EX-99.1 3 ex-991quarterlyxsir9302018.htm EXHIBIT 99.1 Exhibit
Exhibit 99.1



sfincomereitlogoa29.jpg
 
18100 Von Karman Avenue
Suite 500
Irvine, CA 92612
949.852.0700
NEWS RELEASE
Contact:
Jennifer Franklin
Phone:
949.333.1721
Email:
jfranklin@Stiracmg.com
STEADFAST INCOME REIT, INC. ANNOUNCES
RESULTS FOR THE QUARTER ENDED SEPTEMBER 30, 2018
Irvine, Calif., November 9, 2018 — Steadfast Income REIT, Inc. (the “Company”) announced today its operating results for the three and nine months ended September 30, 2018.
During the nine months ended September 30, 2018, the Company disposed of 11 multifamily properties, including the contribution of eight properties to a joint venture with Blackstone Real Estate Investment Trust, Inc. (the "Joint Venture") in the first quarter of 2018, and acquired two multifamily properties in the second quarter of 2018. The reduction of the size of the Company's portfolio as a result of the contribution of properties to the Joint Venture and other property sales had a significant impact on the Company's results of operations for the three and nine months ended September 30, 2018, compared to the three and nine months ended September 30, 2017.
For the three and nine months ended September 30, 2018, the Company had total revenues of $36.2 million and $105.8 million compared to $55.6 million and $165.0 million for the three and nine months ended September 30, 2017. Net (loss) income was $(6.5) million and $58.9 million for the three and nine months ended September 30, 2018, compared to net loss of $2.3 million and $13.6 million for the three and nine months ended September 30, 2017. Total assets of the Company at September 30, 2018, were $1.08 billion, compared to $1.25 billion at December 31, 2017.
Highlights:
The Company:
•
Owned as of September 30, 2018, (i) a multifamily property portfolio of 39 properties comprised of a total of 10,622 apartment homes and 21,130 square feet of rentable commercial space at two properties with an aggregate purchase price of $1.1 billion and (ii) a 10% ownership interest in the Joint Venture.
•
Had $383.1 million of fixed rate debt with a weighted-average interest rate of 3.96% and $391.1 million of variable rate debt with a weighted-average interest rate of 4.42% as of September 30, 2018. The weighted average interest rate on the Company's total outstanding debt was 4.19% as of September 30, 2018.
•
Funded $6.8 million for improvements to real estate investments for the nine months ended September 30, 2018, compared to $12.3 million for the nine months ended September 30, 2017.

1

•
Experienced a decrease in net operating income (“NOI”) from $27.6 million and $84.5 million for the three and nine months ended September 30, 2017, to NOI of $18.9 million and $55.2 million for the three and nine months ended September 30, 2018. (See the reconciliation of NOI to net income (loss) and accompanying notes contained within this release for additional information on how the Company calculates NOI.)
•
Experienced a decrease in modified funds from operations (“MFFO”), as defined by the Institute for Portfolio Alternatives (formerly known as the Investment Program Association) ("IPA"), from $10.6 million and $35.9 million for the three and nine months ended September 30, 2017, to MFFO of $6.8 million and $19.1 million for the three and nine months ended September 30, 2018. (See the reconciliation of MFFO to net income (loss) and accompanying notes contained within this release for additional information on how the Company calculates MFFO.)
•
Experienced a decrease in funds from operations (“FFO”), as defined by the National Association of Real Estate Investment Trusts ("NAREIT"), from $10.1 million and $34.8 million for the three and nine months ended September 30, 2017, to FFO of $6.8 million and $16.6 million for the three and nine months ended September 30, 2018. (See the reconciliation of FFO to net income (loss) and accompanying notes contained within this release for additional information on how the Company calculates FFO.)
•
Reported net cash provided by operating activities of $20.0 million for the nine months ended September 30, 2018, compared to $35.9 million for the nine months ended September 30, 2017. Net cash provided by investing activities was $97.1 million for the nine months ended September 30, 2018, compared to $28.6 million for the nine months ended September 30, 2017.
•
Reported net cash used in financing activities of $209.2 million for the nine months ended September 30, 2018, which included $111.8 million of distributions paid, all of which were paid in cash. Net cash used in financing activities was $54.4 million for the nine months ended September 30, 2017, which included $40.9 million of distributions paid, all of which were paid in cash.

"According to survey data by Freddie Mac, 78% of people now say that renting is more affordable than owning. This is an increase of 11 percentage points from only six months ago," said Ella Neyland, president of the Company. "This economic reality continues to drive demand for the type of moderate income, quality apartment communities that Steadfast Income REIT owns."

