 2,051 | 1,535 | 15,877 | 17,412 | (5,090 | ) | 12,322 | 1988/89 | 540 | |||||||||||||||||||||||||||||||||||||||
Pear
Orchard |
Jackson, MS |
| (1) | 1,352 | 12,168 | (1 | ) | 2,999 | 1,351 | 15,167 | 16,518 | (5,594 | ) | 10,924 | 1985 | 540 | ||||||||||||||||||||||||||||||||||||||
Reflection
Pointe |
Jackson, MS |
5,880 | (11) | 710 | 8,770 | 140 | 3,454 | 850 | 12,224 | 13,074 | (4,377 | ) | 8,697 | 1986 | 540 | |||||||||||||||||||||||||||||||||||||||
Somerset |
Jackson, MS |
| (1) | 477 | 4,294 | | 1,159 | 477 | 5,453 | 5,930 | (2,049 | ) | 3,881 | 1980 | 540 | |||||||||||||||||||||||||||||||||||||||
Woodridge |
Jackson, MS |
| (1) | 471 | 5,522 | | 869 | 471 | 6,391 | 6,862 | (2,291 | ) | 4,571 | 1987 | 540 | |||||||||||||||||||||||||||||||||||||||
Lakeshore
Landing |
Ridgeland, MS |
| (1) | 676 | 6,470 | | (16 | ) | 676 | 6,454 | 7,130 | (468 | ) | 6,662 | 1974 | 540 | ||||||||||||||||||||||||||||||||||||||
Savannah
Creek |
Southaven, MS |
| (1) | 778 | 7,013 | | 1,430 | 778 | 8,443 | 9,221 | (2,766 | ) | 6,455 | 1989 | 540 | |||||||||||||||||||||||||||||||||||||||
Sutton
Place |
Southaven, MS |
| (1) | 894 | 8,053 | | 1,564 | 894 | 9,617 | 10,511 | (3,209 | ) | 7,302 | 1991 | 540 | |||||||||||||||||||||||||||||||||||||||
Hermitage at
Beechtree |
Cary, NC |
| (1) | 900 | 8,099 | | 1,395 | 900 | 9,494 | 10,394 | (2,750 | ) | 7,644 | 1988 | 540 | |||||||||||||||||||||||||||||||||||||||
Woodstream |
Greensboro, NC |
| (1) | 1,048 | 9,855 | (12 | ) | 168 | 1,036 | 10,023 | 11,059 | (734 | ) | 10,325 | 1983 | 540 | ||||||||||||||||||||||||||||||||||||||
Corners,
The |
Winston-Salem, NC |
| (2) | 685 | 6,165 | | 1,281 | 685 | 7,446 | 8,131 | (2,977 | ) | 5,154 | 1982 | 540 | |||||||||||||||||||||||||||||||||||||||
Fairways at
Royal Oak |
Cincinnati, OH |
| (1) | 814 | 7,335 | | 1,436 | 814 | 8,771 | 9,585 | (3,312 | ) | 6,273 | 1988 | 540 | |||||||||||||||||||||||||||||||||||||||
Colony at South
Park |
Aiken, SC |
| (1) | 862 | 8,005 | | 7 | 862 | 8,012 | 8,874 | (527 | ) | 8,347 | 1989/91 | 540 | |||||||||||||||||||||||||||||||||||||||
Woodwinds |
Aiken, SC |
| (1) | 503 | 4,540 | | 814 | 503 | 5,354 | 5,857 | (1,504 | ) | 4,353 | 1988 | 540 | |||||||||||||||||||||||||||||||||||||||
Tanglewood |
Anderson, SC |
| (1) | 427 | 3,853 | | 1,320 | 427 | 5,173 | 5,600 | (2,023 | ) | 3,577 | 1980 | 540 | |||||||||||||||||||||||||||||||||||||||
Fairways,
The |
Columbia, SC |
7,735 | (12) | 910 | 8,207 | | 717 | 910 | 8,924 | 9,834 | (3,318 | ) | 6,516 | 1992 | 540 | |||||||||||||||||||||||||||||||||||||||
Paddock Club
Columbia |
Columbia, SC |
| (1) | 1,840 | 16,560 | | 1,477 | 1,840 | 18,037 | 19,877 | (4,629 | ) | 15,248 | 1989/95 | 540 | |||||||||||||||||||||||||||||||||||||||
Highland
Ridge |
Greenville, SC |
| (9) | 482 | 4,337 | | 1,213 | 482 | 5,550 | 6,032 | (1,628 | ) | 4,404 | 1984 | 540 | |||||||||||||||||||||||||||||||||||||||
Howell
Commons |
Greenville, SC |
| (1) | 1,304 | 11,740 | | 1,494 | 1,304 | 13,234 | 14,538 | (3,838 | ) | 10,700 | 1986/88 | 540 | |||||||||||||||||||||||||||||||||||||||
Paddock Club
Greenville |
