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8-K - FORM 8-K - APARTMENT INVESTMENT & MANAGEMENT CO | c91548e8vk.htm |
Exhibit 99.1
3rd Quarter 2009 |
The Palazzo East at Park La Brea Los Angeles, CA |
Apartment Investment and Management Company (NYSE:AIV)
Announces Third Quarter 2009 Results
Announces Third Quarter 2009 Results
Denver, Colorado October 30, 2009
Third Quarter 2009 Highlights
| Funds From Operations (FFO, as defined in the Glossary) FFO of $0.41 per share,
before operating real estate impairments of $0.22 per share, was within the $0.36 to
$0.42 per share guidance range. |
| Property Operations During the third quarter, Aimcos share of total conventional
and affordable property net operating income was $145.1 million. Total conventional
and affordable property net operating income, adjusted for property acquisitions and
dispositions, was 1.2% lower than in the third quarter 2008. |
| Same Store Results (as defined in the Glossary) When comparing third quarter
2009 to third quarter 2008, Same Store property net operating income declined 5.4%,
within the guidance range of negative 5.0% to negative 6.0%. Same Store revenue
declined 2.9% and expenses increased 1.1%. Average daily occupancy declined 20
basis points from 95.0% for third quarter 2008 to 94.8% for third quarter 2009, and
increased 200 basis points from second quarter 2009. |
| Non-Same Store Results Third quarter 2009 conventional redevelopment net
operating income increased 16.4% compared to third quarter 2008 and affordable
property operations, including affordable redevelopment operations, generated net
operating income growth of 6.0% during the same period. |
| Capital Markets Activity |
At the beginning of third quarter 2009, Aimco had $350 million of term debt
outstanding, due first quarter 2011. During third quarter 2009, Aimco repaid $90
million of term debt with proceeds from property sales. An additional payment of $50
million was made after quarters end, reducing the balance to $210 million.
Aimco has focused on reducing refunding risk by accelerating refinancing of property
loans maturing prior to 2012. At the beginning of third quarter 2009, Aimcos share of
property debt maturing during 2009 through 2011 was $221.3 million. During third
quarter, through refinancing, repayment and property sales, Aimco reduced these
maturities by $36.8 million. As of September 30, 2009, the balance of property debt
maturing through 2011 totaled $184.5 million in nine loans. Of these loans, refunding
risk has since been eliminated on all but four loans totaling $164.0 million which are
expected to be refinanced at their maturity in 2011.
| Property Sales and Asset Allocation During third quarter 2009, Aimco sold 28
properties for $366.6 million, generating $125.0 million in net proceeds to Aimco,
after distributions to limited partners, repayment of existing property debt and
transaction costs. Year-to-date through September 30, 2009, Aimco has sold 58
properties generating net proceeds to Aimco of $244.2 million. Aimco continues to
market properties located in its non-target markets and in lower rated locations
within its target markets. |
| Dividend Aimcos Board of Directors declared a cash dividend of $0.10 per share
on its Class A Common Stock for the quarter ended September 30, 2009. The dividend is
payable November 30, 2009, to stockholders of record on November 20, 2009. |
AIMCO 3rd Quarter 2009 | Page 1 |
2009 Outlook
| Property Operations Aimco remains focused on retaining existing residents and
maintaining expense control. Market rents have declined during 2009, although the
rate of decline has eased. As a result of rental rate reductions, fourth quarter 2009
Same Store net operating income is expected to decline 7.0% to 8.0% when compared to
fourth quarter 2008. For the full year 2009, Same Store net operating income is
expected to decline 4.0% to 5.0% compared to full year 2008. Positive net operating income
results in the redevelopment and affordable property portfolios are expected to
largely offset the declines in the Same Store results. |
| Balance Sheet and Liquidity Aimco continues to focus on balancing sources and
uses of capital without reliance on capital markets for equity or debt, except for
refunding of property debt. Aimco plans to meet liquidity requirements with limited
use of its bank line of credit, except to support letters of credit. Aimcos line of
credit requires compliance with certain coverage ratios with which Aimco complies and
expects to continue to comply. Aimco leverage is 95% long term: 83% non-recourse
property debt with a weighted average maturity of 8.7 years, and 12% perpetual
preferred equity. On average, approximately 5%, or $300 million, of Aimcos share of
leverage is subject to refunding in any one year. Aimcos term
debt totaling $210
million at October 30, 2009, matures in first quarter 2011, and is expected to be
repaid prior to maturity with proceeds from property sales. |
| Property Sales and Asset
Allocation Aimco intends to sell approximately $450 million of
additional non-target conventional and affordable assets by year end to fund repayment of its term debt due
first quarter 2011. Once the term debt is repaid, future asset sales
will be used to
increase Aimcos allocation of capital to well located properties within its target
markets. |
| FFO Outlook Aimcos previously provided guidance for full year 2009 FFO, before
operating real estate impairments and preferred stock redemption related gains, was a
range of $1.55 to $1.75 per share, including $0.15 per share of dilution from 2009
property sales. Based on year-to-date financial results and our projections for the
remainder of the year, we are narrowing our full year 2009 FFO
guidance to $1.61 to
$1.69 per share. For the fourth quarter 2009, FFO is expected to
range from $0.32 to
$0.40 per share, inclusive of dilution from 2009 asset sales. |
Management Comments
Chairman and Chief Executive Officer Terry Considine comments: Aimco properties enjoyed
high occupancy and property incomes from all portfolios taken together were stable. Same
Store rents declined from 2008; however the rate of decline eased during third quarter.
Property values appear to have stabilized after substantial declines from their 2007 high.
Proceeds from property sales are repaying our term debt. Refunding risk has been further
reduced by extending most property debt maturities before 2012. Business simplification
has led to lower offsite costs, including G&A expenses, and provided a substantial offset
to earnings dilution from property sales. Notwithstanding a solid quarter, business
conditions remain fragile and unpredictable. We look to the future with optimism and also
great caution.
President, Chief Investment Officer and Chief Financial Officer David Robertson adds:
During the quarter we sold $367 million of assets, plus an additional $124 million during
October. Proceeds from these sales were used to pay down our term debt by $140 million,
leaving a $210 million balance due in early 2011. We currently have an additional $800
million of assets either under contract or in negotiations, and we plan to sell
approximately $450 million of this amount to repay our term debt, bringing total sales in
2009 to approximately $1.3 billion. Any additional sales will be used to fund investments
in our existing portfolio or the acquisition of higher rated assets in our target markets.
AIMCO 3rd Quarter 2009 | Page 2 |
Third quarter 2009 Financial Results
In accordance with United States Generally Accepted Accounting Principles (GAAP), all
previously reported share and per share data have been adjusted to take into account the
special dividends paid on December 1, 2008, and January 29, 2009, which resulted in the
issuance of approximately 12.6 million and 15.6 million additional shares of Aimcos Class
A Common Stock, respectively.
| Net loss attributable to common stockholders for the quarter was $40.5 million,
compared to net income of $159.5 million for the third quarter 2008. Lower gains on
dispositions of consolidated and unconsolidated real estate of $194.9 million, lower
asset management and tax credit revenues of $22.3 million, higher operating real
estate impairment losses of $23.3 million and higher depreciation and amortization
expense of $15.0 million were partially offset by a decrease in income attributable to
noncontrolling interests of $45.7 million and lower general and administrative
expenses of $11.7 million. Earnings per share (EPS) attributable to common
stockholders were a loss of $0.35 on a diluted basis, compared with earnings of $1.35
per share in third quarter 2008. |
| Funds from operations (diluted) (FFO) is a non-GAAP financial measure defined in
the glossary in the Supplemental Information (the Glossary). FFO calculated in
accordance with the definition prescribed by the National Association of Real Estate
Investment Trusts (NAREIT) was $22.3 million, or $0.19 per share, compared with $73.0
million, or $0.60 per share, in third quarter 2008. FFO, before operating real estate
impairments and preferred stock redemption related gains, was $47.4 million, or $0.41
per share, down from $0.62 per share in third quarter 2008. Third quarter 2009
operating real estate impairments totaled $0.22 per share and
resulted from the expected fourth quarter sale of four specific assets. |
| Adjusted funds from operations (diluted) (AFFO; a non-GAAP financial measure
defined in the Glossary) was $28.8 million, or $0.25 per share, compared with $49.1
million, or $0.41 per share, in third quarter 2008. AFFO includes deductions of $0.16
and $0.21 per share for capital replacement expenditures in third quarter 2009 and
third quarter 2008, respectively. |
Adjusted Diluted Per Share Results*
THIRD QUARTER | YEAR-TO-DATE | |||||||||||||||
2009 | 2008 | 2009 | 2008 | |||||||||||||
Earnings (loss) EPS |
$ | (0.35 | ) | $ | 1.35 | $ | (0.94 | ) | $ | 2.93 | ||||||
Funds from operations FFO |
$ | 0.19 | $ | 0.60 | $ | 0.95 | $ | 1.69 | ||||||||
FFO before operating real estate impairments and
preferred stock redemption related gains |
$ | 0.41 | $ | 0.62 | $ | 1.29 | $ | 1.76 | ||||||||
Adjusted funds from operations AFFO |
$ | 0.25 | $ | 0.41 | $ | 0.86 | $ | 1.23 |
* | These per share results reflect the cumulative effect of the shares
issued as part of Aimcos special dividends paid in 2008 and on January 29,
2009. To estimate the approximate per share results before the effect of
Aimcos special dividends, multiply the reported per share results by a factor
of 1.48. |
Property Operations
Property operating results discussed below represent Aimcos share of reported amounts.
Conventional Real Estate Operations
Conventional real estate operations relate to Aimcos diversified portfolio of market rate
apartment communities. At the end of third quarter 2009, this portfolio included 266
properties with 82,142 units in which Aimco had a weighted average ownership of 90%.
Average rents for the conventional real estate portfolio increased 5.6% from $987 per unit
during third quarter 2008 to $1,042 per unit during third quarter 2009. During third
quarter 2009, conventional real estate operations generated net operating income of $127.2
million. Aimcos Same Store portfolio net operating income was $106.1 million for third quarter 2009, down 5.4% from third quarter 2008, while conventional redevelopment
property operations generated net operating income of $22.6 million during the quarter, an
increase of 16.4% compared to third quarter 2008.
AIMCO 3rd Quarter 2009 | Page 3 |
Same Store Results
In the third quarter 2009, the Same Store portfolio included 195 communities with 57,968
Effective Units (see the Glossary) based on Aimcos weighted average ownership of 91%.
Comparing Same Store results in third quarter 2009 with third quarter 2008, total revenue
decreased $5.2 million, or 2.9%. The decrease in revenue was primarily the result of lower
average daily occupancy, down 20 basis points from 95.0% to 94.8%, and lower average rent,
down 3.5% or $36 per unit, from $1,026 per unit to $990 per unit. Same Store expenses
increased $0.8 million or 1.1%, primarily due to higher property tax and insurance
expenses, partially offset by decreased turnover costs.
Same Store Operating Results
THIRD QUARTER | THIRD QUARTER | YEAR-TO-DATE | ||||||||||||||||||||||||||||||
Year-over-year | Sequential | Year-over-year | ||||||||||||||||||||||||||||||
2009 | 2008 | Variance | 2nd Qtr | Variance | 2009 | 2008 | Variance | |||||||||||||||||||||||||
Same Store Operating Measures |
||||||||||||||||||||||||||||||||
Average Daily Occupancy |
94.8 | % | 95.0 | % | -0.2 | % | 92.8 | % | 2.0 | % | 93.7 | % | 94.9 | % | -1.2 | % | ||||||||||||||||
Average Rent Per Unit |
$ | 990 | $ | 1,026 | -3.5 | % | $ | 1,008 | -1.8 | % | $ | 1,004 | $ | 1,021 | -1.7 | % | ||||||||||||||||
Total Same Store ($mm) |
||||||||||||||||||||||||||||||||
Revenue |
$ | 177.7 | $ | 182.9 | -2.9 | % | $ | 177.3 | 0.2 | % | $ | 508.8 | $ | 519.9 | -2.1 | % | ||||||||||||||||
Expenses |
(71.6 | ) | (70.8 | ) | 1.1 | % | (68.8 | ) | 4.1 | % | (200.1 | ) | (200.8 | ) | -0.4 | % | ||||||||||||||||
NOI |
$ | 106.1 | $ | 112.1 | -5.4 | % | $ | 108.5 | -2.2 | % | $ | 308.7 | $ | 319.1 | -3.3 | % |
See Supplemental Schedules 6a through 6c for additional information on Same Store operating results.
Affordable Real Estate Operations
At the end of third quarter 2009, Aimcos affordable real estate portfolio included 271
properties with 30,816 units in which Aimco had a weighted average ownership of 54%.
During third quarter 2009, affordable property operations generated net operating income of
$17.9 million. Total affordable property net operating income was 6.0% higher than during
third quarter 2008. Average month-end occupancy for the affordable portfolio decreased
1.1% from 97.6% for third quarter 2008 to 96.5% for third quarter 2009, while average rent
per unit increased 3.6% from $728 to $754 per unit.
Investment Management
Investment management includes activities related to our owned portfolio of properties as
well as services provided to affiliated partnerships. Investment management includes
portfolio strategy, capital allocation, joint ventures, tax credit syndication,
acquisitions, dispositions and other transaction activities. Within our owned portfolio,
we refer to these activities as Portfolio Management, and their benefit is seen in property
operating results and in investment gains. For affiliated partnerships, we refer to these
activities as Asset Management for which we are separately compensated through fees paid by
third party investors.
Investment management income includes fees earned for providing asset management
services to third party investors, syndication fees and deferred income related to tax
credit activities, and portfolio management income earned through investment gains on our
owned assets. Aimcos share of investment management income, net of tax, was $6.0 million
in the third quarter 2009 compared to $27.7 million in third quarter 2008. Income
based on third quarter transactions contributed less than 1% of third quarter FFO. See
Supplemental Schedule 11 for additional information on investment management income.
AIMCO 3rd Quarter 2009 | Page 4 |
Portfolio Management
Portfolio management includes the ongoing allocation of investment capital to meet our
geographic and product type goals. Our geographic allocation strategy focuses on the 20
largest U.S. markets as measured by total market capitalization. We believe these markets
to be deep, relatively liquid and possessing desirable long-term growth characteristics.
These target markets are primarily coastal markets, and also include a number of Sun Belt
cities and Chicago, Illinois. As we execute this strategy, we expect to reduce our
investment in markets outside the 20 largest markets and to increase our investment in the
20 largest markets both by making acquisitions and through redevelopment spending.
In third quarter 2009, Aimco sold 21 conventional properties and seven affordable
properties with 6,031 and 777 units, respectively, for $366.6 million in gross proceeds
(Aimco share $297.6 million). Aimcos share of net proceeds after distributions to limited
partners, repayment of existing property debt and transaction costs was $125.0 million.
See Supplemental Schedules 6 and 7 for additional details regarding Aimcos portfolio
allocation and Supplemental Schedule 8 for additional information on disposition activity.
Redevelopment
During third quarter 2009, Aimco invested $8.6 million in conventional redevelopment
projects and completed five of the 21 projects that were active at the end of the second
quarter. Aimco also invested $9.2 million in seven tax credit redevelopment projects
during third quarter 2009.
Balance Sheet and Liquidity
At the end of third quarter 2009, Aimco leverage was provided 83% by long-term non-recourse
property debt of $5.8 billion ($5.2 billion Aimco share) at a weighted average interest
rate of 5.4% and weighted average maturity of 8.7 years. Aimcos preferred securities
represented approximately 12% of Aimcos leverage at the end of the quarter at which time
Aimco had $776.2 million in perpetual preferred stock and preferred partnership units at a
weighted average rate of 7.6%.
Aimcos recourse debt is limited to its revolving credit facility and corporate term debt,
which together represented approximately 4% of Aimcos leverage at the end of third quarter 2009.
At that time, the balance on Aimcos revolving credit facility was $15.1 million and
available capacity was $119.5 million, net of $45.4 million of letters of credit drawn
against the facility. Aimcos revolving credit facility is used for working capital
purposes and to secure letters of credit used in the Aimco business. The balance on
Aimcos corporate term debt of $260.0 million at September 30, 2009, matures in first quarter 2011. Subsequent to
quarters end, the entire balance on the line of credit was
repaid and $50 million was
repaid on the term debt. In connection with these recourse obligations, Aimco is subject
to Debt Service and Fixed Charge Coverage covenants of 1.50:1 and 1.30:1, respectively, as
defined in the Glossary. For third quarter 2009, Aimcos Debt
Service and Fixed
Charge Coverage ratios were 1.60:1 and 1.38:1, respectively. Aimco expects to remain in
compliance with these covenants.
At September 30, 2009, Aimco had outstanding $6.2 billion of consolidated debt, which
consisted of $5.2 billion of fixed rate property debt, $0.7 billion of floating rate
property debt and $0.3 billion of floating rate corporate debt. In addition, Aimco had
outstanding $67.0 million of floating rate preferred stock. Aimcos floating rate property
debt includes $474.7 million of tax-exempt bonds with rates tied to the Securities Industry
and Financial Markets Association Municipal Swap Index (SIFMA). Over the last twenty years
the SIFMA rate has moved at approximately 0.73% for a 1.00% change in LIBOR, which reduces
Aimcos FFO exposure to changes in floating interest rates. Additionally, Aimcos FFO
exposure is offset by floating rate assets, such as cash and notes receivable. Based on
Aimcos proportionate share of quarter-end balances, Aimco estimates its sensitivity to a
100 basis point change in LIBOR to be approximately $0.01 per share per quarter.
See Supplemental Schedules 4 and 5 for more detail on preferred equity characteristics and
debt characteristics and activity.
AIMCO 3rd Quarter 2009 | Page 5 |
Dividends on Common Stock
On October 27, 2009, the Aimco Board of Directors declared a quarterly cash dividend of
$0.10 per share of Class A Common Stock for the quarter ended September 30, 2009, payable
on November 30, 2009, to stockholders of record on November 20, 2009. At the end of the
third quarter 2009, there were approximately 116.4 million shares of Class A Common Stock
outstanding. See Supplemental Schedule 4 for additional detail on Aimcos securities.
Earnings Conference Call
Please join Aimco management for the third quarter 2009 earnings conference call to be held
Friday, October 30, 2009, at 1:00 p.m. Eastern time.
Live Conference Call
Domestic Dial-In Number: 1-866-843-0890
International Dial-In Number: 1-412-317-9250
Passcode: 9147658
Webcast: http://www.aimco.com/CorporateInformation/Overview.aspx
Domestic Dial-In Number: 1-866-843-0890
International Dial-In Number: 1-412-317-9250
Passcode: 9147658
Webcast: http://www.aimco.com/CorporateInformation/Overview.aspx
Conference Call Replay
Domestic Dial-In Number: 1-877-344-7529
International Dial-In Number: 1-412-317-0088
Passcode: 434199
Domestic Dial-In Number: 1-877-344-7529
International Dial-In Number: 1-412-317-0088
Passcode: 434199
The
conference call replay will be available until 9:00 a.m. Eastern time
on November 13,
2009.
Webcast Replay: http://www.aimco.com/CorporateInformation/About/Financial/news.aspx
Supplemental Information
The full text of this release and the Supplemental Information referenced in this release
is available on Aimcos Website at the link http://www.aimco.com/CorporateInformation/About/Financial/QEarnRelease.aspx.
AIMCO 3rd Quarter 2009 | Page 6 |
Forward-looking Statements
This earnings release and Supplemental Information contain forward-looking statements,
including statements regarding projected results and specifically forecasts of fourth
quarter and full year 2009 results. These forward-looking statements are based on
managements judgment as of this date and include certain risks and uncertainties. Risks
and uncertainties include, but are not limited to, Aimcos ability to maintain current or
meet projected occupancy, rent levels and Same Store results and Aimcos ability to close
transactions necessary to generate sales proceeds for debt repayment and other purposes,
and to generate fee income as anticipated. Actual results may differ materially from those
described in these forward-looking statements and, in addition, will be affected by a
variety of risks and factors, some of which are beyond the control of Aimco, including,
without limitation: financing risks, including the availability and cost of capital
markets financing and the risk that our cash flows from operations may be insufficient to
meet required payments of principal and interest; earnings may not be sufficient to
maintain compliance with debt covenants; real estate risks, including fluctuations in real
estate values and the general economic climate in the markets in which we operate and
competition for tenants in such markets; national and local economic conditions; the terms
of governmental regulations that affect Aimco and interpretations of those regulations; the
competitive environment in which Aimco operates; redevelopment risks, including failure of
such redevelopments to perform in accordance with projections; the timing of acquisitions
and dispositions; insurance risk; natural disasters and severe weather such as hurricanes;
litigation, including costs associated with prosecuting or defending claims and any adverse
outcomes; energy costs; and possible environmental liabilities, including costs, fines or
penalties that may be incurred due to necessary remediation of contamination of properties
presently owned or previously owned by Aimco. In addition, our current and continuing
qualification as a real estate investment trust involves the application of highly
technical and complex provisions of the Internal Revenue Code and depends on our ability to
meet the various requirements imposed by the Internal Revenue Code, through actual
operating results, distribution levels and diversity of stock ownership. Readers should
carefully review Aimcos financial statements and notes thereto, as well as the risk
factors described in Aimcos Annual Report on Form 10-K for the year ended December 31,
2008, and the other documents Aimco files from time to time with the Securities and
Exchange Commission. These forward-looking statements reflect managements judgment as of
this date, and Aimco assumes no obligation to revise or update them to reflect future
events or circumstances. This press release does not constitute an offer of securities for
sale.