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About Steadfast Income REIT, Inc.
     Steadfast Income REIT, Inc. is a real estate investment trust that was formed to acquire and operate a diverse portfolio of real estate investments focused primarily on the multifamily sector, including stable, income-producing and value-added properties.
     Steadfast Income REIT, Inc. is sponsored by Steadfast REIT Investments, LLC, an affiliate of Steadfast Companies, an Orange County, California-based group of affiliated real estate investment and operating companies that acquire, develop and manage real estate in the U.S. and Mexico.
###
This release contains certain forward-looking statements. Words such as "anticipates", "expects", "intends", "plans", "believes", "seeks", "estimates", "may" and "should" and their variations identify forward-looking statements. Because such statements include risks, uncertainties and contingencies, actual results may differ materially from those expressed or implied by such forward-looking statements and you should not place undue reliance on any such statements. A number of important factors could cause actual results to differ materially from the forward-looking statements contained in this release. Such factors include those described in the Risk Factors section of the Company's public filings with the Securities and Exchange Commission. Forward-looking statements in this document speak only as of the date on which such statements were made, and the company undertakes no obligation to update any such statements that may become untrue because of subsequent events. Such forward-looking statements are subject to the safe harbor protection for forward-looking statements contained in the Private Securities Litigation Reform Act of 1995.

FINANCIAL TABLES, NOTES AND EXHIBITS FOLLOW


3


STEADFAST INCOME REIT, INC.
CONSOLIDATED BALANCE SHEETS

 
September 30, 2018
 
December 31, 2017
 
(Unaudited)
 
 
ASSETS
Assets:
 
 
 
Real Estate:
 
 
 
Land
$
126,002,217

 
$
106,932,041

Building and improvements
1,037,152,532

 
916,068,353

Tenant origination and absorption costs
1,766,904

 
—

Other intangible assets
2,644,263

 
2,644,263

Total real estate held for investment, cost
1,167,565,916

 
1,025,644,657

Less accumulated depreciation and amortization
(216,584,185
)
 
(182,081,988
)
Total real estate held for investment, net
950,981,731

 
843,562,669

Real estate held for sale, net
—

 
183,152,661

Total real estate, net
950,981,731

 
1,026,715,330

Cash and cash equivalents
97,309,038

 
171,228,485

Restricted cash
15,576,439

 
31,005,231

Investment in unconsolidated joint venture
13,818,724

 
8,133,156

Rents and other receivables
2,280,501

 
2,737,800

Assets related to real estate held for sale
—

 
2,862,292

Other assets
2,321,271

 
3,258,584

Total assets
$
1,082,287,704

 
$
1,245,940,878

LIABILITIES AND STOCKHOLDERS’ EQUITY
Liabilities:
 
 
 
Accounts payable and accrued liabilities
$
30,124,758

 
$
28,004,830

Notes payable:
 
 
 
Mortgage notes payable, net
721,917,291

 
625,302,105

Credit facility, net
52,333,769

 
90,222,098

Notes payable related to real estate held for sale, net
—

 
160,261,735

Total notes payable, net
774,251,060

 
875,785,938

Distributions payable
3,411,890

 
4,595,301

Due to affiliates
1,537,339

 
1,967,129

Liabilities related to real estate held for sale
—

 
4,939,907

Total liabilities
809,325,047

 
915,293,105

Commitments and contingencies
 
 
 
Stockholders’ Equity:
 
 
 
Preferred stock, $0.01 par value per share; 100,000,000 shares authorized, no shares issued and outstanding
—

 
—

Common stock $0.01 par value per share; 999,999,000 shares authorized, 74,868,939 and 75,479,409 shares issued and outstanding at September 30, 2018 and December 31, 2017, respectively
748,690

 
754,794

Convertible stock, $0.01 par value per share; 1,000 shares authorized, issued and outstanding as of September 30, 2018 and December 31, 2017, respectively
10

 
10

Additional paid-in capital
658,186,441

 
664,110,915

Cumulative distributions and net losses
(385,972,484
)
 
(334,217,946
)
Total stockholders’ equity
272,962,657

 
330,647,773

Total liabilities and stockholders’ equity
$
1,082,287,704

 
$
1,245,940,878



4



STEADFAST INCOME REIT, INC.
CONSOLIDATED STATEMENTS OF OPERATIONS
(Unaudited)

 
Three Months Ended September 30,
 
Nine Months Ended September 30,
 
2018
 
2017
 
2018
 
2017
Revenues:
 
 
 
 
 
 
 
Rental income
$
31,885,583

 
$
49,068,474

 
$
93,133,369

 
$
146,047,621

Tenant reimbursements and other
4,356,135

 
6,523,633

 
12,620,283

 
18,943,156

Total revenues
36,241,718

 
55,592,107

 
105,753,652

 
164,990,777

Expenses:
 
 
 
 
 
 
 
Operating, maintenance and management
10,457,329

 
16,392,711

 
28,936,191

 
44,808,803

Real estate taxes and insurance
5,657,098

 
9,275,615

 
18,329,576

 
28,982,886

Fees to affiliates
4,113,139

 
5,682,920

 
11,854,429

 
16,972,905

Depreciation and amortization
12,579,032

 
17,850,748

 
34,781,722

 
53,852,540

Interest expense
8,452,962

 
11,655,008

 
24,021,396

 
33,763,957

Loss on debt extinguishment
—

 
401,674

 
2,282,247

 
401,674

General and administrative expenses
1,151,340

 
2,042,856

 
4,835,308

 
5,218,885

Total expenses
42,410,900

 
63,301,532

 
125,040,869

 
184,001,650

Loss before other (expense) income
(6,169,182
)
 
