Denver, Colorado- August 3, 2005
Apartment Investment and Management Company
Announces Second Quarter 2005 Results
SUMMARY FINANCIAL RESULTS: Apartment Investment and Management Company (Aimco) (NYSE:AIV) announced second quarter 2005 results including:
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| n | | Net income was $27.6 million, compared with $14.0 million in the second quarter 2004. The $13.6 million increase in net income is primarily a result of a $16.6 million increase in gain on dispositions of real estate related to consolidated entities (adjusted for taxes and minority interests), partially offset by a $2.0 million decrease in operating income. Earnings per share (EPS) was $0.06 on a diluted basis, compared with a loss of ($0.08) in the second quarter 2004, based on net income (loss) attributable to common shareholders. |
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| n | | Funds from operations (FFO) is a non-GAAP financial measure defined in the glossary in the Supplemental Information (the Glossary). FFO (diluted) before impairment and preferred redemption charges was $63.3 million, or $0.67 per share, within Aimco guidance and up $0.02 per share compared with the second quarter 2004. FFO results as calculated in accordance with the definition prescribed by the National Association of Real Estate Investment Trusts (NAREIT) were $62.8 million, or $0.67 per share, compared with $59.7 million, or $0.63 per share, in the second quarter 2004. Under the NAREIT definition, second quarter 2005 FFO deducts $0.5 million related to impairment losses from real estate assets sold or held for sale (adjusted for minority interest in Aimco Operating Partnership). |
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| n | | Adjusted funds from operations (diluted) (AFFO; a non-GAAP financial measure defined in the Glossary) was $39.9 million, or $0.42 per share, compared with $44.5 million, or $0.48 per share, in the second quarter 2004. AFFO includes deductions of $0.25 and $0.17 per share for capital replacement expenditures in the second quarter 2005 and second quarter 2004, respectively. AFFO per share was within Aimco guidance. |
Diluted Per Share Results
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| | | SECOND QUARTER | | | YEAR-TO-DATE | |
| | | 2005 | | | 2004 | | | 2005 | | | 2004 | |
Earnings (loss)- EPS | | $ | 0.06 | | | $ | (0.08 | ) | | $ | (0.16 | ) | | $ | (0.15 | ) |
Funds from operations- FFO | | $ | 0.67 | | | $ | 0.63 | | | $ | 1.30 | | | $ | 1.30 | |
| FFO before impairment and preferred redemption charges | | $ | 0.67 | | | $ | 0.65 | | | $ | 1.34 | | | $ | 1.32 | |
Adjusted funds from operations- AFFO | | $ | 0.42 | | | $ | 0.48 | | | $ | 0.93 | | | $ | 1.03 | |
Contact
Investor Relations 303.691.4350, Investor@Aimco.com
Jennifer Martin, Vice President-Investor Relations 303.691.4440
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Management Comments
Chairman and Chief Executive Officer Terry Considine comments: “Aimco operations continued to improve in the quarter. I am pleased with the progress of Jeff and his team in increasing the contribution from Aimco’s portfolio of conventional properties. We have substantially increased spending for capital improvements and redevelopment and expect that will support further gains.”
Mr. Considine continues: “Looking forward, we expect further gains from operations, increased contributions from redevelopment, and some easing of G&A cost pressures.”
Chief Financial Officer Paul McAuliffe adds: “Second quarter FFO met expectations through solid results in core operations, including a 6.6% increase in Same Store net operating income, positive trends at acquisition and redevelopment properties, and fee income in line with forecast.”
Mr. McAuliffe continues: “For the second half of 2005, while operations continue on plan, we have lowered guidance to reflect actions that we expect will create long-term value. These actions include: (i) maintaining 100% interest in Palazzo East rather than joint venturing 50% as planned; (ii) correspondingly, increasing gross dispositions by $240 million; and (iii) increasing our expected 2005 redevelopment expenditures by $40 million. In addition, as previously disclosed, guidance is affected by approximately $1.9 million in costs associated with the CFO and CAO transition as well as actual results year-to-date.”
Business Components – Conventional Operations and Aimco Capital
CONVENTIONAL REAL ESTATE OPERATIONS — Conventional real estate operations include Aimco’s diversified portfolio of market rate apartment communities. At the end of the second quarter 2005, this portfolio had 590 properties with 164,763 units in which Aimco had a weighted average ownership of 82%. During the second quarter 2005, conventional real estate operations generated free cash flow (FCF; a non-GAAP financial measure defined in the Glossary and presented and reconciled to GAAP on Supplemental Schedule 2) of $145.6 million.
“Same Store” Results
The “Same Store” portfolio is a sub-set of total conventional properties. In the second quarter 2005, the “Same Store” portfolio included 525 communities with approximately 120,330 effective units based on Aimco’s weighted average ownership of 82.2% (see Supplemental Schedules 6a through 7).
Comparing “Same Store” results in the second quarter 2005 with the second quarter 2004, total revenue increased $16.7 million, or 6.6%. The increase in revenue was generated by: higher occupancy, up 390 basis points from 87.0% to 90.9%; higher average rent, up $12 per unit, or 1.6%, from $733 per unit to $745 per unit; and lower bad debt, down $0.25 million. “Same Store” expenses of $119.9 million increased by $7.5 million, or 6.6%, compared with the second quarter 2004. Increased expenses included: $6.2 million in controllable expenses such as increased staffing, contract services, marketing and turnover costs primarily in support of initiatives to increase occupancy; and a $1.3 million increase in property tax and insurance expenses. “Same Store” portfolio net operating income was $149.0 million for the second quarter 2005, up 6.6% from the second quarter 2004.
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Same Store Operating Results
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| | | SECOND QUARTER | |
| | | Year-over-year | | | Sequential | |
| | | 2005 | | | 2004 | | | Variance | | | 1st Qtr 2005 | | | Variance | |
| Same Store Operating Measures | | | | | | | | | | | | | | | | | | | | |
| Average Physical Occupancy (1) | | | 90.9 | % | | | 87.0 | % | | +390 bp | | | 90.2 | % | | +70 bp |
| Average Rent Per Unit | | $ | 745 | | | $ | 733 | | | | 1.6 | % | | $ | 740 | | | | +0.7 | % |
| Total Same Store ($mm) | | | | | | | | | | | | | | | | | | | | |
| Revenue | | $ | 268.9 | | | $ | 252.3 | | | | +6.6 | % | | $ | 263.7 | | | | +2.0 | % |
| Expenses | | | (119.9 | ) | | | (112.4 | ) | | | +6.6 | % | | | (117.4 | ) | | | +2.1 | % |
| NOI | | $ | 149.0 | | | $ | 139.9 | | | | +6.6 | % | | $ | 146.3 | | | | +1.9 | % |
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| (1) | | As of the first quarter 2005, Aimco’s reported occupancy represents the daily weighted average for the quarter. Comparable prior periods have been calculated accordingly. Previously, reported occupancy was as of the end of the month and average occupancy for a quarter was the arithmetic average of the three, month-end occupancies. |
Comparing “Same Store” results on a sequential basis, total revenue increased $5.2 million in the second quarter 2005 compared with the first quarter 2005, driven primarily by a 70 basis point increase in occupancy and a 0.7% increase in rental rate. Expenses increased $2.4 million, primarily due to increased turnover, leasing and marketing costs associated with increasing occupancy as well as higher insurance expense, partially offset by seasonally lower utilities expenses. Net operating income increased $2.8 million, or 1.9%, on a sequential basis.
AIMCO CAPITAL — Aimco is among the largest owners and operators of affordable properties in the United States. Aimco Capital has been organized to oversee Aimco’s affordable property operations, asset management and transactional activities, and is led by a management team dedicated to this sector.
Affordable Property Operations
At the end of the second quarter 2005, Aimco’s owned affordable portfolio included 386 properties with 46,167 units in which Aimco had a weighted average ownership of 40%. During the second quarter 2005, the affordable property operations generated real estate free cash flow of $16.9 million and property management net operating income of $3.3 million. On a year-over-year basis, second quarter average month-end occupancy increased 70 basis points from 95.2% to 95.9%, and average rent per unit increased 3.1% from $646 to $666 per unit.
Affordable Asset Management and Transactional Activity
Aimco Capital generates activity fees from transactional activities including tax credit redevelopments, syndications, dispositions and refinancings, and asset management income from the financial management of affordable real estate partnerships. Aimco Capital activity fee and asset management net operating income was $4.2 million in the second quarter 2005 compared with $4.9 million in the second quarter 2004, and $9.4 million year-to-date 2005 compared with $11.0 million year-to-date 2004.
Portfolio Management and Redevelopment Activity
Acquisitions — Aimco completed two acquisitions during the second quarter 2005:
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| o | | The 100% owned River Club, a 266-unit luxury, garden-style complex located on the Hudson River in Edgewater, New Jersey, offers views of Manhattan and close proximity to the Hudson River Crossings and the New York Waterway Port Imperial station. The property was purchased for $54 million; and |
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| o | | As previously announced, Aimco entered into a partnership agreement with the University of Pennsylvania to own and operate Chestnut Hall, a 315-unit mid-rise complex located in close proximity to campus. The agreement is through Aimco’s joint venture with CalSTRS, and Chestnut Hall is expected to be the first of several properties to be contributed to the partnership by the University of Pennsylvania. |
The Palazzo East, acquired in March 2005 at 60% occupancy, operated at a deficit after related interest expense reducing second quarter results by approximately $0.015 per share. After the bankruptcy of a large corporate housing provider during the second quarter, the effective occupancy was 64% at quarter-end. Year-to-date Aimco has purchased six properties including 1,012 units for a total purchase price of $281 million, plus Chestnut Hall for which the purchase price is not disclosed. During the second quarter 2005, Aimco also purchased for an aggregate of $22.8 million additional limited partnership interests in 45 partnerships that own 111 properties. This activity included increasing Aimco’s ownership interest in the Flamingo South Beach property from 77% to 99%. See Supplemental Schedule 8 for additional information on acquisition activity.
Dispositions — Non-core sales: Aimco regularly reviews its portfolio to identify properties that do not meet its long-term investment criteria. Aimco considers these properties as “non-core” (defined in the Glossary) and seeks to hold them over the intermediate term.
In the second quarter 2005, Aimco sold seven non-core conventional properties and eight affordable properties with 1,540 and 1,192 units, respectively, for $136 million in gross proceeds (Aimco share $103 million). Aimco’s share of net proceeds after repayment of existing property debt and transaction costs was $59 million. Year-to-date Aimco has sold eight conventional properties and 21 affordable properties for gross proceeds of $189 million (Aimco share $127 million). See Supplemental Schedule 8 for additional information on disposition activity.
Gain on Dispositions — Aimco’s property dispositions resulted in total gains on dispositions of real estate (including gains related to sales of unconsolidated entities and other and net gains within discontinued operations), net of related taxes, of $31.7 million for the second quarter 2005, compared with a gain of $12.2 million for the second quarter 2004.
As previously announced, Aimco is marketing for sale the Flamingo South Beach property, which has 1,688 units and is located on 16 acres of waterfront in the South Beach area of Miami Beach. Aimco has received a number of bids for this property, which are currently under review.
REDEVELOPMENT ACTIVITY — At quarter-end, Aimco’s Redevelopment and Construction Services groups had 44 projects at various stages of redevelopment, including 29 conventional projects and 15 affordable projects. During the second quarter 2005, redevelopment expenditures totaled $45.5 million (Aimco share $30.9 million) and Aimco initiated six new moderate conventional projects. The Flamingo South Beach project is scheduled to reach stabilization during the third quarter 2005 with occupied and pre-leased units at 89.4% as of the end of June. Further information on redevelopment projects is provided in Supplemental Schedule 10.
ENTITLEMENT ACTIVITY — During the second quarter, Aimco continued its progress on improving the permitted density and zoning use for several properties including: Springhill Lake in Greenbelt, Maryland; Orchidtree in Scottsdale, Arizona; and Treetops in San Bruno, California.
Additional Financial Information
PROPERTY MANAGEMENT INCOME — Income from property management is generated from management of properties in which Aimco has unconsolidated interests. Property management net operating income was $4.1 million in the second quarter 2005 compared with $6.9 million in the second quarter 2004. Property management net operating income declined due to sales of unconsolidated properties and increased ownership.
ACTIVITY FEE AND ASSET MANAGEMENT INCOME — Activity fees are generated from transactional activities including tax credit syndications, redevelopment, dispositions and refinancings, and are earned primarily by
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Aimco Capital. Asset management income is earned by Aimco Capital from the financial management of partnerships, rather than property management of day-to-day operations. Activity fee and asset management net operating income from both conventional and Aimco Capital operations was $4.4 million in the second quarter 2005 compared with $5.4 million in the second quarter 2004. Year-to-date activity fee and asset management income was $9.8 million compared with $11.4 million in the first half of 2004. The amount of this net operating income may vary each quarter depending upon the nature and timing of transactional activity.
INTEREST INCOME — Interest income (which includes transactional accretion income of $0.4 million) was $7.4 million for the second quarter 2005, a decrease of $0.1 million compared with the second quarter 2004. Interest income was generated primarily from notes receivable totaling $196.0 million at June 30, 2005 and from interest- bearing accounts.
DEBT ACTIVITY — During the second quarter 2005, Aimco closed 14 mortgage loans, refinancing existing mortgage debt. Total proceeds were $124.1 million at a weighted average interest rate of 5.12%. After repayment of existing property debt, transaction costs and distributions to limited partners totaling $79.8 million, Aimco’s share of net proceeds was $44.3 million.
At the end of the second quarter 2005, Aimco’s corporate debt balance was $674.6 million at an average rate of 5.23%, including an additional $100 million term loan borrowed on June 16, 2005 under Aimco’s existing credit agreement. The balance on Aimco’s revolving credit facility totaled $274.6 million, leaving $151.8 million (after $23.6 million in outstanding letters of credit) in available capacity. Please refer to Schedule 5 of the Supplemental Information for more detail on debt activity.
As of June 30, 2005, Aimco had $6.50 billion total debt outstanding of which $1.97 billion was floating rate. The floating rate debt included $675 million corporate debt, $571 million floating rate secured notes and $729 million of tax-exempt bonds.
Subsequent to quarter-end, on August 1, 2005, Moody’s rating service upgraded the outlook for Aimco’s senior unsecured and preferred stock ratings to “stable”.
INTEREST EXPENSE — Consolidated interest expense was $96.5 million for the second quarter 2005, an increase of $5.5 million from $91.0 million in the second quarter 2004. The increase in interest expense was primarily the result of: (i) $6.5 million due to increased debt balances primarily associated with acquisitions, refinancings and increased ownership; (ii) $2.6 million due to increased interest rates on corporate and other variable rate debt and other items; partially offset by (iii) $3.6 million higher capitalized interest due to increased redevelopment activity.
G&A – General and administrative expenses for the second quarter 2005 of $21.7 million were up $4.3 million compared with $17.4 million in the second quarter 2004. The year-over-year increase is primarily due to increased compensation related to increased staffing levels, recruiting fees and higher health care costs, partially offset by lower legal fees.
Outlook
For the third quarter 2005, FFO is forecast in a range from $0.67 to $0.71 per share, before impairment and preferred redemption charges, and AFFO is forecast in a range from $0.46 to $0.50 per share.
For the full year 2005, FFO is forecast in a range from $2.72 to $2.83 per share, before impairment and preferred redemption charges, and AFFO is forecast in a range from $1.92 to $2.03 per share. Please refer to the Outlook Schedule for more detail on the third quarter and full year 2005, which follows the Consolidated Financial Statements in this release.
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Dividends on Common Stock
As announced on July 29, 2005, the Aimco Board of Directors declared a quarterly cash dividend of $0.60 per share of Class A Common Stock for the quarter ended June 30, 2005, payable on August 31, 2005 to stockholders of record on August 19, 2005. The dividend represents 143% of AFFO (diluted) and 90% of FFO (diluted), on a per share basis, and a 5.5% annualized yield based on the $43.29 closing price of Aimco’s Class A Common Stock on July 27, 2005.
Earnings Conference Call
Please join Aimco management for the Second Quarter 2005 earnings conference call to be held Wednesday, August 3, 2005 at 1:00 p.m. Eastern Time. You may join the conference call through an Internet audiocast via Aimco’s Website atwww.aimco.com/about/financial/2Q2005.asp, then click on the Webcast link. Alternatively, you may join the conference call by telephone by dialing 800-218-0204, or 303-262-2138 for international callers. Please call approximately five minutes before the conference call is scheduled to begin and indicate that you wish to join the Apartment Investment and Management Company Second Quarter 2005 earnings conference call. If you are unable to join the live conference call, you may access the replay for 30 days on Aimco’s Website or by dialing 800-405-2236 (303-590-3000 for international callers) and using access code 11033736#.
Supplemental Information
The Supplemental Information referenced in this release is available at Aimco’s Website at the linkwww.aimco.com/about/financial/2Q2005.asp or by calling Investor Relations at 303-691-4350.
Forward-looking Statements
This earnings release and Supplemental Information contain forward-looking statements, including statements regarding projected results and specifically forecasts of third quarter and full year results. These forward-looking statements are based on management’s judgment as of this date and include certain risks and uncertainties. Risks and uncertainties include, but are not limited to, Aimco’s ability to improve upon current occupancy, rent levels and “Same Store” results and Aimco’s ability to close transactions necessary 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 that are beyond the control of Aimco including, without limitation: national and local economic conditions; the general level of interest rates; the terms of governmental regulations that affect Aimco and interpretations of those regulations; the competitive environment in which Aimco operates; financing risks, including the risk that our cash flows from operations may be insufficient to meet required payments of principal and interest; real estate risks, including variations of real estate values and the general economic climate in local markets and competition for tenants in such markets; acquisition and development risks, including failure of such acquisitions to perform in accordance with projections; the timing of acquisitions and dispositions; litigation, including costs associated with prosecuting or defending claims and any adverse outcomes; 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. Readers should carefully review Aimco’s financial statements and notes thereto, as well as the risk factors described in Aimco’s Annual Report on Form 10-K for the year ended December 31, 2004 and the other documents Aimco files from time to time with the Securities and Exchange Commission. These forward-looking statements reflect management’s judgment as of this date, and Aimco assumes no obligation to revise or update them to reflect future events or circumstances.
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About Aimco
Aimco is a real estate investment trust headquartered in Denver, Colorado that owns and operates a geographically diversified portfolio of apartment communities through 25 regional operating centers. Aimco, through its subsidiaries, operates approximately 1,475 properties, including approximately 260,000 apartment units, and serves approximately one million residents each year. Aimco’s properties are located in 47 states, the District of Columbia and Puerto Rico. Aimco common shares are included in the S&P 500.