About Aimco
Aimco is a real estate investment trust headquartered in Denver, Colorado that owns and
operates a geographically diversified portfolio of apartment communities. Aimco, through
its subsidiaries and affiliates, is one of the largest owners and operators of apartment
communities in the United States with 916 properties, including 146,581 apartment units,
and serves approximately 500,000 residents each year. Aimcos properties are located in 44
states, the District of Columbia and Puerto Rico. Aimco common shares are traded on the
New York Stock Exchange under the ticker symbol AIV and are included in the S&P 500. For
more information about Aimco, please visit our website at www.aimco.com.
Contact
Investor Relations 303.691.4350, Investor@Aimco.com
Elizabeth Coalson, Vice President Investor Relations 303.691.4327
Investor Relations 303.691.4350, Investor@Aimco.com
Elizabeth Coalson, Vice President Investor Relations 303.691.4327
AIMCO 3rd Quarter 2009 | Page 7 |
GAAP Income Statements
Consolidated Statements of Income
(in thousands, except per share data) (unaudited)
(in thousands, except per share data) (unaudited)
Three Months Ended | Nine Months Ended | |||||||||||||||
September 30, | September 30, | |||||||||||||||
2009 | 2008 | 2009 | 2008 | |||||||||||||
REVENUES: |
||||||||||||||||
Rental and other property revenues |
$ | 307,907 | $ | 310,563 | $ | 925,363 | $ | 918,772 | ||||||||
Property management revenues, primarily from affiliates |
1,114 | 1,227 | 4,098 | 4,746 | ||||||||||||
Asset management and tax credit revenues |
10,325 | 32,624 | 32,469 | 83,651 | ||||||||||||
Total revenues |
319,346 | 344,414 | 961,930 | 1,007,169 | ||||||||||||
OPERATING EXPENSES: |
||||||||||||||||
Property operating expenses |
146,608 | 147,165 | 426,258 | 430,166 | ||||||||||||
Property management expenses |
510 | 1,603 | 2,415 | 4,192 | ||||||||||||
Investment management expenses |
4,213 | 7,850 | 12,719 | 18,044 | ||||||||||||
Depreciation and amortization |
122,362 | 107,374 | 355,680 | 304,668 | ||||||||||||
Provision for operating real estate impairment losses |
21,676 | | 24,666 | | ||||||||||||
General and administrative expenses |
15,676 | 27,383 | 53,598 | 75,754 | ||||||||||||
Other expenses, net |
8,548 | 1,343 | 14,567 | 18,926 | ||||||||||||
Total operating expenses |
319,593 | 292,718 | 889,903 | 851,750 | ||||||||||||
Operating (loss) income |
(247 | ) | 51,696 | 72,027 | 155,419 | |||||||||||
Interest income |
1,962 | 5,824 | 7,629 | 17,131 | ||||||||||||
Recovery of (provision for) losses on notes receivable |
1,233 | (842 | ) | (452 | ) | (1,107 | ) | |||||||||
Interest expense |
(83,179 | ) | (84,887 | ) | (256,746 | ) | (257,042 | ) | ||||||||
Equity in losses of unconsolidated real estate partnerships |
(4,198 | ) | (1,559 | ) | (7,934 | ) | (3,432 | ) | ||||||||
Impairment losses related to unconsolidated real estate partnerships |
| (1,131 | ) | | (1,131 | ) | ||||||||||
Gain on dispositions of unconsolidated real estate and other |
3,345 | 99,954 | 18,580 | 100,118 | ||||||||||||
(Loss) income before income taxes and discontinued operations |
(81,084 | ) | 69,055 | (166,896 | ) | 9,956 | ||||||||||
Income tax benefit |
2,410 | 6,062 | 7,195 | 10,862 | ||||||||||||
(Loss) income from continuing operations |
(78,674 | ) | 75,117 | (159,701 | ) | 20,818 | ||||||||||
Income from discontinued operations, net [1] |
69,118 | 162,269 | 109,945 | 535,862 | ||||||||||||
Net (loss) income |
(9,556 | ) | 237,386 | (49,756 | ) | 556,680 | ||||||||||
Noncontrolling interests [2]: |
||||||||||||||||
Net income attributable to noncontrolling interests in consolidated real estate partnerships |
(19,342 | ) | (46,182 | ) | (24,764 | ) | (108,145 | ) | ||||||||
Net income attributable to preferred noncontrolling interests in Aimco Operating
Partnership [3] |
(1,743 | ) | (1,962 | ) | (4,558 | ) | (5,669 | ) | ||||||||
Net loss (income) attributable to common noncontrolling interests in Aimco Operating
Partnership [3] |
3,139 | (15,500 | ) | 8,597 | (37,819 | ) | ||||||||||
Total noncontrolling interests |
(17,946 | ) | (63,644 | ) | (20,725 | ) | (151,633 | ) | ||||||||
Net (loss) income attributable to Aimco |
(27,502 | ) | 173,742 | (70,481 | ) | 405,047 | ||||||||||
Net income attributable to Aimco preferred stockholders |
(12,988 | ) | (12,224 | ) | (37,631 | ) | (40,102 | ) | ||||||||
Net income attributable to participating securities [4] |
| (1,974 | ) | | (4,488 | ) | ||||||||||
Net (loss) income attributable to Aimco common stockholders |
$ | (40,490 | ) | $ | 159,544 | $ | (108,112 | ) | $ | 360,457 | ||||||
Weighted average common shares outstanding basic [5] |
115,563 | 118,182 | 115,391 | 123,209 | ||||||||||||
Weighted average common shares outstanding diluted [5] |
115,563 | 118,552 | 115,391 | 123,209 | ||||||||||||
Earnings (loss) per common share basic and diluted [5]: |
||||||||||||||||
(Loss) income from continuing operations attributable to Aimco common stockholders |
$ | (0.64 | ) | $ | 0.40 | $ | (1.36 | ) | $ | (0.31 | ) | |||||
Income from discontinued operations attributable to Aimco common stockholders |
0.29 | 0.95 | 0.42 | 3.24 | ||||||||||||
Net (loss) income attributable to Aimco common stockholders |
$ | (0.35 | ) | $ | 1.35 | $ | (0.94 | ) | $ | 2.93 | ||||||
AIMCO 3rd Quarter 2009 | Page 8 |
GAAP Income Statements (continued)
Notes to Consolidated Statements of Income
[1] | Income from discontinued operations consists of the following (in thousands): |
Three Months Ended | Nine Months Ended | |||||||||||||||
September 30, | September 30, | |||||||||||||||
2009 | 2008 | 2009 | 2008 | |||||||||||||
Rental and other property revenues [6] |
$ | 11,177 | $ | 82,477 | $ | 68,227 | $ | 319,282 | ||||||||
Property operating expenses [6] |
(5,825 | ) | (40,100 | ) | (37,597 | ) | (157,847 | ) | ||||||||
Depreciation and amortization |
(2,448 | ) | (20,403 | ) | (18,698 | ) | (78,034 | ) | ||||||||
Provision for operating real estate impairment losses |
(5,050 | ) | (3,429 | ) | (18,954 | ) | (9,965 | ) | ||||||||
Other expenses, net |
(1,355 | ) | (4,812 | ) | (5,743 | ) | (8,087 | ) | ||||||||
Operating (loss) income |
(3,501 | ) | 13,733 | (12,765 | ) | 65,349 | ||||||||||
Interest income |
3 | 534 | 56 | 1,320 | ||||||||||||
Interest expense |
(2,348 | ) | (15,739 | ) | (14,194 | ) | (59,531 | ) | ||||||||
(Loss) income before gain on dispositions of real estate and
income taxes |
(5,846 | ) | (1,472 | ) | (26,903 | ) | 7,138 | |||||||||
Gain on extinguishment of debt |
259 | | 259 | | ||||||||||||
Gain on dispositions of real estate |
70,890 | 169,160 | 133,431 | 549,550 | ||||||||||||
Income tax benefit (expense) |
3,815 | (5,419 | ) | 3,158 | (20,826 | ) | ||||||||||
Income from discontinued operations, net |
$ | 69,118 | $ | 162,269 | $ | 109,945 | $ | 535,862 | ||||||||
Income from discontinued operations attributable to: |
||||||||||||||||
Noncontrolling interests in consolidated real estate partnerships |
$ | (32,498 | ) | $ | (38,125 | ) | $ | (56,656 | ) | $ | (95,867 | ) | ||||
Noncontrolling interests in Aimco Operating Partnership [3] |
(2,792 | ) | (10,251 | ) | (3,999 | ) | (36,593 | ) | ||||||||
Total noncontrolling interests |
(35,290 | ) | (48,376 | ) | (60,655 | ) | (132,460 | ) | ||||||||
Aimco |
$ | 33,828 | $ | 113,893 | $ | 49,290 | $ | 403,402 | ||||||||
[2] | Noncontrolling interests refers to interests in consolidated partnerships held by parties other than Aimco. |
|
[3] | The Aimco Operating Partnership is AIMCO Properties, L.P., the operating partnership in Aimcos UPREIT structure. |
|
[4] | Income attributable to participating securities represents dividends declared and any amounts of undistributed earnings
allocable to participating securities. Participating securities consist of unvested restricted stock and shares purchased
pursuant to officer loans, both of which are entitled to dividends similar to common stock. |
|
[5] | Weighted average share and earnings per share amounts for the periods presented above have been retroactively adjusted for
the effect of shares of common stock issued pursuant to the special dividends paid in 2008 and January 2009. |
|
[6] | Income from discontinued operations for the three months ended September 30, 2009, attributable to properties classified as
held for sale at September 30, 2009, includes $2.1 million of rental and other property revenues and $0.9 million of
property operating expenses related to one wholly-owned property. |
AIMCO 3rd Quarter 2009 | Page 9 |
GAAP Balance Sheets
Consolidated Balance Sheets
(in thousands)
(unaudited)
(in thousands)
(unaudited)
September 30, 2009 | December 31, 2008 | |||||||
ASSETS |
||||||||
Buildings and improvements |
$ | 7,999,462 | $ | 7,857,758 | ||||
Land |
2,243,403 | 2,232,541 | ||||||
Accumulated depreciation |
(2,803,036 | ) | (2,506,683 | ) | ||||
Total real estate |
7,439,829 | 7,583,616 | ||||||
Cash and cash equivalents |
107,034 | 299,676 | ||||||
Restricted cash |
246,764 | 255,836 | ||||||
Accounts receivable |
61,584 | 90,318 | ||||||
Accounts receivable from affiliates |
26,769 | 38,978 | ||||||
Deferred financing costs |
54,561 | 54,109 | ||||||
Notes receivable from unconsolidated real estate partnerships |
14,855 | 22,567 | ||||||
Notes receivable from non-affiliates |
143,102 | 139,897 | ||||||
Investment in unconsolidated real estate partnerships |
112,610 | 119,036 | ||||||
Other assets |
204,405 | 198,714 | ||||||
Deferred income tax asset, net |
33,267 | 28,326 | ||||||
Assets held for sale |
29,758 | 610,797 | ||||||
Total assets |
$ | 8,474,538 | $ | 9,441,870 | ||||
LIABILITIES AND EQUITY |
||||||||
Property tax-exempt bond financing |
$ | 605,055 | $ | 676,339 | ||||
Property loans payable |
5,206,788 | 5,224,350 | ||||||
Term loans |
260,000 | 400,000 | ||||||
Credit Facility |
15,070 | | ||||||
Other borrowings |
85,683 | 95,981 | ||||||
Total indebtedness |
6,172,596 | 6,396,670 | ||||||
Accounts payable |
36,317 | 64,241 | ||||||
Accrued liabilities and other |
295,955 | 421,043 | ||||||
Deferred income |
177,754 | 194,379 | ||||||
Security deposits |
38,865 | 40,109 | ||||||
Liabilities related to assets held for sale |
48,153 | 441,578 | ||||||
Total liabilities |
6,769,640 | 7,558,020 | ||||||
Preferred noncontrolling interests in Aimco Operating Partnership |
86,625 | 88,148 | ||||||
Preferred stock subject to repurchase agreement |
30,000 | | ||||||
Equity: |
||||||||
Perpetual preferred stock |
660,500 | 696,500 | ||||||
Class A Common Stock |
1,164 | 1,162 | ||||||
Additional paid-in capital |
3,067,299 | 3,058,799 | ||||||
Accumulated other comprehensive loss |
(1,846 | ) | (2,249 | ) | ||||
Notes due on common stock purchases |
(1,417 | ) | (3,607 | ) | ||||
Distributions in excess of earnings |
(2,465,312 | ) | (2,335,628 | ) | ||||
Total Aimco equity |
1,260,388 | 1,414,977 | ||||||
Noncontrolling interests in consolidated real estate partnerships |
340,581 | 380,725 | ||||||
Common noncontrolling interests in Aimco Operating Partnership |
(12,696 | ) | | |||||
Total equity |
1,588,273 | 1,795,702 | ||||||
Total liabilities and equity |
$ | 8,474,538 | $ | 9,441,870 | ||||
AIMCO 3rd Quarter 2009 | Page 10 |
Outlook and Forward Looking Statement
Fourth Quarter and Full Year 2009
(unaudited)
Fourth Quarter and Full Year 2009
(unaudited)
This earnings release and Supplemental Information contain forward-looking statements, including
statements regarding projected results and specifically forecasts of fourth quarter and full year
2009 results. These forward-looking statements are based on managements judgment as of this date
and include certain risks and uncertainties. Risks and uncertainties include, but are not limited
to, Aimcos ability to maintain current or meet projected occupancy, rent levels and Same Store
results and Aimcos ability to close transactions necessary to generate sales proceeds for debt
repayment and other purposes and to generate fee income as anticipated.
Actual results may differ materially from those described in these forward-looking statements and,
in addition, will be affected by a variety of risks and factors, some of which are beyond the
control of Aimco, including, without limitation: financing risks, including the availability and
cost of capital markets financing and the risk that our cash flows from operations may be
insufficient to meet required payments of principal and interest; earnings may not be sufficient to
maintain compliance with debt covenants; real estate risks, including fluctuations in real estate
values and the general economic climate in the markets in which Aimco operates and competition for
tenants in such markets; national and local economic conditions; the terms of governmental
regulations that affect Aimco and interpretations of those regulations; the competitive environment
in which Aimco operates; redevelopment risks, including failure of such redevelopments to perform
in accordance with projections; the timing of acquisitions and dispositions; insurance risk;
natural disasters and severe weather such as hurricanes; litigation, including costs associated
with prosecuting or defending claims and any adverse outcomes; energy costs; and possible
environmental liabilities, including costs, fines or penalties that may be incurred due to
necessary remediation of contamination of properties presently owned or previously owned by Aimco.
In addition, our current and continuing qualification as a real estate investment trust involves
the application of highly technical and complex provisions of the Internal Revenue Code and depends
on our ability to meet the various requirements imposed by the Internal Revenue Code, through
actual operating results, distribution levels and diversity of stock ownership.
Readers should carefully review Aimcos financial statements and notes thereto, as well as the risk
factors described in Aimcos Annual Report on Form 10-K for the year ended December 31, 2008, and
the other documents Aimco files from time to time with the Securities and Exchange Commission.
These forward-looking statements reflect managements judgment as of this date, and Aimco assumes
no obligation to revise or update them to reflect future events or circumstances. This press
release does not constitute an offer of securities for sale.