(7,709,425
)
 
(19,287,217
)
 
(19,010,873
)
Other (expense) income:
 
 
 
 
 
 
 
Equity in loss from unconsolidated joint venture
(287,540
)
 
—

 
(3,102,044
)
 
—

Gain on sales of real estate, net
—

 
5,382,847

 
81,247,054

 
5,382,847

Total other (expense) income
(287,540
)
 
5,382,847

 
78,145,010

 
5,382,847

Net (loss) income
$
(6,456,722
)
 
$
(2,326,578
)
 
$
58,857,793

 
$
(13,628,026
)
(Loss) income per common share — basic and diluted
$
(0.09
)
 
$
(0.03
)
 
$
0.78

 
$
(0.18
)
Weighted average number of common shares outstanding — basic
74,928,285

 
75,707,400

 
75,164,006

 
75,884,934

Weighted average number of common shares outstanding — diluted
74,940,350

 
75,707,400

 
75,176,774

 
75,884,934

Distributions declared per common share
$
0.140

 
$
0.181

 
$
1.470

 
$
0.536



5


Steadfast Income REIT, Inc.
Non-GAAP Measures - FFO and MFFO Reconciliation
For the Three and Nine Months Ended September 30, 2018 and 2017
Due to certain unique operating characteristics of real estate companies, as discussed below, NAREIT, an industry trade group, has promulgated a measure known as funds from operations, or FFO, which the Company believes to be an appropriate supplemental measure to reflect the operating performance of a real estate investment trust ("REIT"). The use of FFO is recommended by the REIT industry as a supplemental performance measure. FFO is not equivalent to the Company's net income or loss as determined under U.S. Generally Accepted Accounting Principals ("GAAP").
The Company defines FFO, a non-GAAP financial measure, consistent with the standards established by the White Paper on FFO approved by the Board of Governors of NAREIT, as revised in February 2004 (the "White Paper"). The White Paper defines FFO as net income or loss computed in accordance with GAAP, excluding gains or losses from sales of property and non-cash impairment charges of real estate related investments, plus real estate related depreciation and amortization, and after adjustments for unconsolidated partnerships and joint ventures. In particular, the Company believes it is appropriate to disregard impairment charges, as this is a fair value adjustment that is largely based on market fluctuations and assessments regarding general market conditions which can change over time. An asset will only be evaluated for impairment if certain impairment indications exist and if the carrying, or book value, exceeds the total estimated undiscounted future cash flows (including net rental and lease revenues, net proceeds on the sale of the property, and any other ancillary cash flows at a property or group level under GAAP) from such asset. Investors should note, however, that determinations of whether impairment charges have been incurred are based partly on anticipated operating performance, because estimated undiscounted future cash flows from a property, including estimated future net rental and lease revenues, net proceeds on the sale of the property, and certain other ancillary cash flows, are taken into account in determining whether an impairment charge has been incurred. While impairment charges are excluded from the calculation of FFO as described above, investors are cautioned that due to the fact that impairments are based on estimated future undiscounted cash flows and the relatively limited term of the Company's operations, it could be difficult to recover any impairment charges. The Company's FFO calculation complies with NAREIT’s policy described above.
The historical accounting convention used for real estate assets requires straight-line depreciation of buildings and improvements, which implies that the value of real estate assets diminishes predictably over time, especially if such assets are not adequately maintained or repaired and renovated as required by relevant circumstances and/or as requested or required by lessees for operational purposes in order to maintain the value disclosed. The Company believes that since real estate values historically rise and fall with market conditions, including inflation, interest rates, the business cycle, unemployment and consumer spending, presentations of operating results for a REIT using historical accounting for depreciation may be less informative. Historical accounting for real estate involves the use of GAAP. Any other method of accounting for real estate such as the fair value method cannot be construed to be any more accurate or relevant than the comparable methodologies of real estate valuation found in GAAP. Nevertheless, the Company believes that the use of FFO, which excludes the impact of real estate related depreciation and amortization, provides a more complete understanding of its performance to investors and to management, and when compared year over year, reflects the impact on its operations from trends in occupancy rates, rental rates, operating costs, general and administrative expenses, and interest costs, which may not be immediately apparent from net income. However, FFO, and modified funds from operations, or MFFO, as described below, should not be construed to be more relevant or accurate than the current GAAP methodology in calculating net income or in its applicability in evaluating the Company's operating performance. The method utilized to evaluate the value and performance of real estate under GAAP

