AIV - Earnings call transcript Q3 2017 | Apartment Investment and Management Company

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Operator

Good day and welcome to the Aimco Third Quarter 2017 Earnings Conference Call. All participants will be in listen-only mode. [Operator Instructions]. Please note, today's event is being recorded. I would now like to turn the conference over to Lisa Cohn. ahead. go Please

Lisa Cohn

day. Good Thank you.

uncertainties, During may this based XXXX we are be SEC risks forward-looking These be today. which found discussed in materially call, management's judgment, from the our and certain on to to Actual are statements description including of statements can results make filings. subject conference a differ projections results. may related what

to defined the the is such also comparable as financial AFFO come and discuss are Aimco's These FFO. part release from will in reconciled We measures today on measures, are our Chairman Executive prepared most that Paul Keith GAAP Prepared Kimmel, and the and the full Officer. certain and information remarks website. charge Beldin, Terry? Terry Vice published non-GAAP supplemental our earnings our Terry Chief of I'll question-and-answer And CEO; call our Investment John follow Chief to session will Considine. Financial Officer; in Considine, turn Bezzant, now A remarks. President Property Operations; of

Terry Considine

Thank and you in this interest on for your all call. Aimco. to you, of good Thank Lisa, you morning

conditions, flexibility Aimco But headline; that market emphasizing will power. portfolio changing pricing to the redevelopment with of Airbnb adjust lower the for always of year customer challenges points, price to competing Results. costs the greater with track retention, by such of rent new Strong challenges, enhanced contemplates overdevelopment including diversification, both across focus, is Here geographic redevelopment, and pace activity providing and hurricanes, and has had and higher our prepares and some Aimco supply This strategy properties. its Reports be there

was per Year-to-date third income. current measure is for X%. operating per period our store income per share up the Here are a preferred X.X% proofs; year-over-year, few $X.XX is share, net share same adding operating In to up up net profitability, X%. quarter, FFO AFFO year-to-date

the income to activities. per per net Our parenthetically our because know, the expense. of these lease-up share sold offset acquisition $X.XX communities, Palazzo And I increase business, portfolio ignores $X.XX operating in fund store, same roughly was of the interest this and properties net added of by that before to operating per income from reacquisition, outside share redevelopment from $X.XX from share about XX% subtraction

customer their income Our $X,XXX, metrics portfolio new quality average revenue up improvement. per was continue apartment Median X% and $XXX,XXX, up for steady X%. monthly was home customers and

February. economy Looking our ahead, XXXX will plans steady now busy we are our for general are, The first, planning the Paul early earnings for budgets with detailed fourth for on year. growth. guidance and assumptions quarter in next call continue provide will

continued Second, apartments. for demographics will support our solid demand

allocation distress competition unexpected although fourth, customer With high from team selection And and limited culture, and will there is fine-tuning to based special supply to property be financial which be retention. rewarded, markets. With performance. sheet circumstances. with markets, an on in to and are increase operations, and satisfaction, abundant strategy We plan and will if customer customer new capital and constant there low continue, exposure to stick costs. focus there capital submarkets redevelopments trades, risk flexibility will exposed. to leading capital safety to where balance reduce as and on Disciplined developments, intentional effectiveness emphasizing strong our rotation Third, of are limited a pair accretive collaboration liquidity to

the over a privilege the third to like of I teammates, more with results to in this Head Keith? I'd thanks of country. It's detailed to you. my And pleasure as quarter, for Operations. both quarter, Kimmel, report Property a as sincere and well good offer call now turn work to across the here a the Denver, For Keith Aimco on