Fourth Quarter 2009 | Full Year 2009 | |||
GAAP earnings per share [1][3] |
-$0.58 to -$0.50 | -$1.52 to -$1.44 | ||
FFO per share [2][3] |
$0.32 to $0.40 | $1.61 to $1.69 | ||
2009 Same Store operating assumptions: |
||||
Weighted average daily occupancy |
94.5% to 95.5% | 93.5% to 94.5% | ||
NOI change sequential |
-2.0% to -1.0% | |||
NOI change 2009 vs. 2008 |
-8.0% to -7.0% | -5.0% to -4.0% |
[1] | Aimcos earnings per share guidance does not include estimates for (i) gains on dispositions or impairment losses due to the
unpredictable timing of transactions, (ii) gains or losses on early repayment of debt, (iii) preferred stock redemption related
costs or gains or (iv) potential future share repurchases or special dividends. |
|
[2] | FFO per share represents FFO before operating real estate impairment losses and preferred redemption related costs or gains. |
|
[3] | The GAAP earnings per share and FFO per share amounts are calculated based on 115.6 million weighted average common shares
(diluted) for fourth quarter 2009 and 115.4 million weighted average common shares (diluted) for full year 2009. |
AIMCO 3rd Quarter 2009 | Page 11 |
AIMCO 3rd Quarter 2009 |
SUPPLEMENTAL INFORMATION |
Page | ||||||
3
|
Schedule 1 | | Funds From Operations and Adjusted Funds From Operations | |||
5
|
Schedule 2 | | Proportionate Operating Results Presentation | |||
7
|
Schedule 3 | | Proportionate Balance Sheet Presentation | |||
8
|
Schedule 4 | | Share Data | |||
9
|
Schedule 5 | | Selected Debt Structure and Maturity Data | |||
11
|
Schedule 6a | | Same Store Operating Results (3Q 2009 v. 3Q 2008) | |||
12
|
Schedule 6b | | Same Store Operating Results (3Q 2009 v. 2Q 2009) | |||
13
|
Schedule 6c | | Same Store Operating Results (YTD 3Q 2009 v. YTD 3Q 2008) | |||
14
|
Schedule 7 | | Total Conventional Portfolio Data by Market | |||
15
|
Schedule 8 | | Property Sales and Acquisition Activity | |||
16
|
Schedule 9 | | Capital Expenditures | |||
17
|
Schedule 10 | | Summary of Redevelopment Activity | |||
18
|
Schedule 11 | | Aimco Capital | |||
19
|
Schedule 12 | | Apartment Unit Summary | |||
20
|
Glossary |
AIMCO 3rd Quarter 2009 | Page 2 |
Supplemental Schedule 1
Funds From Operations and Adjusted Funds From Operations
(in thousands, except per share data) (unaudited)
(in thousands, except per share data) (unaudited)
Three Months Ended | Nine Months Ended | |||||||||||||||
September 30, | September 30, | |||||||||||||||
2009 | 2008 | 2009 | 2008 | |||||||||||||
Net (loss) income attributable to Aimco common stockholders [1] |
$ | (40,490 | ) | $ | 159,544 | $ | (108,112 | ) | $ | 360,457 | ||||||
Adjustments: |
||||||||||||||||
Depreciation and amortization |
122,362 | 107,374 | 355,680 | 304,668 | ||||||||||||
Depreciation and amortization related to non-real estate assets |
(4,292 | ) | (3,879 | ) | (12,584 | ) | (12,499 | ) | ||||||||
Depreciation of rental property related to noncontrolling partners and
unconsolidated entities [2] |
(11,289 | ) | (13,569 | ) | (32,923 | ) | (23,155 | ) | ||||||||
Gain on dispositions of unconsolidated real estate and other |
(3,345 | ) | (99,954 | ) | (18,580 | ) | (100,118 | ) | ||||||||
Gain on dispositions of non-depreciable assets and other |
3,195 | 1,252 | 6,330 | 1,237 | ||||||||||||
Deficit distributions to noncontrolling partners [3] |
| 18,869 | | 23,795 | ||||||||||||
Discontinued operations: |
||||||||||||||||
Gain on dispositions of real estate, net of noncontrolling partners interest [2] |
(37,666 | ) | (128,289 | ) | (79,220 | ) | (443,590 | ) | ||||||||
Depreciation of rental property, net of noncontrolling partners interest [2] |
2,020 | 17,879 | 16,126 | 68,840 | ||||||||||||
Recovery of deficit distributions to noncontrolling partners [3] |
| (1,980 | ) | | (9,139 | ) | ||||||||||
Income tax (benefit) expense arising from disposals |
(3,181 | ) | 4,027 | 1,671 | 21,091 | |||||||||||
Noncontrolling interests in Aimco Operating Partnerships share of above adjustments |
(4,942 | ) | 8,850 | (17,750 | ) | 15,705 | ||||||||||
Preferred stock dividends |
12,988 | 13,706 | 39,280 | 41,584 | ||||||||||||
Preferred stock redemption related gains |
| (1,482 | ) | (1,649 | ) | (1,482 | ) | |||||||||
Amounts allocable to participating securities [4] |
| 1,974 | | 4,488 | ||||||||||||
Funds From Operations |
$ | 35,360 | $ | 84,322 | $ | 148,269 | $ | 251,882 | ||||||||
Preferred stock dividends |
(12,988 | ) | (13,706 | ) | (39,280 | ) | (41,584 | ) | ||||||||
Preferred stock redemption related gains |
| 1,482 | 1,649 | 1,482 | ||||||||||||
Dividends/distributions on dilutive preferred securities |
| 1,758 | | 4,850 | ||||||||||||
Amounts allocable to participating securities [4] |
(85 | ) | (869 | ) | (787 | ) | (2,529 | ) | ||||||||
Funds From Operations Attributable to Aimco Common Stockholders Diluted |
$ | 22,287 | $ | 72,987 | $ | 109,851 | $ | 214,101 | ||||||||
Operating real estate impairment losses, continuing operations, net of noncontrolling
partners interest [5] |
21,676 | 1,131 | 23,755 | 1,131 | ||||||||||||
Operating real estate impairment losses, discontinued operations, net of
noncontrolling partners interest [5] |
4,940 | 2,986 | 22,735 | 9,522 | ||||||||||||
Income tax expense (benefit) on impairment losses |
737 | | (2,620 | ) | | |||||||||||
Preferred stock redemption related gains [6] |
| (1,482 | ) | (1,649 | ) | (1,482 | ) | |||||||||
Noncontrolling interests in Aimco Operating Partnerships share of above adjustments |
(2,042 | ) | (218 | ) | (3,168 | ) | (853 | ) | ||||||||
Dividends/distributions on dilutive preferred securities |
| 17 | | 34 | ||||||||||||
Amounts allocable to participating securities [4] |
(200 | ) | (29 | ) | (352 | ) | (105 | ) | ||||||||
Funds From Operations Attributable to Aimco Common Stockholders Diluted (excluding
operating real estate impairments and preferred stock redemption related amounts) |
$ | 47,398 | $ | 75,392 | $ | 148,552 | $ | 222,348 | ||||||||
Capital Replacements |
(20,254 | ) | (27,182 | ) | (54,038 | ) | (72,499 | ) | ||||||||
Noncontrolling interests in Aimco Operating Partnerships share of Capital Replacements |
1,491 | 2,341 | 4,056 | 6,742 | ||||||||||||
Dividends/distributions on non-dilutive preferred securities |
| (1,717 | ) | | (4,767 | ) | ||||||||||
Amounts allocable to participating securities [4] |
148 | 298 | 450 | 874 | ||||||||||||
Adjusted Funds From Operations Attributable to Aimco Common Stockholders Diluted |
$ | 28,783 | $ | 49,132 | $ | 99,020 | $ | 152,698 | ||||||||
Funds From Operations Attributable to Aimco Common Stockholders Diluted: |
||||||||||||||||
Weighted average common shares, common share equivalents and dilutive preferred
securities outstanding [7]: |
||||||||||||||||
Common shares and equivalents [8] |
115,575 | 118,552 | 115,395 | 123,548 | ||||||||||||
Dilutive preferred securities [9] |
| 3,303 | | 3,086 | ||||||||||||
115,575 | 121,855 | 115,395 | 126,634 | |||||||||||||
Funds From Operations Attributable to Aimco Common Stockholders (excluding operating
real estate impairments and preferred stock redemption related amounts) |
||||||||||||||||
Weighted average common shares, common share equivalents and dilutive preferred
securities outstanding [7]: |
||||||||||||||||
Common shares and equivalents [8] |
115,575 | 118,552 | 115,395 | 123,548 | ||||||||||||
Dilutive preferred securities [9] |
| 3,330 | | 3,104 | ||||||||||||
115,575 | 121,882 | 115,395 | 126,652 | |||||||||||||
Adjusted Funds From Operations Attributable to Aimco Common Stockholders Diluted |
||||||||||||||||
Weighted average common shares, common share equivalents and dilutive preferred
securities outstanding [7]: |
||||||||||||||||
Common shares and equivalents [8] |
115,575 | 118,552 | 115,395 | 123,548 | ||||||||||||
Dilutive preferred securities [9] |
| 145 | | 97 | ||||||||||||
115,575 | 118,697 | 115,395 | 123,645 | |||||||||||||
Per Share [7]: |
||||||||||||||||
Funds From Operations Diluted |
$ | 0.19 | $ | 0.60 | $ | 0.95 | $ | 1.69 | ||||||||
Funds From Operations Diluted (excluding operating real estate impairments and
preferred stock redemption related amounts) |
$ | 0.41 | $ | 0.62 | $ | 1.29 | $ | 1.76 | ||||||||
Adjusted Funds From Operations Diluted |
$ | 0.25 | $ | 0.41 | $ | 0.86 | $ | 1.23 | ||||||||
Dividends paid [10] |
$ | 0.10 | $ | 3.00 | $ | 2.28 | $ | 6.11 |
AIMCO 3rd Quarter 2009 | Page 3 |
Supplemental Schedule 1 (continued)
Notes to Funds From Operations and Adjusted Funds From Operations
[1] | Represents the numerator for calculating basic earnings per common share in accordance with GAAP. |
|
[2] | Noncontrolling partners refers to noncontrolling partners in our consolidated real estate partnerships. |
|
[3] | Prior to adoption of SFAS 160, Aimco recognized deficit distributions to noncontrolling partners as charges in its income
statement when cash was distributed to a noncontrolling partner in a consolidated partnership in excess of the positive
balance in such partners noncontrolling interest account. Aimco recorded these charges for GAAP purposes even though
there is no economic effect or cost. Deficit distributions to noncontrolling partners occurred when the fair value of the
underlying real estate exceeded its depreciated net book value because the underlying real estate had appreciated or
maintained its value. As a result, the recognition of expense for deficit distributions to noncontrolling partners
represented, in substance, either (a) Aimcos recognition of depreciation previously allocated to the noncontrolling
partner or (b) a payment related to the noncontrolling partners share of real estate appreciation. Based on NAREITs FFO
White Paper guidance that requires real estate depreciation and gains to be excluded from FFO, Aimco added back deficit
distributions and subtracted related recoveries in its reconciliation of net income to FFO. Subsequent to adoption of SFAS
160, effective January 1, 2009, Aimco may reduce the balance in noncontrolling partners accounts below zero in such situations
and is no longer required to recognize deficit distribution charges in its income statement. |
|
[4] | Amounts allocable to participating securities represent dividends
declared and any amounts of undistributed earnings allocable to
participating securities. Participating securities consist of
unvested restricted stock and shares purchased pursuant to officer
loans, both of which are entitled to dividends similar to common
stock. |
|
[5] | On October 1, 2003, NAREIT clarified its definition of FFO to
include operating real estate impairment losses, which previously had
been added back to calculate FFO. Although Aimcos presentation
conforms with the NAREIT definition, Aimco considers such approach to
be inconsistent with the treatment of gains on dispositions of
operating real estate, which are not included in FFO. Aimco does not
add back operating real estate impairment losses when computing FFO
in accordance with NAREITs definition. |
|
[6] | In accordance with the Securities and Exchange Commissions July 31,
2003 interpretation of the Emerging Issues Task Force Topic D-42,
Aimco includes preferred stock redemption related charges or gains in
FFO. As a result, FFO for the nine months ended September 30, 2009,
includes a redemption discount, net of issuance costs, of $1.6
million and FFO for the three and nine months ended September 30,
2008, includes a redemption discount, net of issuance costs, of $1.5
million. |
|
[7] | Weighted average common shares, common share equivalents, dilutive
preferred securities and per share funds from operations and adjusted
funds from operations amounts for each of the periods presented above
have been retroactively adjusted for the effect of shares of Common
Stock issued pursuant to the special dividends paid in 2008 and
January 2009. Additionally, per share funds from operations amounts
for 2008 have been retroactively adjusted for the effect of Aimcos
adoption of FASB FSP EITF 03-6-1 (participating securities) in 2009. |
|
[8] | Represents the denominator for calculating Aimcos diluted earnings
per common share in accordance with GAAP, plus common share
equivalents that are dilutive for per share funds from operations
amounts. |
|
[9] | AIMCO Properties, L.P.s Preferred Partnership Units (PPU) are
redeemable at the option of the holder. Upon a requested redemption,
Aimco, in its sole discretion, may redeem these units for cash or
shares of common stock. During 2008, Aimco implemented a policy that
evaluates (a) the ratio of Aimcos net asset value per share to the
market value per share of its common stock and (b) the level of
dilution of the assumed share settlement of all PPUs using common
stock to determine whether current redemptions will be settled in
cash or common stock. Pursuant to such policy, during the three and
nine months ended September 30, 2009, 7.8 million and 10.0 million
potential shares were excluded from diluted funds from operations
share equivalents because the policy required cash settlement rather
than share settlement. |
|
[10] | Dividends paid per share for the periods presented have not been
adjusted to give effect to shares of Common Stock issued pursuant to
the special dividends paid in 2008 and January 2009. |
AIMCO 3rd Quarter 2009 | Page 4 |
Supplemental Schedule 2
Proportionate Operating Results Presentation (page 1 of 2) | (page 1 of 2) | |
(in thousands) (unaudited) |
Three Months Ended September 30, 2009 | Nine Months Ended September 30, 2009 | |||||||||||||||||||||||||||||||
Proportionate | Proportionate | |||||||||||||||||||||||||||||||
Aimco | Share of | Proportionate | Aimco | Share of | Proportionate | |||||||||||||||||||||||||||
GAAP Income | Unconsolidated | Noncontrolling | Income | GAAP Income | Unconsolidated | Noncontrolling | Income | |||||||||||||||||||||||||
Statement | Partnerships | Interests | Statement | Statement | Partnerships | Interests | Statement | |||||||||||||||||||||||||
Revenues: |
||||||||||||||||||||||||||||||||
Rental and other property revenues: |
||||||||||||||||||||||||||||||||
Same Store properties [1] [2] |
$ | 197,135 | $ | | $ | (19,680 | ) | $ | 177,455 | $ | 593,338 | $ | | $ | (60,209 | ) | $ | 533,129 | ||||||||||||||
Acquisition properties [1] |
1,656 | | | 1,656 | 4,981 | | | 4,981 | ||||||||||||||||||||||||
Redevelopment properties [1] |
39,660 | | (2,090 | ) | 37,570 | 115,435 | | (6,077 | ) | 109,358 | ||||||||||||||||||||||
Other properties [1] |
17,054 | 167 | (1,397 | ) | 15,824 | 51,740 | 1,304 | (4,935 | ) | 48,109 | ||||||||||||||||||||||
Affordable properties [1] |
52,402 | 2,418 | (14,983 | ) | 39,837 | 159,869 | 7,291 | (47,583 | ) | 119,577 | ||||||||||||||||||||||
Total rental and other property revenues |
307,907 | 2,585 | (38,150 | ) | 272,342 | 925,363 | 8,595 | (118,804 | ) | 815,154 | ||||||||||||||||||||||
Property management revenues, primarily from affiliates [3] |
1,114 | (140 | ) | 1,666 | 2,640 | 4,098 | (470 | ) | 6,134 | 9,762 | ||||||||||||||||||||||
Asset management and tax credit revenues |
10,325 | | 424 | 10,749 | 32,469 | | 1,180 | 33,649 | ||||||||||||||||||||||||
Total revenues |
319,346 | 2,445 | (36,060 | ) | 285,731 | 961,930 | 8,125 | (111,490 | ) | 858,565 | ||||||||||||||||||||||
Operating expenses: |
||||||||||||||||||||||||||||||||
Property operating expenses: |
||||||||||||||||||||||||||||||||
Same Store properties [2] |
79,798 | | (8,583 | ) | 71,215 | 235,258 | | (25,392 | ) | 209,866 | ||||||||||||||||||||||
Acquisition properties |
648 | | | 648 | 1,824 | | | 1,824 | ||||||||||||||||||||||||
Redevelopment properties |
15,915 | | (936 | ) | 14,979 | 47,293 | | (2,730 | ) | 44,563 | ||||||||||||||||||||||
Other properties |
9,120 | 88 | (970 | ) | 8,238 | 26,382 | 720 | (2,710 | ) | 24,392 | ||||||||||||||||||||||
Affordable properties |
26,518 | 1,397 | (8,672 | ) | 19,243 | 79,403 | 4,441 | (26,293 | ) | 57,551 | ||||||||||||||||||||||
Casualties, Conventional |
3,905 | 42 | (227 | ) | 3,720 | 6,515 | 58 | (243 | ) | 6,330 | ||||||||||||||||||||||
Casualties, Affordable |
1,408 | 15 | (82 | ) | 1,341 | 2,350 | 21 | (88 | ) | 2,283 | ||||||||||||||||||||||
Property management expenses, Conventional [4] |
6,832 | | (354 | ) | 6,478 | 20,015 | | (427 | ) | 19,588 | ||||||||||||||||||||||
Property management expenses, Affordable [4] |
2,464 | | (1,071 | ) | 1,393 | 7,218 | | (3,007 | ) | 4,211 | ||||||||||||||||||||||
Total property operating expenses |
146,608 | 1,542 | (20,895 | ) | 127,255 | 426,258 | 5,240 | (60,890 | ) | 370,608 | ||||||||||||||||||||||
Property management expenses [5] |
510 | | 1,425 | 1,935 | 2,415 | | 3,434 | 5,849 | ||||||||||||||||||||||||
Investment management expenses |
4,213 | | | 4,213 | 12,719 | | | 12,719 | ||||||||||||||||||||||||
Depreciation and amortization |
122,362 | 2,865 | (14,218 | ) | 111,009 | 355,680 | 4,269 | (37,381 | ) | 322,568 | ||||||||||||||||||||||
Provision for operating real estate impairment losses |
21,676 | | | 21,676 | 24,666 | | (911 | ) | 23,755 | |||||||||||||||||||||||
General and administrative expenses |
15,676 | 8 | (711 | ) | 14,973 | 53,598 | (1 | ) | (2,345 | ) | 51,252 | |||||||||||||||||||||
Other expenses, net |
8,548 | 1,867 | (6,175 | ) | 4,240 | 14,567 | 4,902 | (14,580 | ) | 4,889 | ||||||||||||||||||||||
Total operating expenses |
319,593 | 6,282 | (40,574 | ) | 285,301 | 889,903 | 14,410 | (112,673 | ) | 791,640 | ||||||||||||||||||||||
Operating (loss) income |
(247 | ) | (3,837 | ) | 4,514 | 430 | 72,027 | (6,285 | ) | 1,183 | 66,925 | |||||||||||||||||||||
Interest income: |
||||||||||||||||||||||||||||||||
General partner loan interest |
1,165 | (4 | ) | 675 | 1,836 | 4,333 | (17 | ) | 2,450 | 6,766 | ||||||||||||||||||||||
Money market and interest bearing accounts |
736 | (21 | ) | (207 | ) | 508 | 3,206 | 68 | (612 | ) | 2,662 | |||||||||||||||||||||
Accretion on discounted notes receivable |
61 | | 150 | 211 | 90 | | 302 | 392 | ||||||||||||||||||||||||
Total interest income |
1,962 | (25 | ) | 618 | 2,555 | 7,629 | 51 | 2,140 | 9,820 | |||||||||||||||||||||||
Recovery of (provision for) losses on notes receivable |
1,233 | | (1,877 | ) | (644 | ) | (452 | ) | | (1,218 | ) | (1,670 | ) | |||||||||||||||||||
Interest expense: |
||||||||||||||||||||||||||||||||
Property debt (primarily non-recourse) |
(82,064 | ) | (334 | ) | 10,079 | (72,319 | ) | (251,687 | ) | (1,700 | ) | 30,416 | (222,971 | ) | ||||||||||||||||||
Corporate debt |
(3,844 | ) | | | (3,844 | ) | (12,124 | ) | | | (12,124 | ) | ||||||||||||||||||||
Capitalized interest |
2,729 | (2 | ) | (1 | ) | 2,726 | 7,065 | | (26 | ) | 7,039 | |||||||||||||||||||||
Total interest expense |