6


should be construed as a more relevant measure of operational performance and considered more prominently than the non-GAAP FFO and MFFO measures and the adjustments to GAAP in calculating FFO and MFFO.
Changes in the accounting and reporting promulgations under GAAP (for acquisition fees and expenses from a capitalization/depreciation model to an expensed-as-incurred model) that were put into effect in 2009 and other changes to GAAP accounting for real estate subsequent to the establishment of NAREIT’s definition of FFO have prompted an increase in cash-settled expenses, specifically acquisition fees and expenses for all industries as items that are expensed under GAAP, that are typically accounted for as operating expenses. The Company's management believes these fees and expenses do not affect the Company's overall long-term operating performance. Publicly registered, non-listed REITs typically have a significant amount of acquisition activity and are substantially more dynamic during their initial years of investment and operation. While other start-up entities may also experience significant acquisition activity during their initial years, the Company believes that public, non-listed REITs, are unique in that they have a limited life with targeted exit strategies within a relatively limited time frame after acquisition activity ceases. The Company's board of directors will determine to pursue a liquidity event when it believes that the then-current market conditions are favorable. Thus, as a limited life REIT the Company will not continuously purchase assets and will have a limited life.
Due to the above factors and other unique features of publicly registered, non-listed REITs, the IPA, an industry trade group, has standardized a measure known as MFFO, which it has recommended as a supplemental measure for publicly registered non-listed REITs and which the Company believes to be another appropriate supplemental measure to reflect the operating performance of a public, non-listed REIT having the characteristics described above. MFFO is not equivalent to net income or loss as determined under GAAP, and MFFO may not be a useful measure of the impact of long-term operating performance on value if the Company does not continue to operate with a limited life and targeted exit strategy, as currently intended. The Company believes that, because MFFO excludes costs that it considers more reflective of investing activities and other non-operating items included in FFO and also excludes acquisition fees and expenses that are not capitalized, as discussed below, and affects its operations only in periods in which properties are acquired, MFFO can provide, on a going forward basis, an indication of the sustainability (that is, the capacity to continue to be maintained) of its operating performance after the period in which it is acquiring properties and once its portfolio is in place. By providing MFFO, the Company believes it is presenting useful information that assists investors and analysts to better assess the sustainability of its operating performance after its offering has been completed and its properties have been acquired. The Company also believes that MFFO is a recognized measure of sustainable operating performance by the non-listed REIT industry. Further, the Company believes MFFO is useful in comparing the sustainability of its operating performance after its offering and acquisitions are completed with the sustainability of the operating performance of other real estate companies that are not as involved in acquisition activities. Investors are cautioned that MFFO should only be used to assess the sustainability of the Company's operating performance after its offering has been completed and properties have been acquired, as it excludes acquisition costs that have a negative effect on the Company's operating performance during the periods in which properties are acquired.
The Company defines MFFO, a non-GAAP financial measure, consistent with the IPA’s Guideline 2010-01, Supplemental Performance Measure for Publicly Registered, Non-Listed REITs: Modified Funds from Operations (the "Practice Guideline"), issued by the IPA in November 2010. The Practice Guideline defines MFFO as FFO further adjusted for the following items, as applicable, included in the determination of GAAP net income: acquisition fees and expenses; amounts relating to deferred rent receivables and amortization of above and below market leases and liabilities (which are adjusted in order to reflect such payments from a GAAP accrual basis to a cash basis of disclosing the rent and lease payments); accretion of discounts and