Keith Kimmel

with operations, that markets such we report quarter particular up X.X%. Miami. operating competitive San in X.X% Terry. stable in and such were Diego supply am and Expenses store X.X%. up as income markets to Thanks and was with Offsetting in pleased net new Chicago. a were down third challenges strong Philadelphia I performances had as Same solid revenues

since second third they reward to quarter continue XX us residents the XXth with five us long with than satisfaction high a Move customer rates rating percentage quarter for four second Our marks, star better matching a any at year. the This quarter better of are preparing quarter points rent. most for our XXXX points XX at a most us contributed for XXXX, unchanged the finished gave basis possible as stars, recent and the third This Average averages. out quarter, of with sequentially. for transactions turnover XX% consecutive quarter, the XX.X%, reasons at in the of out since than being record of are [ph] matching additional for for for quarter. apartments results X.XX allowed quarter costs on consecutive term occupancy of result highest basis our to turnover versus occupancy XXXX, our to a valued lowest higher our customers, for the the our keep higher and reduced daily the

markets increases at X.X%. were to particular strength the these Renewal Chicago. Seattle, Looking Denver, X% quarter; increased San which leases. rates rates blended having and transacted more compared the up We X%, renewal in solid in with of than in expiring rates rents lease Diego saw

not renewal For Diego, We the our improvements better lease. those San than particular new increased X% in versus had prior premiums Boston, X%. leases expired and saw and from X.X% to Seattle leases leases renewed, were

had for revenue quarter. Atlanta, followed nearly led our by was Angeles, and Turning from Chicago. than This the to Diego, by the Los Seattle, San third top store X% growth; quarter X%, better increases same performers revenue

had and with Miami, revenue New from revenue and Area growth York to Philadelphia. X%, Our and steady which had and Boston, between Denver, X%, performance Bay were Washington we positive negative growth D.C., X% the

to fourth October. Finally, week close our early in to looking at results, one with quarter go

average to with XX.X%, of shift up for the as thanks In Investment November X%, occupancy renewals with about with roughly up the X.X% daily and X% will to are an And occupancy down leases Denver increases. we field to teams to rates call lease higher our and blended preliminary out X% months. December, new renewal Our focus offers winter Officer. accelerated here your turn John and I Bezzant, our in success, John? great Chief the with Aimco for our over in to commitment X%, went

John Bezzant

Keith. Thanks

to a completed third tower, which Park on just business, invested at nearly at the almost of a line talking That have second like the $XX construction at consistent apartment redevelopment XX% some portfolio third Place. the store million XXX homes, of we XX% quarter, time those leased and At our at and development. I'd is You third important with during good our same and was report operations. about spend completion. Park today, leased underwriting. rates leased Towne Towne, tower We

that apartment Towne homes Based redeveloped We XX% the a results, end, redeveloped of Place. City, proceed successful expect other X,XXX towers stabilized. these over leased Center tower, to and with three we year past In Philadelphia. to on the by $XX leased joining final years, Park decided in than redevelopment already the fourth this two tower more are occupancy be has Aimco million

quarter the Boulder employment, Boulder averaging of downtown, nearly in XXXX, gun campus, with Aerospace’s December. to X,XXX institutional more complexes new annually New increased only will Campus barrel is market and is Point. demand significant Two from located regulated, XXXX, East only since Google scheduled the XX miles Building residential. Foothills of in and to and higher in constructed submarket. Technology new built, one the limited, and across new competitive highly uses in at high than the Hospital. two the apartment typical supply be University grade Boulder notwithstanding Ball time, units. where will street Boulder from Boulder, industrial area supply. proper, enrollment Colorado in and acquired neighborhood, with barriers this miles Colorado. remain In with this an been C property, property made downtown It's XXXX. more We Since respect investment in underway, decision leasing light And we five is is to commence but a a second a Over three have construction are northeast

Over The commence as apartment be million, and has is past is underway Mosaic now Aimco $XXX a to XXX new quarter. fourth Mosaic. Eastpointe community in Parc known entitled the scheduled to years, of the of planned two de-leasing construction Parc and home

the Our investment underwriting the acquiring includes property. all of cost costs, including

about one return timing market returns, and and scope value free earn align with creation expected And are premium risk affords XXX the property. flexibility like our spending, basis to us Our of to objective a to compared of of redevelopment conditions. is changing with it rate acquisition to consistent flow, to we XXX things internal the if just stabilized points, when of cash