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GAAP Income Statements
Consolidated Statements of Income
(in thousands, except per share data) (unaudited)
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| | | For the Three Months Ended June 30, | | | For the Six Months Ended June 30, | |
| | | 2005 | | | 2004 | | | 2005 | | | 2004 | |
REVENUES: | | | | | | | | | | | | | | | | |
| Rental and other property revenues | | $ | 385,566 | | | $ | 342,869 | | | $ | 757,858 | | | $ | 678,672 | |
| Property management revenues, primarily from affiliates | | | 5,926 | | | | 9,063 | | | | 12,590 | | | | 17,319 | |
| Activity fees and asset management revenues, primarily from affiliates | | | 6,680 | | | | 10,128 | | | | 14,698 | | | | 18,396 | |
| | | | | | | | | | | | | |
| Total revenues | | | 398,172 | | | | 362,060 | | | | 785,146 | | | | 714,387 | |
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EXPENSES: | | | | | | | | | | | | | | | | |
| Property operating expenses | | | 181,153 | | | | 162,515 | | | | 362,169 | | | | 321,231 | |
| Property management expenses | | | 1,829 | | | | 2,162 | | | | 3,745 | | | | 4,590 | |
| Activity and asset management expenses | | | 2,305 | | | | 4,716 | | | | 4,913 | | | | 7,027 | |
| Depreciation and amortization | | | 107,715 | | | | 88,419 | | | | 211,345 | | | | 174,205 | |
| General and administrative expenses | | | 21,723 | | | | 17,411 | | | | 42,574 | | | | 35,586 | |
| Other expenses (income), net | | | (812 | ) | | | 599 | | | | (1,540 | ) | | | (436 | ) |
| | | | | | | | | | | | | |
| Total expenses | | | 313,913 | | | | 275,822 | | | | 623,206 | | | | 542,203 | |
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Operating income | | | 84,259 | | | | 86,238 | | | | 161,940 | | | | 172,184 | |
| Interest income | | | 7,420 | | | | 7,503 | | | | 14,924 | | | | 14,929 | |
| Recovery of (provision for) losses on notes receivable | | | (34 | ) | | | (1,180 | ) | | | 1,558 | | | | (1,101 | ) |
| Interest expense | | | (96,502 | ) | | | (91,047 | ) | | | (190,169 | ) | | | (178,916 | ) |
| Deficit distributions to minority partners | | | (1,698 | ) | | | (2,736 | ) | | | (3,170 | ) | | | (7,182 | ) |
| Equity in losses of unconsolidated real estate partnerships | | | (418 | ) | | | (1,038 | ) | | | (1,319 | ) | | | (2,472 | ) |
| Impairment losses related to unconsolidated real estate partnerships | | | (275 | ) | | | (1,881 | ) | | | (531 | ) | | | (1,733 | ) |
| Gain on dispositions of real estate related to unconsolidated entities and other | | | 2,915 | | | | 2,097 | | | | 4,773 | | | | 2,097 | |
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Loss before minority interests, discontinued operations and cumulative effect of change in accounting principle | | | (4,333 | ) | | | (2,044 | ) | | | (11,994 | ) | | | (2,194 | ) |
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| Minority interests: | | | | | | | | | | | | | | | | |
| Minority interest in consolidated real estate partnerships | | | 1,664 | | | | 4,121 | | | | 5,080 | | | | 5,688 | |
| Minority interest in Aimco Operating Partnership, preferred [a] | | | (1,806 | ) | | | (1,971 | ) | | | (3,618 | ) | | | (3,940 | ) |
| Minority interest in Aimco Operating Partnership, common [a] | | | 2,676 | | | | 2,277 | | | | 5,683 | | | | 4,964 | |
| | | | | | | | | | | | | |
| Total minority interests | | | 2,534 | | | | 4,427 | | | | 7,145 | | | | 6,712 | |
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Income (loss) from continuing operations | | | (1,799 | ) | | | 2,383 | | | | (4,849 | ) | | | 4,518 | |
| Income from discontinued operations, net [b] | | | 29,365 | | | | 11,603 | | | | 34,447 | | | | 27,453 | |
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Income before cumulative effect of change in accounting principle | | | 27,566 | | | | 13,986 | | | | 29,598 | | | | 31,971 | |
| Cumulative effect of change in accounting principle | | | — | | | | — | | | | — | | | | (3,957 | ) |
| | | | | | | | | | | | | |
Net income | | | 27,566 | | | | 13,986 | | | | 29,598 | | | | 28,014 | |
| Net income attributable to preferred stockholders | | | 21,693 | | | | 21,773 | | | | 44,562 | | | | 41,640 | |
| | | | | | | | | | | | | |
| Net income (loss) attributable to common stockholders | | $ | 5,873 | | | $ | (7,787 | ) | | $ | (14,964 | ) | | $ | (13,626 | ) |
| | | | | | | | | | | | | |
| Weighted average number of common shares outstanding | | | 93,807 | | | | 93,065 | | | | 93,627 | | | | 92,938 | |
| | | | | | | | | | | | | |
| Weighted average number of common shares and common share equivalents outstanding | | | 93,807 | | | | 93,065 | | | | 93,627 | | | | 92,938 | |
| | | | | | | | | | | | | |
| Earnings (loss) per common share — basic: | | | | | | | | | | | | | | | | |
| Loss from continuing operations (net of income attributable to preferred stockholders) | | $ | (0.25 | ) | | $ | (0.21 | ) | | $ | (0.53 | ) | | $ | (0.40 | ) |
| Income from discontinued operations | | | 0.31 | | | | 0.13 | | | | 0.37 | | | | 0.29 | |
| Cumulative effect of change in accounting principle | | | — | | | | — | | | | — | | | | (0.04 | ) |
| | | | | | | | | | | | | |
| Net income (loss) attributable to common stockholders | | $ | 0.06 | | | $ | (0.08 | ) | | $ | (0.16 | ) | | $ | (0.15 | ) |
| | | | | | | | | | | | | |
| Earnings (loss) per common share — diluted: | | | | | | | | | | | | | | | | |
| Loss from continuing operations (net of income attributable to preferred stockholders) | | $ | (0.25 | ) | | $ | (0.21 | ) | | $ | (0.53 | ) | | $ | (0.40 | ) |
| Income from discontinued operations | | | 0.31 | | | | 0.13 | | | | 0.37 | | | | 0.29 | |
| Cumulative effect of change in accounting principle | | | — | | | | — | | | | — | | | | (0.04 | ) |
| | | | | | | | | | | | | |
| Net income (loss) attributable to common stockholders | | $ | 0.06 | | | $ | (0.08 | ) | | $ | (0.16 | ) | | $ | (0.15 | ) |
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GAAP Income Statements
Notes to Consolidated Statements of Income
| | | [a] The Aimco Operating Partnership is AIMCO Properties, L.P., the operating partnership in Aimco’s UPREIT structure |
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| | | [b] Income from discontinued operations of consolidated properties is broken down as follows (in thousands): |
| | | | | | | | | | | | | | | | | |
| | | Quarter Ended | | | Quarter Ended | | | Six Months Ended | | | Six Months Ended | |
| | | 30-Jun-05 | | | 30-Jun-04 | | | 30-Jun-05 | | | 30-Jun-04 | |
| Rental and other property revenue | | | 4,560 | | | | 29,298 | | | | 12,438 | | | | 61,849 | |
| Property operating expense | | | (3,086 | ) | | | (12,797 | ) | | | (7,511 | ) | | | (27,707 | ) |
| Other (expenses) income, net | | | (114 | ) | | | (256 | ) | | | (322 | ) | | | (507 | ) |
| Depreciation and amortization | | | (229 | ) | | | (5,646 | ) | | | (1,236 | ) | | | (11,138 | ) |
| Interest expense | | | (1,135 | ) | | | (6,831 | ) | | | (2,543 | ) | | | (14,634 | ) |
| Interest income | | | 33 | | | | 49 | | | | 84 | | | | 102 | |
| Minority interest in consolidated real estate partnerships | | | 64 | | | | (584 | ) | | | 192 | | | | (893 | ) |
| | | | | | | | | | | | | |
| Income from operations | | | 93 | | | | 3,233 | | | | 1,102 | | | | 7,072 | |
| | | | | | | | | | | | | | | | | |
| Gain on dispositions of real estate, net of minority partners’ interest | | | 29,953 | | | | 10,225 | | | | 37,051 | | | | 21,552 | |
| Impairment losses on real estate assets sold or held for sale, net of minority partners’ interest | | | (231 | ) | | | (477 | ) | | | (2,187 | ) | | | (491 | ) |
| Recovery of deficit distributions to minority partners | | | 4,127 | | | | 91 | | | | 3,662 | | | | 3,412 | |
| Income tax arising from disposals | | | (1,206 | ) | | | (92 | ) | | | (1,219 | ) | | | (789 | ) |
| Minority interest in Aimco Operating Partnership | | | (3,371 | ) | | | (1,377 | ) | | | (3,962 | ) | | | (3,303 | ) |
| | | | | | | | | | | | | |
| Income from discontinued operations | | $ | 29,365 | | | $ | 11,603 | | | $ | 34,447 | | | $ | 27,453 | |
| | | | | | | | | | | | | |
GAAP Balance Sheets
Consolidated Balance Sheets
(in thousands)
(unaudited)
| | | | | | | | | |
| | | As of | | | As of | |
| | | June 30, 2005 | | | December 31, 2004 | |
ASSETS | | | | | | | | |
| Buildings and improvements | | $ | 8,976,192 | | | $ | 8,529,269 | |
| Land | | | 2,365,560 | | | | 2,203,430 | |
| Accumulated depreciation | | | (2,193,372 | ) | | | (2,000,040 | ) |
| | | | | | | |
| TOTAL REAL ESTATE | | | 9,148,380 | | | | 8,732,659 | |
| Cash and cash equivalents | | | 148,779 | | | | 105,343 | |
| Restricted cash | | | 277,303 | | | | 268,940 | |
| Accounts receivable | | | 88,716 | | | | 75,044 | |
| Accounts receivable from affiliates | | | 44,984 | | | | 39,216 | |
| Deferred financing costs | | | 68,716 | | | | 72,045 | |
| Notes receivable from unconsolidated real estate partnerships | | | 168,918 | | | | 165,289 | |
| Notes receivable from non-affiliates | | | 27,083 | | | | 31,716 | |
| Investment in unconsolidated real estate partnerships | | | 157,521 | | | | 208,576 | |
| Other assets | | | 263,026 | | | | 267,112 | |
| Assets held for sale | | | 27,940 | | | | 106,301 | |
| | | | | | | |
| TOTAL ASSETS | | $ | 10,421,366 | | | $ | 10,072,241 | |
| | | | | | | |
| | | | | | | | | |
LIABILITIES AND STOCKHOLDERS’ EQUITY | | | | | | | | |
| Secured tax-exempt bond financing | | $ | 1,107,067 | | | $ | 1,133,794 | |
| Secured notes payable | | | 4,718,177 | | | | 4,432,910 | |
| Mandatorily redeemable preferred securities | | | — | | | | 15,019 | |
| Term loans | | | 400,000 | | | | 300,000 | |
| Credit facility | | | 274,600 | | | | 68,700 | |
| | | | | | | |
| TOTAL INDEBTEDNESS | | | 6,499,844 | | | | 5,950,423 | |
| Accounts payable | | | 46,666 | | | | 34,663 | |
| Accrued liabilities and other | | | 400,333 | | | | 400,971 | |
| Deferred income | | | 53,535 | | | | 47,020 | |
| Security deposits | | | 40,254 | | | | 37,637 | |
| Deferred income taxes payable, net | | | 14,312 | | | | 20,139 | |
| Liabilities related to assets held for sale | | | 32,871 | | | | 89,387 | |
| | | | | | | |
| TOTAL LIABILITIES | | | 7,087,815 | | | | 6,580,240 | |
| | | | | | | |
| Minority interest in consolidated real estate partnerships | | | 213,518 | | | | 211,804 | |
| Minority interest in Aimco Operating Partnership | | | 250,747 | | | | 272,037 | |
| STOCKHOLDERS’ EQUITY | | | | | | | | |
| Class A Common Stock | | | 954 | | | | 949 | |
| Additional paid-in capital | | | 3,090,545 | | | | 3,070,073 | |
| Perpetual preferred stock | | | 860,250 | | | | 891,500 | |
| Convertible preferred stock | | | 150,000 | | | | 150,000 | |
| Distributions in excess of earnings | | | (1,175,579 | ) | | | (1,047,897 | ) |
| Unearned restricted stock | | | (28,276 | ) | | | (19,740 | ) |
| Notes due on common stock purchases | | | (28,608 | ) | | | (36,725 | ) |
| | | | | | | |
| TOTAL STOCKHOLDERS’ EQUITY | | | 2,869,286 | | | | 3,008,160 | |
| | | | | | | |
| TOTAL LIABILITIES AND STOCKHOLDERS’ EQUITY | | $10,421,366 | | $ | 10,072,241 | |
| | | | | | | |
GAAP Statements of Cash Flows
Consolidated Statements of Cash Flows
(in thousands)
(unaudited)
| | | | | | | | | |
| | | Six Months Ended | | | Six Months Ended | |
| | | June 30, 2005 | | | June 30, 2004 | |
CASH FLOWS FROM OPERATING ACTIVITIES: | | | | | | | | |
| Net income | | $ | 29,598 | | | $ | 28,014 | |
| Depreciation and amortization | | | 211,345 | | | | 174,205 | |
| Adjustments to net income from discontinued operations | | | (33,521 | ) | | | (9,139 | ) |
| Other adjustments to reconcile net income | | | (9,599 | ) | | | 5,326 | |
| Changes in operating assets and liabilities | | | (16,806 | ) | | | (32,422 | ) |
| | | | | | | |
| Net cash provided by operating activities | | | 181,017 | | | | 165,984 | |
| | | | | | | |
| | | | | | | | | |
CASH FLOWS FROM INVESTING ACTIVITIES: | | | | | | | | |
| Purchases of real estate | | | (243,996 | ) | | | (191,844 | ) |
| Capital expenditures | | | (201,401 | ) | | | (102,930 | ) |
| Proceeds from dispositions of real estate | | | 140,160 | | | | 159,460 | |
| Change in funds held in escrow from tax-free exchanges | | | 40 | | | | (32,225 | ) |
| Cash from newly consolidated properties | | | 1,623 | | | | 13,281 | |
| Purchases of non-real estate related corporate assets | | | (7,218 | ) | | | (20,083 | ) |
| Purchases of general and limited partnership interests and other assets | | | (61,547 | ) | | | (35,232 | ) |
| Originations of notes receivable from unconsolidated real estate partnerships | | | (15,125 | ) | | | (28,176 | ) |
| Proceeds from repayment of notes receivable | | | 13,043 | | | | 18,897 | |
| Distributions received from investments in unconsolidated real estate partnerships | | | 34,945 | | | | 41,624 | |
| Other investing activities | | | 321 | | | | (935 | ) |
| | | | | | | |
| Net cash used by investing activities | | | (339,155 | ) | | | (178,163 | ) |
| | | | | | | |
| | | | | | | | | |
CASH FLOWS FROM FINANCING ACTIVITIES: | | | | | | | | |
| Proceeds from secured notes payable borrowings | | | 328,543 | | | | 154,788 | |
| Principal repayments on secured notes payable | | | (191,093 | ) | | | (181,682 | ) |
| Proceeds from tax-exempt bond financing | | | — | | | | 69,471 | |
| Principal repayments on tax-exempt bond financing | | | (26,740 | ) | | | (46,137 | ) |
| Net borrowings on term loans and revolving credit facility | | | 305,900 | | | | 193,213 | |
| Redemption of mandatorily redeemable preferred securities | | | (15,019 | ) | | | (98,875 | ) |
| Proceeds from issuance of preferred stock | | | — | | | | 193,250 | |
| Redemption of preferred stock | | | (31,250 | ) | | | (99,926 | ) |
| Repurchase of Class A Common Stock, redemption of OP Units and warrant purchase | | | (2,512 | ) | | | (13,088 | ) |
| Payment of Class A Common Stock dividends | | | (112,961 | ) | | | (112,532 | ) |
| Payment of preferred stock dividends | | | (43,196 | ) | | | (39,306 | ) |
| Contributions from minority interest | | | 17,403 | | | | 22,155 | |
| Payment of distributions to minority interest | | | (32,002 | ) | | | (44,107 | ) |
| Other financing activities | | | 4,501 | | | | (6,024 | ) |
| | | | | | | |
| Net cash provided by (used in) financing activities | | | 201,574 | | | | (8,800 | ) |
| | | | | | | |
| NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS | | | 43,436 | | | | (20,979 | ) |
| CASH AND CASH EQUIVALENTS AT BEGINNING OF PERIOD | | | 105,343 | | | | 114,432 | |
| | | | | | | |
| CASH AND CASH EQUIVALENTS AT END OF PERIOD | | $ | 148,779 | | | $ | 93,453 | |
| | | | | | | |
Outlook and Forward Looking Statement
Third Quarter and Full Year 2005
(unaudited)
The Outlook information provided on this Schedule contains information that is forward-looking, including statements concerning projected third quarter and full year 2005 results. These forward-looking statements are based on current expectations, estimates, and projections about the markets and the industry in which Aimco operates as well as management’s beliefs and assumptions. These forward-looking statements are also based on certain risks and uncertainties, including but not limited to Aimco’s ability to improve upon current occupancy, rent levels and “same store” results and the economic environment in which Aimco operates. Actual results may differ materially from those described in these forward-looking statements and will be affected by a variety of risks and factors including, without limitation: national and local economic conditions; the general level of interest rates; the terms of governmental regulations that affect Aimco and interpretations of those regulations; the competitive environment in which Aimco operates; financing risks, including the risk that Aimco’s cash flows from operations may be insufficient to meet required payments of principal and interest; real estate risks, including variations of real estate values and the general economic climate in local markets and competition for tenants in such markets; acquisition and development risks, including failure of such acquisitions to perform in accordance with projections; litigation, including costs associated with prosecuting or defending claims and any adverse outcomes; and possible environmental liabilities, including costs that may be incurred due to necessary remediation of contamination of properties presently owned or previously owned by Aimco. Readers should carefully review Aimco’s financial statements and notes thereto, as well as the risk factors described in Aimco’s Annual Report on Form 10-K for the year ended December 31, 2004 and the other documents Aimco files from time to time with the Securities and Exchange Commission.
| | | | | | | |
| | | Third Quarter 2005 | | Full Year 2005 | | |
| GAAP Earnings per share (1) | | $-0.29 to $-0.25 | | $-0.69 to $-0.58 | | |
| Add: Depreciation and other | | $0.96 | | $3.37 | | |
| FFO per share (NAREIT) | | $0.67 to $0.71 | | $2.68 to $2.79 | | |
| FFO per share before adjustments (2) | | $0.67 to $0.71 | | $2.72 to $2.83 | | |
| AFFO per share | | $0.46 to $0.50 | | $1.92 to $2.03 | | |
| 2005 Same Store Operating Assumptions | | | | | | |
| Expected physical occupancy (weighted average) (3) | | 92.5% to 93.5% | | 91.3% to 92.3% | | |
| NOI change — sequential | | 1.0% to 2.6% | | — | | |
| NOI change — 2005 vs. 2004 | | 5.7% to 7.4% | | 5.0% to 6.5% | | |
| Gross dispositions (4) | | | | $725M to $850M | | (Aimco Share $530M — $640M) |
| Gross acquisitions (5) | | | | $450M to $500M | | (Aimco Share $450M — $500M) |
| | |
| (1) | | Aimco’s earnings per share guidance does not include estimates for (i) gain on dispositions or impairment losses due to the unpredictable timing of transactions or (ii) deferred costs recognized on early repayment of debt or redemption related preferred stock issuance charges. |
| |
| (2) | | FFO per share before adjustments represents FFO before impairments and redemption related preferred stock issuance charges. |
| |
| (3) | | The expected occupancy above is based on a daily weighted average calculation. |
| |
| (4) | | Aimco anticipates gross sales proceeds of $725 to $850 million for 2005 ($550 to $650 million related to conventional properties and $175 to $200 million related to affordable properties). Aimco share of proceeds is expected to be $530 to $640 million ($440 to $540 million related to conventional properties and $90 to $100 million related to affordable properties). Aimco estimates that its share of cash from these dispositions, net of mortgage debt and third-party equity interests, will be $265 to $290 million ($220 to $240 million related to conventional properties and $45 to $50 million related to affordable properties). |
| |
| (5) | | Gross acquisitions include property acquisitions, limited partnership acquisitions, preferred stock redemptions and common stock repurchases. |
| | | | | | | | |
| PAGE | | | | | | | |
| | | | | | | | |
| 3 | | | Schedule 1 | | — | | Funds From Operations and Adjusted Funds From Operations |
| | | | | | | | |
| 5 | | | Schedule 2a | | — | | Business Component Proportionate Income Statement Presentation, Q2 |
| | | | | | | | |
| 7 | | | Schedule 2b | | — | | Business Component Proportionate Income Statement Presentation, Year-to-Date |
| | | | | | | | |
| 9 | | | Schedule 3 | | — | | Business Component Proportionate Balance Sheet Presentation |
| | | | | | | | |
| 10 | | | Schedule 4 | | — | | Share Data |
| | | | | | | | |
| 11 | | | Schedule 5 | | — | | Selected Debt Information |
| | | | | | | | |
| 13 | | | Schedule 6a | | — | | Same Store Sales (Q2 2005 v. Q2 2004) |
| | | | | | | | |
| 14 | | | Schedule 6b | | — | | Same Store Sales (Q2 2005 v. Q1 2005) |
| | | | | | | | |
| 15 | | | Schedule 6c | | — | | Same Store Sales (Year-to-Date 2005 v. 2004) |
| | | | | | | | |
| 16 | | | Schedule 7 | | — | | Selected Portfolio Performance Data |
| | | | | | | | |
| 17 | | | Schedule 8 | | — | | Property Sales and Acquisitions Activity |
| | | | | | | | |
| 18 | | | Schedule 9 | | — | | Capital Expenditures |
| | | | | | | | |
| 19 | | | Schedule 10 | | — | | Summary of 2005 Redevelopment Activity |
| | | | | | | | |
| 20 | | | Schedule 11 | | — | | Apartment Unit Summary |
| | | | | | | | |
| 21 | | | Glossary | | | | |
Supplemental Schedule 1
Funds From Operations and Adjusted Funds From Operations
(in thousands, except per share data) (unaudited)
| | | | | | | | | | | | | | | | | |
| | | For the Three Months Ended June 30, | | | For the Six Months Ended June 30, | |
| | | 2005 | | | 2004 | | | 2005 | | | 2004 | |
| | | | | | | | | | | | | | | | | |
Net income (loss) attributable to common stockholders [a] | | $ | 5,873 | | | $ | (7,787 | ) | | $ | (14,964 | ) | | $ | (13,626 | ) |
| Adjustments: | | | | | | | | | | | | | | | | |