7


amortization of premiums on debt investments; mark-to-market adjustments included in net income; nonrecurring gains or losses included in net income from the extinguishment or sale of debt, hedges, foreign exchange, derivatives or securities holdings where trading of such holdings is not a fundamental attribute of the business plan, unrealized gains or losses resulting from consolidation from, or deconsolidation to, equity accounting, and after adjustments for consolidated and unconsolidated partnerships and joint ventures, with such adjustments calculated to reflect MFFO on the same basis. The accretion of discounts and amortization of premiums on debt investments, nonrecurring unrealized gains and losses on hedges, foreign exchange, derivatives or securities holdings, unrealized gains and losses resulting from consolidations, as well as other listed cash flow adjustments are adjustments made to net income in calculating the cash flows provided by operating activities and, in some cases, reflect gains or losses which are unrealized and may not ultimately be realized. While the Company relies on its external advisor for managing interest rate, hedge and foreign exchange risk, the Company does not retain an outside consultant to review all of its hedging agreements. Inasmuch as interest rate hedges are not a fundamental part of the Company's operations, the Company believes it is appropriate to exclude such non-recurring gains and losses in calculating MFFO, as such gains and losses are not reflective of on-going operations.
The Company's MFFO calculation complies with the IPA’s Practice Guideline described above, except with respect to certain acquisition fees and expenses as discussed below. In calculating MFFO, the Company excludes acquisition related expenses that are not capitalized, amortization of above and below market leases, fair value adjustments of derivative financial instruments, deferred rent receivables and the adjustments of such items related to noncontrolling interests. Historically, under GAAP, acquisition fees and expenses were characterized as operating expenses in determining operating net income. However, following the recent publication of ASU 2017-01, Business Combinations (Topic 805): Clarifying the definition of business (“ASU 2017-01”), acquisition fees and expenses are capitalized and depreciated under certain conditions. The Company elected to early adopt ASU 2017-01, resulting in a substantial part of acquisition fees and expenses being capitalized and therefore not excluded from the calculation of MFFO but captured as depreciation in calculating FFO. These expenses are paid in cash by the Company. All paid and accrued acquisition fees and expenses will have negative effects on returns to investors, the potential for future distributions, and cash flows generated by the Company, unless earnings from operations or net sales proceeds from the disposition of other properties are generated to cover the purchase price of the property, these fees and expenses and other costs related to such property. In the event that operational earnings and cash flow are not available to fund the reimbursement of acquisition fees and expenses incurred by the Company's advisor, such fees and expenses will need to be reimbursed to the advisor from other sources, including debt, net proceeds from the sale of properties, or from ancillary cash flows. The acquisition of properties, and the corresponding acquisition fees and expenses, is the key operational feature of the Company's business plan to generate operational income and cash flow to fund distributions to stockholders. Further, under GAAP, certain contemplated non-cash fair value and other non-cash adjustments are considered operating non-cash adjustments to net income in determining cash flow from operating activities. In addition, the Company views fair value adjustments of derivatives and gains and losses from dispositions of assets and loss on extinguishment of debt as non-recurring items or items which are unrealized and may not ultimately be realized, and which are not reflective of on-going operations and are therefore typically adjusted for when assessing operating performance.
The Company's management uses MFFO and the adjustments used to calculate MFFO in order to evaluate the Company's performance against other public, non-listed REITs which have limited lives with short and defined acquisition periods and targeted exit strategies shortly thereafter. As noted above, MFFO may not be a useful measure of the impact of long-term operating performance on value if the Company does not continue to operate in this manner. The Company believes that its use of MFFO and the adjustments used to calculate MFFO allow the Company to present its performance in a manner that reflects

8


certain characteristics that are unique to public, non-listed REITs, such as their limited life, limited and defined acquisition period and targeted exit strategy, and hence that the use of such measures is useful to investors. By excluding expensed acquisition costs that are not capitalized, the use of MFFO provides information consistent with the Company's management's analysis of the operating performance of the properties. Additionally, fair value adjustments, which are based on the impact of current market fluctuations and underlying assessments of general market conditions, but can also result from operational factors such as rental and occupancy rates, may not be directly related or attributable to the Company's current operating performance. By excluding such changes that may reflect anticipated and unrealized gains or losses, the Company believes MFFO provides useful supplemental information.
Presentation of this information is intended to provide useful information to investors as they compare the operating performance to that of other public, non-listed REITs, although it should be noted that not all public, non-listed REITs calculate FFO and MFFO the same way, so comparisons with other public, non-listed REITs may not be meaningful. Furthermore, FFO and MFFO are not necessarily indicative of cash flow available to fund cash needs and should not be considered as an alternative to net income (loss) or income (loss) from continuing operations as an indication of the Company's performance, as an alternative to cash flows from operations as an indication of the Company's liquidity, or indicative of funds available to fund the Company's cash needs, including the Company's ability to make distributions to stockholders. FFO and MFFO should be reviewed in conjunction with GAAP measurements as an indication of the Company's performance. MFFO is useful in assisting the Company's management and investors in assessing the sustainability of operating performance in future operating periods, and in particular, after the offering and acquisition stages are complete and net asset value is disclosed. MFFO is not a useful measure in evaluating net asset value because impairments are taken into account in determining net asset value but not in determining MFFO.
Neither the Securities and Exchange Commission (the "SEC"), NAREIT nor any other regulatory body has passed judgment on the acceptability of the adjustments that the Company uses to calculate FFO or MFFO. In the future, the SEC, NAREIT or another regulatory body may decide to standardize the allowable adjustments across the non-listed REIT industry and in response to such standardization the Company may have to adjust its calculation and characterization of FFO or MFFO accordingly.

9



The Company's calculation of FFO and MFFO is presented in the following table for the three and nine months ended September 30, 2018 and 2017 (amounts unaudited):
 
 
For the Three Months Ended September 30,
 
For the Nine Months Ended September 30,
Reconciliation of net income (loss) to MFFO:
 
2018
 
2017
 
2018
 
2017
Net (loss) income
 
$
(6,456,722
)
 
$
(2,326,578
)
 
$
58,857,793

 
$
(13,628,026
)
Depreciation of real estate assets
 
11,657,288

 
17,812,456

 
33,498,945

 
53,737,664

Amortization of lease-related costs
 
921,744

 
38,292

 
1,282,777

 
114,876

Gain on sales of real estate, net
 
—

 
(5,382,847
)
 
(81,247,054
)
 
(5,382,847
)
Adjustments for investment in unconsolidated joint venture(1)
 
648,524

 
—

 
4,215,228

 
—

FFO
 
6,770,834

 
10,141,323

 
16,607,689

 
34,841,667

Acquisition expenses(2)(3)
 