Calhoun. And and homes During with we with we leased redeveloped we the XX not at were satisfied Yorktown satisfied quarter, were pace. while pricing,

new speed By contrast, observed typically and quarter, Pointe; winter. XX supply this we redeveloped are we continue with and located pleased softer demand, where both rate in ahead. homes property the a are pausing San Given Saybrook pace projects at B California, Jose, we seasonal leased for the these and full

at in point. a properties B being to we forward, Looking Diego price redeveloped Mariners were planning Cove projects San other and

fund that, front, Chief needed over to mid the of majority Paul our to call sales I'd the the trade December. like Beldin, And Palazzo expected property now Officer. to on-track, On closings Paul? with the with the late pair in Financial transactions turn are to

Paul Beldin

non-recourse, the remains property healthy, weighted with of abundant billion. years an have corresponding been the fixed of target average On XX net the almost unchanged to XXX flexibility of leverage approximately interest or our exposure to annual take totaling prospective savings capital term effect continue the of rate lower at $XXX remains basis environment, and $X a year. advantage sheet points refinancing rates Thanks generating of of locked enclosed million. average five to basis third liquidity, of John. property X.X and X.XX%, The debt the our interest balance these markets. interest spread points a $X.X we pricing. rate quarter, Aimco's loans, X.XX%, by year-to-date a per rates at interest of limited In basis, over activities million weighted rate loans Aimco's rate time treasury fixed low has

up of today above temporarily to expect target, year. sales the from are John to pool reacquisition. targeted an Wrapping unencumbered the increase balance We quarter Palazzo level. billion, leverage sheet, the is property the our we fourth at Upon XX% that beginning outlined, completion of valued return assets $X.X due the the of to of

X%. pro on $X.XX share Moving per at $X.XX results; forma and $X.XX $X.XX up driven notwithstanding with up midpoint of slight the by third contributed and $X.XX per categories. per hurricane These of and and number of respectively a of to AFFO X% of a guidance across $X.XX per ranges, our and our costs, $X.XX FFO AFFO ahead quarter [ph] respective share share up results FFO share to performance were fee year-to-date

to the of turning Now AFFO to the ranges the with and rearview our are FFO. and narrowing $X.XX while and guidance; XXXX for guidance, in AFFO midpoints mirror, their majority for $X.XX $X.XX between FFO and $X.XX between be maintaining we of

third offset de-leasing outperformance FFO fourth We tower will Park and of the Pointe expect next quarter the in be the of resulting East anticipation dilution, from Towne, $X.XX by redevelopment year. at

midpoints our maintained store We operating year the of have results. same full also

For transact over a the expect we year, leases. to XX,XXX little

occupancy achieved leaving already activity X,XXX, occupancy of lease completed full just else X,XXX the occupancy of All fourth X% go. daily XX%. in growth be is have and With XX.X%, our September, guidance. our below roughly all occupancy year result average expected Through or occupancy of quarter increases October X.X%. for in quarter, increase for approximately the in blended range about completed to midpoint occupancy XX.X still will The daily is XX%. about executed and in year-to-date average rent to We average equal, revenue daily to will XX,XXX already January leases XX,XXX XX,XXX; year-to-date of XX.X through fourth expected to in another September, year-to-date only revenue

points. the midpoint Now acceleration sequential is basis XX approximately inherent achievement, of within revenue growth

majority sequential average of acceleration improvement. We will by occupancy achieved expect daily be the

seeing Additionally, rate improvement lease we year-over-year blended growth. are in

our XXXX, lower blended the rate year-over-year. achievement first was During lease of quarters three

expect reverse. to trend However, fourth it in is quarter, worth that we noting the

rate While achieved quarter XXX blended a points the rate blended over first fourth over during XX% our of year. year, we ahead of last leasing activity the increase basis nine our of months complete, and X.X%, have with increases consistent of

over Operator, of to $X.XX quarter Finally, of to share, first FFO you With for to fourth it for $X.XX turn open that, up $X.XX in FFO said questions we and two per questions. the queue. yesterday's share $X.XX. call guidance Please now time for the will per I will limit share per question. per your release, in to we the