Greenville, SC |
| (1) | 1,200 | 10,800 | | 665 | 1,200 | 11,465 | 12,665 | (2,948 | ) | 9,717 | 1996 | 540 | |||||||||||||||||||||||||||||||||||||||
Park
Haywood |
Greenville, SC |
| (1) | 325 | 2,925 | 35 | 3,291 | 360 | 6,216 | 6,576 | (2,318 | ) | 4,258 | 1983 | 540 | |||||||||||||||||||||||||||||||||||||||
Spring
Creek |
Greenville, SC |
| (9) | 597 | 5,374 | (14 | ) | 1,190 | 583 | 6,564 | 7,147 | (2,273 | ) | 4,874 | 1985 | 540 | ||||||||||||||||||||||||||||||||||||||
Runaway
Bay |
Mt.
Pleasant, SC |
| (9) | 1,085 | 7,269 | | 1,576 | 1,085 | 8,845 | 9,930 | (3,202 | ) | 6,728 | 1988 | 540 | |||||||||||||||||||||||||||||||||||||||
Park
Place |
Spartanburg, SC |
| (1) | 723 | 6,504 | | 1,288 | 723 | 7,792 | 8,515 | (2,197 | ) | 6,318 | 1987 | 540 | |||||||||||||||||||||||||||||||||||||||
Hamilton
Pointe |
Chattanooga, TN |
| (1) | 1,131 | 10,861 | | 81 | 1,131 | 10,942 | 12,073 | (708 | ) | 11,365 | 1989 | 540 | |||||||||||||||||||||||||||||||||||||||
Hidden
Creek |
Chattanooga, TN |
| (1) | 972 | 9,201 | | (17 | ) | 972 | 9,184 | 10,156 | (628 | ) | 9,528 | 1987 | 540 | ||||||||||||||||||||||||||||||||||||||
Steeplechase |
Chattanooga, TN |
| (1) | 217 | 1,957 | | 1,963 | 217 | 3,920 | 4,137 | (1,564 | ) | 2,573 | 1986 | 540 | |||||||||||||||||||||||||||||||||||||||
Windridge |
Chattanooga, TN |
5,465 | (16) | 817 | 7,416 | | 1,371 | 817 | 8,787 | 9,604 | (2,169 | ) | 7,435 | 1984 | 540 | |||||||||||||||||||||||||||||||||||||||
Oaks,
The |
Jackson, TN |
| (1) | 177 | 1,594 | | 1,082 | 177 | 2,676 | 2,853 | (1,119 | ) | 1,734 | 1978 | 540 | |||||||||||||||||||||||||||||||||||||||
Post House
Jackson |
Jackson, TN |
5,095 | 443 | 5,078 | | 2,890 | 443 | 7,968 | 8,411 | (2,209 | ) | 6,202 | 1987 | 540 | ||||||||||||||||||||||||||||||||||||||||
Post House
North |
Jackson, TN |
3,375 | (13) | 381 | 4,299 | (57 | ) | 1,484 | 324 | 5,783 | 6,107 | (2,109 | ) | 3,998 | 1987 | 540 | ||||||||||||||||||||||||||||||||||||||
Bradford
Chase |
Jackson, TN |
| (1) | 523 | 4,711 | | 1,010 | 523 | 5,721 | 6,244 | (2,114 | ) | 4,130 | 1987 | 540 | |||||||||||||||||||||||||||||||||||||||
Woods at Post
House |
Jackson, TN |
5,056 | 240 | 6,839 | | 1,129 | 240 | 7,968 | 8,208 | (3,288 | ) | 4,920 | 1997 | 540 | ||||||||||||||||||||||||||||||||||||||||
Cedar
Mill |
Memphis, TN |
| (1) | 824 | 8,023 | | 124 | 824 | 8,147 | 8,971 | (762 | ) | 8,209 | 1973/86 | 540 | |||||||||||||||||||||||||||||||||||||||
Gleneagles |
Memphis, TN |
| (1) | 443 | 3,983 | | 2,526 | 443 | 6,509 | 6,952 | (3,750 | ) | 3,202 | 1975 | 540 | |||||||||||||||||||||||||||||||||||||||
Greenbrook |
Memphis, TN |
| (4) | 2,100 | 24,468 | 25 | 17,397 | 2,125 | 41,865 | 43,990 | (16,308 | ) | 27,682 | 1980 | 540 | |||||||||||||||||||||||||||||||||||||||
Hickory
Farm |
Memphis, TN |
| (1) | 580 | 5,220 | (19 | ) | 1,465 | 561 | 6,685 | 7,246 | (2,634 | ) | 4,612 | 1985 | 540 | ||||||||||||||||||||||||||||||||||||||
Kirby
Station |
Memphis, TN |
| (1) | 1,148 | 10,337 | | 3,434 | 1,148 | 13,771 | 14,919 | (5,175 | ) | 9,744 | 1978 | 540 | |||||||||||||||||||||||||||||||||||||||