13,641

 
—

 
314,774

 
—

Unrealized (gain) loss on derivative instruments
 
(18,199
)
 
90,601

 
(103,506
)
 
606,690

Loss on debt extinguishment
 
—

 
401,674

 
2,282,247

 
401,674

MFFO
 
$
6,766,276

 
$
10,633,598

 
$
19,101,204

 
$
35,850,031

________________
(1)
Reflects adjustments to add back our noncontrolling interest share of the adjustments to reconcile the Company's net income (loss) attributable to common stockholders to FFO for the Company's equity investment in the unconsolidated joint venture, which principally consists of depreciation and amortization incurred by the joint venture.
(2)
By excluding acquisition expenses, management believes MFFO provides useful supplemental information that is comparable for each type of real estate investment and is consistent with management’s analysis of the investing and operating performance of the Company's properties. Acquisition expenses include payments to the Company's advisor or third parties. Historically, acquisition expenses under GAAP were considered operating expenses and as expenses included in the determination of net income (loss) and income (loss) from continuing operations, both of which are performance measures under GAAP. Following the recent publication of ASU 2017-01, acquisition expenses are capitalized and depreciated under certain conditions. We elected to early adopt ASU 2017-01 resulting in a substantial part of our acquisition expenses being capitalized and therefore not excluded from the calculation of MFFO but are captured as depreciation in calculating FFO. All paid and accrued acquisition expenses will have negative effects on returns to investors, the potential for future distributions, and cash flows generated by us, unless earnings from operations or net sales proceeds from the disposition of properties are generated to cover the purchase price of the property, these expenses and other costs related to the property. In the event that operational earnings and cash flow are not available to fund the reimbursement of acquisition expenses incurred by the Company's advisor, such expenses will need to be reimbursed to the advisor from other sources, including debt, operational earnings or cash flow, net proceeds from the sale of properties, or from ancillary cash flows.
(3)
Acquisition expenses for the three and nine months ended September 30, 2018, of $13,641 and $314,774 did not meet the criteria for capitalization under ASU 2017-01 and are recorded in general and administrative expenses in the accompanying condensed consolidated unaudited statements of operations. No acquisition expenses were incurred for each of the three and nine months ended September 30, 2017.

10


Steadfast Income REIT, Inc.
Non-GAAP Measures - Net Operating Income
For the Three and Nine Months Ended September 30, 2018 and 2017
Net Operating Income ("NOI") is a non-GAAP financial measure of performance. NOI is used by investors and the Company's management to evaluate and compare the performance of the Company's properties and to determine trends in earnings and to compute the fair value of the Company's properties as it is not affected by (1) the cost of funds of the Company, (2) acquisition costs of the Company, (3) non-operating fees paid to affiliates, (4) the impact of depreciation and amortization expenses as well as gains or losses from the sale of operating real estate assets that are included in net income computed in accordance with GAAP, or (5) general and administrative expenses and other gains and losses that are specific to the Company. The cost of funds is eliminated from net income because it is specific to the particular financing capabilities and constraints of the Company. The cost of funds is also eliminated because it is dependent on historical interest rates and other costs of capital as well as past decisions made by the Company regarding the appropriate mix of capital which may have changed or may change in the future. Acquisition costs and non-operating fees to affiliates are eliminated because they do not reflect continuing operating costs of the property owner. Depreciation and amortization expenses as well as gains or losses from the sale of operating real estate assets are eliminated because they may not accurately represent the actual change in value in the Company's multifamily properties that result from use of the properties or changes in market conditions. While certain aspects of real property do decline in value over time in a manner that is reasonably captured by depreciation and amortization, the value of the properties as a whole have historically increased or decreased as a result of changes in overall economic conditions instead of from actual use of the property or the passage of time. Gains and losses from the sale of real property vary from property to property and are affected by market conditions at the time of sale which will usually change from period to period. These gains and losses can create distortions when comparing one period to another or when comparing the Company's operating results to the operating results of other real estate companies that have not made similarly timed purchases or sales. The Company believes that eliminating these costs from net (loss) income is useful because the resulting measure captures the actual revenue generated and actual expenses incurred in operating its properties as well as trends in occupancy rates, rental rates and operating costs.
However, the usefulness of NOI is limited because it excludes general and administrative costs, interest expense, interest income and other expense, acquisition costs, certain fees paid to affiliates, depreciation and amortization expense and gains or losses from the sale of properties, and other gains and losses as stipulated by GAAP, the level of capital expenditures and leasing costs necessary to maintain the operating performance of the Company's properties, all of which are significant economic costs. NOI may fail to capture significant trends in these components of net income which further limits its usefulness.
NOI is a measure of the operating performance of the Company's properties but does not measure the Company's performance as a whole. NOI is therefore not a substitute for net (loss) income as computed in accordance with GAAP. This measure should be analyzed in conjunction with net (loss) income computed in accordance with GAAP. Other companies may use different methods for calculating NOI or similarly entitled measures and, accordingly, the Company's NOI may not be comparable to similarly entitled measures reported by other companies that do not define the measure exactly as the Company does.