(83,179 | ) | (336 | ) | 10,078 | (73,437 | ) | (256,746 | ) | (1,700 | ) | 30,390 | (228,056 | ) | ||||||||||||||||||
Equity in losses of unconsolidated real estate partnerships |
(4,198 | ) | 4,198 | | | (7,934 | ) | 7,934 | | | ||||||||||||||||||||||
Gain on dispositions of unconsolidated real estate and other |
3,345 | | (177 | ) | 3,168 | 18,580 | | (603 | ) | 17,977 | ||||||||||||||||||||||
Loss before income taxes and discontinued operations |
(81,084 | ) | | 13,156 | (67,928 | ) | (166,896 | ) | | 31,892 | (135,004 | ) | ||||||||||||||||||||
Income tax benefit |
2,410 | | | 2,410 | 7,195 | | | 7,195 | ||||||||||||||||||||||||
Loss from continuing operations |
(78,674 | ) | | 13,156 | (65,518 | ) | (159,701 | ) | | 31,892 | (127,809 | ) | ||||||||||||||||||||
Income from discontinued operations, net |
69,118 | | (32,498 | ) | 36,620 | 109,945 | | (56,656 | ) | 53,289 | ||||||||||||||||||||||
Net loss |
(9,556 | ) | | (19,342 | ) | (28,898 | ) | (49,756 | ) | | (24,764 | ) | (74,520 | ) | ||||||||||||||||||
Noncontrolling interests: |
||||||||||||||||||||||||||||||||
Noncontrolling interests in consolidated real estate partnerships |
(19,342 | ) | | 19,342 | | (24,764 | ) | | 24,764 | | ||||||||||||||||||||||
Noncontrolling interests in Aimco Operating Partnership |
1,396 | | | 1,396 | 4,039 | | | 4,039 | ||||||||||||||||||||||||
Total net income attributable to noncontrolling interests |
(17,946 | ) | | 19,342 | 1,396 | (20,725 | ) | | 24,764 | 4,039 | ||||||||||||||||||||||
Net loss attributable to Aimco |
(27,502 | ) | | | (27,502 | ) | (70,481 | ) | | | (70,481 | ) | ||||||||||||||||||||
Net income attributable to Aimco preferred stockholders |
(12,988 | ) | | | (12,988 | ) | (37,631 | ) | | | (37,631 | ) | ||||||||||||||||||||
Net loss attributable to Aimco common stockholders |
$ | (40,490 | ) | $ | | $ | | $ | (40,490 | ) | $ | (108,112 | ) | $ | | $ | | $ | (108,112 | ) | ||||||||||||
(See footnotes on Page 2 of 2)
AIMCO 3rd Quarter 2009 | Page 5 |
Supplemental Schedule 2
Proportionate Operating Results Presentation | (page 2 of 2) | |
(in thousands) (unaudited) |
Three Months | Nine Months | |||||||
Ended | Ended | |||||||
September 30, | September 30, | |||||||
2009 | 2009 | |||||||
Components of FFO: |
||||||||
Real estate operations: |
||||||||
Rental and other property revenues |
$ | 272,342 | $ | 815,154 | ||||
Property operating expenses |
(127,255 | ) | (370,608 | ) | ||||
Net real estate operations |
145,087 | 444,546 | ||||||
Property management, net |
705 | 3,913 | ||||||
Asset management and tax credit revenues, net of investment management expenses |
6,536 | 20,930 | ||||||
Depreciation and amortization related to non-real estate assets |
(4,227 | ) | (12,395 | ) | ||||
General and administrative expenses |
(14,973 | ) | (51,252 | ) | ||||
Other expense, net |
(4,240 | ) | (4,889 | ) | ||||
Interest income |
2,555 | 9,820 | ||||||
Provision for losses on notes receivable |
(644 | ) | (1,670 | ) | ||||
Interest expense |
(73,437 | ) | (228,056 | ) | ||||
Gain on disposition of non-depreciable assets |
2,910 | 6,783 | ||||||
Income tax benefit |
3,095 | 6,662 | ||||||
Discontinued operations: |
||||||||
Operations and other |
4,899 | 22,964 | ||||||
Interest expense |
(2,006 | ) | (11,507 | ) | ||||
Preferred stock dividends and redemption related amounts |
(12,988 | ) | (39,280 | ) | ||||
Preferred partnership unit distributions |
(1,743 | ) | (4,558 | ) | ||||
Amounts allocated to participating securities |
(285 | ) | (1,139 | ) | ||||
Subtotal before noncontrolling interests in Aimco Operating Partnership |
$ | 51,244 | $ | 160,872 | ||||
Common noncontrolling interests in Aimco Operating Partnership |
(3,846 | ) | (12,320 | ) | ||||
FFO Attributable to Aimco Common Stockholders Diluted (excluding operating real estate impairments and
preferred stock redemption related amounts) |
$ | 47,398 | $ | 148,552 | ||||
Reconciliation of Net Loss to FFO and AFFO: |
||||||||
Net loss |
$ | (28,898 | ) | $ | (74,520 | ) | ||
Depreciation and amortization |
111,009 | 322,568 | ||||||
Depreciation and amortization related to non-real estate assets |
(4,227 | ) | (12,395 | ) | ||||
Gain on dispositions of unconsolidated real estate and other |
(3,168 | ) | (17,977 | ) | ||||
Income tax benefit arising from disposition of unconsolidated real estate and other |
3,195 | 6,330 | ||||||
Discontinued operations |
(39,005 | ) | (62,026 | ) | ||||
Operating real estate impairment losses, continuing operations, net of noncontrolling partners interest |
21,676 | 23,755 | ||||||
Operating real estate impairment losses, discontinued operations, net of noncontrolling partners interest |
4,940 | 22,735 | ||||||
Income tax expense (benefit) on impairment losses |
737 | (2,620 | ) | |||||
Noncontrolling interests in Aimco Operating Partnerships share of adjustments |
(6,984 | ) | (20,918 | ) | ||||
Noncontrolling interests in Aimco Operating Partnerships share of net loss |
1,396 | 4,039 | ||||||
Preferred stock dividends |
(12,988 | ) | (39,280 | ) | ||||
Amounts allocated to participating securities |
(285 | ) | (1,139 | ) | ||||
FFO Attributable to Aimco Common Stockholders Diluted (excluding operating real estate impairments and
preferred stock redemption related amounts) |
$ | 47,398 | $ | 148,552 | ||||
Capital Replacements |
(20,254 | ) | (54,038 | ) | ||||
Noncontrolling interests in Aimco Operating Partnerships share of Capital Replacements |
1,491 | 4,056 | ||||||
Amounts allocated to participating securities |
148 | 450 | ||||||
AFFO Attributable to Aimco Common Stockholders Diluted |
$ | 28,783 | $ | 99,020 | ||||
Notes to Schedule 2:
[1] | See definitions and descriptions in Glossary. |
|
[2] | Same store amounts in this schedule differ from the same store amounts
in Schedule 6. Any such differences are the result of (a) certain
variations in the treatment of intercompany eliminations in GAAP
versus non-GAAP measures; (b) the effect of changing ownership
percentages over time due to Aimcos acquisition of additional
partnership interests and (c) the elimination of non-recurring items
that if included in Schedule 6 would distort Schedule 6 same store
results. |
|
[3] | Property management revenues reported in Aimcos GAAP income statement
reflect fees charged to unconsolidated properties. Property
management revenues reported in the proportionate income statement
reflect the noncontrolling interest partners share of fees charged to
both consolidated and unconsolidated properties. |
|
[4] | Property management expenses reported on this line in Aimcos GAAP
income statement reflect expenses related to the management of
consolidated properties. Property management expenses reported on
this line in the proportionate income statement reflect Aimcos share
of both consolidated and unconsolidated property management expenses. |
|
[5] | Property management expenses reported on this line in Aimcos GAAP
income statement reflect expenses related to the management of
unconsolidated properties. Property management expenses reported on
this line in the proportionate income statement reflect noncontrolling
interest partners share of both consolidated and unconsolidated
property management expenses. |
AIMCO 3rd Quarter 2009 | Page 6 |
Supplemental Schedule 3
Proportionate Balance Sheet Presentation
As of September 30, 2009
(in thousands) (unaudited)
As of September 30, 2009
(in thousands) (unaudited)
Proportionate | ||||||||||||||||
Consolidated | Share of | Proportionate | ||||||||||||||
GAAP | Unconsolidated | Noncontrolling | Balance | |||||||||||||
Balance Sheet | Partnerships | Interests | Sheet | |||||||||||||
ASSETS |
||||||||||||||||
Real estate, net of depreciation |
$ | 7,439,829 | $ | 47,262 | $ | (566,925 | ) | $ | 6,920,166 | |||||||
Cash and cash equivalents |
107,034 | 1,312 | (27,659 | ) | 80,687 | |||||||||||
Restricted cash |
246,764 | 4,094 | (48,500 | ) | 202,358 | |||||||||||
Accounts receivable |
88,353 | 627 | (6,069 | ) | 82,911 | |||||||||||
Notes receivable [1] |
157,957 | | 66,048 | 224,005 | ||||||||||||
Investment in unconsolidated real estate partnerships |
112,610 | (28,009 | ) | (47,030 | ) | 37,571 | ||||||||||
Other assets [2] |
321,991 | (1,680 | ) | (31,597 | ) | 288,714 | ||||||||||
Total assets |
$ | 8,474,538 | $ | 23,606 | $ | (661,732 | ) | $ | 7,836,412 | |||||||
LIABILITIES AND EQUITY |
||||||||||||||||
Total indebtedness |
$ | 6,172,596 | $ | 17,638 | $ | (649,921 | ) | $ | 5,540,313 | |||||||
Other liabilities [3] |
597,044 | 5,968 | (96,218 | ) | 506,794 | |||||||||||
Total liabilities |
6,769,640 | 23,606 | (746,139 | ) | 6,047,107 | |||||||||||
Preferred noncontrolling interests in Aimco Operating Partnership [4] |
86,625 | | | 86,625 | ||||||||||||
Preferred stock subject to repurchase agreement |
30,000 | | | 30,000 | ||||||||||||
Total Aimco equity [5] |
1,260,388 | | 424,988 | 1,685,376 | ||||||||||||
Noncontrolling interests in consolidated real estate partnerships |
340,581 | | (340,581 | ) | | |||||||||||
Common noncontrolling interests in Aimco Operating Partnership |
(12,696 | ) | | | (12,696 | ) | ||||||||||
Total liabilities and equity |
$ | 8,474,538 | $ | 23,606 | $ | (661,732 | ) | $ | 7,836,412 | |||||||
Additional Information and Notes:
[1] | Aimco has notes receivable from consolidated partnerships which are
eliminated in the GAAP balance sheet. The noncontrolling partners
share of amounts payable to Aimco pursuant to those notes is added to
the GAAP-based amounts to arrive at the proportionate balance
presented above. |
|
[2] | Other assets consists of the following proportionate amounts: |
Deferred financing costs |
$ | 45,940 | ||
Goodwill |
75,425 | |||
Investment in management contracts |
1,422 | |||
Deferred financing costs and intangible assets |
122,787 | |||
Deferred income tax asset |
33,267 | |||
Assets held for sale |
29,684 | |||
Other |
102,976 | |||
Total other assets |
$ | 288,714 | ||
[3] | Other liabilities includes deferred income of $131.6 million of tax credit equity, which represents cash contributions
received from tax credit investors through September 30, 2009. In accordance with GAAP, Aimco recognizes these
contributions in earnings in future periods as Aimco delivers the related low income housing tax credits and other tax
benefits to the tax credit investors. |
|
[4] | Various classes of preferred OP Units of the Aimco Operating Partnership are outstanding. Depending on the terms of each
class, these preferred OP Units are convertible into common OP Units or redeemable for cash, or at Aimcos option, Common
Stock. As of September 30, 2009 a total of 3.1 million preferred OP Units were outstanding with a redemption value of $85.7
million. |
|
[5] | Amount includes perpetual preferred stock outstanding of $660.5 million at September 30, 2009. |
AIMCO 3rd Quarter 2009 | Page 7 |
Supplemental Schedule 4
Share Data
(in thousands) (unaudited)
(in thousands) (unaudited)
Preferred Securities
Shares/Units | ||||||||||||||||
Outstanding | ||||||||||||||||
as of | Redemption | |||||||||||||||
September 30, 2009 | Date [1] | Coupon | Amount | |||||||||||||
Perpetual Preferred Stock: |
||||||||||||||||
Class G |
4,040 | 7/15/2008 | 9.375 | % | $ | 101,000 | ||||||||||
Class T |
6,000 | 7/31/2008 | 8.000 | % | 150,000 | |||||||||||
Class U |
8,000 | 3/24/2009 | 7.750 | % | 200,000 | |||||||||||
Class V |
3,450 | 9/29/2009 | 8.000 | % | 86,250 | |||||||||||
Class Y |
3,450 | 12/21/2009 | 7.875 | % | 86,250 | |||||||||||
Series A Community Reinvestment Act |
0 | [2] | 6/30/2011 | 1.850 | %[3] | 67,000 | [2] | |||||||||
Total perpetual preferred stock |
690,500 | |||||||||||||||
Preferred Partnership Units |
3,147 | 8.076 | %[4] | 85,677 | ||||||||||||
Total outstanding preferred securities |
$ | 776,177 | ||||||||||||||
Common Stock and Equivalents
Shares/Units | Weighted Average Shares/Units | Weighted Average Shares/Units | ||||||||||||||||||
Outstanding | Three Months Ended | Nine Months Ended | ||||||||||||||||||
as of | September 30, 2009 | September 30, 2009 | ||||||||||||||||||
September 30, 2009 | Diluted EPS | Diluted FFO | Diluted EPS | Diluted FFO | ||||||||||||||||
Class A Common Stock [5] |
115,569 | 115,563 | 115,563 | 115,391 | 115,391 | |||||||||||||||
Dilutive securities: |
||||||||||||||||||||
Options, restricted stock and officer loan shares [6] |
1,053 | | 12 | | 4 | |||||||||||||||
Convertible preferred securities [7] |
| | | | | |||||||||||||||
Total shares and dilutive share equivalents |
116,622 | 115,563 | 115,575 | 115,391 | 115,395 | |||||||||||||||
Common Partnership Units and equivalents [8] |
8,811 | 8,813 | 8,813 | 9,012 | 9,012 | |||||||||||||||
Total shares, units and dilutive share equivalents |
125,433 | 124,376 | 124,388 | 124,403 | 124,407 | |||||||||||||||
Notes: | ||
[1] | The redemption date is the date the securities are first eligible for redemption by Aimco. |
|
[2] | Represents 134 shares at a liquidation preference per share of $500,000. The remaining amount at September 30, 2009 includes $30.0 million subject to
a repurchase agreement which is classified as temporary equity in the consolidated balance sheet. |
|
[3] | The dividend rate is a variable rate per annum equal to the Three-Month LIBOR Rate plus 1.25%, calculated as of the beginning of each quarterly period. |
|
[4] | Coupon is based on a weighted average. |
|
[5] | Includes a deduction of 0.9 million for unvested restricted stock and officer loan shares as of September 30, 2009. |
|
[6] | Stock options, restricted stock and officer loan shares are presumed to be dilutive as of September 30, 2009, and reflect the dilutive effect of options and shares outstanding
at the end of the period and the $14.75 share price at the end of the period. Diluted EPS for the three and nine months ended September 30, 2009, excludes the effect of these
securities because their effect was antidilutive. The effect on diluted FFO of participating securities, or restricted stock and officer loan shares, for the three and nine
months ended September 30, 2009, was more dilutive under the two-class method of allocating earnings. Accordingly, no participating securities were included in diluted FFO
share/unit counts during these periods. |
|
[7] | AIMCO Properties, L.P.s Preferred Partnership Units (PPU) are redeemable at the option of the holder. Upon a requested redemption, Aimco, in its sole discretion, may
redeem these units for cash or shares of common stock. During the fourth quarter 2008, Aimco implemented a policy that established criteria for determining when such redemptions
will be settled in cash or shares of common stock. Pursuant to such policy, during the three and nine months ended September 30, 2009, 7.8 million and 10.0 million potential
shares were excluded from diluted FFO share equivalents. These potential shares were excluded from diluted EPS equivalents because their effect was antidilutive. The potential
common shares from an assumed stock settlement are ignored in the determination of shares/units outstanding as of September 30, 2009. |
|
[8] | Includes common OP Units and Class I High Performance Units. |
AIMCO 3rd Quarter 2009 | Page 8 |
Supplemental Schedule 5
Selected Debt Structure and Maturity Data As of September 30, 2009 (dollars in thousands) (unaudited) |
(page 1 of 2) |
I. Debt Balances and Data
Weighted | ||||||||||||||||||||||||
Proportionate | Total | Average | Weighted | |||||||||||||||||||||
Share of | Noncontrolling | Aimco | Maturity | Average | ||||||||||||||||||||
Debt | Consolidated | Unconsolidated | Interests | Share | (years) | Rate | ||||||||||||||||||
Property Debt (primarily non-recourse): |
||||||||||||||||||||||||
Conventional Portfolio: |
||||||||||||||||||||||||
Fixed rate loans payable |
$ | 4,498,748 | $ | | $ | (428,588 | ) | $ | 4,070,160 | 8.1 | 6.11 | % | ||||||||||||
Floating rate loans payable [1] |
164,935 | | (12,520 | ) | 152,415 | 3.7 | 1.78 | % | ||||||||||||||||
Total property loans payable |
4,663,683 | | (441,108 | ) | 4,222,575 | 7.9 | 5.95 | % | ||||||||||||||||
Fixed rate tax-exempt bonds |
56,880 | | (3,338 | ) | 53,542 | 11.4 | 6.63 | % | ||||||||||||||||
Floating rate tax-exempt bonds [1] |
347,672 | | (5,242 | ) | 342,430 | 7.2 | 0.72 | % | ||||||||||||||||
Total property tax-exempt bond financing |
404,552 | | (8,580 | ) | 395,972 | 7.7 | 1.52 | % | ||||||||||||||||
Total Conventional portfolio |
5,068,235 | | (449,688 | ) | 4,618,547 | 7.9 | 5.57 | % | ||||||||||||||||
Affordable Portfolio: |
||||||||||||||||||||||||
Fixed rate loans payable |
528,626 | 17,023 | (167,691 | ) | 377,958 | 16.9 | 5.39 | % | ||||||||||||||||
Floating rate loans payable |
14,479 | 9 | (8,036 | ) | 6,452 | 6.4 | 3.04 | % | ||||||||||||||||
Total property loans payable |
543,105 | 17,032 | (175,727 | ) | 384,410 | 16.7 | 5.35 | % | ||||||||||||||||
Fixed rate tax-exempt bonds |
73,488 | 7 | (12,843 | ) | 60,652 | 26.7 | 5.01 | % | ||||||||||||||||
Floating rate tax-exempt bonds [1] |
127,015 | | (1,917 | ) | 125,098 | 6.7 | 1.28 | % | ||||||||||||||||
Total property tax-exempt bond financing |
200,503 | 7 | (14,760 | ) | 185,750 | 13.2 | 2.50 | % | ||||||||||||||||
Total Affordable portfolio |
743,608 | 17,039 | (190,487 | ) | 570,160 | 15.6 | 4.42 | % | ||||||||||||||||
Total property debt |
$ | 5,811,843 | $ | 17,039 | $ | (640,175 | ) | $ | 5,188,707 | 8.7 | 5.44 | % | ||||||||||||
Corporate Debt: |
||||||||||||||||||||||||
Term Loan |
$ | 260,000 | $ | | $ | | $ | 260,000 | | 1.74 | %[2] | |||||||||||||
Credit Facility |
15,070 | | | 15,070 | | 6.25 | %[2] | |||||||||||||||||
Total corporate debt |
$ | 275,070 | $ | | $ | | $ | 275,070 | | 1.99 | % | |||||||||||||
Other borrowings [3] |
$ | 85,683 | $ | 599 | $ | (9,746 | ) | $ | 76,536 | |||||||||||||||
Total Debt |
$ | 6,172,596 | $ | 17,638 | $ | (649,921 | ) | $ | 5,540,313 | 5.27 | % | |||||||||||||
[1] | Floating rate debt presented above includes $365.3 million of fixed
rate debt that is effectively converted to floating rates using total
rate of return swaps. At September 30, 2009, the carrying amount of
this debt totaled $339.4 million, after recognition of changes in the
debts fair value. |
|
[2] | The Term Loan bears interest at LIBOR plus a spread of 1.50%, or at
our option, a base rate equal to the Prime rate. At September 30,
2009, the interest rate on the Term Loan was based on LIBOR.
Borrowings under the credit facility bear interest on a pricing grid
based on leverage. Based on current leverage, interest is either
LIBOR plus a spread of 4.25% with a LIBOR floor of 2.00% or, at our
option, a base rate equal to the Prime rate plus a spread of 3.00%.