| Depreciation and amortization [b] | | | 107,715 | | | | 88,419 | | | | 211,345 | | | | 174,205 | |
| Depreciation and amortization related to non-real estate assets | | | (4,524 | ) | | | (4,287 | ) | | | (8,315 | ) | | | (9,207 | ) |
| Depreciation of rental property related to minority partners’ interest [c] | | | (10,667 | ) | | | (11,905 | ) | | | (21,291 | ) | | | (22,269 | ) |
| Depreciation of rental property related to unconsolidated entities | | | 4,631 | | | | 5,574 | | | | 10,589 | | | | 11,644 | |
| Gain on dispositions of real estate related to unconsolidated entities and other | | | (2,915 | ) | | | (2,097 | ) | | | (4,773 | ) | | | (2,097 | ) |
| Gain on dispositions of non-depreciable assets | | | 118 | | | | 875 | | | | 793 | | | | 875 | |
| Deficit distributions to minority partners [d] | | | 1,698 | | | | 2,736 | | | | 3,170 | | | | 7,182 | |
| Cumulative effect of change in accounting principle | | | — | | | | — | | | | — | | | | 3,957 | |
| Discontinued operations: | | | | | | | | | | | | | | | | |
| Gain on dispositions of real estate, net of minority partners’ interest [c] | | | (29,953 | ) | | | (10,225 | ) | | | (37,051 | ) | | | (21,552 | ) |
| Depreciation of rental property, net of minority partners’ interest [c] | | | 170 | | | | 5,209 | | | | 900 | | | | 10,365 | |
| Recovery of deficit distributions to minority partners [d] | | | (4,127 | ) | | | (91 | ) | | | (3,662 | ) | | | (3,412 | ) |
| Income tax arising from disposals | | | 1,206 | | | | 92 | | | | 1,219 | | | | 789 | |
| Minority interest in Aimco Operating Partnership’s share of above adjustments | | | (6,462 | ) | | | (7,917 | ) | | | (15,762 | ) | | | (16,339 | ) |
| Preferred stock dividends | | | 21,693 | | | | 21,685 | | | | 43,439 | | | | 41,552 | |
| Redemption related preferred stock issuance costs | | | — | | | | 88 | | | | 1,123 | | | | 88 | |
| | | | | | | | | | | | | |
Funds From Operations | | | 84,456 | | | | 80,369 | | | | 166,760 | | | | 162,155 | |
| Preferred stock dividends | | | (21,693 | ) | | | (21,685 | ) | | | (43,439 | ) | | | (41,552 | ) |
| Redemption related preferred stock issuance costs | | | — | | | | (88 | ) | | | (1,123 | ) | | | (88 | ) |
| Dividends/distributions on dilutive preferred securities | | | 63 | | | | 1,059 | | | | 104 | | | | 1,688 | |
| | | | | | | | | | | | | |
Funds From Operations Attributable to Common Stockholders — Diluted | | $ | 62,826 | | | $ | 59,655 | | | $ | 122,302 | | | $ | 122,203 | |
| | | | | | | | | | | | | | | | | |
| Capital Replacements | | | (25,987 | ) | | | (18,269 | ) | | | (42,356 | ) | | | (30,469 | ) |
| Impairment losses related to unconsolidated real estate partnerships | | | 275 | | | | 1,881 | | | | 531 | | | | 1,733 | |
| Impairment losses on real estate assets sold or held for sale, net of minority partners’ interest | | | 231 | | | | 477 | | | | 2,187 | | | | 491 | |
| Redemption related preferred stock issuance costs | | | — | | | | 88 | | | | 1,123 | | | | 88 | |
| Minority interest in Aimco Operating Partnership’s share of above adjustments | | | 2,620 | | | | 1,694 | | | | 3,973 | | | | 3,057 | |
| Dividends/distributions on non-dilutive preferred securities | | | (63 | ) | | | (1,018 | ) | | | (104 | ) | | | (1,605 | ) |
| | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | |
Adjusted Funds From Operations Attributable to Common Stockholders — Diluted | | $ | 39,902 | | | $ | 44,508 | | | $ | 87,656 | | | $ | 95,498 | |
| | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | |
Funds From Operations: | | | | | | | | | | | | | | | | |
| Weighted average common shares, common share equivalents and dilutive preferred securities outstanding: | | | | | | | | | | | | | | | | |
| Common shares and equivalents [e] | | | 94,336 | | | | 93,080 | | | | 94,059 | | | | 92,968 | |
| Dilutive preferred securities | | | 110 | | | | 1,794 | | | | 92 | | | | 1,381 | |
| | | | | | | | | | | | | |
| | | | 94,446 | | | | 94,874 | | | | 94,151 | | | | 94,349 | |
| | | | | | | | | | | | | |
Adjusted Funds From Operations: | | | | | | | | | | | | | | | | |
| Weighted average common shares, common share equivalents and dilutive preferred securities outstanding: | | | | | | | | | | | | | | | | |
| Common shares and equivalents [e] | | | 94,336 | | | | 93,080 | | | | 94,059 | | | | 92,968 | |
| Dilutive preferred securities | | | — | | | | 94 | | | | — | | | | 88 | |
| | | | | | | | | | | | | |
| | | | 94,336 | | | | 93,174 | | | | 94,059 | | | | 93,056 | |
| | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | |
Per Share: | | | | | | | | | | | | | | | | |
| Funds From Operations — Diluted | | $ | 0.67 | | | $ | 0.63 | | | $ | 1.30 | | | $ | 1.30 | |
| Funds From Operations — Diluted (excluding impairment losses and redemption related preferred stock issuance costs) [f] [g] | | $ | 0.67 | | | $ | 0.65 | | | $ | 1.34 | | | $ | 1.32 | |
| Adjusted Funds From Operations — Diluted | | $ | 0.42 | | | $ | 0.48 | | | $ | 0.93 | | | $ | 1.03 | |
| Dividends Declared | | $ | 0.60 | | | $ | 0.60 | | | $ | 1.20 | | | $ | 1.20 | |
Supplemental Schedule 1 (continued)
Notes to Funds From Operations and Adjusted Funds From Operations
| | |
| [a] | | Represents Aimco’s numerator for earnings per common share calculated in accordance with GAAP. |
| |
| [b] | | Includes amortization of management contracts where Aimco is the general partner. Such management contracts were established in certain instances where Aimco acquired a general partner interest in either a consolidated or an unconsolidated partnership. Because the recoverability of these management contracts depends primarily on the operations of the real estate owned by the limited partnerships, Aimco believes it is consistent with NAREIT’s April 1, 2002 White Paper to add back such amortization, as the White Paper directs the add back of amortization of assets uniquely significant to the real estate industry. |
| |
| [c] | | “Minority partners’ interest,” means minority interest in our consolidated real estate partnerships. |
| |
| [d] | | In accordance with GAAP, deficit distributions to minority partners are charges recognized in Aimco’s income statement when cash is distributed to a non-controlling partner in a consolidated real estate partnership in excess of the positive balance in such partner’s capital account, which is classified as minority interest on the balance sheet. Aimco records these charges for GAAP purposes even though there is no economic effect or cost. Deficit distributions to minority partners occur when the fair value of the underlying real estate exceeds its depreciated net book value because the underlying real estate has appreciated or maintained its value. As a result, the recognition of expense for deficit distributions to minority partners represents, in substance, either (1) recognition of depreciation previously allocated to the non-controlling partner or (2) a payment related to the non-controlling partner’s share of real estate appreciation. Based on White Paper guidance that requires real estate depreciation and gains to be excluded from FFO, Aimco adds back deficit distributions and subtracts related recoveries in its reconciliation of net income to FFO. |
| |
| [e] | | Represents Aimco’s denominator for earnings per common share — diluted calculated in accordance with GAAP plus additional common share equivalents that are dilutive for FFO/AFFO. |
| |
| [f] | | On October 1, 2003, NAREIT clarified its definition of FFO to include impairment losses, which previously had been added back to calculate FFO. Although Aimco’s presentation conforms with the NAREIT definition, Aimco considers such approach to be inconsistent with the treatment of gains on dispositions of real estate, which are not included in FFO. Aimco no longer adds back impairment losses when computing FFO in accordance with this clarification. As a result, FFO for the three and six months ended June 30, 2005 includes net impairment losses of $0.5 million and $2.7 million, respectively, and FFO for the three and six months ended June 30, 2004 includes net impairment losses of $2.4 million and $2.2 million, respectively. |
| |
| [g] | | In accordance with the Securities and Exchange Commission’s July 31, 2003 interpretation of the Emerging Issues Task Force Topic D-42, Aimco includes redemption related preferred stock issuance costs in FFO. As a result, FFO for the three and six months ended June 30, 2005 includes issuance costs of zero and $1.1 million, respectively, and FFO for the three and six months ended June 30, 2004 includes issuance costs of $0.09 million. |
Supplemental Schedule 2(a)
Business Component Proportionate Income Statement Presentation
For the Three Months Ended June 30, 2005
(in thousands)
(unaudited)
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | Total | | | | | | | | | | | | | | | Total | |
| | | | | | | Proportionate | | | | | | | Proportionate | | | | | | | | | | | | | | | Proportionate | |
| | | Aimco | | | Share of | | | Minority | | | Consolidated | | | | | | | | | | | | | | | Consolidated | |
| | | GAAP Income | | | Unconsolidated | | | Partners’ | | | Income | | | | | | | Aimco | | | | | | | Income | |
| | | Statement | | | Partnerships | | | Interest | | | Statement | | | Conventional | | | Capital | | | Corporate | | | Statement | |
Revenue: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Rental and other property revenues: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Same store properties (1)(2) | | $ | 301,987 | | | $ | 6,532 | | | $ | (39,605 | ) | | $ | 268,914 | | | $ | 268,914 | | | $ | — | | | $ | — | | | $ | 268,914 | |
| Acquisition properties (1) | | | 17,313 | | | | 591 | | | | — | | | | 17,904 | | | | 17,904 | | | | — | | | | — | | | | 17,904 | |
| Redevelopment properties (1) | | | 23,942 | | | | 398 | | | | (4,621 | ) | | | 19,719 | | | | 19,719 | | | | — | | | | — | | | | 19,719 | |
| Disposition properties (3) | | | — | | | | 9 | | | | — | | | | 9 | | | | 9 | | | | — | | | | — | | | | 9 | |
| Other properties (1) | | | 7,448 | | | | 731 | | | | (953 | ) | | | 7,226 | | | | 7,226 | | | | — | | | | — | | | | 7,226 | |
| Affordable properties (1) | | | 34,876 | | | | 13,381 | | | | (8,038 | ) | | | 40,219 | | | | — | | | | 40,219 | | | | — | | | | 40,219 | |
| | | | | | | | | | | | | | | | | | | | | | | | | |
| Total rental and other property revenues | | | 385,566 | | | | 21,642 | | | | (53,217 | ) | | | 353,991 | | | | 313,772 | | | | 40,219 | | | | — | | | | 353,991 | |
| Property management revenues, primarily from affiliates | | | 5,926 | | | | — | | | | — | | | | 5,926 | | | | 1,291 | | | | 4,635 | | | | — | | | | 5,926 | |
| Activity fees and asset management revenues, primarily from affiliates | | | 6,680 | | | | — | | | | — | | | | 6,680 | | | | 149 | | | | 6,531 | | | | — | | | | 6,680 | |
| | | | | | | | | | | | | | | | | | | | | | | | | |
| Total revenues | | | 398,172 | | | | 21,642 | | | | (53,217 | ) | | | 366,597 | | | | 315,212 | | | | 51,385 | | | | — | | | | 366,597 | |
| | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Expense: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Property operating expenses: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Same store properties (2) | | | 135,643 | | | | 3,233 | | | | (19,693 | ) | | | 119,183 | | | | 119,183 | | | | — | | | | — | | | | 119,183 | |
| Acquisition properties | | | 6,860 | | | | 257 | | | | — | | | | 7,117 | | | | 7,117 | | | | — | | | | — | | | | 7,117 | |
| Redevelopment properties | | | 10,251 | | | | 190 | | | | (2,069 | ) | | | 8,372 | | | | 8,372 | | | | — | | | | — | | | | 8,372 | |
| Disposition properties | | | — | | | | 38 | | | | — | | | | 38 | | | | 38 | | | | — | | | | — | | | | 38 | |
| Other properties | | | 4,724 | | | | 522 | | | | (402 | ) | | | 4,844 | | | | 4,844 | | | | — | | | | — | | | | 4,844 | |
| Affordable properties | | | 17,414 | | | | 7,273 | | | | (3,803 | ) | | | 20,884 | | | | — | | | | 20,884 | | | | — | | | | 20,884 | |
| Casualties | | | (615 | ) | | | (163 | ) | | | 275 | | | | (503 | ) | | | (356 | ) | | | (147 | ) | | | — | | | | (503 | ) |
| Property management expenses (consolidated properties) | | | 6,876 | | | | 1,119 | | | | (2,448 | ) | | | 5,547 | | | | 4,565 | | | | 982 | | | | — | | | | 5,547 | |
| | | | | | | | | | | | | | | | | | | | | | | | | |
| Total property operating expenses | | | 181,153 | | | | 12,469 | | | | (28,140 | ) | | | 165,482 | | | | 143,763 | | | | 21,719 | | | | — | | | | 165,482 | |
| Property management expenses (unconsolidated and third party properties) | | | 1,829 | | | | — | | | | — | | | | 1,829 | | | | 470 | | | | 1,359 | | | | — | | | | 1,829 | |
| Activity and asset management expenses | | | 2,305 | | | | — | | | | — | | | | 2,305 | | | | — | | | | 2,305 | | | | — | | | | 2,305 | |
| Depreciation and amortization | | | 107,715 | | | | 4,631 | | | | (10,667 | ) | | | 101,679 | | | | 90,092 | | | | 11,587 | | | | — | | | | 101,679 | |
| General and administrative expenses | | | 21,723 | | | | — | | | | — | | | | 21,723 | | | | 10,080 | | | | 5,336 | | | | 6,307 | | | | 21,723 | |
| Other expenses (income), net | | | (812 | ) | | | 1,660 | | | | (2,777 | ) | | | (1,929 | ) | | | (89 | ) | | | (1,840 | ) | | | — | | | | (1,929 | ) |
| | | | | | | | | | | | | | | | | | | | | | | | | |
| Total expenses | | | 313,913 | | | | 18,760 | | | | (41,584 | ) | | | 291,089 | | | | 244,316 | | | | 40,466 | | | | 6,307 | | | | 291,089 | |
| | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Operating income | | | 84,259 | | | | 2,882 | | | | (11,633 | ) | | | 75,508 | | | | 70,896 | | | | 10,919 | | | | (6,307 | ) | | | 75,508 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Interest income: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| General partner loan interest | | | 4,671 | | | | — | | | | — | | | | 4,671 | | | | 3,570 | | | | 1,101 | | | | — | | | | 4,671 | |
| Money market and interest bearing accounts | | | 2,331 | | | | 392 | | | | (285 | ) | | | 2,438 | | | | 1,202 | | | | 1,236 | | | | — | | | | 2,438 | |
| Accretion on discounted notes receivable | | | 418 | | | | — | | | | — | | | | 418 | | | | 199 | | | | 219 | | | | — | | | | 418 | |
| | | | | | | | | | | | | | | | | | | | | | | | | |
| Total interest income | | | 7,420 | | | | 392 | | | | (285 | ) | | | 7,527 | | | | 4,971 | | | | 2,556 | | | | — | | | | 7,527 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Provision for losses on notes receivable, net | | | (34 | ) | | | — | | | | — | | | | (34 | ) | | | — | | | | (34 | ) | | | — | | | | (34 | ) |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Interest expense: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Property debt (primarily non-recourse) | | | (91,816 | ) | | | (3,710 | ) | | | 14,269 | | | | (81,257 | ) | | | (73,470 | ) | | | (7,787 | ) | | | — | | | | (81,257 | ) |
| Lines of credit | | | (9,540 | ) | | | — | | | | — | | | | (9,540 | ) | | | — | | | | — | | | | (9,540 | ) | | | (9,540 | ) |
| Capitalized interest | | | 4,854 | | | | 18 | | | | (687 | ) | | | 4,185 | | | | 3,633 | | | | 552 | | | | — | | | | 4,185 | |
| | | | | | | | | | | | | | | | | | | | | | | | | |
| Total interest expense | | | (96,502 | ) | | | (3,692 | ) | | | 13,582 | | | | (86,612 | ) | | | (69,837 | ) | | | (7,235 | ) | | | (9,540 | ) | | | (86,612 | ) |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Deficit distributions to minority partners | | | (1,698 | ) | | | — | | | | — | | | | (1,698 | ) | | | (1,651 | ) | | | (47 | ) | | | — | | | | (1,698 | ) |
| Equity in losses of unconsolidated real estate partnerships | | | (418 | ) | | | 418 | | | | — | | | | — | | | | — | | | | — | | | | — | | | | — | |
| Impairment losses related to unconsolidated real estate partnerships | | | (275 | ) | | | — | | | | — | | | | (275 | ) | | | — | | | | (275 | ) | | | — | | | | (275 | ) |
| Gain on dispositions of real estate related to unconsolidated entities and other | | | 2,915 | | | | — | | | | — | | | | 2,915 | | | | 1,270 | | | | 1,645 | | | | — | | | | 2,915 | |
| | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Income (loss) before minority interests, discontinued operations and cumulative effect of change in accounting principle | | | (4,333 | ) | | | — | | | | 1,664 | | | | (2,669 | ) | | | 5,649 | | | | 7,529 | | | | (15,847 | ) | | | (2,669 | ) |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Minority interests: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Minority interest in consolidated real estate partnerships | | | 1,664 | | | | — | | | | (1,664 | ) | | | — | | | | — | | | | — | | | | — | | | | — | |
| Minority interest in Aimco Operating Partnership | | | 870 | | | | — | | | | — | | | | 870 | | | | (5,665 | ) | | | (7,550 | ) | | | 14,085 | | | | 870 | |
| | | | | | | | | | | | | | | | | | | | | | | | | |
| Total minority interests | | | 2,534 | | | | — | | | | (1,664 | ) | | | 870 | | | | (5,665 | ) | | | (7,550 | ) | | | (14,085 | ) | | | 870 | |
| | | | | | | | | | | | | | | | | | | | | | | | | |
Income (loss) from continuing operations | | | (1,799 | ) | | | — | | | | — | | | | (1,799 | ) | | | (16 | ) | | | (21 | ) | | | (1,762 | ) | | | (1,799 | ) |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Income from discontinued operations, net | | | 29,365 | | | | — | | | | — | | | | 29,365 | | | | 23,686 | | | | 5,679 | | | | — | | | | 29,365 | |
| | | | | | | | | | | | | | | | | | | | | | | | | |
Net income | | $ | 27,566 | | | $ | — | | | $ | — | | | $ | 27,566 | | | $ | 23,670 | | | $ | 5,658 | | | $ | (1,762 | ) | | $ | 27,566 | |
| | | | | | | | | | | | | | | | | | | | | | | | | |
| | |
| (1) | | See definitions and descriptions in Glossary |
| |
| (2) | | Same store amounts in this schedule may differ from the same store amounts in Schedules 6a-6c. Any such differences are the result of (a) certain variations in the treatment of intercompany eliminations in GAAP versus non-GAAP measures and (b) the effect of changing ownership percentages over time due to Aimco’s acquisition of additional partnership interests. |
| |
| (3) | | Includes unconsolidated properties that were sold during the period. Consolidated properties that have sold or have been classified as held for sale are included within income from discontinued operations. |
Supplemental Schedule 2(a)
Business Component Proportionate Income Statement Presentation
For the Three Months Ended June 30, 2005
(in thousands)
(unaudited)
| | | | | | | | | | | | | | | | | | | | | |
| | | Total | | | | | | | | | | | | | | | Total | |
| | | Proportionate | | | | | | | | | | | | | | | Proportionate | |
| | | Consolidated | | | | | | | | | | | | | | | Consolidated | |
| | | Income | | | | | | | Aimco | | | | | | | Income | |
| | | Statement | | | Conventional | | | Capital | | | Corporate | | | Statement | |
Reconciliation of Net Income to FFO, AFFO and FCF: | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | |
Net income (see above) | | $ | 27,566 | | | $ | 23,670 | | | $ | 5,658 | | | $ | (1,762 | ) | | $ | 27,566 | |
| | | | | | | | | | | | | | | | | | | | | |
| Proportionate share of depreciation and amortization | | | 101,679 | | | | 90,092 | | | | 11,587 | | | | — | | | | 101,679 | |
| Depreciation and amortization related to non-real estate assets | | | (4,524 | ) | | | (4,524 | ) | | | — | | | | — | | | | (4,524 | ) |
| Deficit distributions to minority partners | | | 1,698 | | | | 1,651 | | | | 47 | | | | — | | | | 1,698 | |
| Gain on dispositions of real estate related to unconsolidated entities and other | | | (2,915 | ) | | | (1,270 | ) | | | (1,645 | ) | | | — | | | | (2,915 | ) |
| Gain on dispositions of non-depreciable assets | | | 118 | | | | 118 | | | | — | | | | — | | | | 118 | |
| Discontinued operations | | | (32,704 | ) | | | (26,318 | ) | | | (6,386 | ) | | | — | | | | (32,704 | ) |
| Minority interest in Aimco Operating Partnership’s share of adjustments | | | (6,462 | ) | | | (6,095 | ) | | | (367 | ) | | | — | | | | (6,462 | ) |
| Preferred stock dividends | | | (21,693 | ) | | | — | | | | — | | | | (21,693 | ) | | | (21,693 | ) |
| Dividends/distributions on dilutive preferred securities | | | 63 | | | | — | | | | — | | | | 63 | | | | 63 | |
| | | | | | | | | | | | | | | | |
FFO Attributable to Common Stockholders — Diluted | | | 62,826 | | | | 77,324 | | | | 8,894 | | | | (23,392 | ) | | | 62,826 | |
| | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | |
| Capital Replacements | | | (25,987 | ) | | | (24,435 | ) | | | (1,552 | ) | | | — | | | | (25,987 | ) |
| Impairment losses related to unconsolidated real estate partnerships | | | 275 | | | | — | | | | 275 | | | | — | | | | 275 | |
| Impairment losses on real estate assets sold or held for sale, net of minority partners’ interest | | | 231 | | | | 81 | | | | 150 | | | | — | | | | 231 | |
| Minority interest in Aimco Operating Partnership’s share of adjustments | | | 2,620 | | | | 2,504 | | | | 116 | | | | — | | | | 2,620 | |