11


The following is a reconciliation of the Company's NOI to net income (loss) for the three and nine months ended September 30, 2018 and 2017 (amounts unaudited):
 
 
For the Three Months Ended September 30,
 
For the Nine Months Ended September 30,
 
 
2018
 
2017
 
2018
 
2017
Net (loss) income
 
$
(6,456,722
)
 
$
(2,326,578
)
 
$
58,857,793

 
$
(13,628,026
)
Fees to affiliates(1)
 
2,603,225

 
3,573,959

 
7,731,826

 
10,723,093

Depreciation and amortization
 
12,579,032

 
17,850,748

 
34,781,722

 
53,852,540

Interest expense
 
8,452,962

 
11,655,008

 
24,021,396

 
33,763,957

Loss on debt extinguishment
 
—

 
401,674

 
2,282,247

 
401,674

General and administrative expenses
 
1,151,340

 
2,042,856

 
4,835,308

 
5,218,885

Gain on sales of real estate, net
 
—

 
(5,382,847
)
 
(81,247,054
)
 
(5,382,847
)
Adjustments for investment in unconsolidated joint venture(2)
 
1,001,590

 
—

 
5,236,092

 
—

Other gains(3)
 
(390,943
)
 
(174,912
)
 
(1,260,850
)
 
(446,742
)
Net operating income
 
$
18,940,484

 
$
27,639,908

 
$
55,238,480

 
$
84,502,534

________________
(1)
Fees to affiliates for the three and nine months ended September 30, 2018, exclude property management fees of $1,035,326 and $3,038,678 and other fees of $474,588 and $1,083,925, respectively, that are included in NOI. Fees to affiliates for the three and nine months ended September 30, 2017, exclude property management fees of $1,640,754 and $4,871,838 and other fees of $468,207 and $1,377,974, respectively, that are included in NOI.
(2)
Reflects adjustments to add back the Company's noncontrolling interest share of the adjustments to reconcile the Company's net income (loss) attributable to common stockholders to NOI for the Company's equity investment in the unconsolidated joint venture, which principally consists of depreciation, amortization and interest expense incurred by the joint venture.
(3)
Other gains for the three and nine months ended September 30, 2018 and 2017, include non-recurring insurance proceeds and interest income that are not included in NOI.



12


EXHIBIT A
logoa22.jpg
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Monthly Portfolio Snapshot
|
JULY 2018
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Property
 
Location
 
Total Units
 
Non-Revenue Units
 
Rentable Units
 
Average Occupied Units
 
Average % Occupied
 
% Leased
Multi-Family
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Clarion Park Apartments
 