The current outstanding borrowings are at the base rate. |
|
[3] | Other borrowings consists primarily of notes payable collateralized by
assets other than direct interests in real estate and obligations
under sale and leaseback arrangements accounted for as financings. At
September 30, 2009, other borrowings includes $77.2 million in fixed
rate obligations with interest rates ranging from zero to 10.0% and
$8.5 million in variable rate obligations bearing interest at the
Prime rate plus 1.75%. |
II. Debt Maturities
Consolidated Property Debt | Aimco Share | |||||||||||||||||||||||||||||||
Percent | Average Rate on | |||||||||||||||||||||||||||||||
Amortization | Maturities | Total | of Total | Maturing Debt | Amortization | Maturities | Total | |||||||||||||||||||||||||
2009 Q4 |
$ | 23,981 | $ | 7,603 | $ | 31,584 | 0.5 | % | 5.32 | % | $ | 21,282 | $ | 4,985 | $ | 26,267 | ||||||||||||||||
2010 Q1 |
24,812 | | 24,812 | 0.4 | % | | 21,414 | | 21,414 | |||||||||||||||||||||||
2010 Q2 |
25,414 | | 25,414 | 0.4 | % | | 21,949 | | 21,949 | |||||||||||||||||||||||
2010 Q3 |
25,728 | 11,730 | 37,458 | 0.6 | % | 4.79 | % | 22,252 | 7,570 | 29,822 | ||||||||||||||||||||||
2010 Q4 |
26,095 | 11,575 | 37,670 | 0.6 | % | 5.25 | % | 22,573 | 8,014 | 30,587 | ||||||||||||||||||||||
2011 Q1 |
26,837 | | 26,837 | 0.5 | % | | 23,285 | | 23,285 | |||||||||||||||||||||||
2011 Q2 |
27,287 | 160,973 | 188,260 | 3.2 | % | 5.60 | % | 23,677 | 90,413 | 114,090 | ||||||||||||||||||||||
2011 Q3 |
27,678 | | 27,678 | 0.5 | % | | 24,004 | | 24,004 | |||||||||||||||||||||||
Balance 2011 |
28,239 | 73,531 | 101,770 | 1.8 | % | 7.40 | % | 24,468 | 73,531 | 97,999 | ||||||||||||||||||||||
2012 [1][2] |
111,144 | 595,957 | 707,101 | 12.2 | % | 2.46 | % | 96,338 | 559,430 | 655,768 | ||||||||||||||||||||||
2013 |
103,715 | 459,951 | 563,666 | 9.7 | % | 5.54 | % | 89,664 | 425,949 | 515,613 | ||||||||||||||||||||||
Thereafter |
4,039,593 | 69.6 | % | 3,627,909 | ||||||||||||||||||||||||||||
Total property debt: |
$ | 5,811,843 | 100.0 | % | $ | 5,188,707 | ||||||||||||||||||||||||||
Percent | Average | |||||||||||||||||||
Corporate Debt: | Amortization | Maturities | Total | of Total | Rate | |||||||||||||||
2011 |
$ | | $ | 260,000 | $ | 260,000 | 94.5 | % | 1.74 | % | ||||||||||
2012 [3] |
| 15,070 | 15,070 | 5.5 | % | 6.25 | % | |||||||||||||
Total corporate debt: |
$ | | $ | 275,070 | $ | 275,070 | 100.0 | % | 1.99 | % | ||||||||||
[1] | In September 2007, Aimco entered into a credit facility with a major life company that provides for short-term, fully pre-payable, non-recourse property borrowings of up to $200.0 million. This facility, which matures October 1, 2010, includes
two one-year extension options for a $500,000 fee per extension. At September 30, 2009, outstanding borrowings of $90.7 million related to properties classified as held for use are included in 2012 maturities based on assumed exercise of the
extension options. |
|
[2] | 2012 maturities include approximately $320.1 million of debt ($296.5 million at carrying amount) subject to total return swaps for which the swap maturity dates are in 2012 and the related debt maturities are beyond 2012. |
|
[3] | The $180.0 million credit facility that matures May 1, 2011 is included in 2012 due to the one-year extension option Aimco may exercise. |
AIMCO 3rd Quarter 2009 | Page 9 |
Supplemental Schedule 5 (continued)
Selected Debt Structure and Maturity Data | (page 2 of 2) | |
As of September 30, 2009 | ||
(in millions) | ||
(unaudited) |
III. Year-to-Date Loan Closings
Original | New | Aimco | ||||||||||||||||||||||
Loan | Loan | Net | Net | Prior | New | |||||||||||||||||||
Property Loan Type (all non-recourse) | Amount [1] | Amount | Proceeds [2] | Proceeds [3] | Rate | Rate | ||||||||||||||||||
Consolidated Loan Closings: |
||||||||||||||||||||||||
Fixed Rate to Fixed Rate |
$ | 488.0 | $ | 465.4 | $ | (28.4 | ) | $ | (30.8 | ) | 5.91 | % | 5.90 | % | ||||||||||
Fixed Rate to Floating Rate |
32.9 | 40.9 | 6.6 | 6.6 | 6.92 | % | 1.92 | % | ||||||||||||||||
Floating Rate to Fixed Rate |
115.7 | 130.4 | 22.9 | 22.9 | 3.45 | % | 6.61 | % | ||||||||||||||||
Floating Rate New |
| 14.4 | 14.1 | 14.1 | | 2.79 | % | |||||||||||||||||
Fixed Rate New |
| 30.1 | 28.4 | 27.6 | | 6.46 | % | |||||||||||||||||
Totals |
$ | 636.6 | $ | 681.2 | $ | 43.6 | $ | 40.4 | 5.51 | % | 5.75 | % | ||||||||||||
[1] | Original Loan Amount represents the principal balance outstanding at the time of the
refinance. |
|
[2] | Net Proceeds is after transaction costs and prepayment penalties. |
|
[3] | Aimco Net Proceeds is after payment of distributions to noncontrolling partners. |
IV. Capitalization
March 31, 2009 | June 30, 2009 | September 30, 2009 | ||||||||||||||||||||||
Amount | Percent | Amount | Percent | Amount | Percent | |||||||||||||||||||
Corporate debt |
$ | 365 | 5.1 | % | $ | 350 | 4.7 | % | $ | 275 | 3.5 | % | ||||||||||||
Property debt (Aimcos share) |
5,591 | 77.4 | % | 5,382 | 72.8 | % | 5,189 | 65.8 | % | |||||||||||||||
Other borrowings (Aimcos share) |
80 | 1.1 | % | 77 | 1.0 | % | 77 | 1.0 | % | |||||||||||||||
Total debt |
6,036 | 83.6 | % | 5,809 | 78.5 | % | 5,541 | 70.3 | % | |||||||||||||||
Less cash and restricted cash (Aimcos share) |
(283 | ) | -3.9 | % | (305 | ) | -4.1 | % | (283 | ) | -3.6 | % | ||||||||||||
Net debt |
5,753 | 79.7 | % | 5,504 | 74.4 | % | 5,258 | 66.7 | % | |||||||||||||||
Preferred equity |
783 | 10.8 | % | 777 | 10.5 | % | 776 | 9.8 | % | |||||||||||||||
Common equity at market [1] |
689 | 9.5 | % | 1,109 | 15.1 | % | 1,847 | 23.5 | % | |||||||||||||||
Total capitalization |
$ | 7,225 | 100.0 | % | $ | 7,390 | 100.0 | % | $ | 7,881 | 100.0 | % | ||||||||||||
[1] | Common equity at market at September 30, 2009, June 30, 2009 and March 31, 2009, was
calculated using 125.232 million, 125.255 million and 125.820 million shares of Class A Common
Stock and common partnership units outstanding multiplied by the closing price of $14.75,
$8.85 and $5.48 per share/unit as of September 30, 2009, June 30, 2009 and March 31, 2009,
respectively. |
V. Credit Ratings
Moodys Investor Service Standard and Poors Fitch |
Corporate Family Rating Corporate Credit Rating Bank Credit Facility |
Ba1 (stable outlook) BB+ (negative) BB+ (stable outlook) |
AIMCO 3rd Quarter 2009 | Page 10 |
Supplemental Schedule 6(a)
Same Store Operating Results
Third Quarter 2009 Compared to Third Quarter 2008
(unaudited) (in thousands, except site and unit data)
Same Store Operating Results
Third Quarter 2009 Compared to Third Quarter 2008
(unaudited) (in thousands, except site and unit data)
Operating | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Effective | Revenue | Expenses | Net Operating Income | Margin | Occupancy | Rental Rates | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Properties | Units | Units | 3Q 2009 | 3Q 2008 | Growth | 3Q 2009 | 3Q 2008 | Growth | 3Q 2009 | 3Q 2008 | Growth | 3Q 2009 | 3Q 2009 | 3Q 2008 | 3Q 2009 | 3Q 2008 | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Target Markets |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Los Angeles |
11 | 3,407 | 2,756 | $ | 14,354 | $ | 15,597 | -8.0 | % | $ | 4,866 | $ | 5,025 | -3.2 | % | $ | 9,488 | $ | 10,572 | -10.3 | % | 66.1 | % | 95.1 | % | 95.8 | % | $ | 1,920 | $ | 2,089 | |||||||||||||||||||||||||||||||||||||
Orange County |
3 | 443 | 373 | 1,341 | 1,403 | -4.4 | % | 453 | 464 | -2.4 | % | 888 | 939 | -5.4 | % | 66.2 | % | 94.8 | % | 96.9 | % | 1,179 | 1,204 | |||||||||||||||||||||||||||||||||||||||||||||
San Diego |
4 | 1,622 | 1,552 | 5,692 | 5,732 | -0.7 | % | 1,621 | 1,740 | -6.8 | % | 4,071 | 3,992 | 2.0 | % | 71.5 | % | 95.0 | % | 96.8 | % | 1,189 | 1,175 | |||||||||||||||||||||||||||||||||||||||||||||
Southern CA Total |
18 | 5,472 | 4,681 | 21,387 | 22,732 | -5.9 | % | 6,940 | 7,229 | -4.0 | % | 14,447 | 15,503 | -6.8 | % | 67.6 | % | 95.0 | % | 96.2 | % | 1,644 | 1,744 | |||||||||||||||||||||||||||||||||||||||||||||
East Bay |
2 | 413 | 353 | 1,337 | 1,457 | -8.2 | % | 650 | 567 | 14.6 | % | 687 | 890 | -22.8 | % | 51.4 | % | 91.3 | % | 96.3 | % | 1,241 | 1,276 | |||||||||||||||||||||||||||||||||||||||||||||
San Francisco |
3 | 600 | 600 | 2,747 | 2,842 | -3.3 | % | 1,031 | 1,036 | -0.5 | % | 1,716 | 1,806 | -5.0 | % | 62.5 | % | 94.7 | % | 95.0 | % | 1,495 | 1,553 | |||||||||||||||||||||||||||||||||||||||||||||
Northern CA Total |
5 | 1,013 | 953 | 4,084 | 4,299 | -5.0 | % | 1,681 | 1,603 | 4.9 | % | 2,403 | 2,696 | -10.9 | % | 58.8 | % | 93.3 | % | 95.5 | % | 1,394 | 1,439 | |||||||||||||||||||||||||||||||||||||||||||||
Seattle |
2 | 278 | 175 | 594 | 655 | -9.3 | % | 313 | 240 | 30.4 | % | 281 | 415 | -32.3 | % | 47.3 | % | 95.0 | % | 96.1 | % | 1,109 | 1,195 | |||||||||||||||||||||||||||||||||||||||||||||
Pacific Total |
25 | 6,763 | 5,809 | 26,065 | 27,686 | -5.9 | % | 8,934 | 9,072 | -1.5 | % | 17,131 | 18,614 | -8.0 | % | 65.7 | % | 94.8 | % | 96.1 | % | 1,585 | 1,676 | |||||||||||||||||||||||||||||||||||||||||||||
Suburban New York New Jersey |
6 | 1,802 | 1,503 | 5,587 | 5,942 | -6.0 | % | 2,004 | 1,994 | 0.5 | % | 3,583 | 3,948 | -9.2 | % | 64.1 | % | 94.6 | % | 96.0 | % | 1,184 | 1,238 | |||||||||||||||||||||||||||||||||||||||||||||
Washington NoVA MD |
15 | 6,711 | 6,288 | 23,234 | 23,274 | -0.2 | % | 8,075 | 7,434 | 8.6 | % | 15,159 | 15,840 | -4.3 | % | 65.2 | % | 96.3 | % | 95.8 | % | 1,204 | 1,212 | |||||||||||||||||||||||||||||||||||||||||||||
Boston |
11 | 4,147 | 4,147 | 14,763 | 14,881 | -0.8 | % | 5,308 | 4,979 | 6.6 | % | 9,455 | 9,902 | -4.5 | % | 64.0 | % | 96.4 | % | 96.0 | % | 1,173 | 1,192 | |||||||||||||||||||||||||||||||||||||||||||||
Philadelphia |
4 | 1,791 | 1,523 | 5,928 | 6,217 | -4.6 | % | 2,128 | 2,182 | -2.5 | % | 3,800 | 4,035 | -5.8 | % | 64.1 | % | 92.8 | % | 95.7 | % | 1,259 | 1,272 | |||||||||||||||||||||||||||||||||||||||||||||
Northeast Total |
36 | 14,451 | 13,461 | 49,512 | 50,314 | -1.6 | % | 17,515 | 16,589 | 5.6 | % | 31,997 | 33,725 | -5.1 | % | 64.6 | % | 95.7 | % | 95.9 | % | 1,199 | 1,217 | |||||||||||||||||||||||||||||||||||||||||||||
Miami |
6 | 2,472 | 2,349 | 11,898 | 12,725 | -6.5 | % | 5,608 | 5,654 | -0.8 | % | 6,290 | 7,071 | -11.0 | % | 52.9 | % | 95.7 | % | 94.3 | % | 1,577 | 1,712 | |||||||||||||||||||||||||||||||||||||||||||||
Palm Beach/Fort Lauderdale [1] |
7 | 2,171 | 2,021 | 6,062 | 6,132 | -1.1 | % | 2,669 | 2,557 | 4.4 | % | 3,393 | 3,575 | -5.1 | % | 56.0 | % | 95.7 | % | 94.8 | % | 946 | 985 | |||||||||||||||||||||||||||||||||||||||||||||
Orlando [1] |
9 | 2,356 | 2,139 | 5,026 | 5,206 | -3.5 | % | 2,130 | 2,391 | -10.9 | % | 2,896 | 2,815 | 2.9 | % | 57.6 | % | 95.4 | % | 93.0 | % | 723 | 789 | |||||||||||||||||||||||||||||||||||||||||||||
Tampa [1] |
9 | 2,635 | 2,319 | 5,800 | 5,987 | -3.1 | % | 2,392 | 2,584 | -7.4 | % | 3,408 | 3,403 | 0.1 | % | 58.8 | % | 96.8 | % | 94.6 | % | 756 | 823 | |||||||||||||||||||||||||||||||||||||||||||||
Jacksonville [1] |
4 | 1,643 | 1,404 | 3,613 | 3,502 | 3.2 | % | 1,645 | 1,827 | -10.0 | % | 1,968 | 1,675 | 17.5 | % | 54.5 | % | 96.4 | % | 91.3 | % | 795 | 858 | |||||||||||||||||||||||||||||||||||||||||||||
Florida Total |
35 | 11,277 | 10,232 | 32,399 | 33,552 | -3.4 | % | 14,444 | 15,013 | -3.8 | % | 17,955 | 18,539 | -3.2 | % | 55.4 | % | 96.0 | % | 93.7 | % | 971 | 1,048 | |||||||||||||||||||||||||||||||||||||||||||||
Houston |
7 | 2,622 | 2,066 | 4,617 | 4,537 | 1.8 | % | 2,209 | 1,905 | 16.0 | % | 2,408 | 2,632 | -8.5 | % | 52.2 | % | 92.8 | % | 93.3 | % | 724 | 711 | |||||||||||||||||||||||||||||||||||||||||||||
Denver |
10 | 2,877 | 2,315 | 6,182 | 6,314 | -2.1 | % | 2,191 | 2,366 | -7.4 | % | 3,991 | 3,948 | 1.1 | % | 64.6 | % | 95.2 | % | 97.2 | % | 787 | 791 | |||||||||||||||||||||||||||||||||||||||||||||
Phoenix |
15 | 3,839 | 3,443 | 6,888 | 7,629 | -9.7 | % | 3,233 | 3,333 | -3.0 | % | 3,655 | 4,296 | -14.9 | % | 53.1 | % | 92.8 | % | 95.8 | % | 626 | 672 | |||||||||||||||||||||||||||||||||||||||||||||
Dallas Fort Worth |
4 | 1,005 | 824 | 1,894 | 1,917 | -1.2 | % | 1,021 | 968 | 5.5 | % | 873 | 949 | -8.0 | % | 46.1 | % | 93.9 | % | 95.0 | % | 736 | 744 | |||||||||||||||||||||||||||||||||||||||||||||
Atlanta |
2 | 281 | 245 | 773 | 783 | -1.3 | % | 310 | 291 | 6.5 | % | 463 | 492 | -5.9 | % | 59.9 | % | 97.3 | % | 94.1 | % | 945 | 1,022 | |||||||||||||||||||||||||||||||||||||||||||||
Sunbelt Total |
73 | 21,901 | 19,125 | 52,753 | 54,732 | -3.6 | % | 23,408 | 23,876 | -2.0 | % | 29,345 | 30,856 | -4.9 | % | 55.6 | % | 94.9 | % | 94.6 | % | 847 | 892 | |||||||||||||||||||||||||||||||||||||||||||||
Chicago |
10 | 2,595 | 2,531 | 8,573 | 8,598 | -0.3 | % | 3,782 | 3,597 | 5.1 | % | 4,791 | 5,001 | -4.2 | % | 55.9 | % | 93.6 | % | 93.5 | % | 1,095 | 1,104 | |||||||||||||||||||||||||||||||||||||||||||||
Total Target Markets |
144 | 45,710 | 40,926 | 136,903 | 141,330 | -3.1 | % | 53,639 | 53,134 | 1.0 | % | 83,264 | 88,196 | -5.6 | % | 60.8 | % | 95.0 | % | 95.1 | % | 1,082 | 1,125 | |||||||||||||||||||||||||||||||||||||||||||||
Other |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Austin |
3 | 816 | 816 | 1,633 | 1,783 | -8.4 | % | 910 | 841 | 8.2 | % | 723 | 942 | -23.2 | % | 44.3 | % | 90.8 | % | 95.5 | % | 656 | 695 | |||||||||||||||||||||||||||||||||||||||||||||
Baltimore |
3 | 701 | 628 | 2,113 | 2,076 | 1.8 | % | 849 | 799 | 6.3 | % | 1,264 | 1,277 | -1.0 | % | 59.8 | % | 96.1 | % | 95.6 | % | 1,099 | 1,094 | |||||||||||||||||||||||||||||||||||||||||||||
Indianapolis/Fort Wayne |
8 | 4,981 | 4,782 | 8,937 | 8,992 | -0.6 | % | 4,218 | 4,397 | -4.1 | % | 4,719 | 4,595 | 2.7 | % | 52.8 | % | 93.3 | % | 94.3 | % | 584 | 588 | |||||||||||||||||||||||||||||||||||||||||||||
Nashville |
3 | 788 | 622 | 1,761 | 1,800 | -2.2 | % | 773 | 748 | 3.3 | % | 988 | 1,052 | -6.1 | % | 56.1 | % | 95.5 | % | 96.2 | % | 867 | 894 | |||||||||||||||||||||||||||||||||||||||||||||
Norfolk/Richmond |
6 | 1,661 | 1,569 | 4,233 | 4,326 | -2.1 | % | 1,466 | 1,507 | -2.7 | % | 2,767 | 2,819 | -1.8 | % | 65.4 | % | 96.5 | % | 96.2 | % | 846 | 861 | |||||||||||||||||||||||||||||||||||||||||||||
Raleigh/Greenville |
2 | 504 | 342 | 680 | 717 | -5.2 | % | 309 | 338 | -8.6 | % | 371 | 379 | -2.1 | % | 54.6 | % | 91.5 | % | 94.4 | % | 662 | 690 | |||||||||||||||||||||||||||||||||||||||||||||
Other Markets |
26 | 8,643 | 8,283 | 21,436 | 21,962 | -2.4 | % | 9,450 | 9,085 | 4.0 | % | 11,986 | 12,877 | -6.9 | % | 55.9 | % | 94.3 | % | 94.2 | % | 810 | 840 | |||||||||||||||||||||||||||||||||||||||||||||
Total Other |
51 | 18,094 | 17,042 | 40,793 | 41,656 | -2.1 | % | 17,975 | 17,715 | 1.5 | % | 22,818 | 23,941 | -4.7 | % | 55.9 | % | 94.1 | % | 94.6 | % | 755 | 774 | |||||||||||||||||||||||||||||||||||||||||||||
SAME STORE SALES TOTALS |
195 | 63,804 | 57,968 | 177,696 | 182,986 | -2.9 | % | 71,614 | 70,849 | 1.1 | % | 106,082 | 112,137 | -5.4 | % | 59.7 | % | 94.8 | % | 95.0 | % | $ | 990 | $ | 1,026 | |||||||||||||||||||||||||||||||||||||||||||
Reconciliation to total rental and other property revenues and property operating expense per
GAAP Income Statement [2] |
130,211 | 127,577 | 74,994 | 76,316 | 55,217 | 51,261 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Total rental and other property revenues and property operating expense per GAAP Income Statement |
$ | 307,907 | $ | 310,563 | $ | 146,608 | $ | 147,165 | $ | 161,299 | $ | 163,398 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