| Dividends/distributions on non-dilutive preferred securities | | | (63 | ) | | | — | | | | — | | | | (63 | ) | | | (63 | ) |
| | | | | | | | | | | | | | | | |
AFFO Attributable to Common Stockholders — Diluted | | | 39,902 | | | | 55,474 | | | | 7,883 | | | | (23,455 | ) | | | 39,902 | |
| | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | |
| Interest expense | | | 86,612 | | | | 69,837 | | | | 7,235 | | | | 9,540 | | | | 86,612 | |
| Discontinued operations | | | 3,108 | | | | 2,550 | | | | 558 | | | | — | | | | 3,108 | |
| Gain on dispositions of non-depreciable assets | | | (118 | ) | | | (118 | ) | | | — | | | | — | | | | (118 | ) |
| Preferred stock dividends | | | 21,693 | | | | — | | | | — | | | | 21,693 | | | | 21,693 | |
| Depreciation and amortization related to non-real estate assets | | | 4,524 | | | | 4,524 | | | | — | | | | — | | | | 4,524 | |
| Minority interest in Aimco Operating Partnership | | | (870 | ) | | | 5,665 | | | | 7,550 | | | | (14,085 | ) | | | (870 | ) |
| Minority interest in Aimco Operating Partnership’s share of adjustments | | | 3,842 | | | | 3,591 | | | | 251 | | | | 0 | | | | 3,842 | |
| | | | | | | | | | | | | | | | |
FCF | | $ | 158,693 | | | $ | 141,523 | | | $ | 23,477 | | | $ | (6,307 | ) | | $ | 158,693 | |
| | | | | | | | | | | | | | | | |
FCF Breakdown: | | | | | | | | | | | | | | | | | | | | |
| Real estate | | | 162,522 | | | | | | | | | | | | | | | | | |
| Property management | | | 4,097 | | | | | | | | | | | | | | | | | |
| Activity and asset management | | | 4,375 | | | | | | | | | | | | | | | | | |
| Interest income | | | 7,527 | | | | | | | | | | | | | | | | | |
| Provision for losses on notes receivable, net | | | (34 | ) | | | | | | | | | | | | | | | | |
| General and administrative expenses | | | (21,723 | ) | | | | | | | | | | | | | | | | |
| Other (expenses) income, net | | | 1,929 | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | |
Total FCF | | $ | 158,693 | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | |
| Reconciliation of Net Income to FFO, AFFO and FCF: | | For the Three Months Ended June 30, 2005 | |
| | | FFO | | | AFFO | | | FCF | |
| Net income | | $ | 27,566 | | | $ | 27,566 | | | $ | 27,566 | |
| Total interest expense after minority partners’ share | | | — | | | | — | | | | 86,612 | |
| Preferred stock dividends | | | (21,693 | ) | | | (21,693 | ) | | | — | |
| Proportionate share of depreciation and amortization | | | 101,679 | | | | 101,679 | | | | 101,679 | |
| Depreciation and amortization related to non-real estate assets | | | (4,524 | ) | | | (4,524 | ) | | | — | |
| Gain on dispositions of real estate related to unconsolidated entities and other | | | (2,915 | ) | | | (2,915 | ) | | | (2,915 | ) |
| Gain on dispositions of non-depreciable assets | | | 118 | | | | 118 | | | | — | |
| Impairment losses related to unconsolidated real estate partnerships | | | — | | | | 275 | | | | 275 | |
| Discontinued operations: | | | | | | | | | | | | |
| Income from discontinued operations, net | | | — | | | | — | | | | (29,365 | ) |
| Depreciation of rental property, net of minority partners’ interest | | | 170 | | | | 170 | | | | — | |
| Gain on dispositions of real estate, net of minority partners’ interest | | | (29,953 | ) | | | (29,953 | ) | | | — | |
| Impairment losses on real estate assets sold or held for sale, net of minority partners’ interest | | | — | | | | 231 | | | | — | |
| Recovery of deficit distributions to minority partners | | | (4,127 | ) | | | (4,127 | ) | | | — | |
| Income tax arising from disposals | | | 1,206 | | | | 1,206 | | | | — | |
| Deficit distributions to minority partners | | | 1,698 | | | | 1,698 | | | | 1,698 | |
| Capital Replacements | | | — | | | | (25,987 | ) | | | (25,987 | ) |
| Dividends/distributions on dilutive preferred securities | | | 63 | | | | — | | | | — | |
| Minority interest in Aimco Operating Partnership’s share of above adjustments | | | (6,462 | ) | | | (3,842 | ) | | | — | |
| Minority interest in Aimco Operating Partnership | | | — | | | | — | | | | (870 | ) |
| | | | | | | | | | |
Total | | $ | 62,826 | | | $ | 39,902 | | | $ | 158,693 | |
| | | | | | | | | | |
Supplemental Schedule 2(b)
Business Component Proportionate Income Statement Presentation
For the Six Months Ended June 30, 2005
(in thousands)
(unaudited)
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | Total | | | | | | | | | | | | | | | Total | |
| | | | | | | Proportionate | | | | | | | Proportionate | | | | | | | | | | | | | | | Proportionate | |
| | | Aimco | | | Share of | | | Minority | | | Consolidated | | | | | | | | | | | | | | | Consolidated | |
| | | GAAP Income | | | Unconsolidated | | | Partners’ | | | Income | | | | | | | Aimco | | | | | | | Income | |
| | | Statement | | | Partnerships | | | Interest | | | Statement | | | Conventional | | | Capital | | | Corporate | | | Statement | |
Revenue: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Rental and other property revenues: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Same store properties (1)(2) | | $ | 597,332 | | | $ | 13,400 | | | $ | (80,404 | ) | | $ | 530,328 | | | $ | 530,328 | | | $ | — | | | $ | — | | | $ | 530,328 | |
| Acquisition properties (1) | | | 29,482 | | | | 1,252 | | | | — | | | | 30,734 | | | | 30,734 | | | | — | | | | — | | | | 30,734 | |
| Redevelopment properties (1) | | | 47,778 | | | | 804 | | | | (10,277 | ) | | | 38,305 | | | | 38,305 | | | | — | | | | — | | | | 38,305 | |
| Disposition properties (3) | | | — | | | | 66 | | | | — | | | | 66 | | | | 66 | | | | — | | | | — | | | | 66 | |
| Other properties (1) | | | 14,547 | | | | 1,603 | | | | (1,667 | ) | | | 14,483 | | | | 14,483 | | | | — | | | | — | | | | 14,483 | |
| Affordable properties (1) | | | 68,719 | | | | 26,314 | | | | (14,993 | ) | | | 80,040 | | | | — | | | | 80,040 | | | | — | | | | 80,040 | |
| | | | | | | | | | | | | | | | | | | | | | | | | |
| Total rental and other property revenues | | | 757,858 | | | | 43,439 | | | | (107,341 | ) | | | 693,956 | | | | 613,916 | | | | 80,040 | | | | — | | | | 693,956 | |
| Property management revenues, primarily from affiliates | | | 12,590 | | | | — | | | | — | | | | 12,590 | | | | 3,356 | | | | 9,234 | | | | — | | | | 12,590 | |
| Activity fees and asset management revenues, primarily from affiliates | | | 14,698 | | | | — | | | | — | | | | 14,698 | | | | 362 | | | | 14,336 | | | | — | | | | 14,698 | |
| | | | | | | | | | | | | | | | | | | | | | | | | |
| Total revenues | | | 785,146 | | | | 43,439 | | | | (107,341 | ) | | | 721,244 | | | | 617,634 | | | | 103,610 | | | | — | | | | 721,244 | |
| | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Expense: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Property operating expenses: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Same store properties (2) | | | 268,549 | | | | 6,581 | | | | (40,500 | ) | | | 234,630 | | | | 234,630 | | | | — | | | | — | | | | 234,630 | |
| Acquisition properties | | | 12,054 | | | | 523 | | | | — | | | | 12,577 | | | | 12,577 | | | | — | | | | — | | | | 12,577 | |
| Redevelopment properties | | | 20,932 | | | | 401 | | | | (4,713 | ) | | | 16,620 | | | | 16,620 | | | | — | | | | — | | | | 16,620 | |
| Disposition properties | | | — | | | | 95 | | | | — | | | | 95 | | | | 95 | | | | — | | | | — | | | | 95 | |
| Other properties | | | 9,335 | | | | 1,419 | | | | (778 | ) | | | 9,976 | | | | 9,976 | | | | — | | | | — | | | | 9,976 | |
| Affordable properties | | | 36,629 | | | | 14,157 | | | | (7,325 | ) | | | 43,461 | | | | — | | | | 43,461 | | | | — | | | | 43,461 | |
| Casualties | | | 746 | | | | (84 | ) | | | 428 | | | | 1,090 | | | | 1,071 | | | | 19 | | | | — | | | | 1,090 | |
| Property management expenses (consolidated properties) | | | 13,924 | | | | 2,237 | | | | (5,004 | ) | | | 11,157 | | | | 9,253 | | | | 1,904 | | | | — | | | | 11,157 | |
| | | | | | | | | | | | | | | | | | | | | | | | | |
| Total property operating expenses | | | 362,169 | | | | 25,329 | | | | (57,892 | ) | | | 329,606 | | | | 284,222 | | | | 45,384 | | | | — | | | | 329,606 | |
| Property management expenses (unconsolidated and third party properties) | | | 3,745 | | | | — | | | | — | | | | 3,745 | | | | 1,655 | | | | 2,090 | | | | — | | | | 3,745 | |
| Activity and asset management expenses | | | 4,913 | | | | — | | | | — | | | | 4,913 | | | | — | | | | 4,913 | | | | — | | | | 4,913 | |
| Depreciation and amortization | | | 211,345 | | | | 10,589 | | | | (21,291 | ) | | | 200,643 | | | | 175,645 | | | | 24,998 | | | | — | | | | 200,643 | |
| General and administrative expenses | | | 42,574 | | | | — | | | | — | | | | 42,574 | | | | 19,341 | | | | 10,568 | | | | 12,665 | | | | 42,574 | |
| Other expenses (income), net | | | (1,540 | ) | | | 1,935 | | | | (4,952 | ) | | | (4,557 | ) | | | (509 | ) | | | (4,048 | ) | | | — | | | | (4,557 | ) |
| | | | | | | | | | | | | | | | | | | | | | | | | |
| Total expenses | | | 623,206 | | | | 37,853 | | | | (84,135 | ) | | | 576,924 | | | | 480,354 | | | | 83,905 | | | | 12,665 | | | | 576,924 | |
| | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Operating income | | | 161,940 | | | | 5,586 | | | | (23,206 | ) | | | 144,320 | | | | 137,280 | | | | 19,705 | | | | (12,665 | ) | | | 144,320 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Interest income: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| General partner loan interest | | | 8,843 | | | | — | | | | — | | | | 8,843 | | | | 6,778 | | | | 2,065 | | | | — | | | | 8,843 | |
| Money market and interest bearing accounts | | | 4,302 | | | | 739 | | | | (393 | ) | | | 4,648 | | | | 2,199 | | | | 2,449 | | | | — | | | | 4,648 | |
| Accretion on discounted notes receivable | | | 1,779 | | | | — | | | | — | | | | 1,779 | | | | 1,111 | | | | 668 | | | | — | | | | 1,779 | |
| | | | | | | | | | | | | | | | | | | | | | | | | |
| Total interest income | | | 14,924 | | | | 739 | | | | (393 | ) | | | 15,270 | | | | 10,088 | | | | 5,182 | | | | — | | | | 15,270 | |
| Recovery of (provision for) losses on notes receivable, net | | | 1,558 | | | | — | | | | — | | | | 1,558 | | | | 50 | | | | 1,508 | | | | — | | | | 1,558 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Interest expense: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Property debt (primarily non-recourse) | | | (180,202 | ) | | | (7,766 | ) | | | 29,648 | | | | (158,320 | ) | | | (143,663 | ) | | | (14,657 | ) | | | — | | | | (158,320 | ) |
| Lines of credit | | | (17,370 | ) | | | — | | | | 0 | | | | (17,370 | ) | | | — | | | | — | | | | (17,370 | ) | | | (17,370 | ) |
| Interest expense on mandatorily redeemable convertible preferred securities | | | (30 | ) | | | — | | | | 0 | | | | (30 | ) | | | — | | | | — | | | | (30 | ) | | | (30 | ) |
| Capitalized interest | | | 7,433 | | | | 122 | | | | (969 | ) | | | 6,586 | | | | 5,657 | | | | 929 | | | | — | | | | 6,586 | |
| | | | | | | | | | | | | | | | | | | | | | | | | |
| Total interest expense | | | (190,169 | ) | | | (7,644 | ) | | | 28,679 | | | | (169,134 | ) | | | (138,006 | ) | | | (13,728 | ) | | | (17,400 | ) | | | (169,134 | ) |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Deficit distributions to minority partners | | | (3,170 | ) | | | — | | | | — | | | | (3,170 | ) | | | (3,093 | ) | | | (77 | ) | | | — | | | | (3,170 | ) |
| Equity in losses of unconsolidated real estate partnerships | | | (1,319 | ) | | | 1,319 | | | | — | | | | — | | | | — | | | | — | | | | — | | | | — | |
| Impairment losses related to unconsolidated real estate partnerships | | | (531 | ) | | | — | | | | — | | | | (531 | ) | | | — | | | | (531 | ) | | | — | | | | (531 | ) |
| Gain on dispositions of real estate related to unconsolidated entities and other | | | 4,773 | | | | — | | | | — | | | | 4,773 | | | | 2,071 | | | | 2,702 | | | | — | | | | 4,773 | |
| | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Income (loss) before minority interests, discontinued operations and cumulative effect of change in accounting principle | | | (11,994 | ) | | | — | | | | 5,080 | | | | (6,914 | ) | | | 8,390 | | | | 14,761 | | | | (30,065 | ) | | | (6,914 | ) |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Minority interests: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Minority interest in consolidated real estate partnerships | | | 5,080 | | | | — | | | | (5,080 | ) | | | — | | | | — | | | | — | | | | — | | | | — | |
| Minority interest in Aimco Operating Partnership | | | 2,065 | | | | — | | | | — | | | | 2,065 | | | | (6,799 | ) | | | (12,229 | ) | | | 21,093 | | | | 2,065 | |
| | | | | | | | | | | | | | | | | | | | | | | | | |
| Total minority interests | | | 7,145 | | | | — | | | | (5,080 | ) | | | 2,065 | | | | (6,799 | ) | | | (12,229 | ) | | | 21,093 | | | | 2,065 | |
| | | | | | | | | | | | | | | | | | | | | | | | | |
Income (loss) from continuing operations | | | (4,849 | ) | | | — | | | | — | | | | (4,849 | ) | | | 1,591 | | | | 2,532 | | | | (8,972 | ) | | | (4,849 | ) |
| Income from discontinued operations, net | | | 34,447 | | | | — | | | | — | | | | 34,447 | | | | 25,111 | | | | 9,336 | | | | — | | | | 34,447 | |
| | | | | | | | | | | | | | | | | | | | | | | | | |
Net income | | $ | 29,598 | | | $ | — | | | $ | — | | | $ | 29,598 | | | $ | 26,702 | | | $ | 11,868 | | | $ | (8,972 | ) | | $ | 29,598 | |
| | | | | | | | | | | | | | | | | | | | | | | | | |
| | |
| (1) | | See definitions and descriptions in Glossary |
| |
| (2) | | Same store amounts in this schedule may differ from the same store amounts in Schedules 6a-6c. Any such differences are the result of (a) certain variations in the treatment of intercompany eliminations in GAAP versus non-GAAP measures and (b) the effect of changing ownership percentages over time due to Aimco’s acquisition of additional partnership interests. |
| |
| (3) | | Includes unconsolidated properties that were sold during the period. Consolidated properties that have sold or have been classified as held for sale are included within income from discontinued operations. |
Supplemental Schedule 2(b)
Business Component Proportionate Income Statement Presentation
For the Six Months Ended June 30, 2005
(in thousands)
(unaudited)
| | | | | | | | | | | | | | | | | | | | | |
| | | Total | | | | | | | | | | | | | | | Total | |
| | | Proportionate | | | | | | | | | | | | | | | Proportionate | |
| | | Consolidated | | | | | | | | | | | | | | | Consolidated | |
| | | Income | | | | | | | Aimco | | | | | | | Income | |
| | | Statement | | | Conventional | | | Capital | | | Corporate | | | Statement | |
Reconciliation of Net Income to FFO, AFFO and FCF: | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | |
Net income (see above) | | $ | 29,598 | | | $ | 26,702 | | | $ | 11,868 | | | $ | (8,972 | ) | | $ | 29,598 | |
| Proportionate share of depreciation and amortization | | | 200,643 | | | | 175,645 | | | | 24,998 | | | | — | | | | 200,643 | |
| Depreciation and amortization related to non-real estate assets | | | (8,315 | ) | | | (8,315 | ) | | | — | | | | — | | | | (8,315 | ) |
| Deficit distributions to minority partners | | | 3,170 | | | | 3,093 | | | | 77 | | | | — | | | | 3,170 | |
| Gain on dispositions of real estate related to unconsolidated entities and other | | | (4,773 | ) | | | (2,071 | ) | | | (2,702 | ) | | | — | | | | (4,773 | ) |
| Gain on dispositions of non-depreciable assets | | | 793 | | | | 793 | | | | — | | | | — | | | | 793 | |
| Discontinued operations | | | (38,594 | ) | | | (27,426 | ) | | | (11,168 | ) | | | — | | | | (38,594 | ) |
| Minority interest in Aimco Operating Partnership’s share of adjustments | | | (15,762 | ) | | | (14,607 | ) | | | (1,155 | ) | | | — | | | | (15,762 | ) |
| Preferred stock dividends | | | (43,439 | ) | | | — | | | | — | | | | (43,439 | ) | | | (43,439 | ) |
| Redemption related preferred stock issuance costs | | | (1,123 | ) | | | — | | | | — | | | | (1,123 | ) | | | (1,123 | ) |
| Dividends/distributions on dilutive preferred securities | | | 104 | | | | — | | | | — | | | | 104 | | | | 104 | |
| | | | | | | | | | | | | | | | |
FFO Attributable to Common Stockholders — Diluted | | | 122,302 | | | | 153,814 | | | | 21,918 | | | | (53,430 | ) | | | 122,302 | |
| | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | |
| Capital Replacements | | | (42,356 | ) | | | (39,587 | ) | | | (2,769 | ) | | | — | | | | (42,356 | ) |
| Impairment losses related to unconsolidated real estate partnerships | | | 531 | | | | — | | | | 531 | | | | — | | | | 531 | |
| Impairment losses on real estate assets sold or held for sale, net of minority partners’ interest | | | 2,187 | | | | 633 | | | | 1,554 | | | | — | | | | 2,187 | |
| Redemption related preferred stock issuance costs | | | 1,123 | | | | — | | | | — | | | | 1,123 | | | | 1,123 | |
| Minority interest in Aimco Operating Partnership’s share of adjustments | | | 3,973 | | | | 4,018 | | | | 71 | | | | (116 | ) | | | 3,973 | |
| Dividends/distributions on non-dilutive preferred securities | | | (104 | ) | | | — | | | | — | | | | (104 | ) | | | (104 | ) |
| | | | | | | | | | | | | | | | |
AFFO Attributable to Common Stockholders — Diluted | | | 87,656 | | | | 118,878 | | | | 21,305 | | | | (52,527 | ) | | | 87,656 | |
| | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | |
| Interest expense | | | 169,134 | | | | 138,006 | | | | 13,728 | | | | 17,400 | | | | 169,134 | |
| Discontinued operations | | | 1,960 | | | | 1,682 | | | | 278 | | | | — | | | | 1,960 | |
| Gain on dispositions of non-depreciable assets | | | (793 | ) | | | (793 | ) | | | — | | | | — | | | | (793 | ) |
| Preferred stock dividends | | | 43,439 | | | | — | | | | — | | | | 43,439 | | | | 43,439 | |
| Depreciation and amortization related to non-real estate assets | | | 8,315 | | | | 8,315 | | | | — | | | | — | | | | 8,315 | |
| Minority interest in Aimco Operating Partnership | | | (2,065 | ) | | | 6,799 | | | | 12,229 | | | | (21,093 | ) | | | (2,065 | ) |
| Minority interest in Aimco Operating Partnership’s share of adjustments | | | 11,789 | | | | 10,589 | | | | 1,084 | | | | 116 | | | | 11,789 | |
| | | | | | | | | | | | | | | | |
FCF | | $ | 319,435 | | | $ | 283,476 | | | $ | 48,624 | | | $ | (12,665 | ) | | $ | 319,435 | |
| | | | | | | | | | | | | | | | |
FCF Breakdown: | | | | | | | | | | | | | | | | | | | | |
| Real estate | | | 321,994 | | | | | | | | | | | | | | | | | |
| Property management | | | 8,845 | | | | | | | | | | | | | | | | | |
| Activity and asset management | | | 9,785 | | | | | | | | | | | | | | | | | |
| Interest income | | | 15,270 | | | | | | | | | | | | | | | | | |
| Recovery of (provision for) losses on notes receivable, net | | | 1,558 | | | | | | | | | | | | | | | | | |
| General and administrative expenses | | | (42,574 | ) | | | | | | | | | | | | | | | | |
| Other (expenses) income, net | | | 4,557 | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | |
Total FCF | | $ | 319,435 | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | |
| Reconciliation of Net Income to FFO, AFFO and FCF: | | For the Six Months Ended June 30, 2005 | |
| | | FFO | | | AFFO | | | FCF | |
| Net income | | $ | 29,598 | | | $ | 29,598 | | | $ | 29,598 | |
| Total interest expense after minority partners’ share | | | — | | | | — | | | | 169,134 | |
| Preferred stock dividends | | | (43,439 | ) | | | (43,439 | ) | | | — | |
| Redemption related preferred stock issuance costs | | | (1,123 | ) | | | — | | | | — | |
| Proportionate share of depreciation and amortization | | | 200,643 | | | | 200,643 | | | | 200,643 | |
| Depreciation and amortization related to non-real estate assets | | | (8,315 | ) | | | (8,315 | ) | | | — | |
| Gain on dispositions of real estate related to unconsolidated entities and other | | | (4,773 | ) | | | (4,773 | ) | | | (4,773 | ) |
| Gain on dispositions of non-depreciable assets | | | 793 | | | | 793 | | | | — | |
| Impairment losses related to unconsolidated real estate partnerships | | | — | | | | 531 | | | | 531 | |
| Discontinued operations: | | | | | | | | | | | | |
| Income from discontinued operations, net | | | — | | | | — | | | | (34,447 | ) |
| Depreciation of rental property, net of minority partners’ interest | | | 900 | | | | 900 | | | | — | |
| Gain on dispositions of real estate, net of minority partners’ interest | | | (37,051 | ) | | | (37,051 | ) | | | — | |
| Impairment losses on real estate assets sold or held for sale, net of minority partners’ interest | | | — | | | | 2,187 | | | | — | |
| Recovery of deficit distributions to minority partners | | | (3,662 | ) | | | (3,662 | ) | | | — | |
| Income tax arising from disposals | | | 1,219 | | | | 1,219 | | | | — | |
| Deficit distributions to minority partners | | | 3,170 | | | | 3,170 | | | | 3,170 | |
| Capital Replacements | | | — | | | | (42,356 | ) | | | (42,356 | ) |