Lincoln on the
Green |
Memphis, TN |
| (1) | 1,498 | 20,483 | | 9,473 | 1,498 | 29,956 | 31,454 | (9,761 | ) | 21,693 | 1988/98 | 540 | |||||||||||||||||||||||||||||||||||||||
Park
Estate |
Memphis, TN |
| (4) | 178 | 1,141 | | 3,023 | 178 | 4,164 | 4,342 | (2,066 | ) | 2,276 | 1974 | 540 | |||||||||||||||||||||||||||||||||||||||
Reserve at
Dexter Lake |
Memphis, TN |
| (5) | 1,260 | 16,043 | 2,147 | 32,164 | 3,407 | 48,207 | 51,614 | (6,154 | ) | 45,460 | 1999 | 540 | |||||||||||||||||||||||||||||||||||||||
River
Trace |
Memphis, TN |
| (1) | 1,622 | 14,723 | 1 | 2,249 | 1,623 | 16,972 | 18,595 | (4,716 | ) | 13,879 | 1981/85 | 540 | |||||||||||||||||||||||||||||||||||||||
Paddock Club
Murfreesboro |
Murfreesboro, TN |
| (1) | 915 | 14,774 | | 224 | 915 | 14,998 | 15,913 | (2,689 | ) | 13,224 | 1999 | 540 | |||||||||||||||||||||||||||||||||||||||
Brentwood
Downs |
Nashville, TN |
| (1) | 1,193 | 10,739 | (2 | ) | 1,535 | 1,191 | 12,274 | 13,465 | (4,651 | ) | 8,814 | 1986 | 540 | ||||||||||||||||||||||||||||||||||||||
Grand View
Nashville |
Nashville, TN |
| (1) | 2,963 | 33,673 | | 884 | 2,963 | 34,557 | 37,520 | (4,306 | ) | 33,214 | 2001 | 540 |
F-28
Initial Cost |
Cost Capitalized subsequent to Acquisition |
Gross Amount carried at December 31, 2004 (20) |
||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Property |
Location |
Encumbrances |
Land |
Buildings and Fixtures |
Land |
Buildings and Fixtures |
Land |
Buildings and Fixtures |
Total |
Accumulated Depreciation |
Net |
Date of Construction |
Life used to compute depreciation in latest income statement (21) | |||||||||||||||||||||||||||||||||||||||||
Monthaven
Park |
Nashville, TN |
23,028 | 2,736 | 29,556 | | 603 | 2,736 | 30,159 | 32,895 | (1,559 | ) | 31,336 | 2000 | 540 | ||||||||||||||||||||||||||||||||||||||||
Park at
Hermitage |
Nashville, TN |
6,645 | (17) | 1,524 | 14,800 | | 2,874 | 1,524 | 17,674 | 19,198 | (6,368 | ) | 12,830 | 1987 | 540 | |||||||||||||||||||||||||||||||||||||||
Northwood |
Arlington, TX |
| (2) | 886 | 8,278 | | 121 | 886 | 8,399 | 9,285 | (557 | ) | 8,728 | 1980 | 540 | |||||||||||||||||||||||||||||||||||||||
Balcones
Woods |
Austin, TX |
| (2) | 1,598 | 14,398 | | 3,127 | 1,598 | 17,525 | 19,123 | (5,255 | ) | 13,868 | 1983 | 540 | |||||||||||||||||||||||||||||||||||||||
Grand Reserve at
Sunset Valley |
Austin, TX |
11,519 | 3,150 | 11,868 | | 4 | 3,150 | 11,872 | 15,022 | (140 | ) | 14,882 | 1996 | 540 | ||||||||||||||||||||||||||||||||||||||||
Stassney
Woods |
Austin, TX |
4,050 | (18) | 1,621 | 7,501 | | 2,895 | 1,621 | 10,396 | 12,017 | (3,761 | ) | 8,256 | 1985 | 540 | |||||||||||||||||||||||||||||||||||||||
Travis
Station |
Austin, TX |
3,585 | (19) | 2,282 | 6,169 | (1 | ) | 2,030 | 2,281 | 8,199 | 10,480 | (2,955 | ) | 7,525 | 1987 | 540 | ||||||||||||||||||||||||||||||||||||||
Woods,
The |
Austin, TX |
| (2) | 1,405 | 13,083 | | (38 | ) | 1,405 | 13,045 | 14,450 | (894 | ) | 13,556 | 1977 | 540 | ||||||||||||||||||||||||||||||||||||||
Celery
Stalk |
Dallas, TX |