Operator

Markets. question first Today's go Instructions]. of [Operator Wurschmidt Capital ahead. Austin comes Please KeyBanc from

Austin Wurschmidt

the mentioned your you today the for million of in us thanks that can particular, underwriting if morning, then, question. in for Pointe. a the also sense acquiring also high just where Hi, I good $XXX end cost communities quality costs? and included East Denver curious higher that John, was taking you cap includes And acquisition rates are submarkets? give initial in

John Bezzant

the Boulder, fours, couple to in that ranging submarket, and tight of going the Sure. with will see that fours the There pass I cap that start [indiscernible] Xs. second underwriting place in a Denver to were in were them sales Mosaic I took the you the Parc in am and last Patti am a low team and are going to in in year you whose and rates one, including Boulder. Fielding, specificity. to did the on project, with more then

right institutional all rates, range even the to X, so up are around you will Patti, Mosaic? and would the the address way range And you B categories and and the like into see Xs. X Parc that into there the cap below C

Patti Fielding

did yes. costs the is $XXX land in mean, the Sure. It include million. answer I the

Austin Wurschmidt

as Which basis that was $XX your in today? million around

John Bezzant

Yeah $XX has there during and was so Austin. of $X little all-in period allocated the that basis operating from through the been value depreciated roughly XXXX over original building fully The and or year. was a this our million million, which to is recouped so

Patti Fielding

Right.

model. was million the So $XX.X loaded into

Austin Wurschmidt

cuts it more and expense growth reactive a this you broader modest performance that as to a internal for related for then, experienced those of cut across Thanks been some left point, if and portfolio? opportunity of what's of just the curious there. kind And has as at just guys to little the time, have or any are and Great. now part far clarification the

Keith Kimmel

in our that. when innovative is activities. would happens opportunity payroll, In innovation lot things. other additionally that being around and that center expense of them talk the being Keith. and centralization around a categorize efficient in I is technologies types centralize I work you have we work, focus this you fractional here when through Denver, shared take with Austin, how will about about there service it, to is And our on-site, and adding do cuts, particular, as things. would I Really, them. help different with we become of more think recategorize efficient more that and found about we it,

those repairs So which But to find to our care really services, we innovative, the continue of maintenance spend more in taking it's all be believe that more on ways and and difference. is of things. asset preservation contract areas and types communities, we we

Austin Wurschmidt

continue entire to, you some in could particular out but rolled certain submarkets, moving portfolio that point Anything rolled in can you that across the haven't to have generate forward? savings

Keith Kimmel

still so is there to is opportunities. don't I say question. believe secret the But would sauce, I what the is, appreciate get Austin, speak want we to into here.

Austin Wurschmidt

Thanks for enough. Fair the time.

Operator

comes Nick Please Joseph of question And today go ahead. the Citi. next from

Nick Joseph

Thanks.

Austin's asset; the yield did then how new? versus underwritten redevelopment property the Boulder Going newbuilds? stabilized And a of rebuilding you question, de-leasing for weigh on the and the what's back to targeted

Keith Kimmel

the -- bought Well Nick, it it. in trust built XXs, remember original has before East this the maintenance. return, of as lot candidly a tired. It is opportunity late for bought it been old in assess and new was the using determine We and the it redevelopment, was We the was it correctly, land of family lot site, location full owned primarily we the and was development a Boulder. property that through site, if in an versus did a investors, was an property decades I of a of just there, a best Pointe, a there the within tired, deferred and doing the seeing site, redevelopment best

Nick Joseph

the What's yield targeted on development? Thanks. the

Keith Kimmel

yield the Xs. in Targeted mid is

Nick Joseph

Terry Then a remarks, Thanks. rotation in mentioned year. you next supply your of prepared

terms to have in will expectation which and XXXX your year, terms expect markets expecting across next supply the comps? more you So compete which favorable what with of are within markets, XXXX and are supply versus markets, in of supply you

Terry Considine

give But in to quarter today, that, will the we we of in camp in focus on and as January. completion But for of update year, we next I will did what thinks plan third the a places. Nick, want you that we is different say new XXXX. we full but it the think competitive that be continues, that are supply

Nick Joseph

late initial your the mid timing finally changed many the all? on changed, And maybe expecting of Thanks. to has to relative mentioned for you sales; the the at expectations, any just then sales, has of or December prices asset

Terry Considine

no. No,

of a them no, that are have have for they nearly contract are expected Others now. top where been Some under ones of come right we these under are be. of kind newer to in on contract and year. But

Nick Joseph

Thanks.