[1] | Palm Beach/Fort Lauderdale, Orlando, Tampa and Jacksonville are considered part of the Other Florida market. |
|
[2] | Includes: (i) noncontrolling interest partners share of consolidated less Aimcos share of unconsolidated property
revenues and property operating expenses (at current period ownership); (ii) property revenues and property operating
expenses related to other consolidated entities; (iii) and elimination and other adjustments made in accordance with GAAP. |
AIMCO 3rd Quarter 2009 | Page 11 |
Supplemental Schedule 6(b)
Same Store Operating Results
Third Quarter 2009 Compared to Second Quarter 2009
(unaudited) (in thousands, except site and unit data)
Same Store Operating Results
Third Quarter 2009 Compared to Second Quarter 2009
(unaudited) (in thousands, except site and unit data)
Operating | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Effective | Revenue | Expenses | Net Operating Income | Margin | Occupancy | Rental Rates | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Properties | Units | Units | 3Q 2009 | 2Q 2009 | Growth | 3Q 2009 | 2Q 2009 | Growth | 3Q 2009 | 2Q 2009 | Growth | 3Q 2009 | 3Q 2009 | 2Q 2009 | 3Q 2009 | 2Q 2009 | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Target Markets |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Los Angeles |
11 | 3,407 | 2,756 | $ | 14,354 | $ | 14,439 | -0.6 | % | $ | 4,866 | $ | 4,993 | -2.5 | % | $ | 9,488 | $ | 9,446 | 0.4 | % | 66.1 | % | 95.1 | % | 92.9 | % | $ | 1,920 | $ | 1,983 | |||||||||||||||||||||||||||||||||||||
Orange County |
3 | 443 | 373 | 1,341 | 1,345 | -0.3 | % | 453 | 436 | 3.9 | % | 888 | 909 | -2.3 | % | 66.2 | % | 94.8 | % | 94.3 | % | 1,179 | 1,190 | |||||||||||||||||||||||||||||||||||||||||||||
San Diego |
4 | 1,622 | 1,552 | 5,692 | 5,551 | 2.5 | % | 1,621 | 1,583 | 2.4 | % | 4,071 | 3,968 | 2.6 | % | 71.5 | % | 95.0 | % | 93.5 | % | 1,189 | 1,175 | |||||||||||||||||||||||||||||||||||||||||||||
Southern CA Total |
18 | 5,472 | 4,681 | 21,387 | 21,335 | 0.2 | % | 6,940 | 7,012 | -1.0 | % | 14,447 | 14,323 | 0.9 | % | 67.6 | % | 95.0 | % | 93.2 | % | 1,644 | 1,678 | |||||||||||||||||||||||||||||||||||||||||||||
East Bay |
2 | 413 | 353 | 1,337 | 1,362 | -1.8 | % | 650 | 613 | 6.0 | % | 687 | 749 | -8.3 | % | 51.4 | % | 91.3 | % | 92.5 | % | 1,241 | 1,255 | |||||||||||||||||||||||||||||||||||||||||||||
San Francisco |
3 | 600 | 600 | 2,747 | 2,774 | -1.0 | % | 1,031 | 960 | 7.4 | % | 1,716 | 1,814 | -5.4 | % | 62.5 | % | 94.7 | % | 92.8 | % | 1,495 | 1,539 | |||||||||||||||||||||||||||||||||||||||||||||
Northern CA Total |
5 | 1,013 | 953 | 4,084 | 4,136 | -1.3 | % | 1,681 | 1,573 | 6.9 | % | 2,403 | 2,563 | -6.2 | % | 58.8 | % | 93.3 | % | 92.7 | % | 1,394 | 1,423 | |||||||||||||||||||||||||||||||||||||||||||||
Seattle |
2 | 278 | 175 | 594 | 594 | 0.0 | % | 313 | 289 | 8.3 | % | 281 | 305 | -7.9 | % | 47.3 | % | 95.0 | % | 87.4 | % | 1,109 | 1,174 | |||||||||||||||||||||||||||||||||||||||||||||
Pacific Total |
25 | 6,763 | 5,809 | 26,065 | 26,065 | 0.0 | % | 8,934 | 8,874 | 0.7 | % | 17,131 | 17,191 | -0.3 | % | 65.7 | % | 94.8 | % | 92.9 | % | 1,585 | 1,621 | |||||||||||||||||||||||||||||||||||||||||||||
Suburban New York New Jersey |
6 | 1,802 | 1,503 | 5,587 | 5,643 | -1.0 | % | 2,004 | 1,952 | 2.7 | % | 3,583 | 3,691 | -2.9 | % | 64.1 | % | 94.6 | % | 92.1 | % | 1,184 | 1,214 | |||||||||||||||||||||||||||||||||||||||||||||
Washington NoVA MD |
15 | 6,711 | 6,288 | 23,234 | 23,110 | 0.5 | % | 8,075 | 7,325 | 10.2 | % | 15,159 | 15,785 | -4.0 | % | 65.2 | % | 96.3 | % | 94.9 | % | 1,204 | 1,213 | |||||||||||||||||||||||||||||||||||||||||||||
Boston |
11 | 4,147 | 4,147 | 14,763 | 14,661 | 0.7 | % | 5,308 | 5,508 | -3.6 | % | 9,455 | 9,153 | 3.3 | % | 64.0 | % | 96.4 | % | 94.5 | % | 1,173 | 1,191 | |||||||||||||||||||||||||||||||||||||||||||||
Philadelphia |
4 | 1,791 | 1,523 | 5,928 | 5,926 | 0.0 | % | 2,128 | 2,292 | -7.2 | % | 3,800 | 3,634 | 4.6 | % | 64.1 | % | 92.8 | % | 90.3 | % | 1,259 | 1,277 | |||||||||||||||||||||||||||||||||||||||||||||
Northeast Total |
36 | 14,451 | 13,461 | 49,512 | 49,340 | 0.3 | % | 17,515 | 17,077 | 2.6 | % | 31,997 | 32,263 | -0.8 | % | 64.6 | % | 95.7 | % | 93.9 | % | 1,199 | 1,214 | |||||||||||||||||||||||||||||||||||||||||||||
Miami |
6 | 2,472 | 2,349 | 11,898 | 11,959 | -0.5 | % | 5,608 | 3,775 | 48.6 | % | 6,290 | 8,184 | -23.1 | % | 52.9 | % | 95.7 | % | 91.8 | % | 1,577 | 1,647 | |||||||||||||||||||||||||||||||||||||||||||||
Palm Beach/Fort Lauderdale [1] |
7 | 2,171 | 2,021 | 6,062 | 6,144 | -1.3 | % | 2,669 | 2,564 | 4.1 | % | 3,393 | 3,580 | -5.2 | % | 56.0 | % | 95.7 | % | 95.1 | % | 946 | 960 | |||||||||||||||||||||||||||||||||||||||||||||
Orlando [1] |
9 | 2,356 | 2,139 | 5,026 | 4,966 | 1.2 | % | 2,130 | 2,305 | -7.6 | % | 2,896 | 2,661 | 8.8 | % | 57.6 | % | 95.4 | % | 92.3 | % | 723 | 746 | |||||||||||||||||||||||||||||||||||||||||||||
Tampa [1] |
9 | 2,635 | 2,319 | 5,800 | 5,730 | 1.2 | % | 2,392 | 2,485 | -3.7 | % | 3,408 | 3,245 | 5.0 | % | 58.8 | % | 96.8 | % | 92.6 | % | 756 | 780 | |||||||||||||||||||||||||||||||||||||||||||||
Jacksonville [1] |
4 | 1,643 | 1,404 | 3,613 | 3,560 | 1.5 | % | 1,645 | 1,527 | 7.7 | % | 1,968 | 2,033 | -3.2 | % | 54.5 | % | 96.4 | % | 94.7 | % | 795 | 807 | |||||||||||||||||||||||||||||||||||||||||||||
Florida Total |
35 | 11,277 | 10,232 | 32,399 | 32,359 | 0.1 | % | 14,444 | 12,656 | 14.1 | % | 17,955 | 19,703 | -8.9 | % | 55.4 | % | 96.0 | % | 93.2 | % | 971 | 1,000 | |||||||||||||||||||||||||||||||||||||||||||||
Houston |
7 | 2,622 | 2,066 | 4,617 | 4,644 | -0.6 | % | 2,209 | 1,933 | 14.3 | % | 2,408 | 2,711 | -11.2 | % | 52.2 | % | 92.8 | % | 92.8 | % | 724 | 727 | |||||||||||||||||||||||||||||||||||||||||||||
Denver |
10 | 2,877 | 2,315 | 6,182 | 6,124 | 0.9 | % | 2,191 | 2,275 | -3.7 | % | 3,991 | 3,849 | 3.7 | % | 64.6 | % | 95.2 | % | 93.6 | % | 787 | 797 | |||||||||||||||||||||||||||||||||||||||||||||
Phoenix |
15 | 3,839 | 3,443 | 6,888 | 6,949 | -0.9 | % | 3,233 | 2,977 | 8.6 | % | 3,655 | 3,972 | -8.0 | % | 53.1 | % | 92.8 | % | 91.1 | % | 626 | 650 | |||||||||||||||||||||||||||||||||||||||||||||
Dallas Fort Worth |
4 | 1,005 | 824 | 1,894 | 1,865 | 1.6 | % | 1,021 | 862 | 18.4 | % | 873 | 1,003 | -13.0 | % | 46.1 | % | 93.9 | % | 91.2 | % | 736 | 750 | |||||||||||||||||||||||||||||||||||||||||||||
Atlanta |
2 | 281 | 245 | 773 | 762 | 1.4 | % | 310 | 321 | -3.4 | % | 463 | 441 | 5.0 | % | 59.9 | % | 97.3 | % | 90.8 | % | 945 | 994 | |||||||||||||||||||||||||||||||||||||||||||||
Sunbelt Total |
73 | 21,901 | 19,125 | 52,753 | 52,703 | 0.1 | % | 23,408 | 21,024 | 11.3 | % | 29,345 | 31,679 | -7.4 | % | 55.6 | % | 94.9 | % | 92.7 | % | 847 | 868 | |||||||||||||||||||||||||||||||||||||||||||||
Chicago |
10 | 2,595 | 2,531 | 8,573 | 8,511 | 0.7 | % | 3,782 | 3,573 | 5.8 | % | 4,791 | 4,938 | -3.0 | % | 55.9 | % | 93.6 | % | 92.1 | % | 1,095 | 1,104 | |||||||||||||||||||||||||||||||||||||||||||||
Total Target Markets |
144 | 45,710 | 40,926 | 136,903 | 136,619 | 0.2 | % | 53,639 | 50,548 | 6.1 | % | 83,264 | 86,071 | -3.3 | % | 60.8 | % | 95.0 | % | 93.1 | % | 1,082 | 1,103 | |||||||||||||||||||||||||||||||||||||||||||||
Other |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Austin |
3 | 816 | 816 | 1,633 | 1,585 | 3.0 | % | 910 | 774 | 17.6 | % | 723 | 811 | -10.9 | % | 44.3 | % | 90.8 | % | 85.0 | % | 656 | 686 | |||||||||||||||||||||||||||||||||||||||||||||
Baltimore |
3 | 701 | 628 | 2,113 | 2,035 | 3.8 | % | 849 | 816 | 4.0 | % | 1,264 | 1,219 | 3.7 | % | 59.8 | % | 96.1 | % | 94.5 | % | 1,099 | 1,094 | |||||||||||||||||||||||||||||||||||||||||||||
Indianapolis/Fort Wayne |
8 | 4,981 | 4,782 | 8,937 | 8,935 | 0.0 | % | 4,218 | 4,245 | -0.6 | % | 4,719 | 4,690 | 0.6 | % | 52.8 | % | 93.3 | % | 92.2 | % | 584 | 592 | |||||||||||||||||||||||||||||||||||||||||||||
Nashville |
3 | 788 | 622 | 1,761 | 1,791 | -1.7 | % | 773 | 776 | -0.4 | % | 988 | 1,015 | -2.7 | % | 56.1 | % | 95.5 | % | 93.8 | % | 867 | 879 | |||||||||||||||||||||||||||||||||||||||||||||
Norfolk/Richmond |
6 | 1,661 | 1,569 | 4,233 | 4,228 | 0.1 | % | 1,466 | 1,459 | 0.5 | % | 2,767 | 2,769 | -0.1 | % | 65.4 | % | 96.5 | % | 94.7 | % | 846 | 853 | |||||||||||||||||||||||||||||||||||||||||||||
Raleigh/Greenville |
2 | 504 | 342 | 680 | 690 | -1.4 | % | 309 | 326 | -5.2 | % | 371 | 364 | 1.9 | % | 54.6 | % | 91.5 | % | 93.1 | % | 662 | 675 | |||||||||||||||||||||||||||||||||||||||||||||
Other Markets |
26 | 8,643 | 8,283 | 21,436 | 21,409 | 0.1 | % | 9,450 | 9,882 | -4.4 | % | 11,986 | 11,527 | 4.0 | % | 55.9 | % | 94.3 | % | 92.0 | % | 810 | 827 | |||||||||||||||||||||||||||||||||||||||||||||
Total Other |
51 | 18,094 | 17,042 | 40,793 | 40,673 | 0.3 | % | 17,975 | 18,278 | -1.7 | % | 22,818 | 22,395 | 1.9 | % | 55.9 | % | 94.1 | % | 92.2 | % | 755 | 767 | |||||||||||||||||||||||||||||||||||||||||||||
SAME STORE SALES TOTALS |
195 | 63,804 | 57,968 | 177,696 | 177,292 | 0.2 | % | 71,614 | 68,826 | 4.1 | % | 106,082 | 108,466 | -2.2 | % | 59.7 | % | 94.8 | % | 92.8 | % | $ | 990 | $ | 1,008 | |||||||||||||||||||||||||||||||||||||||||||
Reconciliation to
total rental and
other property
revenues and
property operating
expense per GAAP
Income Statement
[2] |
130,211 | 130,818 | 74,994 | 67,604 | 55,217 | 63,214 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Total rental and
other property
revenues and
property operating
expense per GAAP
Income Statement |
$ | 307,907 | $ | 308,110 | $ | 146,608 | $ | 136,430 | $ | 161,299 | $ | 171,680 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
[1] | Palm Beach/Fort Lauderdale, Orlando, Tampa and Jacksonville are considered part of the Other Florida market. |
|
[2] | Includes: (i) noncontrolling interest partners share of consolidated less Aimcos share of unconsolidated property
revenues and property operating expenses (at current period ownership); (ii) property revenues and property operating
expenses related to other consolidated entities; (iii) and elimination and other adjustments made in accordance with GAAP. |
AIMCO 3rd Quarter 2009 | Page 12 |
Supplemental Schedule 6(c)
Same Store Operating Results
Nine Months Ended September 30, 2009 Compared to Nine Months Ended September 30, 2008
(unaudited) (in thousands, except site and unit data)
Same Store Operating Results
Nine Months Ended September 30, 2009 Compared to Nine Months Ended September 30, 2008
(unaudited) (in thousands, except site and unit data)
Operating | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Revenue | Expenses | Net Operating Income | Margin | Occupancy | Rental Rates | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Properties | Units | Effective Units |
YTD 3Q 2009 |
YTD 3Q 2008 |
Growth | YTD 3Q 2009 |
YTD 3Q 2008 |
Growth | YTD 3Q 2009 |
YTD 3Q 2008 |
Growth | YTD 3Q 2009 |
YTD 3Q 2009 |
YTD 3Q 2008 |
YTD 3Q 2009 |
YTD 3Q 2008 |
||||||||||||||||||||||||||||||||||||||||||||||||||||
Target Markets |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Los Angeles |
11 | 3,407 | 2,756 | $ | 43,650 | $ | 46,925 | -7.0 | % | $ | 14,681 | $ | 14,771 | -0.6 | % | $ | 28,969 | $ | 32,154 | -9.9 | % | 66.4 | % | 94.0 | % | 95.8 | % | $ | 1,978 | $ | 2,091 | |||||||||||||||||||||||||||||||||||||
Orange County |
3 | 443 | 373 | 4,062 | 4,204 | -3.4 | % | 1,352 | 1,411 | -4.2 | % | 2,710 | 2,793 | -3.0 | % | 66.7 | % | 95.1 | % | 97.9 | % | 1,189 | 1,190 | |||||||||||||||||||||||||||||||||||||||||||||
San Diego |
4 | 1,622 | 1,552 | 16,924 | 16,886 | 0.2 | % | 4,828 | 5,051 | -4.4 | % | 12,096 | 11,835 | 2.2 | % | 71.5 | % | 94.4 | % | 95.9 | % | 1,186 | 1,167 | |||||||||||||||||||||||||||||||||||||||||||||
Southern CA Total |
18 | 5,472 | 4,681 | 64,636 | 68,015 | -5.0 | % | 20,861 | 21,233 | -1.8 | % | 43,775 | 46,782 | -6.4 | % | 67.7 | % | 94.2 | % | 96.0 | % | 1,678 | 1,743 | |||||||||||||||||||||||||||||||||||||||||||||
East Bay |
2 | 413 | 353 | 4,115 | 4,392 | -6.3 | % | 1,823 | 1,800 | 1.3 | % | 2,292 | 2,592 | -11.6 | % | 55.7 | % | 92.7 | % | 97.0 | % | 1,255 | 1,267 | |||||||||||||||||||||||||||||||||||||||||||||
San Francisco |
2 | 522 | 522 | 7,394 | 7,488 | -1.3 | % | 2,605 | 2,534 | 2.8 | % | 4,789 | 4,954 | -3.3 | % | 64.8 | % | 94.9 | % | 96.5 | % | 1,546 | 1,557 | |||||||||||||||||||||||||||||||||||||||||||||
Northern CA Total |
4 | 935 | 875 | 11,509 | 11,880 | -3.1 | % | 4,428 | 4,334 | 2.2 | % | 7,081 | 7,546 | -6.2 | % | 61.5 | % | 93.9 | % | 96.7 | % | 1,419 | 1,429 | |||||||||||||||||||||||||||||||||||||||||||||
Seattle |
1 | 174 | 109 | 1,066 | 1,142 | -6.7 | % | 488 | 375 | 30.1 | % | 578 | 767 | -24.6 | % | 54.2 | % | 90.5 | % | 98.4 | % | 1,074 | 1,085 | |||||||||||||||||||||||||||||||||||||||||||||
Pacific Total |
23 | 6,581 | 5,665 | 77,211 | 81,037 | -4.7 | % | 25,777 | 25,942 | -0.6 | % | 51,434 | 55,095 | -6.6 | % | 66.6 | % | 94.0 | % | 96.2 | % | 1,626 | 1,680 | |||||||||||||||||||||||||||||||||||||||||||||
Suburban New York New Jersey |
6 | 1,802 | 1,503 | 16,940 | 17,736 | -4.5 | % | 5,924 | 6,118 | -3.2 | % | 11,016 | 11,618 | -5.2 | % | 65.0 | % | 93.5 | % | 96.7 | % | 1,207 | 1,228 | |||||||||||||||||||||||||||||||||||||||||||||
Washington NoVA MD |
13 | 5,314 | 5,260 | 57,263 | 57,526 | -0.5 | % | 17,983 | 17,613 | 2.1 | % | 39,280 | 39,913 | -1.6 | % | 68.6 | % | 95.7 | % | 96.7 | % | 1,187 | 1,184 | |||||||||||||||||||||||||||||||||||||||||||||
Boston |
11 | 4,147 | 4,147 | 44,176 | 44,488 | -0.7 | % | 16,423 | 15,938 | 3.0 | % | 27,753 | 28,550 | -2.8 | % | 62.8 | % | 95.2 | % | 96.1 | % | 1,185 | 1,183 | |||||||||||||||||||||||||||||||||||||||||||||
Philadelphia |
4 | 1,791 | 1,523 | 18,073 | 18,550 | -2.6 | % | 6,703 | 6,774 | -1.0 | % | 11,370 | 11,776 | -3.4 | % | 62.9 | % | 91.9 | % | 95.7 | % | 1,272 | 1,260 | |||||||||||||||||||||||||||||||||||||||||||||
Northeast Total |
34 | 13,054 | 12,433 | 136,452 | 138,300 | -1.3 | % | 47,033 | 46,443 | 1.3 | % | 89,419 | 91,857 | -2.7 | % | 65.5 | % | 94.7 | % | 96.4 | % | 1,200 | 1,200 | |||||||||||||||||||||||||||||||||||||||||||||
Miami |
6 | 2,472 | 2,349 | 36,090 | 37,997 | -5.0 | % | 14,862 | 16,389 | -9.3 | % | 21,228 | 21,608 | -1.8 | % | 58.8 | % | 93.6 | % | 93.1 | % | 1,628 | 1,735 | |||||||||||||||||||||||||||||||||||||||||||||
Palm Beach/Fort Lauderdale [1] |
7 | 2,171 | 2,021 | 18,297 | 18,034 | 1.5 | % | 7,678 | 7,453 | 3.0 | % | 10,619 | 10,581 | 0.4 | % | 58.0 | % | 95.4 | % | 93.5 | % | 959 | 987 | |||||||||||||||||||||||||||||||||||||||||||||
Orlando [1] |
9 | 2,356 | 2,139 | 14,921 | 15,637 | -4.6 | % | 6,648 | 7,214 | -7.8 | % | 8,273 | 8,423 | -1.8 | % | 55.4 | % | 92.6 | % | 92.1 | % | 745 | 802 | |||||||||||||||||||||||||||||||||||||||||||||
Tampa [1] |
8 | 2,359 | 2,146 | 15,849 | 16,349 | -3.1 | % | 6,732 | 6,973 | -3.5 | % | 9,117 | 9,376 | -2.8 | % | 57.5 | % | 94.1 | % | 94.2 | % | 768 | 814 | |||||||||||||||||||||||||||||||||||||||||||||
Jacksonville [1] |
1 | 144 | 144 | 1,174 | 1,167 | 0.6 | % | 499 | 540 | -7.6 | % | 675 | 627 | 7.7 | % | 57.5 | % | 95.3 | % | 92.8 | % | 847 | 895 | |||||||||||||||||||||||||||||||||||||||||||||
Florida Total |
31 | 9,502 | 8,799 | 86,331 | 89,184 | -3.2 | % | 36,419 | 38,569 | -5.6 | % | 49,912 | 50,615 | -1.4 | % | 57.8 | % | 93.9 | % | 93.2 | % | 1,031 | 1,091 | |||||||||||||||||||||||||||||||||||||||||||||
Houston |