| (8) | 1,463 | 13,165 | (1 | ) | 3,753 | 1,462 | 16,918 | 18,380 | (6,476 | ) | 11,904 | 1978 | 540 | ||||||||||||||||||||||||||||||||||||||
Courtyards at
Campbell |
Dallas, TX |
| (2) | 988 | 8,893 | | 1,377 | 988 | 10,270 | 11,258 | (2,499 | ) | 8,759 | 1986 | 540 | |||||||||||||||||||||||||||||||||||||||
Deer
Run |
Dallas, TX |
| (2) | 1,252 | 11,271 | | 1,661 | 1,252 | 12,932 | 14,184 | (3,205 | ) | 10,979 | 1985 | 540 | |||||||||||||||||||||||||||||||||||||||
Lodge at
Timberglen |
Dallas, TX |
| (8) | 825 | 7,422 | (1 | ) | 2,799 | 824 | 10,221 | 11,045 | (4,003 | ) | 7,042 | 1983 | 540 | ||||||||||||||||||||||||||||||||||||||
Watermark |
Dallas, TX |
| (8) | 960 | 14,839 | | 38 | 960 | 14,877 | 15,837 | (487 | ) | 15,350 | 2002 | 540 | |||||||||||||||||||||||||||||||||||||||
Legacy
Pines |
Houston, TX |
| (2) | 2,157 | 19,491 | | 207 | 2,157 | 19,698 | 21,855 | (1,759 | ) | 20,096 | 1999 | 540 | |||||||||||||||||||||||||||||||||||||||
Westborough
Crossing |
Katy, TX |
| (8) | 677 | 6,091 | (1 | ) | 1,571 | 676 | 7,662 | 8,338 | (2,920 | ) | 5,418 | 1984 | 540 | ||||||||||||||||||||||||||||||||||||||
Kenwood
Club |
Katy, TX |
| (2) | 1,002 | 17,288 | | 204 | 1,002 | 17,492 | 18,494 | (2,825 | ) | 15,669 | 2000 | 540 | |||||||||||||||||||||||||||||||||||||||
Lane at Towne
Crossing |
Mesquite, TX |
| (2) | 1,311 | 12,254 | | | 1,311 | 12,254 | 13,565 | (894 | ) | 12,671 | 1983 | 540 | |||||||||||||||||||||||||||||||||||||||
Highwood |
Plano, TX |
| (4) | 864 | 7,783 | | 1,143 | 864 | 8,926 | 9,790 | (2,313 | ) | 7,477 | 1983 | 540 | |||||||||||||||||||||||||||||||||||||||
Los Rios
Park |
Plano, TX |
| (2) | 3,273 | 29,483 | | 523 | 3,273 | 30,006 | 33,279 | (2,256 | ) | 31,023 | 2000 | 540 | |||||||||||||||||||||||||||||||||||||||
Cypresswood
Court |
Spring, TX |
| (8) | 577 | 5,190 | (1 | ) | 1,408 | 576 | 6,598 | 7,174 | (2,590 | ) | 4,584 | 1984 | 540 | ||||||||||||||||||||||||||||||||||||||
Villages at
Kirkwood |
Stafford, TX |
14,860 | 1,918 | 16,358 | | 2 | 1,918 | 16,360 | 18,278 | (171 | ) | 18,107 | 1996 | 540 | ||||||||||||||||||||||||||||||||||||||||
Green Tree
Place |
Woodlands, TX |
| (8) | 539 | 4,850 | | 1,306 | 539 | 6,156 | 6,695 | (2,349 | ) | 4,346 | 1984 | 540 | |||||||||||||||||||||||||||||||||||||||
Township |
Hampton, VA |
10,800 | (14) | 1,509 | 8,189 | | 3,226 | 1,509 | 11,415 | 12,924 | (2,990 | ) | 9,934 | 1987 | 540 | |||||||||||||||||||||||||||||||||||||||
Total
Properties |
$ | 157,765 | $ | 1,401,826 | $ | 5,616 | $ | 271,569 | $ | 163,381 | $ | 1,673,395 | $ | 1,836,776 | $ | (399,762 | ) | $ | 1,437,014 | |||||||||||||||||||||||||||||||||||
Land Held for
Future Developments |
Various |
$ | | $ | 1,366 | $ | | $ | | $ | | $ | 1,366 | $ | 1,366 | $ | | $ | 1,366 | N/A | N/A | |||||||||||||||||||||||||||||||||
Commercial
Properties |
Various |
| 2,769 | | 7,796 | | 10,565 | 10,565 | (3,136 | ) | 7,429 | Various | 540 | |||||||||||||||||||||||||||||||||||||||||
Total
Other |
$ | | $ | 4,135 | $ | | $ | 7,796 | $ | | $ | 11,931 | $ | 11,931 | $ | (3,136 | ) | $ | 8,795 | |||||||||||||||||||||||||||||||||||
Total Real
Estate Assets |