Operator

America next question Juan comes go of today Sanabria And ahead. our Merrill from of Bank Please Lynch.

Juan Sanabria

the for Thanks Hi. time.

hoping into previously your about DC, going as that of and properties a Mid-Wilshire you just a market Just give new thoughts about, delve seems kind couple there. your to seeing into if your of with you latest little markets, an are LA on could In and affected think being bit and how issue XXXX, of worried obviously supply we could having you two? those some XXXX, us everybody trends, be downtown DC a

Keith Kimmel

little of a the Hey previous predicated I little it been when It will variety bit a jobs I those emphasis DC; quarters, point particular steady on our in of building coming sluggish our what beginning and at But of so, back third rates cases lease-ups our those different lot I of and through the having kind have of put our of whether was more reflection has or a existing progression on has or Juan, of number of occupancy it's DC, retaining with Keith. at look that, a in really walk XX%, government sluggish. over a ones. generations customers, the over the both and we start will that's we are year gotten you. is second where of occupancy. quarter, a of for expectations out best things,

and for getting was renewals. X% XX% in we quarter, DC turnover in the Our at were

within obviously Los all So Los is feel of DC the the about day, Staples there forward. and there within it more of big At kinds is at has some we it. places, that located we a micromarkets Angeles day, -- submarkets best the good still and we place, entire know while going and supply Los Angeles, is Angeles end portfolio. end the and Mid-Wilshire of of some in and believe we where the but there have other throughout looks sluggishness, the In assets it's

And feel have seen seen we us, our Angeles strong coming third there, the improvements to for good we quarter we so, Los there. position and continue about have here in

Terry Considine

And at commentary increase supply within But they the party significant Juan, add a the forecasts, DC third do expect mainly of on look a supply. in if DC district that's particular, could I if in the side you in just question, itself.

And so will suburban inflated. so be areas, A It's that that price they in price the asset other located points is a property at be at comfortable at vast and the and of we small fairly which the well rather portfolio in properties the we But only asset DC operate, those feel Virginia, our suburban and will affected candidly. have district. majority single point, a

Juan Sanabria

you whether speak and of with know opportunities Miami and have separately if projects? Second Manhattan acquisitions on kind environment, about acquisition to larger some I seeing new redevelopment you maybe staff kind you Subway of in at just potential spend, And in for talked are Avenue capital looking are anything spend? the you could are bigger [indiscernible] how then

John Bezzant

since would that, for as ago. Hey deals have deals, have on we We Juan, those We a aware, to are continue acquisition many John. I deals. this any Indigo, years. very we you on look one front, and underwrite number bought is not say fully that few of and to the two execute years of committed we as fair

but which creates caution caution, say, the discipline would is exercise we what cautious, to the for trade the discipline, are, I makes our continue we creates and So us. pair

and announcement In to our Yacht future. don't development in a there, the that terms deal Miami, to planning anything are its have any of Deal, in through work prospective big immediate continues terms underwrite continuing cycle, We analyze that we Club of and the way one. that pending is

story. York is New the same really

of looking have a on will we project of Parc and country, around call, handful is Mosaic that the the [indiscernible]. appropriately sense numbers We as we planned, on what I the, would the And is, opportunities side the when business, at. development make the plan

Juan Sanabria

Great. Thank you.