| Dividends/distributions on dilutive preferred securities | | | 104 | | | | — | | | | — | |
| Minority interest in Aimco Operating Partnership’s share of above adjustments | | | (15,762 | ) | | | (11,789 | ) | | | — | |
| Minority interest in Aimco Operating Partnership | | | — | | | | — | | | | (2,065 | ) |
| | | | | | | | | | |
Total | | $ | 122,302 | | | $ | 87,656 | | | $ | 319,435 | |
| | | | | | | | | | |
Supplemental Schedule 3
Business Component Proportionate Balance Sheet Presentation
As of June 30, 2005
(in thousands)
(unaudited)
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | Consolidated | | | Total | | | | | | | | | | | | | | | | | | | | | | | Total | |
| | | GAAP | | | Proportionate | | | | | | | Proportionate | | | | | | | | | | | | | | | Proportionate | |
| | | Balance Sheet | | | Share of | | | Minority | | | Consolidated | | | | | | | | | | | | | | | Consolidated | |
| | | as of | | | Unconsolidated | | | Partners' | | | Balance | | | | | | | Aimco | | | | | | | Balance | |
| | | June 30, 2005 | | | Partnerships [a] | | | Interest [b] | | | Sheet [c] | | | Conventional | | | Capital | | | Corporate | | Sheet [c] | |
ASSETS | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Buildings and improvements | | $ | 8,976,192 | | | $ | 412,361 | | | $ | (1,180,238 | ) | | $ | 8,208,315 | | | $ | 7,539,842 | | | $ | 668,473 | | | $ | — | | | $ | 8,208,315 | |
| Land | | | 2,365,560 | | | | 62,216 | | | | (115,765 | ) | | | 2,312,011 | | | | 2,197,325 | | | | 114,686 | | | | — | | | | 2,312,011 | |
| Accumulated depreciation | | | (2,193,372 | ) | | | (97,282 | ) | | | 592,750 | | | | (1,697,904 | ) | | | (1,545,552 | ) | | | (152,352 | ) | | | — | | | | (1,697,904 | ) |
| | | | | | | | | | | | | | | | | | | | | | | | | |
| TOTAL REAL ESTATE | | | 9,148,380 | | | | 377,295 | | | | (703,253 | ) | | | 8,822,422 | | | | 8,191,615 | | | | 630,807 | | | | — | | | | 8,822,422 | |
| Cash and cash equivalents | | | 148,779 | | | | 9,543 | | | | (38,747 | ) | | | 119,575 | | | | 74,075 | | | | 45,500 | | | | — | | | | 119,575 | |
| Restricted cash | | | 277,303 | | | | 33,438 | | | | (42,361 | ) | | | 268,380 | | | | 184,768 | | | | 83,612 | | | | — | | | | 268,380 | |
| Accounts receivable | | | 88,716 | | | | 2,619 | | | | — | | | | 91,335 | | | | 64,599 | | | | 26,736 | | | | — | | | | 91,335 | |
| Accounts receivable from affiliates | | | 44,984 | | | | — | | | | — | | | | 44,984 | | | | 15,385 | | | | 29,599 | | | | — | | | | 44,984 | |
| Deferred financing costs | | | 68,716 | | | | — | | | | — | | | | 68,716 | | | | 61,048 | | | | 7,668 | | | | — | | | | 68,716 | |
| Notes receivable from unconsolidated real estate partnerships | | | 168,918 | | | | — | | | | — | | | | 168,918 | | | | 110,468 | | | | 58,450 | | | | — | | | | 168,918 | |
| Notes receivable from non-affiliates | | | 27,083 | | | | — | | | | — | | | | 27,083 | | | | 18,285 | | | | 8,798 | | | | — | | | | 27,083 | |
| Investment in unconsolidated real estate partnerships | | | 157,521 | | | | (106,945 | ) | | | — | | | | 50,576 | | | | 45,210 | | | | 5,366 | | | | — | | | | 50,576 | |
| Other assets | | | 263,026[d] | | | | 25,420 | | | | — | | | | 288,446 | | | | 240,918 | | | | 47,528 | | | | — | | | | 288,446 | |
| Assets held for sale | | | 27,940 | | | | — | | | | — | | | | 27,940 | | | | 21,315 | | | | 6,625 | | | | — | | | | 27,940 | |
| | | | | | | | | | | | | | | | | | | | | | | | | |
| TOTAL ASSETS | | $ | 10,421,366 | | | $ | 341,370 | | | $ | (784,361 | ) | | $ | 9,978,375 | | | $ | 9,027,686 | | | $ | 950,689 | | | $ | — | | | $ | 9,978,375 | |
| | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
LIABILITIES AND STOCKHOLDERS’ EQUITY | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Secured tax-exempt bond financing | | $ | 1,107,067 | | | $ | 25,621 | | | $ | (62,554 | ) | | $ | 1,070,134 | | | $ | 1,045,815 | | | $ | 24,319 | | | $ | — | | | $ | 1,070,134 | |
| Secured notes payable | | | 4,718,177 | | | | 254,751 | | | | (682,178 | ) | | | 4,290,750 | | | | 3,809,608 | | | | 481,142 | | | | — | | | | 4,290,750 | |
| Term loans | | | 400,000 | | | | — | | | | — | | | | 400,000 | | | | — | | | | — | | | | 400,000 | | | | 400,000 | |
| Credit facility | | | 274,600 | | | | — | | | | — | | | | 274,600 | | | | — | | | | — | | | | 274,600 | | | | 274,600 | |
| | | | | | | | | | | | | | | | | | | | | | | | | |
| TOTAL INDEBTEDNESS | | | 6,499,844 | | | | 280,372 | | | | (744,732 | ) | | | 6,035,484 | | | | 4,855,423 | | | | 505,461 | | | | 674,600 | | | | 6,035,484 | |
| Accounts payable | | | 46,666 | | | | 60,998 | | | | — | | | | 107,664 | | | | 82,611 | | | | 25,053 | | | | — | | | | 107,664 | |
| Accrued liabilities and other | | | 400,333 | | | | — | | | | — | | | | 400,333 | | | | 335,636 | | | | 64,697 | | | | — | | | | 400,333 | |
| Deferred income | | | 53,535 | | | | — | | | | — | | | | 53,535 | | | | 47,177 | | | | 6,358 | | | | — | | | | 53,535 | |
| Security deposits | | | 40,254 | | | | — | | | | — | | | | 40,254 | | | | 36,570 | | | | 3,684 | | | | — | | | | 40,254 | |
| Deferred income taxes payable | | | 14,312 | | | | — | | | | — | | | | 14,312 | | | | 14,312 | | | | — | | | | — | | | | 14,312 | |
| Liabilities related to assets held for sale | | | 32,871 | | | | — | | | | — | | | | 32,871 | | | | 26,274 | | | | 6,597 | | | | — | | | | 32,871 | |
| | | | | | | | | | | | | | | | | | | | | | | | | |
| TOTAL LIABILITIES | | | 7,087,815 | | | | 341,370 | | | | (744,732 | ) | | | 6,684,453 | | | | 5,398,003 | | | | 611,850 | | | | 674,600 | | | | 6,684,453 | |
| | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Minority interest in consolidated real estate partnerships | | | 213,518 | | | | — | | | | (39,629 | ) | | | 173,889 | | | | 206,165 | | | | (32,276 | ) | | | — | | | | 173,889 | |
| Minority interest in Aimco Operating Partnership | | | 250,747 | | | | — | | | | — | | | | 250,747 | | | | — | | | | — | | | | 250,747 | | | | 250,747 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | |
| NET OPERATING ASSETS | | | | | | $ | — | | | $ | — | | | $ | 2,869,286 | | | $ | 3,423,518 | | | $ | 371,115 | | | $ | (925,347 | ) | | $ | 2,869,286 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | |
| STOCKHOLDERS’ EQUITY | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Class A Common Stock | | | 954 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Additional paid-in capital | | | 3,090,545 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Perpetual preferred stock | | | 860,250 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Convertible preferred stock | | | 150,000 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Distributions in excess of earnings | | | (1,175,579 | ) | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Unearned restricted stock | | | (28,276 | ) | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Notes due on common stock purchases | | | (28,608 | ) | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| TOTAL STOCKHOLDERS’ EQUITY | | | 2,869,286 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| TOTAL LIABILITIES AND STOCKHOLDERS’ EQUITY | | $ | 10,421,366 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | |
| [a] | | Total of Aimco’s proportionate share of selected unconsolidated balance sheet data. |
| |
| [b] | | Total of minority partners’ share of selected balance sheet data. Additionally, minority partners’ share of notes receivable is $94.4 million. |
| |
| [c] | | Aimco’s proportionate consolidated balance sheet, which includes the GAAP balance sheet as of June 30, 2005, plus Aimco’s proportionate share of selected unconsolidated and less minority partners’ share of selected balance sheet data. |
| |
| [d] | | Other assets includes $88.1 million related to goodwill and $15.9 million related to investment in management contracts. |
Supplemental Schedule 4
Share Data
As of June 30, 2005
(in thousands)
(unaudited)
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | Shares/Units | | | Current Quarter | | | Current Quarter | | | Current Quarter | |
| | | | | | | | | | | | | | | Outstanding | | | Weighted Average | | | Weighted Average | | | Weighted Average | |
| | | Redemption | | | | | | | | | | | At June 30, | | | Outstanding Shares | | | Outstanding Shares | | | Outstanding Shares | |
| | | Date(1) | | | Coupon | | | Amount | | | 2005 | | | (EPS) | | | (FFO) | | | (AFFO) | |
| Class A Common Stock | | | | | | | | | | | | | | | 95,377 | | | | 93,807 | (2) | | | 93,807 | (2) | | | 93,807 | (2) |
| Common stock equivalents | | | | | | | | | | | | | | | — | | | | — | | | | 529 | | | | 529 | |
| Common Partnership Units and equivalents | | | | | | | | | | | | | | | 10,680 | | | | — | | | | — | | | | — | |
| | | | | | | | | | | | | | | | | | | | | | | | | |
| Total | | | | | | | | | | | | | | | 106,057 | | | | 93,807 | | | | 94,336 | | | | 94,336 | |
| | | | | | | | | | | | | | | | | | | | | | | | | |
Perpetual Preferred Stock (3): | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Class G | | | 7/15/2008 | | | | 9.375 | % | | $ | 101,250 | | | | 4,050 | | | | — | | | | — | | | | — | |
| Class Q | | | 3/19/2006 | | | | 10.10 | % | | | 63,250 | | | | 2,530 | | | | — | | | | — | | | | — | |
| Class R | | | 7/20/2006 | | | | 10.00 | % | | | 173,500 | | | | 6,940 | | | | — | | | | — | | | | — | |
| Class T | | | 7/31/2008 | | | | 8.00 | % | | | 150,000 | | | | 6,000 | | | | — | | | | — | | | | — | |
| Class U | | | 3/24/2009 | | | | 7.75 | % | | | 200,000 | | | | 8,000 | | | | — | | | | — | | | | — | |
| Class V | | | 9/29/2009 | | | | 8.00 | % | | | 86,250 | | | | 3,450 | | | | — | | | | — | | | | — | |
| Class Y | | | 12/21/2009 | | | | 7.875 | % | | | 86,250 | | | | 3,450 | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | |
| Total perpetual preferred stock | | | | | | | | | | $ | 860,500 | | | | 34,420 | | | | — | | | | — | | | | — | |
| | | | | | | | | | | | | | | | | | | | | | | | |
Convertible Preferred Stock: | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Class W (4) | | | 9/30/2007 | | | | 8.10 | % | | | 100,000 | | | | 1,905 | | | | — | | | | — | | | | — | |
| Class X (4) | | | 3/31/2006 | | | | 8.50 | % | | | 50,000 | | | | 2,000 | | | | — | | | | — | | | | — | |
| | | | | | | | | | | | | | | | | | | | | | | | |
| Total convertible preferred stock | | | | | | | | | | $ | 150,000 | | | | 3,905 | | | | — | | | | — | | | | — | |
| | | | | | | | | | | | | | | | | | | | | | | | |
| Preferred Partnership Units (5) | | | | | | | 8.05 | % | | $ | 90,514 | | | | 3,309 | | | | — | | | | 110 | | | | — | |
| | | | | | | | | | | | | | | | | | | | | | | | |
| Total preferred securities | | | | | | | | | | $ | 1,101,014 | | | | 41,634 | | | | — | | | | 110 | | | | — | |
| | | | | | | | | | | | | | | | | | | | | | | | |
| Total common, common equivalents and dilutive securities | | | | | | | | | | | | | | | | | | | 93,807 | | | | 94,446 | | | | 94,336 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | |
| | |
| (1) | | The redemption date is the date the securities are first eligible for redemption by Aimco. |
| |
| (2) | | Includes a deduction of 1,508 for non-recourse shares and unvested restricted stock. |
| |
| (3) | | Preferred stock amounts are shown gross of any eliminations necessary for the GAAP Consolidated Balance Sheet. |
| |
| (4) | | Conversion ratio for Class W is 1.0 and for Class X is 0.4762. |
| |
| (5) | | Coupon is based on a weighted average. |
Supplemental Schedule 5
Selected Debt Structure and Maturity Data
As of June 30, 2005
(dollars in thousands)
(unaudited)
I. Debt Balances and Data
| |
| | | | | | | Proportionate | | | | | | | | | | | Weighted | | | Weighted | |
| | | | | | | Share of | | | Minority | | | Total Aimco | | | Average | | | Average | |
| Debt | | Consolidated | | | Unconsolidated | | | Interest | | | Share | | | Maturity | | | Rate | |
| |
Property Debt: | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | |
Conventional Portfolio: | | | | | | | | | | | | | | | | | | | | | | | | |
| Fixed rate secured notes payable | | $ | 3,718,506 | | | $ | 106,548 | | | $ | (522,716 | ) | | $ | 3,302,338 | | | | 11.9 | | | | 6.91 | % |
| Floating rate secured notes payable | | | 562,214 | | | | 5,375 | | | | (60,319 | ) | | | 507,270 | | | | 3.0 | | | | 4.44 | % |
| | | |
Total secured notes payable: | | | 4,280,720 | | | | 111,923 | | | | (583,035 | ) | | | 3,809,608 | | | | 10.7 | | | | 6.58 | % |
| Fixed rate tax-exempt bonds | | | 333,563 | | | | — | | | | (14,254 | ) | | | 319,309 | | | | 17.7 | | | | 6.02 | % |
| Floating rate tax-exempt bonds | | | 728,729 | | | | 3,041 | | | | (5,264 | ) | | | 726,506 | | | | 12.1 | | | | 3.18 | % |
| | | |
Total tax-exempt bonds: | | | 1,062,292 | | | | 3,041 | | | | (19,518 | ) | | | 1,045,815 | | | | 13.8 | | | | 4.05 | % |
| | | |
Total Property Debt on Conventional Portfolio | | | 5,343,012 | | | | 114,964 | | | | (602,553 | ) | | | 4,855,423 | | | | 11.4 | | | | 6.04 | % |
| | | |
Affordable Portfolio: | | | | | | | | | | | | | | | | | | | | | | | | |
| Fixed rate secured notes payable | | | 428,682 | | | | 134,495 | | | | (99,143 | ) | | | 464,034 | | | | 18.4 | | | | 5.84 | % |
| Floating rate secured notes payable | | | 8,775 | | | | 8,333 | | | | — | | | | 17,108 | | | | 3.7 | | | | 3.88 | % |
| | | |
Total secured notes payable: | | | 437,457 | | | | 142,828 | | | | (99,143 | ) | | | 481,142 | | | | 17.8 | | | | 5.77 | % |
| Fixed rate tax-exempt bonds | | | 44,775 | | | | 21,101 | | | | (43,036 | ) | | | 22,840 | | | | 25.7 | | | | 4.11 | % |
| Floating rate tax-exempt bonds | | | — | | | | 1,479 | | | | — | | | | 1,479 | | | | 9.2 | | | | 5.80 | % |
| | | |
Total tax-exempt bonds: | | | 44,775 | | | | 22,580 | | | | (43,036 | ) | | | 24,319 | | | | 24.7 | | | | 4.21 | % |
| | | |
Total Property Debt on Affordable Portfolio | | | 482,232 | | | | 165,408 | | | | (142,179 | ) | | | 505,461 | | | | 18.2 | | | | 5.70 | % |
| | | |
Total Property Debt(1) | | $ | 5,825,244 | | | $ | 280,372 | | | $ | (744,732 | ) | | $ | 5,360,884 | | | | 12.0 | | | | 6.01 | % |
| | | |
| |
Corporate Debt: | | | | | | | | | | | | | | | | | | | | | | | | |
| |
| Term Loan (2) | | $ | 400,000 | | | $ | — | | | $ | — | | | $ | 400,000 | | | | — | | | | 5.20 | % |
| Credit Facility | | | 274,600 | | | | — | | | | — | | | | 274,600 | | | | — | | | | 5.28 | % |
| | | |
Total Corporate Debt | | $ | 674,600 | | | $ | — | | | $ | — | | | $ | 674,600 | | | | — | | | | 5.23 | % |
| | | |
| | | | | | | | | | | | | | | | | | | | | | | | | |
| |
Total Debt | | $ | 6,499,844 | | | $ | 280,372 | | | $ | (744,732 | ) | | $ | 6,035,484 | | | | — | | | | 5.92 | % |
| |
| | |
| (1) | | The total consolidated property debt shown above excludes $31.4 million of consolidated property debt, with a weighted average interest rate of 7.3%, classified as liabilities related to assets held for sale on Aimco’s consolidated balance sheet. |
| |
| (2) | | On June 16, 2005, Aimco borrowed an additional $100 million which bears interest at LIBOR plus 1.75% (25 basis points lower than the original $300 million). |
| | | | | | | | | | | | | | | | | | | | | |
| II. Debt Maturities | | |
| |
| Consolidated Property Debt | | | | | | | | | | | | | | Percent | | Average |
| | | Amortization | | Maturities | | Total | | of Total | | Rate |
| | | |
| Q3 2005 | | $ | 33,309 | | | $ | 18,903 | | | $ | 52,212 | | | | 0.9 | % | | | 3.24 | % |
| Q4 2005 | | | 33,741 | | | | 76,639 | | | | 110,380 | | | | 1.9 | % | | | 6.16 | % |
| Q1 2006 | | | 34,287 | | | | 72,767 | | | | 107,054 | | | | 1.8 | % | | | 7.73 | % |
| Q2 2006 | | | 34,377 | | | | 67,098 | | | | 101,475 | | | | 1.7 | % | | | 7.63 | % |
| Q3 2006 | | | 34,726 | | | | 63,011 | | | | 97,737 | | | | 1.7 | % | | | 8.11 | % |
| Q4 2006 | | | 34,888 | | | | 285,735 | | | | 320,623 | | | | 5.5 | % | | | 5.05 | % |
| Q1 2007 | | | 35,302 | | | | 21,603 | | | | 56,905 | | | | 1.0 | % | | | 6.62 | % |
| 2007 (Q2 - Q4) | | | 108,722 | | | | 267,338 | | | | 376,060 | | | | 6.5 | % | | | 4.41 | % |
| 2008 | | | 149,617 | | | | 359,514 | | | | 509,131 | | | | 8.7 | % | | | 5.23 | % |
| 2009 | | | 155,940 | | | | 123,946 | | | | 279,886 | | | | 4.8 | % | | | 4.37 | % |
| Thereafter | | | | | | | | | | | 3,813,781 | | | | 65.5 | % | | | | |
| |
Total Property Debt: | | | | | | | | | | $ | 5,825,244 | | | | 100.0 | % | | | | |
| |
| | | | | | | | | | | | | | | | | | | | | |
| |
| Corporate Debt | | | | | | | | | | | | | | Percent | | | Average | |
| | | Amortization | | | Maturities | | | Total | | | of Total | | | Rate | |
| | | |
| 2007 | | $ | — | | | $ | 274,600 | | | $ | 274,600 | | | | 40.7 | % | | | 5.28 | % |
| 2009 | | | — | | | | 400,000 | | | | 400,000 | | | | 59.3 | % | | | 5.20 | % |
| |
Total Corporate Debt: | | $ | — | | | $ | 674,600 | | | $ | 674,600 | | | | 100.0 | % | | | 5.23 | % |
| |
Supplemental Schedule 5 (Continued)
Selected Debt Structure and Maturity Data
As of June 30, 2005
(in millions)
(unaudited)
III. Loan Closings
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| |
| SECOND QUARTER LOAN CLOSINGS | | Original | | | New | | | Aimco | | | Aimco | | | Aimco | | | | | | | |
| | | Loan | | | Loan | | | Share | | | Share | | | Net | | | Prior | | | New | |
Mortgage Type (all non-recourse) | | Amount | | | Amount | | | Original Loan | | | New Loan | | | Proceeds (1) | | | Rate | | | Rate | |
| |
| Refinancings: | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Fixed Rate | | $ | 21.5 | | | $ | 46.0 | | | $ | 16.3 | | | $ | 31.6 | | | $ | 15.1 | | | | 8.14 | % | | | 5.96 | % |
| Floating Rate | | | 35.4 | | | | 66.3 | | | | 26.4 | | | | 56.0 | | | | 29.2 | | | | 8.55 | % | | | 4.34 | % |
| Affordable, Mark-to-Market and Other | | | 7.9 | | | | 11.8 | | | | 0.5 | | | | 0.9 | | | | — | | | | 10.04 | % | | | 6.23 | % |
| |
Totals | | $ | 64.8 | | | $ | 124.1 | | | $ | 43.2 | | | $ | 88.5 | | | $ | 44.3 | | | | 8.59 | % | | | 5.12 | % |
| |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| |
| YEAR-TO-DATE LOAN CLOSINGS | | Original | | | New | | | Aimco | | | Aimco | | | Aimco | | | | | | | |
| | | Loan | | | Loan | | | Share | | | Share | | | Net | | | Prior | | | New | |
Mortgage Type (all non-recourse) | | Amount | | | Amount | | | Original Loan | | | New Loan | | | Proceeds (1) | | | Rate | | | Rate | |
| |
| Refinancings: | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Fixed Rate | | $ | 26.1 | | | $ | 122.9 | | | $ | 20.9 | | | $ | 108.4 | | | $ | 86.4 | | | | 8.03 | % | | | 5.01 | % |
| Floating Rate | | | 44.4 | | | | 84.1 | | | | 34.9 | | | | 73.0 | | | | 37.0 | | | | 8.25 | % | | | 4.17 | % |
| Affordable, Mark-to-Market and Other | | | 20.5 | | | | 45.4 | | | | 4.0 | | | | 10.3 | | | | 6.2 | | | | 9.07 | % | | | 5.10 | % |
| Loans Relating to Acquisitions: | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Fixed Rate | | | — | | | | 17.8 | | | | — | | | | 17.8 | | | | 17.5 | | | | — | | | | 5.00 | % |
| Floating Rate | | | — | | | | 112.5 | | | | — | | | | 112.5 | | | | 111.6 | | | | — | | | | 3.00 | % |
| |
Totals | | $ | 91.0 | | | $ | 382.7 | | | $ | 59.8 | | | $ | 322.0 | | | $ | 258.7 | | | | 8.37 | % | | | 4.24 | % |
| |
| | |
| (1) | | Aimco net proceeds is after transaction costs and any release of escrow funds. |
IV. Capitalization
| | | | | | | | | | | | | | | | | | | | | | | | | |
| |
| | | At | | | | | | | At | | | | | | | At | | | | |
| | | December 31, | | | Percent | | | March 31, | | | Percent | | | June 30, | | | Percent | |
| | | 2004 | | | of Total | | | 2005 | | | of Total | | | 2005 | | | of Total | |
| |
| Corporate debt | | $ | 369 | | | | 4 | % | | $ | 576 | | | | 6 | % | | $ | 675 | | | | 6 | % |
| Property debt (Aimco’s share) | | | 5,104 | | | | 49 | % | | | 5,299 | | | | 50 | % | | | 5,361 | | | | 48 | % |
| Mandatorily redeemable securities | | | 15 | | | | 0 | % | | | — | | | | — | | | | — | | | | — | |
| |
| Total Debt | | | 5,488 | | | | | | | | 5,875 | | | | | | | | 6,036 | | | | | |
| Less: Cash and restricted cash | | | (337 | ) | | | -3 | % | | | (364 | ) | | | -3 | % | | | (388 | ) | | | -3 | % |
| |
Net Debt | | | 5,151 | | | | 50 | % | | | 5,511 | | | | 53 | % | | | 5,648 | | | | 51 | % |
| Preferred equity | | | 1,132 | | | | 11 | % | | | 1,101 | | | | 10 | % | | | 1,101 | | | | 10 | % |
| Common equity at market (1) | | | 4,074 | | | | 39 | % | | | 3,943 | | | | 37 | % | | | 4,340 | | | | 39 | % |
| |
Total Capitalization | | $ | 10,357 | | | | 100 | % | | $ | 10,555 | | | | 100 | % | | $ | 11,089 | | | | 100 | % |
| |
| | |
| (1) | | Common equity at market at June 30, 2005 was calculated using 106.057 million shares of Class A Common Stock and common partnership units outstanding multiplied by the closing price of $40.92 per share/unit on June 30, 2005. |
V. Ratings on Senior Unsecured Shelf
| | | |
| Moody’s Investor Service | | Ba1 (stable outlook — upgraded August 1, 2005) |
| Standard and Poors | | BB+ (negative outlook) |