7 | 2,622 | 2,066 | 14,024 | 13,584 | 3.2 | % | 6,098 | 5,844 | 4.3 | % | 7,926 | 7,740 | 2.4 | % | 56.5 | % | 93.7 | % | 93.4 | % | 724 | 706 | |||||||||||||||||||||||||||||||||||||||||||||
Denver |
10 | 2,877 | 2,315 | 18,467 | 18,647 | -1.0 | % | 6,584 | 6,829 | -3.6 | % | 11,883 | 11,818 | 0.6 | % | 64.3 | % | 94.5 | % | 97.1 | % | 795 | 779 | |||||||||||||||||||||||||||||||||||||||||||||
Phoenix |
15 | 3,839 | 3,443 | 20,929 | 22,533 | -7.1 | % | 9,212 | 9,888 | -6.8 | % | 11,717 | 12,645 | -7.3 | % | 56.0 | % | 92.0 | % | 95.7 | % | 646 | 674 | |||||||||||||||||||||||||||||||||||||||||||||
Dallas Fort Worth |
4 | 1,005 | 824 | 5,647 | 5,588 | 1.1 | % | 2,744 | 2,854 | -3.9 | % | 2,903 | 2,734 | 6.2 | % | 51.4 | % | 92.5 | % | 93.8 | % | 745 | 732 | |||||||||||||||||||||||||||||||||||||||||||||
Atlanta |
2 | 281 | 245 | 2,293 | 2,298 | -0.2 | % | 902 | 877 | 2.9 | % | 1,391 | 1,421 | -2.1 | % | 60.7 | % | 93.1 | % | 93.3 | % | 984 | 1,009 | |||||||||||||||||||||||||||||||||||||||||||||
Sunbelt Total |
69 | 20,126 | 17,692 | 147,691 | 151,834 | -2.7 | % | 61,959 | 64,861 | -4.5 | % | 85,732 | 86,973 | -1.4 | % | 58.0 | % | 93.5 | % | 94.3 | % | 870 | 896 | |||||||||||||||||||||||||||||||||||||||||||||
Chicago |
10 | 2,595 | 2,531 | 25,694 | 25,726 | -0.1 | % | 11,054 | 10,344 | 6.9 | % | 14,640 | 15,382 | -4.8 | % | 57.0 | % | 92.9 | % | 94.4 | % | 1,102 | 1,091 | |||||||||||||||||||||||||||||||||||||||||||||
Total Target Markets |
136 | 42,356 | 38,321 | 387,048 | 396,897 | -2.5 | % | 145,823 | 147,590 | -1.2 | % | 241,225 | 249,307 | -3.2 | % | 62.3 | % | 93.9 | % | 95.2 | % | 1,104 | 1,126 | |||||||||||||||||||||||||||||||||||||||||||||
Other |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Austin |
3 | 816 | 816 | 4,878 | 5,177 | -5.8 | % | 2,693 | 2,428 | 10.9 | % | 2,185 | 2,749 | -20.5 | % | 44.8 | % | 87.8 | % | 94.0 | % | 680 | 684 | |||||||||||||||||||||||||||||||||||||||||||||
Baltimore |
3 | 701 | 628 | 6,336 | 6,375 | -0.6 | % | 2,544 | 2,543 | 0.0 | % | 3,792 | 3,832 | -1.0 | % | 59.8 | % | 94.8 | % | 95.2 | % | 1,096 | 1,095 | |||||||||||||||||||||||||||||||||||||||||||||
Indianapolis/Fort Wayne |
8 | 4,981 | 4,782 | 26,871 | 26,932 | -0.2 | % | 12,437 | 12,134 | 2.5 | % | 14,434 | 14,798 | -2.5 | % | 53.7 | % | 93.1 | % | 94.3 | % | 589 | 584 | |||||||||||||||||||||||||||||||||||||||||||||
Nashville |
3 | 788 | 622 | 5,324 | 5,349 | -0.5 | % | 2,239 | 2,181 | 2.7 | % | 3,085 | 3,168 | -2.6 | % | 57.9 | % | 94.4 | % | 95.8 | % | 878 | 883 | |||||||||||||||||||||||||||||||||||||||||||||
Norfolk/Richmond |
6 | 1,661 | 1,569 | 12,635 | 12,720 | -0.7 | % | 4,375 | 4,367 | 0.2 | % | 8,260 | 8,353 | -1.1 | % | 65.4 | % | 94.9 | % | 94.9 | % | 852 | 858 | |||||||||||||||||||||||||||||||||||||||||||||
Raleigh/Greenville |
2 | 504 | 342 | 2,076 | 2,118 | -2.0 | % | 950 | 988 | -3.8 | % | 1,126 | 1,130 | -0.4 | % | 54.2 | % | 93.0 | % | 94.6 | % | 673 | 686 | |||||||||||||||||||||||||||||||||||||||||||||
Other Markets |
24 | 8,497 | 8,137 | 63,641 | 64,365 | -1.1 | % | 29,031 | 28,581 | 1.6 | % | 34,610 | 35,784 | -3.3 | % | 54.4 | % | 92.9 | % | 93.4 | % | 826 | 843 | |||||||||||||||||||||||||||||||||||||||||||||
Total Other |
49 | 17,948 | 16,896 | 121,761 | 123,036 | -1.0 | % | 54,269 | 53,222 | 2.0 | % | 67,492 | 69,814 | -3.3 | % | 55.4 | % | 93.0 | % | 94.0 | % | 765 | 772 | |||||||||||||||||||||||||||||||||||||||||||||
SAME STORE SALES TOTALS |
185 | 60,304 | 55,217 | 508,809 | 519,933 | -2.1 | % | 200,092 | 200,812 | -0.4 | % | 308,717 | 319,121 | -3.3 | % | 60.7 | % | 93.7 | % | 94.9 | % | $ | 1,004 | $ | 1,021 | |||||||||||||||||||||||||||||||||||||||||||
Reconciliation to
total rental and
other property
revenues and
property operating
expense per GAAP
Income Statement
[2] |
416,554 | 398,839 | 226,166 | 229,354 | 190,388 | 169,485 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Total rental and
other property
revenues and
property operating
expense per GAAP
Income Statement |
$ | 925,363 | $ | 918,772 | $ | 426,258 | $ | 430,166 | $ | 499,105 | $ | 488,606 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
[1] | Palm Beach/Fort Lauderdale, Orlando, Tampa and Jacksonville are considered part of the Other Florida market. |
|
[2] | Includes: (i) noncontrolling interest partners share of consolidated less Aimcos share of unconsolidated property
revenues and property operating expenses (at current period ownership); (ii) property revenues and property operating
expenses related to other consolidated entities; (iii) and elimination and other adjustments made in accordance with GAAP. |
AIMCO 3rd Quarter 2009 | Page 13 |
Supplemental Schedule 7
Total Conventional Portfolio Data by Market
(unaudited)
Total Conventional Portfolio Data by Market
(unaudited)
Quarter Ended September 30, 2009 | Quarter Ended September 30, 2008 | |||||||||||||||||||||||||||||||||||||||||||||||
Properties | Units | Ownership | Effective Units | % AIV NOI | Average Rent | Properties | Units | Ownership | Effective Units | % AIV NOI | Average Rent | |||||||||||||||||||||||||||||||||||||
Target Markets |
||||||||||||||||||||||||||||||||||||||||||||||||
Los Angeles |
16 | 4,261 | 85 | % | 3,610 | 9.6 | % | $ | 1,999 | 16 | 4,261 | 86 | % | 3,679 | 8.9 | % | $ | 2,174 | ||||||||||||||||||||||||||||||
Orange County |
4 | 1,213 | 94 | % | 1,143 | 2.3 | % | 1,522 | 4 | 1,213 | 94 | % | 1,143 | 1.9 | % | 1,626 | ||||||||||||||||||||||||||||||||
San Diego |
6 | 2,144 | 97 | % | 2,074 | 3.9 | % | 1,218 | 6 | 2,144 | 97 | % | 2,074 | 3.1 | % | 1,211 | ||||||||||||||||||||||||||||||||
Southern CA Total |
26 | 7,618 | 90 | % | 6,827 | 15.8 | % | 1,704 | 26 | 7,618 | 91 | % | 6,896 | 13.9 | % | 1,817 | ||||||||||||||||||||||||||||||||
East Bay |
2 | 413 | 85 | % | 353 | 0.5 | % | 1,241 | 2 | 413 | 85 | % | 353 | 0.5 | % | 1,276 | ||||||||||||||||||||||||||||||||
San Francisco |
6 | 773 | 100 | % | 773 | 1.5 | % | 1,493 | 6 | 773 | 100 | % | 773 | 1.3 | % | 1,517 | ||||||||||||||||||||||||||||||||
San Jose |
1 | 224 | 100 | % | 224 | 0.5 | % | 1,561 | 1 | 224 | 100 | % | 224 | 0.4 | % | 1,676 | ||||||||||||||||||||||||||||||||
Northern CA Total |
9 | 1,410 | 96 | % | 1,350 | 2.5 | % | 1,431 | 9 | 1,410 | 96 | % | 1,350 | 2.2 | % | 1,469 | ||||||||||||||||||||||||||||||||
Seattle |
3 | 413 | 75 | % | 309 | 0.5 | % | 1,230 | 3 | 348 | 58 | % | 203 | 0.3 | % | 1,149 | ||||||||||||||||||||||||||||||||
Pacific Total |
38 | 9,441 | 90 | % | 8,486 | 18.8 | % | 1,643 | 38 | 9,376 | 90 | % | 8,449 | 16.4 | % | 1,739 | ||||||||||||||||||||||||||||||||
Manhattan |
22 | 957 | 100 | % | 955 | 3.5 | % | 2,776 | 22 | 956 | 100 | % | 954 | 2.9 | % | 2,560 | ||||||||||||||||||||||||||||||||
Suburban New York / New Jersey |
7 | 2,637 | 89 | % | 2,338 | 3.8 | % | 1,175 | 8 | 3,413 | 87 | % | 2,978 | 4.1 | % | 1,185 | ||||||||||||||||||||||||||||||||
New York Total |
29 | 3,594 | 92 | % | 3,293 | 7.3 | % | 1,599 | 30 | 4,369 | 90 | % | 3,932 | 7.0 | % | 1,498 | ||||||||||||||||||||||||||||||||
Washington NoVA MD |
18 | 7,411 | 94 | % | 6,989 | 12.0 | % | 1,184 | 18 | 6,190 | 98 | % | 6,071 | 10.4 | % | 1,188 | ||||||||||||||||||||||||||||||||
Boston |
12 | 4,250 | 100 | % | 4,250 | 7.0 | % | 1,184 | 12 | 4,251 | 100 | % | 4,251 | 5.9 | % | 1,178 | ||||||||||||||||||||||||||||||||
Philadelphia |
7 | 3,886 | 91 | % | 3,539 | 5.9 | % | 1,249 | 9 | 4,432 | 92 | % | 4,085 | 5.4 | % | 1,250 | ||||||||||||||||||||||||||||||||
Northeast Total |
66 | 19,141 | 94 | % | 18,071 | 32.2 | % | 1,274 | 69 | 19,242 | 95 | % | 18,339 | 28.7 | % | 1,269 | ||||||||||||||||||||||||||||||||
Miami |
5 | 2,471 | 95 | % | 2,348 | 4.5 | % | 1,577 | 6 | 2,674 | 92 | % | 2,448 | 4.3 | % | 1,652 | ||||||||||||||||||||||||||||||||
Palm Beach/Fort Lauderdale [1] |
7 | 2,171 | 93 | % | 2,020 | 2.4 | % | 946 | 9 | 2,627 | 94 | % | 2,478 | 2.5 | % | 988 | ||||||||||||||||||||||||||||||||
Orlando [1] |
11 | 3,324 | 91 | % | 3,032 | 3.0 | % | 750 | 14 | 3,888 | 92 | % | 3,596 | 2.6 | % | 801 | ||||||||||||||||||||||||||||||||
Tampa [1] |
9 | 2,635 | 88 | % | 2,318 | 2.4 | % | 756 | 13 | 3,625 | 90 | % | 3,275 | 2.7 | % | 810 | ||||||||||||||||||||||||||||||||
Jacksonville [1] |
4 | 1,643 | 85 | % | 1,404 | 1.4 | % | 795 | 6 | 2,235 | 89 | % | 1,996 | 1.4 | % | 812 | ||||||||||||||||||||||||||||||||
Florida Total |
36 | 12,244 | 91 | % | 11,122 | 13.7 | % | 960 | 48 | 15,049 | 92 | % | 13,793 | 13.5 | % | 992 | ||||||||||||||||||||||||||||||||
Houston |
9 | 3,140 | 82 | % | 2,583 | 2.0 | % | 729 | 20 | 5,798 | 86 | % | 4,983 | 3.3 | % | 679 | ||||||||||||||||||||||||||||||||
Denver |
10 | 2,877 | 80 | % | 2,315 | 2.9 | % | 787 | 10 | 2,877 | 80 | % | 2,315 | 2.3 | % | 791 | ||||||||||||||||||||||||||||||||
Phoenix |
19 | 4,938 | 90 | % | 4,430 | 3.3 | % | 644 | 20 | 5,164 | 90 | % | 4,658 | 3.1 | % | 694 | ||||||||||||||||||||||||||||||||
Dallas Fort Worth |
4 | 1,005 | 82 | % | 823 | 0.6 | % | 736 | 9 | 2,090 | 84 | % | 1,753 | 1.1 | % | 712 | ||||||||||||||||||||||||||||||||
Atlanta |
8 | 1,795 | 80 | % | 1,435 | 1.5 | % | 884 | 11 | 3,005 | 83 | % | 2,484 | 1.9 | % | 865 | ||||||||||||||||||||||||||||||||
Sunbelt Total |
86 | 25,999 | 87 | % | 22,708 | 24.0 | % | 842 | 118 | 33,983 | 88 | % | 29,986 | 25.2 | % | 847 | ||||||||||||||||||||||||||||||||
Chicago |
17 | 5,035 | 94 | % | 4,750 | 6.7 | % | 1,113 | 19 | 5,559 | 93 | % | 5,160 | 5.6 | % | 1,103 | ||||||||||||||||||||||||||||||||
Total Target Markets |
207 | 59,616 | 91 | % | 54,015 | 81.7 | % | 1,132 | 244 | 68,160 | 91 | % | 61,934 | 75.9 | % | 1,111 | ||||||||||||||||||||||||||||||||
Other |
||||||||||||||||||||||||||||||||||||||||||||||||
Austin |
3 | 816 | 100 | % | 816 | 0.5 | % | 656 | 7 | 1,497 | 100 | % | 1,497 | 1.1 | % | 729 | ||||||||||||||||||||||||||||||||
Baltimore |
5 | 1,180 | 84 | % | 993 | 1.3 | % | 1,045 | 5 | 1,180 | 84 | % | 993 | 1.1 | % | 1,062 | ||||||||||||||||||||||||||||||||
Cincinnati |
2 | 505 | 80 | % | 405 | 0.6 | % | 1,214 | 4 | 1,135 | 81 | % | 922 | 0.9 | % | 957 | ||||||||||||||||||||||||||||||||
Colorado Springs CO |
| | | | | | 3 | 714 | 92 | % | 654 | 0.5 | % | 668 | ||||||||||||||||||||||||||||||||||
Indianapolis / Ft Wayne |
8 | 4,981 | 96 | % | 4,782 | 3.3 | % | 584 | 17 | 7,924 | 97 | % | 7,724 | 4.3 | % | 579 | ||||||||||||||||||||||||||||||||
Inland Empire |
3 | 574 | 89 | % | 513 | 0.5 | % | 845 | 3 | 574 | 90 | % | 515 | 0.5 | % | 868 | ||||||||||||||||||||||||||||||||
Michigan [2] |
6 | 3,862 | 94 | % | 3,643 | 2.9 | % | 648 | 7 | 4,149 | 82 | % | 3,420 | 2.3 | % | 661 | ||||||||||||||||||||||||||||||||
Minneapolis |
2 | 732 | 89 | % | 651 | 1.6 | % | 1,525 | 2 | 732 | 89 | % | 651 | 1.4 | % | 1,542 | ||||||||||||||||||||||||||||||||
Nashville |
4 | 1,114 | 75 | % | 840 | 1.0 | % | 875 | 7 | 2,192 | 83 | % | 1,811 | 1.6 | % | 807 | ||||||||||||||||||||||||||||||||
Non-Target Florida [2] |
10 | 2,204 | 100 | % | 2,204 | 1.8 | % | 670 | 11 | 2,404 | 98 | % | 2,358 | 1.6 | % | 731 | ||||||||||||||||||||||||||||||||
Norfolk / Richmond |
7 | 2,075 | 96 | % | 1,983 | 2.8 | % | 917 | 10 | 2,775 | 91 | % | 2,529 | 2.9 | % | 928 | ||||||||||||||||||||||||||||||||
Providence RI |
2 | 708 | 100 | % | 708 | 1.1 | % | 1,102 | 3 | 948 | 100 | % | 948 | 1.1 | % | 1,108 | ||||||||||||||||||||||||||||||||
Raleigh / Greenville |
4 | 870 | 75 | % | 655 | 0.4 | % | 657 | 9 | 2,383 | 76 | % | 1,810 | 1.1 | % | 678 | ||||||||||||||||||||||||||||||||
Other Markets [2] |
3 | 601 | 74 | % | 442 | 0.5 | % | 880 | 27 | 5,975 | 82 | % | 4,923 | 3.7 | % | 688 | ||||||||||||||||||||||||||||||||
Total Other [3] |
59 | 20,222 | 92 | % | 18,635 | 18.3 | % | 774 | 115 | 34,582 | 89 | % | 30,755 | 24.1 | % | 745 | ||||||||||||||||||||||||||||||||
Grand Total |
266 | 79,838 | 91 | % | 72,650 | 100.0 | % | $ | 1,042 | 359 | 102,742 | 90 | % | 92,689 | 100.0 | % | $ | 987 | ||||||||||||||||||||||||||||||
[1] | Palm Beach/Fort Lauderdale, Orlando, Tampa and Jacksonville are considered part of the Other
Florida market. |
|
[2] | Michigan, Non-Target Florida and Other Markets include properties in multiple markets. |
|
[3] | For the quarters ended September 30, 2009 and 2008, Aimcos conventional portfolio included
assets in 19 and 22 markets, respectively, in which Aimco invests on an opportunistic basis or
that Aimco intends to exit. |
AIMCO 3rd Quarter 2009 | Page 14 |
Supplemental Schedule 8
Property Sales and Acquisition Activity
(unaudited)
(unaudited)
THIRD QUARTER 2009 PROPERTY SALES ACTIVITY (dollars in millions, except average rent)
Number | Number | Aimco | Aimco | Aimco | ||||||||||||||||||||||||||||||||
of | of | Gross | Cap | Property | Net Sales | Gross | Net | Average | ||||||||||||||||||||||||||||
Properties | Units | Proceeds | Rate [1] | Debt | Proceeds [2] | Proceeds | Proceeds | Rent | ||||||||||||||||||||||||||||
Conventional [3] |
21 | 6,031 | $ | 319.1 | 8.2 | % | $ | 180.2 | $ | 117.0 | $ | 269.6 | $ | 107.8 | $ | 753 | ||||||||||||||||||||
Affordable |
7 | 777 | 47.5 | 5.8 | % | 23.1 | 20.8 | 28.0 | 17.2 | 773 | ||||||||||||||||||||||||||
Total Dispositions |
28 | 6,808 | $ | 366.6 | 7.9 | % | $ | 203.3 | $ | 137.8 | $ | 297.6 | $ | 125.0 | $ | 755 | ||||||||||||||||||||
YEAR-TO-DATE 2009 PROPERTY SALES ACTIVITY (dollars in millions, except average rent) [4]
Number | Number | Aimco | Aimco | Aimco | ||||||||||||||||||||||||||||||||
of | of | Gross | Cap | Property | Net Sales | Gross | Net | Average | ||||||||||||||||||||||||||||
Properties | Units | Proceeds | Rate [1] | Debt | Proceeds [2] | Proceeds | Proceeds | Rent | ||||||||||||||||||||||||||||
Conventional [5] |
45 | 12,292 | $ | 650.8 | 7.9 | % | $ | 371.5 | $ | 226.2 | $ | 568.1 | $ | 212.1 | $ | 752 | ||||||||||||||||||||
Affordable |
13 | 1,593 | 90.2 | 6.1 | % | 46.4 | 36.8 | 47.6 | 32.1 | 789 | ||||||||||||||||||||||||||
Total Dispositions |
58 | 13,885 | $ | 741.0 | 7.7 | % | $ | 417.9 | $ | 263.0 | $ | 615.7 | $ | 244.2 | $ | 756 | ||||||||||||||||||||
[1] | Cap Rate is calculated based on the trailing twelve month NOI prior to sale, less a 5% management fee and a $300 per unit deduction for capital replacements, divided by the gross proceeds. |
|
[2] | Net Sales Proceeds are after repayment of existing debt, net working capital settlements, payment of transaction costs and prepayment penalties. |
|
[3] | The following table presents selected market information regarding the conventional dispositions during the third quarter 2009: |
Market | Properties | Units | ||||||
Target Markets: |
||||||||
Chicago |
1 | 320 | ||||||
Dallas-Fort Worth |
2 | 392 | ||||||
Houston |
6 | 1,692 | ||||||
Miami |
1 | 203 | ||||||
Phoenix |
1 | 226 | ||||||
Suburban New York/New Jersey |
1 | 776 | ||||||
Tampa |
2 | 672 | ||||||
Palm Beach |
1 | 260 | ||||||
Total Target Markets |
15 | 4,541 | ||||||
Other: |
||||||||
Colorado Springs |
2 | 514 | ||||||
Raleigh/Greenville |
2 | 528 | ||||||
Nashville |
1 | 248 | ||||||
Non-Target Florida |
1 | 200 | ||||||
Total Other |
6 | 1,490 | ||||||
Total Conventional Dispositions |
21 | 6,031 | ||||||
[4] | Year-to-date property sales activity does not include a land sale with total Aimco net proceeds of $1.6 million. |
|
[5] | Year-to-date property sales include one unconsolidated property consisting of 480 units, which generated Aimco gross proceeds of $8.8 million and net proceeds of $3.4 million. |
YEAR-TO-DATE 2009 PROPERTY ACQUISITION ACTIVITY
There were no property acquisitions during the nine months ended September 30, 2009.