Operator

go And from comes our ahead. and next of Zelman question Associates. Peikidis today Please Pete

Pete Peikidis

Hey, thanks today. time for the

blended here, here you the question the I had to first fourth quarter, quarter. the So where prepared rents goes your the back through remarks, reacceleration, expect

just specific speak some terms driving you could -- what's in markets? that If of to

Paul Beldin

speak Pete, to is Well this manage related to the it, we Paul. because that's the will business. I whole, a how really portfolio as

portfolio, of as so, a And XX%. daily third ended average with we the quarter occupancy

forecast already up and are prior levels are points That's to the start October. to higher over acceleration of off XX basis an driving to occupancy. good we of a XX.X% year, We so for

see will we slightly by our lifted our expirations. Additionally, lease occupancy

of And what then of XXX with last really have the by year fewer second about expectation, the rate. in year. fourth piece driven expirations the We has this acceleration quarter happened than lease is

lease seen on If you the first compare the XXXX quarter would for a the XXXX, of growth. deceleration quarter there of quarter, rates first is our by have versus blended you

about However, at misspoke, if I population was quarter excuse of fourth fourth the growth from rate quarter you for X.X%. -- XXXX, look our XXXX, it of me, this

done with about fourth at are We are quarter we and our X.X%. activity this leasing XX% year,

to going ahead end feel that of last confident up year. So are pretty we

Pete Peikidis

the supply for the some into urban XXXX. through early you it near performance the here maybe Okay, and has like Seems speak and if In Boston. bit. to been there, in a Center but that there? just the the term, what that year-to-date, kind to just of October more how in are to of color. portfolio and of -- is the position that touch speak Cambridge then here just in softened could I Can here you of you lastly particular versus solid especially like a sort urban And it competitive suburban remainder Thanks has on seeing counter expected on great. dynamic submarkets year, and City

Keith Kimmel

Pete, I it's in what you. for course, it foremost take have buildings first really, will of we have Canal. the think Keith. we When urban, and about is, then Cambridge on there we and two

those are rest store So those focus, slightly course same not The our buildings Boston within outside. is and in so I suburban different. portfolio and would of our categorize of

So feel XX% impact bit nearly same little those new was buildings, occupied, and about city, it a while the be to supply or that's we the don't where feel it good ago, our a softer have and year almost position we there. pressures was from it's quite in than going

Pete Peikidis

All right. for it That's Great. me. Thanks.

Operator

[Operator question Green ahead. Advisors. go Wagner Please Instructions]. Today's comes Street next of from Conor

Conor Wagner

was that? other the income if in the Could is any markets driving to and quarter that there speak you. boost particular you Thank

Paul Beldin

in XX% so Hey that volatility is overall our total Thanks revenue income. our On about for by achievement a has Paul. what our Conor, comprises grown a has that rate this within cases, question utility income, at been it really, is, numbers has And drag the driven the over reimbursements. than rental as been, on on lower level most that's number. know, year-to-date revenue. basis, roughly other Other you of the

have are all costs residents. we our utility you that reimbursed of by our about thirds know, two As

up down, move amounts. so costs utility as our and so And do reimbursement

Conor Wagner

Lisa, give an then Thank on you. please? Airbnb the can us And update you suit

Lisa Cohn

Thanks the Sure. question for Conor.

through probably track hearing a time. lost And week, ago, last have all or December that on court. weeks for of early As filed a maybe Probably saw, you maybe we preliminary of motion a proceeding I that's early injunction January. couple in the

service. that do We really retention community focus ensuring residents, job, selecting which customer seek we for our continue most neighbors and to longevity delivers great has is that residents we the our create our and our on-site for and important to a

of a on place we So trespassing, measures we to have number which team put Keith's oppose you this in strongly. eliminate know,

Conor Wagner

guys in And side has because least of, in boost people your they any you. side, of your on terms willing rate rent on Just rent, at to in a pay that has do you unit? sense Thank plan then, any the have or the been of essentially more wholesaling Airbnb, communities?

Lisa Cohn

And creates financial I impact, it way. it we think see inside Conor, it a see is the because the detriment communities. we that negative the of other as

Conor Wagner

Thank Okay, great. you.

Operator

from And Anderson question Mizuho Securities. go comes today Rich our next Please of ahead.