| Fitch | | BBB– (negative outlook) |
Supplemental Schedule 6(a)
Same Store Sales
Second Quarter 2005 versus Second Quarter 2004
(unaudited) (in thousands, except site and unit data)
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | Change Three Months Ended June 30, 2005 |
| | | | | | | | | | | | | | | Three Months Ended | | Three Months Ended | | From June 30, 2004 |
| | | | | | | | | | | | | | | June 30, 2005 | | June 30, 2004 | | Revenue | | Expenses | | NOI |
| | | Sites | | Units | | Owner% | | REV | | EXP | | NOI | | Occ % | | REV | | EXP | | NOI | | Occ % | | Amt | | % | | Amt | | % | | Amt | | % |
| | | | | | | | | | | |
Northeast | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Baltimore | | | 11 | | | | 2,711 | | | | 92 | % | | | 7,264 | | | | 2,790 | | | | 4,474 | | | | | | | | 6,809 | | | | 2,571 | | | | 4,238 | | | | | | | | 455 | | | | 6.7 | % | | | 219 | | | | 8.5 | % | | | 236 | | | | 5.6 | % |
| New England | | | 14 | | | | 5,384 | | | | 100 | % | | | 18,114 | | | | 6,749 | | | | 11,365 | | | | | | | | 16,936 | | | | 6,330 | | | | 10,606 | | | | | | | | 1,178 | | | | 7.0 | % | | | 419 | | | | 6.6 | % | | | 759 | | | | 7.2 | % |
| Philadelphia | | | 11 | | | | 5,193 | | | | 87 | % | | | 14,282 | | | | 5,607 | | | | 8,675 | | | | | | | | 13,811 | | | | 5,218 | | | | 8,593 | | | | | | | | 471 | | | | 3.4 | % | | | 389 | | | | 7.5 | % | | | 82 | | | | 1.0 | % |
| Washington | | | 24 | | | | 10,318 | | | | 90 | % | | | 28,129 | | | | 10,368 | | | | 17,761 | | | | | | | | 26,857 | | | | 9,702 | | | | 17,155 | | | | | | | | 1,272 | | | | 4.7 | % | | | 666 | | | | 6.9 | % | | | 606 | | | | 3.5 | % |
| | | | | | | |
| | | | 60 | | | | 23,606 | | | | 92 | % | | | 67,789 | | | | 25,514 | | | | 42,275 | | | | 94.5 | % | | | 64,413 | | | | 23,821 | | | | 40,592 | | | | 91.6 | % | | | 3,376 | | | | 5.2 | % | | | 1,693 | | | | 7.1 | % | | | 1,683 | | | | 4.1 | % |
Southeast | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Atlanta | | | 21 | | | | 5,933 | | | | 86 | % | | | 9,533 | | | | 5,567 | | | | 3,966 | | | | | | | | 9,084 | | | | 4,926 | | | | 4,158 | | | | | | | | 449 | | | | 4.9 | % | | | 641 | | | | 13.0 | % | | | (192 | ) | | | -4.6 | % |
| Savannah-Augusta | | | 5 | | | | 1,004 | | | | 87 | % | | | 1,672 | | | | 749 | | | | 923 | | | | | | | | 1,574 | | | | 638 | | | | 936 | | | | | | | | 98 | | | | 6.2 | % | | | 111 | | | | 17.4 | % | | | (13 | ) | | | -1.4 | % |
| Charlotte-Gastonia | | | 6 | | | | 1,398 | | | | 90 | % | | | 1,989 | | | | 1,237 | | | | 752 | | | | | | | | 1,935 | | | | 1,040 | | | | 895 | | | | | | | | 54 | | | | 2.8 | % | | | 197 | | | | 18.9 | % | | | (143 | ) | | | -16.0 | % |
| Columbia-Charleston | | | 9 | | | | 2,118 | | | | 74 | % | | | 2,883 | | | | 1,498 | | | | 1,385 | | | | | | | | 2,774 | | | | 1,348 | | | | 1,426 | | | | | | | | 109 | | | | 3.9 | % | | | 150 | | | | 11.1 | % | | | (41 | ) | | | -2.9 | % |
| Nashville | | | 8 | | | | 2,492 | | | | 74 | % | | | 3,791 | | | | 1,685 | | | | 2,106 | | | | | | | | 3,616 | | | | 1,445 | | | | 2,171 | | | | | | | | 175 | | | | 4.8 | % | | | 240 | | | | 16.6 | % | | | (65 | ) | | | -3.0 | % |
| Norfolk | | | 12 | | | | 3,565 | | | | 82 | % | | | 7,377 | | | | 2,702 | | | | 4,675 | | | | | | | | 7,069 | | | | 2,445 | | | | 4,624 | | | | | | | | 308 | | | | 4.4 | % | | | 257 | | | | 10.5 | % | | | 51 | | | | 1.1 | % |
| Raleigh-Durham-Chapel Hill | | | 8 | | | | 2,430 | | | | 74 | % | | | 2,995 | | | | 1,632 | | | | 1,363 | | | | | | | | 2,806 | | | | 1,491 | | | | 1,315 | | | | | | | | 189 | | | | 6.7 | % | | | 141 | | | | 9.5 | % | | | 48 | | | | 3.7 | % |
| Richmond-Petersburg | | | 5 | | | | 1,208 | | | | 80 | % | | | 2,149 | | | | 838 | | | | 1,311 | | | | | | | | 2,166 | | | | 759 | | | | 1,407 | | | | | | | | (17 | ) | | | -0.8 | % | | | 79 | | | | 10.4 | % | | | (96 | ) | | | -6.8 | % |
| Southeast Other | | | 22 | | | | 4,792 | | | | 80 | % | | | 6,333 | | | | 3,175 | | | | 3,158 | | | | | | | | 5,760 | | | | 3,173 | | | | 2,587 | | | | | | | | 573 | | | | 9.9 | % | | | 2 | | | | 0.1 | % | | | 571 | | | | 22.1 | % |
| | | | | | | |
| | | | 96 | | | | 24,940 | | | | 81 | % | | | 38,722 | | | | 19,083 | | | | 19,639 | | | | 89.7 | % | | | 36,784 | | | | 17,265 | | | | 19,519 | | | | 87.7 | % | | | 1,938 | | | | 5.3 | % | | | 1,818 | | | | 10.5 | % | | | 120 | | | | 0.6 | % |
Florida | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Jacksonville | | | 5 | | | | 1,340 | | | | 85 | % | | | 2,367 | | | | 912 | | | | 1,455 | | | | | | | | 2,163 | | | | 902 | | | | 1,261 | | | | | | | | 204 | | | | 9.4 | % | | | 10 | | | | 1.1 | % | | | 194 | | | | 15.4 | % |
| Miami-Fort Lauderdale | | | 8 | | | | 2,397 | | | | 78 | % | | | 5,279 | | | | 1,953 | | | | 3,326 | | | | | | | | 4,673 | | | | 2,135 | | | | 2,538 | | | | | | | | 606 | | | | 13.0 | % | | | (182 | ) | | | -8.5 | % | | | 788 | | | | 31.0 | % |
| Orlando-Daytona | | | 24 | | | | 6,076 | | | | 91 | % | | | 12,062 | | | | 5,091 | | | | 6,971 | | | | | | | | 10,367 | | | | 5,056 | | | | 5,311 | | | | | | | | 1,695 | | | | 16.3 | % | | | 35 | | | | 0.7 | % | | | 1,660 | | | | 31.3 | % |
| Tampa-St. Petersburg | | | 20 | | | | 5,370 | | | | 72 | % | | | 8,098 | | | | 3,506 | | | | 4,592 | | | | | | | | 7,177 | | | | 3,279 | | | | 3,898 | | | | | | | | 921 | | | | 12.8 | % | | | 227 | | | | 6.9 | % | | | 694 | | | | 17.8 | % |
| West Palm Beach-Boca | | | 5 | | | | 1,505 | | | | 100 | % | | | 3,914 | | | | 1,527 | | | | 2,387 | | | | | | | | 3,423 | | | | 1,547 | | | | 1,876 | | | | | | | | 491 | | | | 14.3 | % | | | (20 | ) | | | -1.3 | % | | | 511 | | | | 27.2 | % |
| | | | | | | |
| | | | 62 | | | | 16,688 | | | | 83 | % | | | 31,720 | | | | 12,989 | | | | 18,731 | | | | 96.1 | % | | | 27,803 | | | | 12,919 | | | | 14,884 | | | | 90.8 | % | | | 3,917 | | | | 14.1 | % | | | 70 | | | | 0.5 | % | | | 3,847 | | | | 25.8 | % |
Midwest | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Chicago | | | 22 | | | | 6,320 | | | | 83 | % | | | 14,674 | | | | 6,371 | | | | 8,303 | | | | | | | | 14,032 | | | | 6,400 | | | | 7,632 | | | | | | | | 642 | | | | 4.6 | % | | | (29 | ) | | | -0.5 | % | | | 671 | | | | 8.8 | % |
| Cincinnati-Dayton | | | 19 | | | | 3,734 | | | | 72 | % | | | 5,254 | | | | 2,667 | | | | 2,587 | | | | | | | | 4,829 | | | | 2,304 | | | | 2,525 | | | | | | | | 425 | | | | 8.8 | % | | | 363 | | | | 15.8 | % | | | 62 | | | | 2.5 | % |
| Columbus | | | 9 | | | | 2,012 | | | | 71 | % | | | 2,273 | | | | 1,461 | | | | 812 | | | | | | | | 2,421 | | | | 1,069 | | | | 1,352 | | | | | | | | (148 | ) | | | -6.1 | % | | | 392 | | | | 36.7 | % | | | (540 | ) | | | -39.9 | % |
| Detroit-Ann Arbor | | | 6 | | | | 1,665 | | | | 62 | % | | | 2,029 | | | | 1,063 | | | | 966 | | | | | | | | 2,109 | | | | 927 | | | | 1,182 | | | | | | | | (80 | ) | | | -3.8 | % | | | 136 | | | | 14.7 | % | | | (216 | ) | | | -18.3 | % |
| Grand Rapids-Lansing | | | 13 | | | | 4,734 | | | | 65 | % | | | 5,410 | | | | 3,161 | | | | 2,249 | | | | | | | | 5,353 | | | | 2,870 | | | | 2,483 | | | | | | | | 57 | | | | 1.1 | % | | | 291 | | | | 10.1 | % | | | (234 | ) | | | -9.4 | % |
| Indianapolis-Fort Wayne | | | 36 | | | | 12,479 | | | | 90 | % | | | 17,852 | | | | 9,950 | | | | 7,902 | | | | | | | | 16,965 | | | | 8,654 | | | | 8,311 | | | | | | | | 887 | | | | 5.2 | % | | | 1,296 | | | | 15.0 | % | | | (409 | ) | | | -4.9 | % |
| Minneapolis-St Paul | | | 5 | | | | 1,430 | | | | 82 | % | | | 3,154 | | | | 1,606 | | | | 1,548 | | | | | | | | 3,207 | | | | 1,537 | | | | 1,670 | | | | | | | | (53 | ) | | | -1.7 | % | | | 69 | | | | 4.5 | % | | | (122 | ) | | | -7.3 | % |
| Midwest Other | | | 13 | | | | 2,891 | | | | 60 | % | | | 3,163 | | | | 1,502 | | | | 1,661 | | | | | | | | 3,060 | | | | 1,371 | | | | 1,689 | | | | | | | | 103 | | | | 3.4 | % | | | 131 | | | | 9.6 | % | | | (28 | ) | | | -1.7 | % |
| | | | | | | |
| | | | 123 | | | | 35,265 | | | | 78 | % | | | 53,809 | | | | 27,781 | | | | 26,028 | | | | 89.5 | % | | | 51,976 | | | | 25,132 | | | | 26,844 | | | | 85.8 | % | | | 1,833 | | | | 3.5 | % | | | 2,649 | | | | 10.5 | % | | | (816 | ) | | | -3.0 | % |
Texas | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Austin-San Marcos | | | 10 | | | | 2,217 | | | | 93 | % | | | 3,754 | | | | 1,934 | | | | 1,820 | | | | | | | | 3,334 | | | | 1,852 | | | | 1,482 | | | | | | | | 420 | | | | 12.6 | % | | | 82 | | | | 4.4 | % | | | 338 | | | | 22.8 | % |
| Dallas-Fort Worth | | | 23 | | | | 6,007 | | | | 78 | % | | | 7,740 | | | | 4,081 | | | | 3,659 | | | | | | | | 7,043 | | | | 4,259 | | | | 2,784 | | | | | | | | 697 | | | | 9.9 | % | | | (178 | ) | | | -4.2 | % | | | 875 | | | | 31.4 | % |
| Houston-Galveston | | | 36 | | | | 9,570 | | | | 68 | % | | | 10,379 | | | | 5,897 | | | | 4,482 | | | | | | | | 10,022 | | | | 5,677 | | | | 4,345 | | | | | | | | 357 | | | | 3.6 | % | | | 220 | | | | 3.9 | % | | | 137 | | | | 3.2 | % |
| San Antonio | | | 11 | | | | 2,647 | | | | 94 | % | | | 3,940 | | | | 1,975 | | | | 1,965 | | | | | | | | 3,780 | | | | 1,950 | | | | 1,830 | | | | | | | | 160 | | | | 4.2 | % | | | 25 | | | | 1.3 | % | | | 135 | | | | 7.4 | % |
| Texas Other | | | 7 | | | | 1,499 | | | | 74 | % | | | 1,770 | | | | 845 | | | | 925 | | | | | | | | 1,570 | | | | 818 | | | | 752 | | | | | | | | 200 | | | | 12.7 | % | | | 27 | | | | 3.3 | % | | | 173 | | | | 23.0 | % |
| | | | | | | |
| | | | 87 | | | | 21,940 | | | | 76 | % | | | 27,583 | | | | 14,732 | | | | 12,851 | | | | 86.5 | % | | | 25,749 | | | | 14,556 | | | | 11,193 | | | | 80.8 | % | | | 1,834 | | | | 7.1 | % | | | 176 | | | | 1.2 | % | | | 1,658 | | | | 14.8 | % |
West | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Denver | | | 22 | | | | 4,813 | | | | 84 | % | | | 8,182 | | | | 3,844 | | | | 4,338 | | | | | | | | 8,033 | | | | 3,756 | | | | 4,277 | | | | | | | | 149 | | | | 1.9 | % | | | 88 | | | | 2.3 | % | | | 61 | | | | 1.4 | % |
| Phoenix-Mesa | | | 25 | | | | 6,907 | | | | 92 | % | | | 10,989 | | | | 5,431 | | | | 5,558 | | | | | | | | 9,371 | | | | 5,050 | | | | 4,321 | | | | | | | | 1,618 | | | | 17.3 | % | | | 381 | | | | 7.5 | % | | | 1,237 | | | | 28.6 | % |
| Salt Lake City-Ogden | | | 4 | | | | 1,511 | | | | 86 | % | | | 2,178 | | | | 968 | | | | 1,210 | | | | | | | | 2,051 | | | | 891 | | | | 1,160 | | | | | | | | 127 | | | | 6.2 | % | | | 77 | | | | 8.6 | % | | | 50 | | | | 4.3 | % |
| Seattle | | | 4 | | | | 468 | | | | 59 | % | | | 645 | | | | 316 | | | | 329 | | | | | | | | 607 | | | | 305 | | | | 302 | | | | | | | | 38 | | | | 6.3 | % | | | 11 | | | | 3.6 | % | | | 27 | | | | 8.9 | % |
| West Other | | | 9 | | | | 2,381 | | | | 84 | % | | | 3,416 | | | | 1,573 | | | | 1,843 | | | | | | | | 3,116 | | | | 1,489 | | | | 1,627 | | | | | | | | 300 | | | | 9.6 | % | | | 84 | | | | 5.6 | % | | | 216 | | | | 13.3 | % |
| | | | | | | |
| | | | 64 | | | | 16,080 | | | | 87 | % | | | 25,410 | | | | 12,132 | | | | 13,278 | | | | 89.5 | % | | | 23,178 | | | | 11,491 | | | | 11,687 | | | | 84.0 | % | | | 2,232 | | | | 9.6 | % | | | 641 | | | | 5.6 | % | | | 1,591 | | | | 13.6 | % |
California | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Bay Area & Sacramento | | | 6 | | | | 1,533 | | | | 45 | % | | | 1,991 | | | | 862 | | | | 1,129 | | | | | | | | 1,856 | | | | 764 | | | | 1,092 | | | | | | | | 135 | | | | 7.3 | % | | | 98 | | | | 12.8 | % | | | 37 | | | | 3.4 | % |
| Los Angeles-Long Beach-Ventura | | | 12 | | | | 2,429 | | | | 87 | % | | | 9,738 | | | | 2,998 | | | | 6,740 | | | | | | | | 9,198 | | | | 2,919 | | | | 6,279 | | | | | | | | 540 | | | | 5.9 | % | | | 79 | | | | 2.7 | % | | | 461 | | | | 7.3 | % |
| Orange County-Riverside | | | 8 | | | | 1,755 | | | | 83 | % | | | 5,350 | | | | 1,657 | | | | 3,693 | | | | | | | | 4,936 | | | | 1,710 | | | | 3,226 | | | | | | | | 414 | | | | 8.4 | % | | | (53 | ) | | | -3.1 | % | | | 467 | | | | 14.5 | % |
| San Diego | | | 7 | | | | 2,237 | | | | 94 | % | | | 6,802 | | | | 2,131 | | | | 4,671 | | | | | | | | 6,370 | | | | 1,832 | | | | 4,538 | | | | | | | | 432 | | | | 6.8 | % | | | 299 | | | | 16.3 | % | | | 133 | | | | 2.9 | % |
| | | | 33 | | | | 7,954 | | | | 80 | % | | | 23,881 | | | | 7,648 | | | | 16,233 | | | | 94.9 | % | | | 22,360 | | | | 7,225 | | | | 15,135 | | | | 90.8 | % | | | 1,521 | | | | 6.8 | % | | | 423 | | | | 5.9 | % | | | 1,098 | | | | 7.3 | % |
| | | | | |
SAME STORE SALES TOTALS | | | 525 | | | | 146,473 | (2) | | | 82 | % | | | 268,914 | | | | 119,879 | | | | 149,035 | | | | 90.9 | % | | | 252,263 | | | | 112,409 | | | | 139,854 | | | | 87.0 | % | | | 16,651 | | | | 6.6 | % | | | 7,470 | | | | 6.6 | % | | | 9,181 | | | | 6.6 | % |
| | | | | |
| Reconciliation to Total Rental and other property revenues and property operating expense per GAAP Income Statement (1) | | | | | 116,652 | | | | 61,274 | | | | 55,378 | | | | | | | | 90,606 | | | | 50,106 | | | | 40,500 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Total Rental and other property revenues and property operating expense per GAAP Income Statement | | | | | | | 385,566 | | | | 181,153 | | | | 204,413 | | | | | | | | 342,869 | | | | 162,515 | | | | 180,354 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | |
| (1) | | Includes: (i) minority partners’ share of consolidated less Aimco’s 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. |
| |
| (2) | | Same Store Sales effective units were approximately 120,330 at June 30, 2005. |
Supplemental Schedule 6(b)
Same Store Sales
Second Quarter 2005 versus First Quarter 2005
(unaudited) (in thousands, except site and unit data)
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | Change Three Months Ended June 30, 2005 | |
| | | | | | | | | | | | | | | Three Months Ended | | | Three Months Ended | | | From March 31, 2005 | |
| | | | | | | | | | | | | | | June 30, 2005 | | | March 31, 2005 | | | Revenue | | | Expenses | | | NOI | |
| | | Sites | | | Units | | | Owner% | | | REV | | | EXP | | | NOI | | | Occ % | | | REV | | | EXP | | | NOI | | | Occ % | | | Amt | | | % | | | Amt | | | % | | | Amt | | | % | |
| | | | | | | |
Northeast | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Baltimore | | | 11 | | | | 2,711 | | | | 92 | % | | | 7,264 | | | | 2,790 | | | | 4,474 | | | | | | | | 7,068 | | | | 3,034 | | | | 4,034 | | | | | | | | 196 | | | | 2.8 | % | | | (244 | ) | | | -8.0 | % | | | 440 | | | | 10.9 | % |
| New England | | | 14 | | | | 5,384 | | | | 100 | % | | | 18,114 | | | | 6,749 | | | | 11,365 | | | | | | | | 17,226 | | | | 6,924 | | | | 10,302 | | | | | | | | 888 | | | | 5.2 | % | | | (175 | ) | | | -2.5 | % | | | 1,063 | | | | 10.3 | % |
| Philadelphia | | | 11 | | | | 5,193 | | | | 87 | % | | | 14,282 | | | | 5,607 | | | | 8,675 | | | | | | | | 13,839 | | | | 5,868 | | | | 7,971 | | | | | | | | 443 | | | | 3.2 | % | | | (261 | ) | | | -4.4 | % | | | 704 | | | | 8.8 | % |
| Washington | | | 24 | | | | 10,318 | | | | 90 | % | | | 28,129 | | | | 10,368 | | | | 17,761 | | | | | | | | 27,438 | | | | 10,749 | | | | 16,689 | | | | | | | | 691 | | | | 2.5 | % | | | (381 | ) | | | -3.5 | % | | | 1,072 | | | | 6.4 | % |
| | | | | | | |
| | | | 60 | | | | 23,606 | | | | 92 | % | | | 67,789 | | | | 25,514 | | | | 42,275 | | | | 94.5 | % | | | 65,571 | | | | 26,575 | | | | 38,996 | | | | 92.7 | % | | | 2,218 | | | | 3.4 | % | | | (1,061 | ) | | | -4.0 | % | | | 3,279 | | | | 8.4 | % |
Southeast | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Atlanta | | | 21 | | | | 5,933 | | | | 86 | % | | | 9,533 | | | | 5,567 | | | | 3,966 | | | | | | | | 9,324 | | | | 4,880 | | | | 4,444 | | | | | | | | 209 | | | | 2.2 | % | | | 687 | | | | 14.1 | % | | | (478 | ) | | | -10.8 | % |
| Savannah-Augusta | | | 5 | | | | 1,004 | | | | 87 | % | | | 1,672 | | | | 749 | | | | 923 | | | | | | | | 1,580 | | | | 638 | | | | 942 | | | | | | | | 92 | | | | 5.8 | % | | | 111 | | | | 17.4 | % | | | (19 | ) | | | -2.0 | % |
| Charlotte-Gastonia | | | 6 | | | | 1,398 | | | | 90 | % | | | 1,989 | | | | 1,237 | | | | 752 | | | | | | | | 1,926 | | | | 1,016 | | | | 910 | | | | | | | | 63 | | | | 3.3 | % | | | 221 | | | | 21.8 | % | | | (158 | ) | | | -17.4 | % |
| Columbia-Charleston | | | 9 | | | | 2,118 | | | | 74 | % | | | 2,883 | | | | 1,498 | | | | 1,385 | | | | | | | | 2,797 | | | | 1,345 | | | | 1,452 | | | | | | | | 86 | | | | 3.1 | % | | | 153 | | | | 11.4 | % | | | (67 | ) | | | -4.6 | % |
| Nashville | | | 8 | | | | 2,492 | | | | 74 | % | | | 3,791 | | | | 1,685 | | | | 2,106 | | | | | | | | 3,738 | | | | 1,528 | | | | 2,210 | | | | | | | | 53 | | | | 1.4 | % | | | 157 | | | | 10.3 | % | | | (104 | ) | | | -4.7 | % |
| Norfolk | | | 12 | | | | 3,565 | | | | 82 | % | | | 7,377 | | | | 2,702 | | | | 4,675 | | | | | | | | 7,054 | | | | 2,522 | | | | 4,532 | | | | | | | | 323 | | | | 4.6 | % | | | 180 | | | | 7.1 | % | | | 143 | | | | 3.2 | % |
| Raleigh-Durham-Chapel Hill | | | 8 | | | | 2,430 | | | | 74 | % | | | 2,995 | | | | 1,632 | | | | 1,363 | | | | | | | | 3,040 | | | | 1,502 | | | | 1,538 | | | | | | | | (45 | ) | | | -1.5 | % | | | 130 | | | | 8.7 | % | | | (175 | ) | | | -11.4 | % |
| Richmond-Petersburg | | | 5 | | | | 1,208 | | | | 80 | % | | | 2,149 | | | | 838 | | | | 1,311 | | | | | | | | 2,075 | | | | 769 | | | | 1,306 | | | | | | | | 74 | | | | 3.6 | % | | | 69 | | | | 9.0 | % | | | 5 | | | | 0.4 | % |
| Southeast Other | | | 22 | | | | 4,792 | | | | 80 | % | | | 6,333 | | | | 3,175 | | | | 3,158 | | | | | | | | 6,316 | | | | 3,105 | | | | 3,211 | | | | | | | | 17 | | | | 0.3 | % | | | 70 | | | | 2.3 | % | | | (53 | ) | | | -1.7 | % |
| | | | | | | |
| | | | 96 | | | | 24,940 | | | | 81 | % | | | 38,722 | | | | 19,083 | | | | 19,639 | | | | 89.7 | % | | | 37,850 | | | | 17,305 | | | | 20,545 | | | | 89.2 | % | | | 872 | | | | 2.3 | % | | | 1,778 | | | | 10.3 | % | | | (906 | ) | | | -4.4 | % |
Florida | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Jacksonville | | | 5 | | | | 1,340 | | | | 85 | % | | | 2,367 | | | | 912 | | | | 1,455 | | | | | | | | 2,314 | | | | 925 | | | | 1,389 | | | | | | | | 53 | | | | 2.3 | % | | | (13 | ) | | | -1.4 | % | | | 66 | | | | 4.8 | % |
| Miami-Fort Lauderdale | | | 8 | | | | 2,397 | | | | 78 | % | | | 5,279 | | | | 1,953 | | | | 3,326 | | | | | | | | 5,142 | | | | 1,981 | | | | 3,161 | | | | | | | | 137 | | | | 2.7 | % | | | (28 | ) | | | -1.4 | % | | | 165 | | | | 5.2 | % |
| Orlando-Daytona | | | 24 | | | | 6,076 | | | | 91 | % | | | 12,062 | | | | 5,091 | | | | 6,971 | | | | | | | | 11,777 | | | | 5,095 | | | | 6,682 | | | | | | | | 285 | | | | 2.4 | % | | | (4 | ) | | | -0.1 | % | | | 289 | | | | 4.3 | % |
| Tampa-St. Petersburg | | | 20 | | | | 5,370 | | | | 72 | % | | | 8,098 | | | | 3,506 | | | | 4,592 | | | | | | | | 7,904 | | | | 3,510 | | | | 4,394 | | | | | | | | 194 | | | | 2.5 | % | | | (4 | ) | | | -0.1 | % | | | 198 | | | | 4.5 | % |
| West Palm Beach-Boca | | | 5 | | | | 1,505 | | | | 100 | % | | | 3,914 | | | | 1,527 | | | | 2,387 | | | | | | | | 3,910 | | | | 1,632 | | | | 2,278 | | | | | | | | 4 | | | | 0.1 | % | | | (105 | ) | | | -6.4 | % | | | 109 | | | | 4.8 | % |
| | | | | | | |
| | | | 62 | | | | 16,688 | | | | 83 | % | | | 31,720 | | | | 12,989 | | | | 18,731 | | | | 96.1 | % | | | 31,047 | | | | 13,143 | | | | 17,904 | | | | 96.0 | % | | | 673 | | | | 2.2 | % | | | (154 | ) | | | -1.2 | % | | | 827 | | | | 4.6 | % |
Midwest | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Chicago | | | 22 | | | | 6,320 | | | | 83 | % | | | 14,674 | | | | 6,371 | | | | 8,303 | | | | | | | | 14,453 | | | | 6,620 | | | | 7,833 | | | | | | | | 221 | | | | 1.5 | % | | | (249 | ) | | | -3.8 | % | | | 470 | | | | 6.0 | % |
| Cincinnati-Dayton | | | 19 | | | | 3,734 | | | | 72 | % | | | 5,254 | | | | 2,667 | | | | 2,587 | | | | | | | | 5,148 | | | | 2,280 | | | | 2,868 | | | | | | | | 106 | | | | 2.1 | % | | | 387 | | | | 17.0 | % | | | (281 | ) | | | -9.8 | % |
| Columbus | | | 9 | | | | 2,012 | | | | 71 | % | | | 2,273 | | | | 1,461 | | | | 812 | | | | | | | | 2,239 | | | | 1,108 | | | | 1,131 | | | | | | | | 34 | | | | 1.5 | % | | | 353 | | | | 31.9 | % | | | (319 | ) | | | -28.2 | % |
| Detroit-Ann Arbor | | | 6 | | | | 1,665 | | | | 62 | % | | | 2,029 | | | | 1,063 | | | | 966 | | | | | | | | 1,924 | | | | 1,128 | | | | 796 | | | | | | | | 105 | | | | 5.5 | % | | | (65 | ) | | | -5.8 | % | | | 170 | | | | 21.4 | % |
| Grand Rapids-Lansing | | | 13 | | | | 4,734 | | | | 65 | % | | | 5,410 | | | | 3,161 | | | | 2,249 | | | | | | | | 5,446 | | | | 2,891 | | | | 2,555 | | | | | | | | (36 | ) | | | -0.7 | % | | | 270 | | | | 9.3 | % | | | (306 | ) | | | -12.0 | % |
| Indianapolis-Fort Wayne | | | 36 | | | | 12,479 | | | | 90 | % | | | 17,852 | | | | 9,950 | | | | 7,902 | | | | | | | | 17,373 | | | | 8,909 | | | | 8,464 | | | | | | | | 479 | | | | 2.8 | % | | | 1,041 | | | | 11.7 | % | | | (562 | ) | | | -6.6 | % |