$ | 157,765 | $ | 1,405,961 | $ | 5,616 | $ | 279,365 | $ | 163,381 | $ | 1,685,326 | $ | 1,848,707 | $ | (402,898 | ) | $ | 1,445,809 |
(1) |
Encumbered by a $600 million FNMA facility, with $574.1 million available and $529.8 million outstanding with a variable interest rate of 3.020% on which there exists thirteen interest rate swap agreements totaling $440 million at an average rate of 5.853% at December 31, 2004. |
(2) |
Encumbered by a $250 million FNMA facility, with $183.8 available and $173.6 million outstanding, $63.6 million of which had a variable interest rate of 2.967%, $65 million with a fixed rate of 7.712%, $25 million with a fixed rate of 6.920% and $20 milllion with a fixed rate of 5.770% at December 31, 2004. |
(3) |
Phase I of Paddock ParkOcala is encumbered by $6.8 million in bonds on which there exists a $6.8 million interest rate cap of 6.000% which terminates on October 24, 2007. |
(4) |
Encumbered, along with one corporate property, by a mortgage with a principal balance of $40 million at December 31, 2004, with a maturity of April 1, 2009 and an interest rate of 3.419% on which there is a $25 million interest rate swap agreement with a rate of 4.580%. |
(5) |
Encumbered by a credit line with AmSouth Bank, with an outstanding balance of $12.3 million at December 31, 2004. |
(6) |
Encumbered by a mortgage securing a tax-exempt bond amortizing over 25 years with principal balance of $13.8 million at December 31, 2004, and an average interest rate of 5.867%. |
(7) |
Encumbered by a mortgage securing a tax-exempt bond amortizing over 25 years with a principal balance of $12.7 million at December 31, 2004, and an average interest rate of 5.177%. |
(8) |
Encumbered by a $100 million Freddie Mac facility, with an outstanding balance of $65.4 million and a variable interest rate of 3.061% on which there exists three interest rate swap agreements totaling $51 million at an average rate of 5.280 at December 31, 2004. |
(9) |
Encumbered by a mortgage securing a tax-exempt bond amortizing over 25 years with a principal balance of $8.5 million at December 31, 2004, and an average interest rate of 6.090%. |
(10) |
Encumbered by $7.0 million in bonds on which there exists a $7.0 million interest rate swap agreement fixed at 3.948% and maturing on October 24, 2007. |
(11) |
Encumbered by $5.9 million in bonds on which there exists a $5.9 million interest rate swap agreement fixed at 5.049% and maturing on June 15, 2008. |
(12) |
Encumbered by $7.7 million in bonds on which there exists a $7.7 million interest rate swap agreement fixed at 5.049% and maturing on June 15, 2008. |
(13) |
Encumbered by $3.4 million in bonds on which there exists a $3.4 million interest rate swap agreement fixed at 5.049% and maturing on June 15, 2008. |
F-29
(14) |
Encumbered by $10.8 million in bonds on which there exists a $10.8 million interest rate swap agreement fixed at 3.948% and maturing on October 24, 2007. |
(15) |
Encumbered by $3.5 million in bonds on which there exist a $3.0 million interest rate swap agreement fixed at 2.301% and maturing on May 30, 2008. |
