AvalonBay Communities (AVB) 10-Q 2011 Q3 Quarterly report

Exhibit 12.1

AVALONBAY COMMUNITIES, INC.

RATIOS OF EARNINGS TO COMBINED FIXED CHARGES AND PREFERRED STOCK DIVIDENDS

	Nine Months Ended September 30, 2011		Year Ended December 31, 2010  (1)		Year Ended December 31, 2009  (1)		Year Ended December 31, 2008  (1)		Year Ended December 31, 2007  (1)
Income from continuing operations before cumulative effect of change in accounting principle	$	116,467	$	106,695	$	85,764	$	107,707	$	237,490
(Plus):
Equity in income of unconsolidated entities, net of distributions received		737		4,856		5,475		6,728		9,532
Amortization of capitalized interest (2)		11,935		15,149		14,035		12,428		9,941
Earnings before fixed charges	$	129,139	$	126,700	$	105,274	$	126,863	$	256,963
(Plus) Fixed charges:
Portion of rents representative of the interest factor	$	5,327	$	11,785	$	6,241	$	5,287	$	3,165
Interest expense		134,096		175,209		150,323		114,910		92,175
Interest capitalized		22,962		33,393		48,226		74,621		73,118
Preferred dividend		—		—		—		10,454		8,700
Total fixed charges (3)	$	162,385	$	220,387	$	204,790	$	205,272	$	177,158
(Less):
Interest capitalized		22,962		33,393		48,226		74,621		73,118
Preferred dividend		—		—		—		10,454		8,700
Earnings (4)	$	268,562	$	313,694	$	261,838	$	247,060	$	352,303
Ratio (4 divided by 3)		1.65		1.42		1.28		1.20		1.99

AVALONBAY COMMUNITIES, INC.

RATIOS OF EARNINGS TO FIXED CHARGES

	Nine Months Ended September 30, 2011		Year Ended December 31, 2010  (1)		Year Ended December 31, 2009  (1)		Year Ended December 31, 2008  (1)		Year Ended December 31, 2007  (1)
Income from continuing operations before cumulative effect of change in accounting principle	$	116,467	$	106,695	$	85,764	$	107,707	$	237,490
(Plus):
Equity in income of unconsolidated entities, net of distributions received		737		4,856		5,475		6,728		9,532
Amortization of capitalized interest (2)		11,935		15,149		14,035		12,428		9,941
Earnings before fixed charges	$	129,139	$	126,700	$	105,274	$	126,863	$	256,963
(Plus) Fixed charges:
Portion of rents representative of the interest factor	$	5,327	$	11,785	$	6,241	$	5,287	$	3,165
Interest expense		134,096		175,209		150,323		114,910		92,175
Interest capitalized		22,962		33,393		48,226		74,621		73,118
Total fixed charges (3)	$	162,385	$	220,387	$	204,790	$	194,818	$	168,458
(Less):
Interest capitalized		22,962		33,393		48,226		74,621		73,118
Earnings (4)	$	268,562	$	313,694	$	261,838	$	247,060	$	352,303
Ratio (4 divided by 3)		1.65		1.42		1.28		1.27		2.09

(1) The results of operations for 2007 through 2010 have been adjusted to reflect discontinued operations for properties sold or held for sale as of September 30, 2011.

(2) Represents an estimate of capitalized interest costs based on the Company’s established depreciation policy and an analysis of interest costs capitalized since 1998 (the year in which AvalonBay was formed).