| Minneapolis-St Paul | | | 5 | | | | 1,430 | | | | 82 | % | | | 3,154 | | | | 1,606 | | | | 1,548 | | | | | | | | 3,312 | | | | 1,663 | | | | 1,649 | | | | | | | | (158 | ) | | | -4.8 | % | | | (57 | ) | | | -3.4 | % | | | (101 | ) | | | -6.1 | % |
| Midwest Other | | | 13 | | | | 2,891 | | | | 59 | % | | | 3,163 | | | | 1,502 | | | | 1,661 | | | | | | | | 3,145 | | | | 1,385 | | | | 1,760 | | | | | | | | 18 | | | | 0.6 | % | | | 117 | | | | 8.4 | % | | | (99 | ) | | | -5.6 | % |
| | | | | | | |
| | | | 123 | | | | 35,265 | | | | 78 | % | | | 53,809 | | | | 27,781 | | | | 26,028 | | | | 89.5 | % | | | 53,040 | | | | 25,984 | | | | 27,056 | | | | 87.7 | % | | | 769 | | | | 1.4 | % | | | 1,797 | | | | 6.9 | % | | | (1,028 | ) | | | -3.8 | % |
Texas | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Austin-San Marcos | | | 10 | | | | 2,217 | | | | 93 | % | | | 3,754 | | | | 1,934 | | | | 1,820 | | | | | | | | 3,694 | | | | 1,934 | | | | 1,760 | | | | | | | | 60 | | | | 1.6 | % | | | 0 | | | | 0.0 | % | | | 60 | | | | 3.4 | % |
| Dallas-Fort Worth | | | 23 | | | | 6,007 | | | | 78 | % | | | 7,740 | | | | 4,081 | | | | 3,659 | | | | | | | | 7,695 | | | | 4,324 | | | | 3,371 | | | | | | | | 45 | | | | 0.6 | % | | | (243 | ) | | | -5.6 | % | | | 288 | | | | 8.5 | % |
| Houston-Galveston | | | 36 | | | | 9,570 | | | | 68 | % | | | 10,379 | | | | 5,897 | | | | 4,482 | | | | | | | | 10,489 | | | | 6,172 | | | | 4,317 | | | | | | | | (110 | ) | | | -1.0 | % | | | (275 | ) | | | -4.5 | % | | | 165 | | | | 3.8 | % |
| San Antonio | | | 11 | | | | 2,647 | | | | 94 | % | | | 3,940 | | | | 1,975 | | | | 1,965 | | | | | | | | 3,923 | | | | 1,935 | | | | 1,988 | | | | | | | | 17 | | | | 0.4 | % | | | 40 | | | | 2.1 | % | | | (23 | ) | | | -1.2 | % |
| Texas Other | | | 7 | | | | 1,499 | | | | 74 | % | | | 1,770 | | | | 845 | | | | 925 | | | | | | | | 1,763 | | | | 851 | | | | 912 | | | | | | | | 7 | | | | 0.4 | % | | | (6 | ) | | | -0.7 | % | | | 13 | | | | 1.4 | % |
| | | | | | | |
| | | | 87 | | | | 21,940 | | | | 76 | % | | | 27,583 | | | | 14,732 | | | | 12,851 | | | | 86.5 | % | | | 27,564 | | | | 15,216 | | | | 12,348 | | | | 87.3 | % | | | 19 | | | | 0.1 | % | | | (484 | ) | | | -3.2 | % | | | 503 | | | | 4.1 | % |
West | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Denver | | | 22 | | | | 4,813 | | | | 87 | % | | | 8,182 | | | | 3,844 | | | | 4,338 | | | | | | | | 8,177 | | | | 3,699 | | | | 4,478 | | | | | | | | 5 | | | | 0.1 | % | | | 145 | | | | 3.9 | % | | | (140 | ) | | | -3.1 | % |
| Phoenix-Mesa | | | 25 | | | | 6,907 | | | | 92 | % | | | 10,989 | | | | 5,431 | | | | 5,558 | | | | | | | | 10,699 | | | | 5,264 | | | | 5,435 | | | | | | | | 290 | | | | 2.7 | % | | | 167 | | | | 3.2 | % | | | 123 | | | | 2.3 | % |
| Salt Lake City-Ogden | | | 4 | | | | 1,511 | | | | 86 | % | | | 2,178 | | | | 968 | | | | 1,210 | | | | | | | | 2,194 | | | | 930 | | | | 1,264 | | | | | | | | (16 | ) | | | -0.7 | % | | | 38 | | | | 4.1 | % | | | (54 | ) | | | -4.3 | % |
| Seattle | | | 4 | | | | 468 | | | | 59 | % | | | 645 | | | | 316 | | | | 329 | | | | | | | | 631 | | | | 314 | | | | 317 | | | | | | | | 14 | | | | 2.2 | % | | | 2 | | | | 0.6 | % | | | 12 | | | | 3.8 | % |
| West Other | | | 9 | | | | 2,381 | | | | 84 | % | | | 3,416 | | | | 1,573 | | | | 1,843 | | | | | | | | 3,337 | | | | 1,557 | | | | 1,780 | | | | | | | | 79 | | | | 2.4 | % | | | 16 | | | | 1.0 | % | | | 63 | | | | 3.5 | % |
| | | | | | | |
| | | | 64 | | | | 16,080 | | | | 87 | % | | | 25,410 | | | | 12,132 | | | | 13,278 | | | | 89.5 | % | | | 25,038 | | | | 11,764 | | | | 13,274 | | | | 89.3 | % | | | 372 | | | | 1.5 | % | | | 368 | | | | 3.1 | % | | | 4 | | | | 0.0 | % |
California | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Bay Area & Sacramento | | | 6 | | | | 1,533 | | | | 45 | % | | | 1,991 | | | | 862 | | | | 1,129 | | | | | | | | 2,003 | | | | 820 | | | | 1,183 | | | | | | | | (12 | ) | | | -0.6 | % | | | 42 | | | | 5.1 | % | | | (54 | ) | | | -4.6 | % |
| Los Angeles-Long Beach-Ventura | | | 12 | | | | 2,429 | | | | 87 | % | | | 9,738 | | | | 2,998 | | | | 6,740 | | | | | | | | 9,630 | | | | 2,854 | | | | 6,776 | | | | | | | | 108 | | | | 1.1 | % | | | 144 | | | | 5.0 | % | | | (36 | ) | | | -0.5 | % |
| Orange County-Riverside | | | 8 | | | | 1,755 | | | | 83 | % | | | 5,350 | | | | 1,657 | | | | 3,693 | | | | | | | | 5,270 | | | | 1,677 | | | | 3,593 | | | | | | | | 80 | | | | 1.5 | % | | | (20 | ) | | | -1.2 | % | | | 100 | | | | 2.8 | % |
| San Diego | | | 7 | | | | 2,237 | | | | 94 | % | | | 6,802 | | | | 2,131 | | | | 4,671 | | | | | | | | 6,685 | | | | 2,097 | | | | 4,588 | | | | | | | | 117 | | | | 1.8 | % | | | 34 | | | | 1.6 | % | | | 83 | | | | 1.8 | % |
| | | | | | | |
| | | | 33 | | | | 7,954 | | | | 80 | % | | | 23,881 | | | | 7,648 | | | | 16,233 | | | | 94.9 | % | | | 23,588 | | | | 7,448 | | | | 16,140 | | | | 94.5 | % | | | 293 | | | | 1.2 | % | | | 200 | | | | 2.7 | % | | | 93 | | | | 0.6 | % |
| | | | | | | |
SAME STORE SALES TOTALS | | | 525 | | | | 146,473 | (2) | | | 82 | % | | | 268,914 | | | | 119,879 | | | | 149,035 | | | | 90.9 | % | | | 263,698 | | | | 117,435 | | | | 146,263 | | | | 90.2 | % | | | 5,216 | | | | 2.0 | % | | | 2,444 | | | | 2.1 | % | | | 2,772 | | | | 1.9 | % |
| | | | | | | |
| Reconciliation to Total Rental and other property revenues and property operating expense per GAAP Income Statement (1) | | | | | | | 116,652 | | | | 61,274 | | | | 55,378 | | | | | | | | 108,594 | | | | 63,581 | | | | 45,013 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Total Rental and other property revenues and property operating expense per GAAP Income Statement | | | | | | | 385,566 | | | | 181,153 | | | | 204,413 | | | | | | | | 372,292 | | | | 181,016 | | | | 191,276 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | |
| (1) | | Includes: (i) minority partners’ share of consolidated less Aimco’s 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. |
| |
| (2) | | Same Store Sales effective units were approximately 120,330 at June 30, 2005. |
Supplemental Schedule 6(c)
Same Store Sales
Six Months Ended 2005 versus Six Months Ended 2004
(unaudited) (in thousands, except site and unit data)
| | | �� | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | Change Six Months Ended June 30, 2005 | |
| | | | | | | | | | | | | | | Six Months Ended | | | Six Months Ended | | | From June 30, 2004 | |
| | | | | | | | | | | | | | | June 30, 2005 | | | June 30, 2004 | | | Revenue | | | Expenses | | | NOI | |
| | | Sites | | | Units | | | Owner% | | | REV | | | EXP | | | NOI | | | REV | | | EXP | | | NOI | | | Amt | | | % | | | Amt | | | % | | | Amt | | | % | |
Northeast | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Baltimore | | | 11 | | | | 2,711 | | | | 92 | % | | | 14,332 | | | | 5,824 | | | | 8,508 | | | | 13,623 | | | | 5,472 | | | | 8,151 | | | | 709 | | | | 5.2 | % | | | 352 | | | | 6.4 | % | | | 357 | | | | 4.4 | % |
| New England | | | 14 | | | | 5,384 | | | | 100 | % | | | 35,339 | | | | 13,673 | | | | 21,666 | | | | 33,720 | | | | 12,561 | | | | 21,159 | | | | 1,619 | | | | 4.8 | % | | | 1,112 | | | | 8.9 | % | | | 507 | | | | 2.4 | % |
| Philadelphia | | | 11 | | | | 5,193 | | | | 87 | % | | | 28,121 | | | | 11,475 | | | | 16,646 | | | | 27,617 | | | | 10,842 | | | | 16,775 | | | | 504 | | | | 1.8 | % | | | 633 | | | | 5.8 | % | | | (129 | ) | | | -0.8 | % |
| Washington | | | 24 | | | | 10,318 | | | | 90 | % | | | 55,568 | | | | 21,118 | | | | 34,450 | | | | 53,014 | | | | 19,525 | | | | 33,489 | | | | 2,554 | | | | 4.8 | % | | | 1,593 | | | | 8.2 | % | | | 961 | | | | 2.9 | % |
| | | | | | | | |
| | | | 60 | | | | 23,606 | | | | 92 | % | | | 133,360 | | | | 52,090 | | | | 81,270 | | | | 127,974 | | | | 48,400 | | | | 79,574 | | | | 5,386 | | | | 4.2 | % | | | 3,690 | | | | 7.6 | % | | | 1,696 | | | | 2.1 | % |
Southeast | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Atlanta | | | 21 | | | | 5,933 | | | | 86 | % | | | 18,857 | | | | 10,446 | | | | 8,411 | | | | 18,034 | | | | 10,088 | | | | 7,946 | | | | 823 | | | | 4.6 | % | | | 358 | | | | 3.5 | % | | | 465 | | | | 5.9 | % |
| Savannah-Augusta | | | 5 | | | | 1,004 | | | | 87 | % | | | 3,252 | | | | 1,387 | | | | 1,865 | | | | 3,104 | | | | 1,235 | | | | 1,869 | | | | 148 | | | | 4.8 | % | | | 152 | | | | 12.3 | % | | | (4 | ) | | | -0.2 | % |
| Charlotte-Gastonia | | | 6 | | | | 1,398 | | | | 90 | % | | | 3,915 | | | | 2,253 | | | | 1,662 | | | | 3,868 | | | | 2,133 | | | | 1,735 | | | | 47 | | | | 1.2 | % | | | 120 | | | | 5.6 | % | | | (73 | ) | | | -4.2 | % |
| Columbia-Charleston | | | 9 | | | | 2,118 | | | | 74 | % | | | 5,680 | | | | 2,843 | | | | 2,837 | | | | 5,552 | | | | 2,591 | | | | 2,961 | | | | 128 | | | | 2.3 | % | | | 252 | | | | 9.7 | % | | | (124 | ) | | | -4.2 | % |
| Nashville | | | 8 | | | | 2,492 | | | | 74 | % | | | 7,529 | | | | 3,213 | | | | 4,316 | | | | 7,251 | | | | 2,830 | | | | 4,421 | | | | 278 | | | | 3.8 | % | | | 383 | | | | 13.5 | % | | | (105 | ) | | | -2.4 | % |
| Norfolk | | | 12 | | | | 3,565 | | | | 82 | % | | | 14,431 | | | | 5,224 | | | | 9,207 | | | | 14,026 | | | | 4,710 | | | | 9,316 | | | | 405 | | | | 2.9 | % | | | 514 | | | | 10.9 | % | | | (109 | ) | | | -1.2 | % |
| Raleigh-Durham-Chapel Hill | | | 8 | | | | 2,430 | | | | 74 | % | | | 6,034 | | | | 3,134 | | | | 2,900 | | | | 5,644 | | | | 2,752 | | | | 2,892 | | | | 390 | | | | 6.9 | % | | | 382 | | | | 13.9 | % | | | 8 | | | | 0.3 | % |
| Richmond-Petersburg | | | 5 | | | | 1,208 | | | | 80 | % | | | 4,224 | | | | 1,607 | | | | 2,617 | | | | 4,277 | | | | 1,493 | | | | 2,784 | | | | (53 | ) | | | -1.2 | % | | | 114 | | | | 7.6 | % | | | (167 | ) | | | -6.0 | % |
| Southeast Other | | | 22 | | | | 4,792 | | | | 80 | % | | | 12,649 | | | | 6,280 | | | | 6,369 | | | | 11,649 | | | | 6,050 | | | | 5,599 | | | | 1,000 | | | | 8.6 | % | | | 230 | | | | 3.8 | % | | | 770 | | | | 13.8 | % |
| | | | | | | | |
| | | | 96 | | | | 24,940 | | | | 81 | % | | | 76,571 | | | | 36,387 | | | | 40,184 | | | | 73,405 | | | | 33,882 | | | | 39,523 | | | | 3,166 | | | | 4.3 | % | | | 2,505 | | | | 7.4 | % | | | 661 | | | | 1.7 | % |
Florida | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Jacksonville | | | 5 | | | | 1,340 | | | | 85 | % | | | 4,680 | | | | 1,837 | | | | 2,843 | | | | 4,366 | | | | 1,773 | | | | 2,593 | | | | 314 | | | | 7.2 | % | | | 64 | | | | 3.6 | % | | | 250 | | | | 9.6 | % |
| Miami-Fort Lauderdale | | | 8 | | | | 2,397 | | | | 78 | % | | | 10,420 | | | | 3,934 | | | | 6,486 | | | | 9,278 | | | | 4,024 | | | | 5,254 | | | | 1,142 | | | | 12.3 | % | | | (90 | ) | | | -2.2 | % | | | 1,232 | | | | 23.4 | % |
| Orlando-Daytona | | | 24 | | | | 6,076 | | | | 91 | % | | | 23,840 | | | | 10,186 | | | | 13,654 | | | | 20,760 | | | | 9,844 | | | | 10,916 | | | | 3,080 | | | | 14.8 | % | | | 342 | | | | 3.5 | % | | | 2,738 | | | | 25.1 | % |
| Tampa-St. Petersburg | | | 20 | | | | 5,370 | | | | 72 | % | | | 16,003 | | | | 7,016 | | | | 8,987 | | | | 14,242 | | | | 6,427 | | | | 7,815 | | | | 1,761 | | | | 12.4 | % | | | 589 | | | | 9.2 | % | | | 1,172 | | | | 15.0 | % |
| West Palm Beach-Boca | | | 5 | | | | 1,505 | | | | 100 | % | | | 7,824 | | | | 3,158 | | | | 4,666 | | | | 6,956 | | | | 2,903 | | | | 4,053 | | | | 868 | | | | 12.5 | % | | | 255 | | | | 8.8 | % | | | 613 | | | | 15.1 | % |
| | | | | | | | |
| | | | 62 | | | | 16,688 | | | | 83 | % | | | 62,767 | | | | 26,131 | | | | 36,636 | | | | 55,602 | | | | 24,971 | | | | 30,631 | | | | 7,165 | | | | 12.9 | % | | | 1,160 | | | | 4.6 | % | | | 6,005 | | | | 19.6 | % |
Midwest | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Chicago | | | 22 | | | | 6,320 | | | | 83 | % | | | 29,128 | | | | 12,991 | | | | 16,137 | | | | 28,283 | | | | 12,796 | | | | 15,487 | | | | 845 | | | | 3.0 | % | | | 195 | | | | 1.5 | % | | | 650 | | | | 4.2 | % |
| Cincinnati-Dayton | | | 19 | | | | 3,734 | | | | 72 | % | | | 10,402 | | | | 4,947 | | | | 5,455 | | | | 9,763 | | | | 4,532 | | | | 5,231 | | | | 639 | | | | 6.5 | % | | | 415 | | | | 9.2 | % | | | 224 | | | | 4.3 | % |
| Columbus | | | 9 | | | | 2,012 | | | | 71 | % | | | 4,513 | | | | 2,569 | | | | 1,944 | | | | 4,918 | | | | 2,124 | | | | 2,794 | | | | (405 | ) | | | -8.2 | % | | | 445 | | | | 21.0 | % | | | (850 | ) | | | -30.4 | % |
| Detroit-Ann Arbor | | | 6 | | | | 1,665 | | | | 62 | % | | | 3,954 | | | | 2,190 | | | | 1,764 | | | | 4,262 | | | | 1,916 | | | | 2,346 | | | | (308 | ) | | | -7.2 | % | | | 274 | | | | 14.3 | % | | | (582 | ) | | | -24.8 | % |
| Grand Rapids-Lansing | | | 13 | | | | 4,734 | | | | 65 | % | | | 10,856 | | | | 6,052 | | | | 4,804 | | | | 10,673 | | | | 5,653 | | | | 5,020 | | | | 183 | | | | 1.7 | % | | | 399 | | | | 7.1 | % | | | (216 | ) | | | -4.3 | % |
| Indianapolis-Fort Wayne | | | 36 | | | | 12,479 | | | | 90 | % | | | 35,225 | | | | 18,859 | | | | 16,366 | | | | 34,484 | | | | 16,808 | | | | 17,676 | | | | 741 | | | | 2.1 | % | | | 2,051 | | | | 12.2 | % | | | (1,310 | ) | | | -7.4 | % |
| Minneapolis-St Paul | | | 5 | | | | 1,430 | | | | 82 | % | | | 6,466 | | | | 3,268 | | | | 3,198 | | | | 6,564 | | | | 3,324 | | | | 3,240 | | | | (98 | ) | | | -1.5 | % | | | (56 | ) | | | -1.7 | % | | | (42 | ) | | | -1.3 | % |
| Midwest Other | | | 13 | | | | 2,891 | | | | 60 | % | | | 6,308 | | | | 2,887 | | | | 3,421 | | | | 6,107 | | | | 3,144 | | | | 2,963 | | | | 201 | | | | 3.3 | % | | | (257 | ) | | | -8.2 | % | | | 458 | | | | 15.5 | % |
| | | | | | | | |
| | | | 123 | | | | 35,265 | | | | 78 | % | | | 106,852 | | | | 53,763 | | | | 53,089 | | | | 105,054 | | | | 50,297 | | | | 54,757 | | | | 1,798 | | | | 1.7 | % | | | 3,466 | | | | 6.9 | % | | | (1,668 | ) | | | -3.0 | % |
Texas | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Austin-San Marcos | | | 10 | | | | 2,217 | | | | 93 | % | | | 7,449 | | | | 3,869 | | | | 3,580 | | | | 6,874 | | | | 3,757 | | | | 3,117 | | | | 575 | | | | 8.4 | % | | | 112 | | | | 3.0 | % | | | 463 | | | | 14.9 | % |
| Dallas-Fort Worth | | | 23 | | | | 6,007 | | | | 78 | % | | | 15,434 | | | | 8,405 | | | | 7,029 | | | | 14,287 | | | | 8,184 | | | | 6,103 | | | | 1,147 | | | | 8.0 | % | | | 221 | | | | 2.7 | % | | | 926 | | | | 15.2 | % |
| Houston-Galveston | | | 36 | | | | 9,570 | | | | 68 | % | | | 20,868 | | | | 12,069 | | | | 8,799 | | | | 20,320 | | | | 11,105 | | | | 9,215 | | | | 548 | | | | 2.7 | % | | | 964 | | | | 8.7 | % | | | (416 | ) | | | -4.5 | % |
| San Antonio | | | 11 | | | | 2,647 | | | | 94 | % | | | 7,863 | | | | 3,910 | | | | 3,953 | | | | 7,645 | | | | 3,773 | | | | 3,872 | | | | 218 | | | | 2.9 | % | | | 137 | | | | 3.6 | % | | | 81 | | | | 2.1 | % |
| Texas Other | | | 7 | | | | 1,499 | | | | 74 | % | | | 3,532 | | | | 1,696 | | | | 1,836 | | | | 3,205 | | | | 1,568 | | | | 1,637 | | | | 327 | | | | 10.2 | % | | | 128 | | | | 8.2 | % | | | 199 | | | | 12.2 | % |
| | | | | | | | |
| | | | 87 | | | | 21,940 | | | | 76 | % | | | 55,146 | | | | 29,949 | | | | 25,197 | | | | 52,331 | | | | 28,387 | | | | 23,944 | | | | 2,815 | | | | 5.4 | % | | | 1,562 | | | | 5.5 | % | | | 1,253 | | | | 5.2 | % |
West | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Denver | | | 22 | | | | 4,813 | | | | 84 | % | | | 16,359 | | | | 7,543 | | | | 8,816 | | | | 15,894 | | | | 7,394 | | | | 8,500 | | | | 465 | | | | 2.9 | % | | | 149 | | | | 2.0 | % | | | 316 | | | | 3.7 | % |
| Phoenix-Mesa | | | 25 | | | | 6,907 | | | | 92 | % | | | 21,688 | | | | 10,695 | | | | 10,993 | | | | 18,959 | | | | 10,006 | | | | 8,953 | | | | 2,729 | | | | 14.4 | % | | | 689 | | | | 6.9 | % | | | 2,040 | | | | 22.8 | % |
| Salt Lake City-Ogden | | | 4 | | | | 1,511 | | | | 86 | % | | | 4,371 | | | | 1,898 | | | | 2,473 | | | | 4,121 | | | | 1,700 | | | | 2,421 | | | | 250 | | | | 6.1 | % | | | 198 | | | | 11.6 | % | | | 52 | | | | 2.1 | % |
| Seattle | | | 4 | | | | 468 | | | | 59 | % | | | 1,275 | | | | 630 | | | | 645 | | | | 1,199 | | | | 603 | | | | 596 | | | | 76 | | | | 6.3 | % | | | 27 | | | | 4.5 | % | | | 49 | | | | 8.2 | % |
| West Other | | | 9 | | | | 2,381 | | | | 84 | % | | | 6,753 | | | | 3,130 | | | | 3,623 | | | | 6,177 | | | | 2,895 | | | | 3,282 | | | | 576 | | | | 9.3 | % | | | 235 | | | | 8.1 | % | | | 341 | | | | 10.4 | % |
| | | | | | | | |
| | | | 64 | | | | 16,080 | | | | 87 | % | | | 50,446 | | | | 23,896 | | | | 26,550 | | | | 46,350 | | | | 22,598 | | | | 23,752 | | | | 4,096 | | | | 8.8 | % | | | 1,298 | | | | 5.7 | % | | | 2,798 | | | | 11.8 | % |
California | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Bay Area & Sacramento | | | 6 | | | | 1,533 | | | | 45 | % | | | 3,994 | | | | 1,682 | | | | 2,312 | | | | 3,774 | | | | 1,575 | | | | 2,199 | | | | 220 | | | | 5.8 | % | | | 107 | | | | 6.8 | % | | | 113 | | | | 5.1 | % |
| Los Angeles-Long Beach-Ventura | | | 12 | | | | 2,429 | | | | 87 | % | | | 19,368 | | | | 5,851 | | | | 13,517 | | | | 18,367 | | | | 5,949 | | | | 12,418 | | | | 1,001 | | | | 5.4 | % | | | (98 | ) | | | -1.6 | % | | | 1,099 | | | | 8.9 | % |
| Orange County-Riverside | | | 8 | | | | 1,755 | | | | 83 | % | | | 10,620 | | | | 3,335 | | | | 7,285 | | | | 9,757 | | | | 3,496 | | | | 6,261 | | | | 863 | | | | 8.8 | % | | | (161 | ) | | | -4.6 | % | | | 1,024 | | | | 16.4 | % |
| San Diego | | | 7 | | | | 2,237 | | | | 94 | % | | | 13,487 | | | | 4,228 | | | | 9,259 | | | | 12,473 | | | | 3,681 | | | | 8,792 | | | | 1,014 | | | | 8.1 | % | | | 547 | | | | 14.9 | % | | | 467 | | | | 5.3 | % |
| | | | | | | | |
| | | | 33 | | | | 7,954 | | | | 80 | % | | | 47,469 | | | | 15,096 | | | | 32,373 | | | | 44,371 | | | | 14,701 | | | | 29,670 | | | | 3,098 | | | | 7.0 | % | | | 395 | | | | 2.7 | % | | | 2,703 | | | | 9.1 | % |
| | | | | | | | |
SAME STORE SALES TOTALS | | | 525 | | | | 146,473 | (2) | | | 82 | % | | | 532,611 | | | | 237,312 | | | | 295,299 | | | | 505,087 | | | | 223,236 | | | | 281,851 | | | | 27,524 | | | | 5.4 | % | | | 14,076 | | | | 6.3 | % | | | 13,448 | | | | 4.8 | % |
| | | | | | | | |
| Reconciliation to Total Rental and other property revenues and property operating expense per GAAP Income Statement (1) | | | | | | | 225,247 | | | | 124,857 | | | | 100,390 | | | | 173,585 | | | | 97,995 | | | | 75,590 | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Total Rental and other property revenues and property operating expense per GAAP Income Statement | | | | | | | 757,858 | | | | 362,169 | | | | 395,689 | | | | 678,672 | | | | 321,231 | | | | 357,441 | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | |
| (1) | | Includes: (i) minority partners’ share of consolidated less Aimco’s 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. |
| |
| (2) | | Same Store Sales effective units were approximately 120,330 at June 30, 2005. |
Supplemental Schedule 7
Selected Portfolio Performance Data
(unaudited)
PORTFOLIO SUMMARY
SAME STORE PERFORMANCE
| | | | | | | | | | | | | |
| | | SAME STORE PORTFOLIO | |
| | | CORE | | | NON-CORE | | | TOTAL | |
| | | | | | | | | | | | | |
| Rent, average second quarter 2005 | | $ | 816 | | | $ | 585 | | | $ | 745 | |
| Occupancy, average second quarter 2005 | | | 92.1 | % | | | 88.5 | % | | | 90.9 | % |
| Total # of Properties | | | 334 | | | | 191 | | | | 525 | |
| Total # of Units | | | 100,245 | | | | 46,228 | | | | 146,473 | |
| Proportionate Owned Units | | | 81,572 | | | | 38,757 | | | | 120,330 | |
| | | | | | | | | | | | | |
| 2nd Quarter 2005 vs 2nd Quarter 2004 | | | | | | | | | | | | |
| | | | | | | | | | | | | |
| Revenue | | | 6.1 | % | | | 8.2 | % | | | 6.6 | % |
| Expenses | | | 6.0 | % | | | 8.3 | % | | | 6.6 | % |
| NOI | | | 6.2 | % | | | 8.1 | % | | | 6.6 | % |
| | | | | | | | | | | | | |
| Sequential, 2nd Quarter 2005 vs 1st Quarter 2005 | | | | | | | | | | | | |
| | | | | | | | | | | | | |
| Revenue | | | 2.0 | % | | | 1.9 | % | | | 2.0 | % |
| Expenses | | | 0.7 | % | | | 5.6 | % | | | 2.1 | % |
| NOI | | | 2.9 | % | | | -2.0 | % | | | 1.9 | % |
| | | | | | | | | | | | | |
| YTD June 2005 vs. YTD June 2004 | | | | | | | | | | | | |
| | | | | | | | | | | | | |
| Revenue | | | 5.0 | % | | | 6.9 | % | | | 5.4 | % |
| Expenses | | | 6.2 | % | | | 6.5 | % | | | 6.3 | % |
| NOI | | | 4.1 | % | | | 7.3 | % | | | 4.8 | % |
TOTAL CONVENTIONAL PORTFOLIO: SUMMARY BY MARKET
SELECTED MARKETS
| | | | | | | | | | | | | | | | | | | | | | | | | |
| | | Quarter Ended June 30, 2005 | | | Quarter Ended June 30, 2004 | |
| | | TOTAL CONVENTIONAL PORTFOLIO | | | TOTAL CONVENTIONAL PORTFOLIO | |
| % of Total Conventional NOI | | CORE | | | NON-CORE | | | TOTAL | | | CORE | | | NON-CORE | | | TOTAL | |
Top 20 Markets | | | | | | | | | | | | | | | | | | | | | | | | |
| 1 Washington, D.C. | | | 10.1 | % | | | 0.9 | % | | | 11.0 | % | | | 11.0 | % | | | 0.9 | % | | | 11.9 | % |
| 2 Los Angeles-Long Beach-Ventura | | | 7.2 | % | | | 0.0 | % | | | 7.2 | % | | | 9.4 | % | | | 0.0 | % | | | 9.4 | % |
| 3 New England | | | 6.8 | % | | | 0.0 | % | | | 6.8 | % | | | 6.5 | % | | | 0.0 | % | | | 6.5 | % |