(16) |
Encumbered by $5.5 million in bonds on which there exists a $5.0 million interest rate swap agreement fixed at 3.226% and maturing on May 30, 2008. |
(17) |
Encumbered by $6.6 million in bonds on which there exists a $6.6 million interest rate swap agreement fixed at 3.622% and maturing on March 15, 2009. Also encumbered by a $11.7 million FNMA facility maturing on March 1, 2014 with a variable interest rate of 3.084% which there exists a $11.7 million interest rate cap of 6.0% which terminates on March 1, 2009. |
(18) |
Encumbered by $4.0 million in bonds on which there exists a $4.0 million interest rate cap of 6.0% which terminates on March 15, 2009. Also encumbered by a $11.7 million FNMA facility maturing on March 1, 2014 with a variable interest rate of 3.084% which there exists a $11.7 million interest rate cap of 6.0% which terminates on March 1, 2009. |
(19) |
Encumbered by $3.6 million in bonds on which there exists a $3.6 million interest rate swap agreement fixed at 3.622% and maturing on March 15, 2009. Also encumbered by a $11.7 million FNMA facility maturing on March 1, 2014 with a variable interest rate of 3.084% which there exists a $11.7 million interest rate cap of 6.0% which terminates on March 1, 2009. |
(20) |
The aggregate cost for Federal income tax purposes was approximately $1,746 million at December 31, 2004. The aggregate cost for Federal income tax purposes exceeds the total gross amount of real estate assets for book purposes, principally due to purchase accounting adjustments recorded under accounting principles generally accepted in the United States of America. |
(21) |
Depreciation is on a straight line basis over the estimated useful asset life which ranges from 8 to 40 years for land improvements and buildings and 5 years for furniture, fixtures and equipment. |
F-30
MID-AMERICA APARTMENT COMMUNITIES, INC.
SCHEDULE III
REAL ESTATE
INVESTMENTS AND ACCUMULATED DEPRECIATION
Year Ended December 31, |
|||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
2004 |
2003 |
2002 |
|||||||||||||
Dollars in Thousands |
|||||||||||||||
Real estate
investments: |
|||||||||||||||
Balance at
beginning of year |
$ | 1,682,491 | $ | 1,463,793 | $ | 1,442,675 | |||||||||
Acquisitions |
160,517 | 200,104 | 33,933 | ||||||||||||
Improvement
and development |
30,875 | 22,374 | 25,353 | ||||||||||||
Assets held
for sale |
(14,171 | ) | | | |||||||||||
Disposition
of real estate assets |
(11,005 | ) | (3,780 | ) | (38,168 | ) | |||||||||
Balance at
end of year |
$ | 1,848,707 | $ | 1,682,491 | $ | 1,463,793 | |||||||||
Accumulated
depreciation: |
|||||||||||||||
Balance at
beginning of year |
$ | 339,704 | $ | 283,277 | $ | 229,913 | |||||||||
Depreciation |
67,977 | 56,506 | 53,779 | ||||||||||||
Assets held
for sale |
(5,622 | ) | | | |||||||||||
Disposition
of real estate assets |
(2,297 | ) | (79 | ) | (415 | ) | |||||||||
Balance at
end of year |
$ | 399,762 | $ | 339,704 | $ | 283,277 |
See accompanying report of independent registered public accounting
firm.
F-31