Richard Anderson

Thanks very first question Paul, much. you. for

You into it's a you full big why G&A fourth case? for the explain the in that's type the million jump back Can quarter. year, $X

Paul Beldin

little G&A, the yearend rate. is Yeah. Always volatility quarters. of there run within the a real is consistent bit a between There not

on would what basis, year-to-date we costs so And pro-rata a of G&A recognition running behind be. our are a

the fourth we to catch up And so in expect benefited quarter. little year-to-date a but G&A, a bit on basis, have here we from of that timing it

Richard Anderson

potential the it doesn't the you quarter? of in way fourth plan? happen upside a source there Is Somehow

Paul Beldin

that would think happen; the yes, Well it if things we an be happen, upside. don't will

Richard Anderson

ultimately now for bringing a impacting think add business, could potential together, obvious. Do and it's a I multifamily business? of But but rental like. net I that And would say then, of you wondering is of from bigger and Ernie of a years a you for of think out sort wider maybe lost can businesses am you come portfolio, you the since of in deny what single single business, about, statement that, that bit and in maturity of if question Just your curiosity, probably do growth Terry. tenants a together? have two from about you just the family and to not Thank that now, A chance question or by five, if confirm you the XX on more family Friday. little is you lot think that predict, the there flavorful picture

Terry Considine

insights, a asked we doing doing have He this job keep friend quite usual say and trojan He with are I it And overlap, great a question. well will planning would that they customer. a and But the you convergence. to touch. independently, be Rich, same horse really your good they we when is do and is that Ernie is incorrect serve think in and a dear can there. that

there on so the But the customers is is serve. these think structure. I the based difference division between focus fundamental a they And on more two the categories, physical

the serve single -- multifamily about occupants. our side, half are we customers on of Now

suburban all they configuration, third a customers a some swing are different not attracted I home of party going their might so But a to want to are have them necessarily On of to set. have though, single a and well And management. a yard configuration. our story with

management in that have the the of is [ph] think what's unit be up -- now known think rental, what one being as will very lawn are so as mow single well if And we done. now you be Keys to on distinctive I arrange whether if for. live to service factor, fine getting -- multifamily a structure, the you the side, family you multiple to story structure or are a known you that will the end are own it for is that you going in or your

we in think I you So see the blending, it's going to I so. another think Aimco will instance when will add be and year see an that portfolio, or of division. it you And some

our its Preserve think to project. structures family XX Marin I single at

Richard Anderson

Okay.

maybe can some room retirement your that in So someday? of lawns in some you mow

Terry Considine

We them shape. in will keep

Richard Anderson

it. Okay. Thanks very Appreciate much.

Terry Considine

you. Thank Yeah.

Operator

ahead. Raymond Please our Horne next Buck go And James. from gentlemen, ladies comes question and of

Buck Horne

I afternoon. Paul. one have one just good quick for Hey,

guidance understand little bit store trying expense the better. a Just to same

go up looking X.X% to, for are So expenses to year-to-date, I you full is but guess, up midpoint trending X.X%. year

side the in a that you catches up that in the fourth function de-leasing fourth the expense about of were on there quarter? of properties is So those the Is quarter? talking something

Terry Considine

Buck, question a comp. Actually, tough you questions. of for just your thank a

fourth would you some appeals last quarter our to tax insurance go talked as lower than real came typical costs. If well back about as much we year, estate have through, that

And increase comp create expenses. two the so basically operating those in the QX a -- large numbers, against

point X.X XX so expect from basis And midpoint. we gets expense the us year-to-date the that that the at to growth

Buck Horne

Okay. That's had. all you. Thank I

Operator

our Terry session. to I'd any this for And the gentlemen, over remarks. to concludes ladies conference and Considine turn back closing question-and-answer like

Terry Considine

of you wish see a couple all interest you in of you Thank to for thank look happy at many of in you everyone very weeks. Halloween and I your a and Rocco you thank Aimco. NAREIT forward want much. Well to

Operator

presentation. Today's now sir. all attending thank for you today's concluded, And has we you and conference thank

day. and now disconnect wonderful lines a You have may your

Apartment Investment and Management (AIV) 27 Oct 172017 Q3 Earnings call transcript