| 4 Philadelphia | | | 6.8 | % | | | 0.0 | % | | | 6.8 | % | | | 5.8 | % | | | 0.0 | % | | | 5.8 | % |
| 5 Miami-Fort Lauderdale | | | 5.4 | % | | | 0.0 | % | | | 5.4 | % | | | 3.0 | % | | | 0.0 | % | | | 3.0 | % |
| 6 Chicago | | | 4.7 | % | | | 0.2 | % | | | 4.9 | % | | | 4.4 | % | | | 0.3 | % | | | 4.7 | % |
| 7 Indianapolis-Fort Wayne | | | 3.2 | % | | | 1.6 | % | | | 4.8 | % | | | 3.9 | % | | | 1.4 | % | | | 5.3 | % |
| 8 Orlando-Daytona | | | 3.4 | % | | | 0.6 | % | | | 4.0 | % | | | 1.3 | % | | | 1.8 | % | | | 3.1 | % |
| 9 Phoenix-Mesa | | | 1.8 | % | | | 1.7 | % | | | 3.5 | % | | | 1.7 | % | | | 1.3 | % | | | 3.0 | % |
| 10 San Diego | | | 2.7 | % | | | 0.0 | % | | | 2.7 | % | | | 2.8 | % | | | 0.0 | % | | | 2.8 | % |
| 11 Norfolk | | | 2.4 | % | | | 0.3 | % | | | 2.7 | % | | | 2.2 | % | | | 0.3 | % | | | 2.5 | % |
| 12 Tampa-St. Petersburg | | | 2.2 | % | | | 0.4 | % | | | 2.6 | % | | | 1.6 | % | | | 0.9 | % | | | 2.5 | % |
| 13 Houston-Galveston | | | 1.8 | % | | | 0.8 | % | | | 2.6 | % | | | 2.1 | % | | | 0.6 | % | | | 2.7 | % |
| 14 Denver-Front Range | | | 2.4 | % | | | 0.2 | % | | | 2.6 | % | | | 2.5 | % | | | 0.2 | % | | | 2.7 | % |
| 15 Baltimore | | | 2.5 | % | | | 0.1 | % | | | 2.6 | % | | | 2.2 | % | | | 0.4 | % | | | 2.6 | % |
| 16 Atlanta | | | 1.6 | % | | | 0.8 | % | | | 2.4 | % | | | 1.8 | % | | | 0.8 | % | | | 2.6 | % |
| 17 Orange County-Riverside | | | 2.2 | % | | | 0.0 | % | | | 2.2 | % | | | 2.1 | % | | | 0.0 | % | | | 2.1 | % |
| 18 Dallas-Fort Worth | | | 1.1 | % | | | 1.1 | % | | | 2.2 | % | | | 0.9 | % | | | 0.8 | % | | | 1.7 | % |
| 19 New York | | | 1.8 | % | | | 0.0 | % | | | 1.8 | % | | | 0.0 | % | | | 0.0 | % | | | 0.0 | % |
| 20 Cincinnati-Dayton | | | 0.8 | % | | | 0.9 | % | | | 1.7 | % | | | 0.8 | % | | | 0.8 | % | | | 1.6 | % |
| | | | | | | | | | | | | | | | | | | |
| Subtotal Top 20 Markets | | | 70.9 | % | | | 9.6 | % | | | 80.5 | % | | | 66.0 | % | | | 10.5 | % | | | 76.5 | % |
| All Other Markets (50) | | | 9.0 | % | | | 10.5 | % | | | 19.5 | % | | | 12.1 | % | | | 11.4 | % | | | 23.5 | % |
| | | | | | | | | | | | | | | | | | | |
Total Conventional NOI | | | 79.9 | % | | | 20.1 | % | | | 100.0 | % | | | 78.1 | % | | | 21.9 | % | | | 100.0 | % |
| | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | |
| Rent, average second quarter | | $ | 836 | | | $ | 584 | | | $ | 760 | | | $ | 824 | | | $ | 569 | | | $ | 742 | |
| Occupancy, average second quarter | | | 90.5 | % | | | 88.4 | % | | | 89.9 | % | | | 88.1 | % | | | 82.2 | % | | | 86.1 | % |
| Total # of Properties | | | 383 | | | | 207 | | | | 590 | | | | 376 | | | | 240 | | | | 616 | |
| Total # of Units | | | 115,478 | | | | 49,285 | | | | 164,763 | | | | 115,249 | | | | 57,386 | | | | 172,635 | |
| Proportionate Owned Units | | | 93,630 | | | | 40,962 | | | | 134,592 | | | | 90,605 | | | | 46,275 | | | | 136,880 | |
Supplemental Schedule 8
Property Sales and Acquisition Activity
(unaudited)
SECOND QUARTER 2005 PROPERTY SALES ACTIVITY
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | Number | | | Number | | | Gross | | | | | | | Property | | | Net Sales | | | Aimco Gross | | | Aimco Net | | | Average | |
| | | of | | | of | | | Proceeds | | | FCF(1) | | | Debt | | | Proceeds(2) | | | Proceeds | | | Proceeds | | | Rent | |
| | | Properties | | | Units | | | ($mm) | | | Yield | | | ($mm) | | | ($mm) | | | ($mm) | | | ($mm) | | | ($/unit) | |
| |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Conventional Non-Core | | | 7 | | | | 1,540 | | | $ | 90 | | | | 5.3 | % | | $ | 34 | | | $ | 50 | | | $ | 66 | | | $ | 36 | | | $ | 680 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Affordable | | | 8 | | | | 1,192 | | | | 46 | | | | 6.6 | % | | | 16 | | | | 26 | | | | 37 | | | | 23 | | | | 625 | |
| |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Total Dispositions | | | 15 | | | | 2,732 | | | $ | 136 | | | | 5.7 | % | | $ | 50 | | | $ | 76 | | | $ | 103 | | | $ | 59 | | | $ | 656 | |
| |
YEAR-TO-DATE 2005 PROPERTY SALES ACTIVITY
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | Number | | | Number | | | Gross | | | | | | | Property | | | Net Sales | | | Aimco Gross | | | Aimco Net | | | Average | |
| | | of | | | of | | | Proceeds | | | FCF(1) | | | Debt | | | Proceeds(2) | | | Proceeds | | | Proceeds | | | Rent | |
| | | Properties | | | Units | | | ($mm) | | | Yield | | | ($mm) | | | ($mm) | | | ($mm) | | | ($mm) | | | ($/unit) | |
| |
| Conventional Non-Core | | | 8 | | | | 1,692 | | | $ | 95 | | | | 5.1 | % | | $ | 35 | | | $ | 53 | | | $ | 71 | | | $ | 39 | | | $ | 670 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Affordable | | | 21 | | | | 2,347 | | | | 94 | | | | 6.4 | % | | | 44 | | | | 41 | | | | 56 | | | | 32 | | | | 647 | |
| |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Total Dispositions (3)(4) | | | 29 | | | | 4,039 | | | $ | 189 | | | | 5.8 | % | | $ | 79 | | | $ | 94 | | | $ | 127 | | | $ | 71 | | | $ | 657 | |
| |
| | |
| (1) | | Free Cash Flow (FCF) includes a $525 per unit deduction for capital replacements and is before debt service. FCF Yield is calculated as the FCF earned by the properties during the 12 months prior to their sale divided by the sales price |
| |
| (2) | | Net Sales Proceeds are after repayment of existing debt, net working capital settlements and payment of transaction costs |
| |
| (3) | | Sales activity provided in the table above does not include sales of certain general partner interests that generated net proceeds to Aimco of $1.4 million to date in 2005 |
| |
| (4) | | Sales activity provided in the table above does not include certain affiliate sales associated with tax credit transactions that generated net proceeds to Aimco of $1.5 million to date in 2005 |
SECOND QUARTER 2005 PROPERTY ACQUISITION ACTIVITY
| | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | Number | | | Number | | | Gross | | | Property | | | Average | |
| | | Ownership | | | of | | | of | | | Purchase | | | Debt | | | Rent | |
| | | Percent | | | Properties | | | Units | | | Price ($mm) | | | ($mm) | | | ($/unit) | |
| |
| Conventional | | | 100 | % | | | 1 | | | | 266 | | | $ | 54 | | | $ | 39 | | | $ | 1,885 | |
| |
| Total Acquisitions(1) | | | | | | | 1 | | | | 266 | | | $ | 54 | | | $ | 39 | | | $ | 1,885 | |
| |
YEAR-TO-DATE 2005 PROPERTY ACQUISITION ACTIVITY
| | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | Number | | | Number | | | Gross | | | Property | | | Average | |
| | | Ownership | | | of | | | of | | | Purchase | | | Debt | | | Rent | |
| | | Percent | | | Properties | | | Units | | | Price ($mm) | | | ($mm) | | | ($/unit) | |
| |
| Conventional | | | 100 | % | | | 6 | | | | 1,012 | | | $ | 281 | | | $ | 169 | | | $ | 2,532 | |
| |
| Total Acquisitions (1)(2) | | | | | | | 6 | | | | 1,012 | | | $ | 281 | | | $ | 169 | | | $ | 2,532 | |
| |
| | |
| (1) | | Second quarter and year-to-date acquisition activity does not include Chestnut Hall, a 315-unit property acquired through Aimco’s joint venture with CalSTRS and under a confidential partnership agreement with the University of PA |
| |
| (2) | | Properties acquired are located in New York City (4 properties), Los Angeles, CA and Edgewater, NJ. |
Supplemental Schedule 9
Capital Expenditures
For the Six Months Ended June 30, 2005
(in thousands, except per unit)
(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 Aimco’s ownership of the item represents CR; the portion of the item that was consumed prior to Aimco’s ownership represents CI). See the Glossary for further descriptions.
The table below details Aimco’s share of actual spending, on both consolidated and unconsolidated real estate partnerships, for Capital Replacements, Capital Improvements, casualties and redevelopment for the six months ended June 30, 2005 (per unit is based on approximately 153,300 units which represent effective units (excluding non-managed units) weighted for the period):
| | | | | | | | | |
| Capital Replacements Detail: | | Actual Amount | | | Per Unit | |
| Building Interiors | | $ | 6,615 | | | $ | 43 | |
| Includes: Hot water heaters, kitchen/bath | | | | | | | | |
| | | | | | | | | |
| Building Exteriors | | | 8,036 | | | | 52 | |
| Includes: Roofs, exterior painting, electrical, plumbing | | | | | | | | |
| | | | | | | | | |
| Landscaping and Grounds | | | 4,130 | | | | 27 | |
| Includes: Parking lot improvements, pool improvements | | | | | | | | |
| | | | | | | | | |
| Turnover Related | | | 17,015 | | | | 111 | |
| Includes: Carpet, vinyl, tile, appliance and fixture replacements | | | | | | | | |
| | | | | | | | | |
| Capitalized site payroll and indirect costs | | | 6,560 | | | | 43 | |
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Total Aimco’s share of Capital Replacements | | $ | 42,356 | | | $ | 276 | |
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Capital Replacements: | | | | | | | | |
| Conventional | | | 39,587 | | | | | |
| Affordable | | | 2,769 | | | | | |
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Total Aimco’s share of Capital Replacements | | $ | 42,356 | | | | | |
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Capital Improvements: | | | | | | | | |
| Conventional | | | 45,814 | | | | | |
| Affordable | | | 9,220 | | | | | |
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Total Aimco’s share of Capital Improvements | | $ | 55,034 | | | | | |
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Casualties: | | | | | | | | |
| Conventional | | | 12,674 | | | | | |
| Affordable | | | 717 | | | | | |
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Total Aimco’s share of Casualties | | $ | 13,391 | | | | | |
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Redevelopment (see Schedule 10 for further project details): | | | | | | | | |
| Conventional | | | 50,841 | | | | | |
| Affordable | | | 1,560 | | | | | |
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Total Aimco’s share of Redevelopment | | $ | 52,401 | | | | | |
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Total Aimco’s share of Capital Expenditures | | $ | 163,182 | | | | | |
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| Plus minority partners’ share of consolidated spending | | | 44,282 | | | | | |
| Less Aimco’s share of unconsolidated spending | | | (6,063 | ) | | | | |
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Total Spending per Consolidated Statement of Cash Flows | | $ | 201,401 | | | | | |
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Supplemental Schedule 10
Summary of 2005 Redevelopment Activity
As of June 30, 2005
(in millions, except unit data)
(values are not adjusted for Aimco’s ownership unless indicated)
(unaudited)
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| | | | | | | | | | | | | | | Cost in Millions | | | | | | | Redevelopment Timeline | | | Number of Units | |
| | | | | | | | | | | | | | | Total | | | | | | | Year to | | | Year to | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | Expected | | | Inception to | | | Date | | | Date | | | Expected | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | Spend at | | | Date Spend | | | Spend at | | | Spend at | | | NOI | | | | | | | Construction | | | Construction | | | | | | | | | | | Leased | | | Out of | |
| Property | | City, State | | Ownership % | | Number of Units | | | 100% | | | at 100% | | | 100% | | | AIV% | | | Yield | | | Acquisition | | | Start | | | Complete | | | Stabilization | | | Completed | | | (1) | | | Service | |
| Redevelopment — Major Project Detail | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
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| Flamingo South Beach | | Miami Beach, FL | | | 99.1 | % | | | 1,688 | | | $ | 285.7 | | | $ | 285.7 | | | $ | 5.1 | | | $ | 4.1 | | | | 5 | % | | Q3 1997 | | | Q3 1997 | | | Q1 2004 | | | Q3 2005 | | | | 1,688 | | | | 1,509 | | | | — | |
| Belmont Place | | Marietta, GA | | | 63.0 | % | | | 326 | | | | 30.3 | | | | 30.3 | | | | 9.4 | | | | 5.9 | | | | 9 | % | | Q2 1998 | | | Q4 2003 | | | Q3 2005 | | | Q4 2006 | | | | 326 | | | | 171 | | | | — | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | Subtotal | | | 2,014 | | | $ | 316.0 | | | $ | 316.0 | | | $ | 14.5 | | | $ | 10.0 | | | | | | | | | | | | | | | | | | | | | | | | 2,014 | | | | 1,680 | | | | — | |
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| Redevelopment — Other Projects | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
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| Conventional | | | | | | 27 properties | | | 13,157 | | | $ | 177.1 | | | $ | 55.7 | | | $ | 30.6 | | | $ | 24.7 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Affordable | | | | | | 15 properties | | | 2,596 | | | | 103.0 | | | | 69.8 | | | | 18.8 | | | | 1.5 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Other Redevelopment | | | | | | | | — | | | | — | | | | — | | | | 19.6 | | | | 16.2 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
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| | | | | | | Subtotal | | | 15,753 | | | $ | 280.1 | | | $ | 125.5 | | | $ | 69.0 | | | $ | 42.4 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
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| | | | | | | Total | | | 17,767 | | | $ | 596.1 | | | $ | 441.5 | | | $ | 83.5 | | | $ | 52.4 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
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| | |
| (1) | | Leased units include pre-leased. |
Supplemental Schedule 11
Apartment Unit Summary
As of June 30, 2005
(unaudited)
| | | | | | | | | | | | | | | | | |
| | | | | | | | | | | Aimco’s | | | Aimco’s | |
| | | Total | | | Total | | | Effective | | | Average | |
| | | # Properties | | | # Units | | | # Units | | | Ownership % | |
Conventional Real Estate Portfolio: | | | | | | | | | | | | | | | | |
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| Wholly-owned Consolidated Core Properties | | | 214 | | | | 63,126 | | | | 63,126 | | | | 100 | % |
| Partially-owned Consolidated Core Properties | | | 141 | | | | 45,739 | | | | 28,205 | | | | 62 | % |
| Partially-owned Unconsolidated Core Properties | | | 28 | | | | 6,613 | | | | 2,299 | | | | 35 | % |
| | | | | | | | | | | | | |
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| Sub-total Core Properties | | | 383 | | | | 115,478 | | | | 93,630 | | | | 81 | % |
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| Wholly-owned Consolidated Non-Core Properties | | | 126 | | | | 31,230 | | | | 31,230 | | | | 100 | % |
| Partially-owned Consolidated Non-Core Properties | | | 54 | | | | 12,679 | | | | 7,949 | | | | 63 | % |
| Partially-owned Unconsolidated Non-Core Properties | | | 27 | | | | 5,376 | | | | 1,783 | | | | 33 | % |
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| Sub-total Non-Core Properties | | | 207 | | | | 49,285 | | | | 40,962 | | | | 83 | % |
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| Total | | | 590 | | | | 164,763 | | | | 134,592 | | | | 82 | % |
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Aimco Capital Real Estate Portfolio: | | | | | | | | | | | | | | | | |
| Wholly-owned Consolidated Properties | | | 77 | | | | 9,891 | | | | 9,891 | | | | 100 | % |
| Partially-owned Consolidated Properties | | | 61 | | | | 7,466 | | | | 3,316 | | | | 44 | % |
| Partially-owned Unconsolidated Properties | | | 248 | | | | 28,810 | | | | 5,243 | | | | 18 | % |
| | | | | | | | | | | | | |
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| Total | | | 386 | | | | 46,167 | | | | 18,450 | | | | 40 | % |
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Total Owned Real Estate Portfolio: | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | |
| Wholly-owned Consolidated Properties | | | 417 | | | | 104,247 | | | | 104,247 | | | | 100 | % |
| Partially-owned Consolidated Properties | | | 256 | | | | 65,884 | | | | 39,470 | | | | 60 | % |
| Partially-owned Unconsolidated Properties | | | 303 | | | | 40,799 | | | | 9,325 | | | | 23 | % |
| | | | | | | | | | | | | |
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| Total | | | 976 | | | | 210,930 | | | | 153,042 | | | | 73 | % |
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Management Contracts: | | | | | | | | | | | | | | | | |
| Property Managed for Third Parties | | | 64 | | | | 6,160 | | | | | | | | | |
| Asset-Managed for Third Parties | | | 31 | | | | 4,843 | | | | | | | | | |
| Asset-Managed (indirect ownership) | | | 402 | | | | 37,821 | | | | | | | | | |
| | | | | | | | | | | | | | | |
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| Total | | | 497 | | | | 48,824 | | | | | | | | | |
| | | | | | | | | | | | | | | |
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Total Portfolio | | | 1,473 | | | | 259,754 | | | | | | | | | |
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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 generally accepted accounting principles, or GAAP. These measures are defined below and, where appropriate, reconciled on the accompanying Supplemental Schedules to the most comparable GAAP measures.
ACQUISITION PROPERTIES: Consolidated properties owned less than one year as of the beginning of the most recent quarter.
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.
ADJUSTED FUNDS FROM OPERATIONS (AFFO): AFFO is FFO (diluted) less Capital Replacement expenditures, plus non-cash charges for redemption related preferred stock issuance costs and impairment losses, all of which are adjusted for the Aimco operating partnership’s share (AIMCO Properties, L.P.). Similar to FFO, AFFO is helpful to investors in understanding Aimco’s 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 I for AFFO data reconciled to net income as determined in accordance with GAAP.
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. This category combines certain of Aimco’s prior capital expenditure categories. This new classification, along with Capital Replacements, is intended to be simpler to apply, allow more discrete differentiation between categories, facilitate sound economic decisions, and assist investors and analysts in better understanding capital spending. CI expenditures are a component of capital expenditures in the GAAP Statement of Cash Flows.
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 and FCF. Please refer to Schedule 9 for further detail. CR expenditures are a component of Capital expenditures in the GAAP Statement of Cash Flows.
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.
CORE PROPERTIES: Conventional properties located in selected markets that Aimco intends to hold and improve over the long-term.
EFFECTIVE UNITS: Unit count at 100% ownership multiplied by Aimco’s ownership share.
FREE CASH FLOW (FCF): FCF is net operating income from real estate minus CR spending. FCF also includes cash flows generated from the investment management business, interest income, general and administrative expenses, provision for or recovery of losses on notes receivable and other expenses (income), net incurred by Aimco. FCF measures profitability of operations and is prior to the cost of capital. Because Aimco has substantial unconsolidated real estate interests, it is useful for management and investors to understand, in addition to consolidated cash flows, cash flows related to Aimco’s unconsolidated real estate holdings. Please see Supplemental Schedule 2 for FCF data reconciled to net income as determined in accordance with GAAP.
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 NAREIT’s April 1, 2002 White Paper. Aimco calculates FFO (diluted) by subtracting redemption related preferred stock issuance costs and dividends on preferred stock and adding back dividends/ distributions on dilutive preferred securities. FFO is helpful to investors in understanding Aimco’s 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 Aimco’s 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 as determined in accordance with GAAP.
NON-CORE PROPERTIES: Properties located in markets that are not considered selected markets or in less favored locations within selected markets, which Aimco intends to hold for the intermediate term.
OTHER EXPENSES (INCOME), NET: Other expenses (income), net includes tax provision/benefit, franchise taxes, risk management activities related to our unconsolidated partnerships and partnership expenses (partnership level expenses incurred directly or indirectly for services such as audit, tax and legal.)
OTHER PROPERTIES: 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 in which Aimco’s ownership exceeds 10% and that have reached a stabilized level of occupancy during both the current and comparable prior year period. 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 6c for Same Store data reconciled to rental and other property revenues and property operating expense as determined in accordance with GAAP.