AIMCO 3rd Quarter 2009 | Page 15 |
Supplemental Schedule 9
Capital Expenditures
Nine Months Ended September 30, 2009
(in thousands, except per unit data)
(unaudited)
Nine Months Ended September 30, 2009
(in thousands, except per unit data)
(unaudited)
All capital spending is classified as either Capital Replacements (CR), Capital Improvements
(CI), casualties or redevelopment. Non-redevelopment and non-casualty capitalizable expenditures
are apportioned between CR and CI based on the useful life of the capital item under consideration
and the period Aimco has owned the property (i.e., the portion that was consumed during Aimcos
ownership of the item represents CR; the portion of the item that was consumed prior to Aimcos
ownership represents CI). See the Glossary for further descriptions.
The table below details Aimcos share of actual spending, on both consolidated and unconsolidated
real estate partnerships, for Capital Replacements, Capital Improvements, casualties and
redevelopment for the nine months ended September 30, 2009. Per unit numbers are based on
approximately 98,112 average units, including 82,032 conventional and 16,080 affordable units.
Average units are weighted for the period and represent Effective Units excluding non-managed
units. [1]
Aimcos Share of | Per Effective | |||||||
Expenditures | Unit | |||||||
Capital Replacements Detail: |
||||||||
Building and grounds |
$ | 24,689 | $ | 252 | ||||
Turnover related |
23,503 | 240 | ||||||
Capitalized site payroll and indirect costs |
5,846 | 60 | ||||||
Total Aimcos share of Capital Replacements |
$ | 54,038 | $ | 552 | ||||
Capital Replacements: |
||||||||
Conventional |
$ | 50,138 | $ | 611 | ||||
Affordable |
3,900 | $ | 243 | |||||
Total Aimcos share of Capital Replacements |
54,038 | $ | 552 | |||||
Capital Improvements: |
||||||||
Conventional |
37,180 | $ | 453 | |||||
Affordable |
3,618 | $ | 225 | |||||
Total Aimcos share of Capital Improvements |
40,798 | $ | 416 | |||||
Casualties: |
||||||||
Conventional |
10,735 | |||||||
Affordable |
217 | |||||||
Total Aimcos share of Casualties [2] |
10,952 | |||||||
Redevelopment (see Schedule 10) [3]: |
||||||||
Conventional projects [4] |
55,526 | |||||||
Tax Credit projects [5] |
41,851 | |||||||
Total Aimcos share of Redevelopment |
97,377 | |||||||
Total Aimcos share of capital expenditures |
203,165 | |||||||
Plus noncontrolling interest partners share of consolidated spending |
15,223 | |||||||
Less Aimcos share of unconsolidated spending |
(497 | ) | ||||||
Capital expenditures per consolidated statement of cash flows |
$ | 217,891 | ||||||
[1] | Average units calculated pro rata for the period based on acquisition and disposition timing. |
|
[2] | A portion of expenditures related to casualty losses is reimbursed through insurance. |
|
[3] | Redevelopment expenditures for conventional and tax credit projects may include costs related to pre-construction or other
activities on projects other than those included as active on Schedule 10. Therefore the total costs presented on this
schedule may exceed those included as Aimcos share on Schedule 10. |
|
[4] | Conventional redevelopment projects include Lincoln Place (CA) and Pacific Bay Vistas (formerly Treetops) (CA), which are
predominantly vacant and have September 30, 2009 net book values of $128.3 million and $31.7 million, respectively. |
|
[5] | Redevelopment spending on tax credit projects is substantially funded from tax credit investor contributions. |
AIMCO 3rd Quarter 2009 | Page 16 |
Supplemental Schedule 10
Summary of Redevelopment Activity
Nine Months Ended September 30, 2009
(dollars in millions)
(unaudited)
Nine Months Ended September 30, 2009
(dollars in millions)
(unaudited)
Actual Expenditures | ||||||||||||||||||||||||
Nine Months Ended | ||||||||||||||||||||||||
Number of | Number of | Total Estimated | Inception to | September 30, 2009 | ||||||||||||||||||||
Properties | Units | Expenditures [1] | Date | Actual Amount | Aimcos Share | |||||||||||||||||||
CONVENTIONAL REDEVELOPMENT PROJECTS |
||||||||||||||||||||||||
Active redevelopment projects at December 31, 2008 |
37 | 13,553 | $ | 594.8 | $ | 532.1 | $ | 48.2 | $ | 45.5 | ||||||||||||||
Changes in project scope and estimated costs |
| | (40.3 | )[2] | | | | |||||||||||||||||
Redevelopment expenditures during period |
37 | 13,553 | 554.5 | 532.1 | 48.2 | 45.5 | ||||||||||||||||||
Projects completed during period |
(21 | ) | (6,543 | ) | (246.0 | ) | (246.0 | ) | ||||||||||||||||
Active redevelopment projects at September 30,
2009 [3] |
16 | 7,010 | 308.5 | 286.1 | ||||||||||||||||||||
TAX CREDIT REDEVELOPMENT PROJECTS |
||||||||||||||||||||||||
Active redevelopment projects at December 31, 2008 |
4 | 528 | $ | 38.8 | $ | 36.1 | $ | 19.0 | $ | 18.7 | ||||||||||||||
New redevelopment projects started during period |
3 | 546 | 21.1 | 12.1 | 12.1 | 12.1 | ||||||||||||||||||
Changes in estimated costs |
| | 4.0 | | | | ||||||||||||||||||
Redevelopment expenditures during period |
7 | 1,074 | 63.9 | 48.2 | 31.1 | 30.8 | ||||||||||||||||||
Projects completed during period |
(3 | ) | (229 | ) | (13.4 | ) | (13.1 | ) | ||||||||||||||||
Active redevelopment projects at September 30, 2009 |
4 | 845 | 50.5 | 35.1 | ||||||||||||||||||||
TOTAL ACTIVE REDEVELOPMENT PROJECTS |
20 | 7,855 | $ | 359.0 | $ | 321.2 | ||||||||||||||||||
YEAR-TO-DATE REDEVELOPMENT EXPENDITURES |
$ | 79.3 | $ | 76.3 | ||||||||||||||||||||
[1] | Represents the forecasted total expenditures anticipated to be incurred in a redevelopment project. |
|
[2] | During 2009, Aimco elected not to complete portions of previously planned projects resulting in a reduction in estimated costs. |
|
[3] | Targeted return on investment in Conventional Redevelopment projects is 7.5% 8.5%. |
AIMCO 3rd Quarter 2009 | Page 17 |
Supplemental Schedule 11
Aimco Capital
(in thousands, unaudited)
(in thousands, unaudited)
Investment Management Income
Three Months Ended | Nine Months Ended | |||||||||||||||
September 30, | September 30, | |||||||||||||||
2009 | 2008 | 2009 | 2008 | |||||||||||||
Current asset management fees [1] |
$ | 994 | $ | 1,286 | $ | 3,117 | $ | 3,068 | ||||||||
Deferred asset management fees [2] |
| 146 | | 674 | ||||||||||||
Promotes |
| 16,934 | 1,549 | 48,579 | ||||||||||||
Other GP transactional fees |
1,931 | 6,637 | 5,213 | 8,402 | ||||||||||||
Total asset management revenues |
2,925 | 25,003 | 9,879 | 60,723 | ||||||||||||
Tax credit syndication fees [3] |
| | | 1,425 | ||||||||||||
Deferred tax credit income [4] |
7,825 | 7,752 | 23,900 | 21,634 | ||||||||||||
Total tax credit revenues |
7,825 | 7,752 | 23,900 | 23,059 | ||||||||||||
Total asset management and tax credit revenues |
10,750 | 32,755 | 33,779 | 83,782 | ||||||||||||
Accretion on discounted notes receivable [5] |
210 | 1,162 | 691 | (1,008 | ) | |||||||||||
Land and other investment gains |
| 1,669 | 3,873 | 1,669 | ||||||||||||
Other portfolio management revenue [6] |
1,481 | 1,587 | 4,421 | 5,570 | ||||||||||||
Total portfolio management revenue |
1,691 | 4,418 | 8,985 | 6,231 | ||||||||||||
Total investment management revenues |
12,441 | 37,173 | 42,764 | 90,013 | ||||||||||||
Investment management expenses |
(4,213 | ) | (7,850 | ) | (12,719 | ) | (18,044 | ) | ||||||||
Net investment management income (pre-tax) |
8,228 | 29,323 | 30,045 | 71,969 | ||||||||||||
Income taxes [7] |
(2,251 | ) | (1,666 | ) | (6,999 | ) | (6,408 | ) | ||||||||
Net investment management income (after tax) |
$ | 5,977 | $ | 27,657 | $ | 23,046 | $ | 65,561 | ||||||||
Summary of Projected Tax Credit Income
Remainder | Year Ending December 31, | |||||||||||||||||||||||||||
2009 | 2010 | 2011 | 2012 | 2013 | Thereafter | Total | ||||||||||||||||||||||
Amortization of deferred income [8] |
$ | 7,496 | $ | 29,735 | $ | 29,111 | $ | 29,116 | $ | 27,705 | $ | 95,280 | $ | 218,443 | ||||||||||||||
Income taxes [9] |
(2,923 | ) | (11,597 | ) | (11,353 | ) | (11,355 | ) | (10,805 | ) | (37,159 | ) | (85,192 | ) | ||||||||||||||
Projected income, net of tax |
$ | 4,573 | $ | 18,138 | $ | 17,758 | $ | 17,761 | $ | 16,900 | $ | 58,121 | $ | 133,251 | ||||||||||||||
[1] | Current asset management fees represent income earned in exchange for asset management services provided to third parties. |
|
[2] | Deferred asset management fees represent asset management fees earned in prior periods, the collectibility of which was deemed uncertain, and such fees were
therefore deferred. Fees are recognized in income when collectibility is probable and reasonably estimable as a result of a completed or pending
transaction which generates a reliable source of payment. |
|
[3] | Aimco receives a fee for the syndication of tax credit partnerships which is earned and paid upon completion of the syndication. |
|
[4] | Aimco earns tax credit income in connection with the transfer of tax credits to tax credit investors, a significant portion of which is paid simultaneously
with the completion of the syndication. The balance is generally paid within 12 to 24 months. Tax credit income is recognized as tax credits are delivered
to the investors, generally over a period of ten years. See Summary of Projected Tax Credit Income. |
|
[5] | Aimco holds certain loans extended by predecessors whose positions were generally acquired at a discount. Interest income on these discounted notes is
recognized at such time when the collectibility of the income is probable and reasonably estimable as a result of a completed or pending transaction which
generates a reliable source of repayment. Accretion on discounted notes receivable is included in interest income in Aimcos consolidated statements of
income. During the nine months ended September 30, 2009 and 2008, Aimco revised its estimate of the timing and amount of payment on certain discounted
notes and as a result recorded adjustments totaling $0.8 million and $4.0 million, respectively, to accretion income. |
|
[6] | Other portfolio management income during 2009 and 2008 includes interest income received under total rate of return swaps, which is included in interest
expense in Aimcos consolidated statements of income. |
|
[7] | Investment management income is earned in part by Aimcos taxable REIT subsidiaries. The effective tax rate varies from period to period based on the
portion of total income earned by taxable REIT subsidiaries. Income taxes are recalculated each period. |
|
[8] | Amortization of deferred income represents the periodic recognition of deferred revenue and costs relating to Aimcos existing tax credit arrangements.
Deferred income is recognized as the related low income housing tax credits and other tax benefits are delivered to tax credit investors. Deferred revenue
reflects cash received but not yet recognized as revenue, and cash expected to be received from investors in the future under conditional capital
contribution commitments. The amounts to be received in the future are subject to adjustment based on the amounts of tax benefits actually delivered to
investors and Aimcos compliance with applicable regulations and other conditions. Deferred costs reflect costs incurred in structuring these arrangements.
The timing of income recognition is subject to change based on the timing of delivery of tax benefits, which timing may be affected by factors related to
the development, operations and financing of the related properties. |
|
[9] | An effective income tax rate of 39% is assumed. For GAAP and FFO purposes, income taxes are recognized concurrent with the amortization of deferred income. |
AIMCO 3rd Quarter 2009 | Page 18 |
Supplemental Schedule 12
Apartment Unit Summary
As of September 30, 2009
(unaudited)
As of September 30, 2009
(unaudited)
Number of | Number of | Effective | Average | |||||||||||||
Properties | Units | Units | Ownership | |||||||||||||
Conventional Real Estate Portfolio: |
||||||||||||||||
Wholly-owned consolidated properties |
184 | 55,030 | 55,030 | 100 | % | |||||||||||
Partially-owned consolidated properties |
80 | 25,808 | 18,620 | 72 | % | |||||||||||
Partially-owned unconsolidated properties |
2 | 1,304 | 455 | 35 | % | |||||||||||
Total |
266 | 82,142 | 74,105 | 90 | % | |||||||||||
Affordable Real Estate Portfolio: |
||||||||||||||||
Wholly-owned consolidated properties |
87 | 12,088 | 12,088 | 100 | % | |||||||||||
Partially-owned consolidated properties |
107 | 11,375 | 3,502 | 31 | % | |||||||||||
Partially-owned unconsolidated properties |
77 | 7,353 | 1,135 | 15 | % | |||||||||||
Total |
271 | 30,816 | 16,725 | 54 | % | |||||||||||
Total Owned Real Estate Portfolio: |
||||||||||||||||
Wholly-owned consolidated properties |
271 | 67,118 | 67,118 | 100 | % | |||||||||||
Partially-owned consolidated properties |
187 | 37,183 | 22,122 | 59 | % | |||||||||||
Partially-owned unconsolidated properties |
79 | 8,657 | 1,590 | 18 | % | |||||||||||
Total |
537 | 112,958 | 90,830 | 80 | % | |||||||||||
Management Contracts: |
||||||||||||||||
Property-managed for third parties |
24 | 2,165 | ||||||||||||||
Asset-managed |
355 | 31,458 | ||||||||||||||
Total |
379 | 33,623 | ||||||||||||||
Total Portfolio |
916 | 146,581 | ||||||||||||||
AIMCO 3rd Quarter 2009 | Page 19 |
GLOSSARY OF NON-GAAP FINANCIAL AND OPERATING MEASURES: Financial and operating measures found in
the Earnings Release and Supplemental Information include certain financial measures used by Aimco
management that are not calculated in accordance with accounting principles generally accepted in
the United States of America, or GAAP. These measures are defined below and, where appropriate,
reconciled on the accompanying Supplemental Schedules to the most comparable GAAP measures.
ACQUISITION PROPERTIES: Properties that have not reached a stabilized level of occupancy during
both the current and comparable prior year period.
ADJUSTED FUNDS FROM OPERATIONS (AFFO): AFFO is FFO (diluted) less Capital Replacement
expenditures, plus non-cash charges for preferred stock redemption related costs and operating
real estate impairment losses, all of which are adjusted for the Aimco Operating Partnerships
share. Similar to FFO, AFFO is helpful to investors in understanding Aimcos performance because
it captures features particular to real estate performance by recognizing that real estate
generally appreciates over time or maintains residual value to a much greater extent than do other
depreciating assets such as machinery, computers or other personal property. Please see
Supplemental Schedule 1 for AFFO data reconciled to net income (loss) attributable to common
stockholders as determined in accordance with GAAP. There can be no assurance that Aimcos method
for computing AFFO is comparable with that of other real estate investment trusts.
AFFORDABLE PROPERTIES: Affordable properties benefit from government programs designed to pay
rental income on behalf of people with low or moderate incomes and includes properties that were
owned for all periods presented.
CAPITAL IMPROVEMENTS (CI): CI expenditures include all non-redevelopment capital expenditures
that are made to enhance the value, profitability or useful life of an asset from its original
purchase condition.
CAPITAL REPLACEMENTS (CR): CR expenditures do not increase the value, profitability or useful
life of an asset from its original purchase condition. They represent the share of expenditures
that are deemed to replace the consumed portion of acquired capital assets. CR expenditures are
deducted in the calculation of AFFO. Please refer to Supplemental Schedule 9 for further detail.
CASUALTY CAPITAL EXPENDITURES: Casualty capital expenditures represent capitalized costs incurred
in connection with casualty losses and are associated with the restoration of the asset. A
portion of the restoration costs is reimbursed by insurance carriers based on deductibles
associated with each loss.
DEBT SERVICE COVERAGE RATIO: As defined in Aimcos credit agreement, the ratio of (a) Aimcos
adjusted total earnings before interest, taxes, depreciation and amortization (which excludes certain capital expenditure reserves) to (b) the actual debt
service, for the four fiscal quarters preceding the date of calculation.
EFFECTIVE UNITS: Unit count at 100% ownership multiplied by Aimcos ownership share.
FIXED CHARGE COVERAGE RATIO: As defined in Aimcos credit agreement, the ratio of (a) Aimcos
adjusted total earnings before interest, taxes, depreciation and amortization (which excludes certain capital expenditure reserves) to (b) fixed charges,
which represents the sum of total interest expense, amortization and dividends/distributions on
preferred shares/units, for the four fiscal quarters preceding the date of
calculation.
FUNDS FROM OPERATIONS (FFO): FFO is a commonly used measure of REIT performance defined by
the National Association of Real Estate Investment Trusts (NAREIT) as net income, computed
in accordance with GAAP, excluding gains from sales of depreciable property, plus
depreciation and amortization, and after adjustments for unconsolidated partnerships and
joint ventures. Adjustments for unconsolidated partnerships and joint ventures are
calculated to reflect FFO on the same basis. Aimco computes FFO for all periods presented
in accordance with the guidance set forth by NAREITs April 1, 2002 White Paper. Aimco
calculates FFO (diluted) by subtracting preferred stock redemption related redemption
related costs and dividends on preferred stock and adding back dividends/distributions on
dilutive preferred securities. FFO is helpful to investors in understanding Aimcos
performance because it captures features particular to real estate performance by
recognizing that real estate generally appreciates over time or maintains residual value to
a much greater extent than do other depreciating assets such as machinery, computers or
other personal property. There can be no assurance that Aimcos method for computing FFO is
comparable with that of other real estate investment trusts. Please see Supplemental
Schedule 1 for FFO data reconciled to net income (loss) attributable to Aimco common
stockholders as determined in accordance with GAAP.
OTHER EXPENSES, NET: Other expenses, net includes franchise taxes, risk management
activities related to our unconsolidated partnerships, certain other corporate expenses and
partnership expenses (partnership level expenses incurred directly or indirectly
for services such as audit, tax and legal).
OTHER PROPERTIES: Conventional properties that have significant rent control restrictions,
university housing properties that have been owned for more than one year and properties
that are not multi-family such as commercial properties or fitness facilities.
REDEVELOPMENT PROPERTIES: Properties where (1) a substantial number of available units have
been vacated for major renovations or have not been stabilized in occupancy for at least one
year as of the earliest period presented, or (2) other significant renovation, such
as exteriors, common areas or unit improvements (done upon lease expirations), is underway
or has been complete for less than one year, as of the earliest period presented. In both
cases the properties have been removed from the Same Store portfolio.
SAME STORE: Same Store is used commonly to describe Conventional properties managed by
Aimco, in which Aimcos ownership exceeds 10% and that have reached a stabilized level of
occupancy during both the current and comparable prior year period. Properties classified
as held for sale are not included in Same Store. These results measure operating performance
without variations caused by investment transactions. Aimco provides data for consolidated
Same Store properties as well as its proportionate share of consolidated and unconsolidated
Same Store properties. To ensure comparability, the information for all periods shown is
based on current period ownership. Please see Supplemental Schedules 6a through 6b for Same
Store data reconciled to rental and other property revenues and property operating expense
as determined in accordance with GAAP.
AIMCO 3rd Quarter 2009 | Page 20 |