Olathe, KS
 
220
 
1
 
219
 
205
 
93.2%
 
97.6%
Truman Farm Villas
 
Grandview, MO
 
200
 
1
 
199
 
195
 
97.5%
 
98.2%
EBT Lofts
 
Kansas City, MO
 
102
 
—
 
102
 
96
 
94.1%
 
97.7%
Spring Creek Apartments
 
Edmond, OK
 
252
 
1
 
251
 
232
 
92.1%
 
94.7%
Montclair Parc Apartment Homes
 
Oklahoma City, OK
 
360
 
1
 
359
 
339
 
94.2%
 
95.6%
Sonoma Grande Apartments
 
Tulsa, OK
 
336
 
1
 
335
 
315
 
93.8%
 
95.0%
Estancia Apartments
 
Tulsa, OK
 
294
 
1
 
293
 
270
 
91.8%
 
93.1%
Hilliard Park Apartments
 
Columbus, OH
 
201
 
1
 
200
 
193
 
96.0%
 
98.5%
Sycamore Terrace Apartments
 
Terre Haute, IN
 
250
 
1
 
249
 
238
 
95.2%
 
98.3%
Hilliard Summit Apartments
 
Columbus, OH
 
208
 
1
 
207
 
197
 
94.7%
 
97.6%
Forty 57 Apartments
 
Lexington, KY
 
436
 
1
 
435
 
415
 
95.2%
 
96.6%
Riverford Crossing Apartments
 
Frankfort, KY
 
300
 
1
 
299
 
292
 
97.3%
 
99.6%
Montecito Apartments
 
Austin, TX
 
268
 
2
 
266
 
261
 
97.4%
 
98.8%
Hilliard Grand Apartments
 
Dublin, OH
 
314
 
1
 
313
 
307
 
97.8%
 
99.1%
Library Lofts East
 
Kansas City, MO
 
118
 
—
 
118
 
110
 
93.2%
 
97.5%
Deep Deuce at Bricktown
 
Oklahoma City, OK
 
294
 
1
 
293
 
283
 
96.3%
 
97.5%
Retreat at Quail North
 
Oklahoma City, OK
 
240
 
1
 
239
 
225
 
93.8%
 
95.2%
Lodge at Trails Edge
 
Indianapolis, IN
 
268
 
2
 
266
 
256
 
95.5%
 
96.9%
Waterford on the Meadow
 
Plano, TX
 
350
 
—
 
350
 
329
 
94.0%
 
96.2%
Tapestry Park Apartments
 
Birmingham, AL
 
354
 
1
 
353
 
334
 
94.4%
 
98.1%
Dawntree Apartments
 
Carrolton, TX
 
400
 
—
 
400
 
386
 
96.5%
 
97.8%
Stuart Hall Lofts
 
Kansas City, MO
 
115
 
—
 
115
 
109
 
94.8%
 
98.0%
Bricegrove Park Apartments
 
Canal Winchester, OH
 
240
 
—
 
240
 
224
 
93.3%
 
96.5%
Retreat at Hamburg Place
 
Lexington, KY
 
150
 
1
 
149
 
143
 
95.3%
 
97.9%
Heights at 2121
 
Houston, TX
 
504
 
4
 
500
 
474
 
94.0%
 
95.8%
Villas at Huffmeister
 
Houston, TX
 
294
 
1
 
293
 
275
 
93.5%
 
97.0%
Villas at Kingwood
 
Kingwood, TX
 
330
 
1
 
329
 
317
 
96.1%
 
98.0%
Waterford Place at Riata Ranch
 
Cypress, TX
 
228
 
1
 
227
 
215
 
94.3%
 
95.9%
Carrington Place
 
Houston, TX
 
324
 
1
 
323
 
294
 
90.7%
 
93.0%
Carrington at Champion Forest
 
Houston, TX
 
284
 
1
 
283
 
267
 
94.0%
 
95.7%
Carrington Park at Huffmeister
 
Cypress, TX
 
232
 
1
 
231
 
221
 
95.3%
 
97.2%
Echo at Katy Ranch
 
Katy, TX
 
260
 
1
 
259
 
243
 
93.5%
 
95.6%
Heritage Grand at Sienna Plantation
 
Missouri City, TX
 
240
 
1
 
239
 
225
 
93.8%
 
96.8%
Mallard Crossing Apartments
 
Loveland, OH
 
350
 
1
 
349
 
332
 
94.9%
 
96.9%
Reserve at Creekside
 
Chattanooga, TN
 
192
 
1
 
191
 
184
 
95.8%
 
97.3%
Mapleshade Park
 
Dallas, TX
 
148
 
1
 
147
 
144
 
97.3%
 
98.5%
Oak Crossing Apartments
 
Fort Wayne, IN
 
222
 
1
 
221
 
211
 
95.0%
 
97.2%
Double Creek Flats
 
Plainfield, IN
 
240
 
—
 
240
 
216
 
90.0%
 
93.3%
Jefferson at the Perimeter
 
Dunwoody, GA
 
504
 
—
 
504
 
474
 
94.0%
 
95.8%
  Total
 
 
 
10,622
 
36
 
10,586
 
10,046
 
94.6%
 
96.7%
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 



 
 
 
 
Total Units
 
Total Square Footage
 
Occupied Square Footage
 
% Occupied
 
 
 
 
Commercial
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Library Lofts Commercial
 
Kansas City, MO
 
2
 
16,680
 
16,680
 
100.0%
 
 
 
 
Stuart Hall Commercial
 
Kansas City, MO
 
1
 
4,450
 
4,450
 
100.0%
 
 
 
 
Total
 
 
 
3
 
21,130
 
21,130
 
100.0%
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 



logoa22.jpg
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Monthly Portfolio Snapshot
|
August 2018
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Property
 
Location
 
Total Units
 
Non-Revenue Units
 
Rentable Units
 
Average Occupied Units
 
Average % Occupied
 
% Leased
Multi-Family
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Clarion Park Apartments
 
Olathe, KS
 
220
 
1
 
219
 
205
 
93.2%
 
97.9%
Truman Farm Villas
 
Grandview, MO
 
200
 
1
 
199
 
195
 
97.5%
 
98.4%
EBT Lofts
 
Kansas City, MO
 
102
 
—
 
102
 
96
 
94.1%
 
97.1%
Spring Creek Apartments
 
Edmond, OK
 
252
 
1
 
251
 
238
 
94.4%
 
96.2%
Montclair Parc Apartment Homes
 
Oklahoma City, OK
 
360
 
1
 
359
 
346
 
96.1%
 
97.0%
Sonoma Grande Apartments
 
Tulsa, OK
 
336
 
1
 
335
 
311
 
92.6%
 
94.6%
Estancia Apartments
 
Tulsa, OK
 
294
 
1
 
293
 
266
 
90.5%
 
91.9%
Hilliard Park Apartments
 
Columbus, OH
 
201
 
1
 
200
 
193
 
96.0%
 
99.2%
Sycamore Terrace Apartments
 
Terre Haute, IN
 
250
 
1
 
249
 
232
 
92.8%
 
96.7%
Hilliard Summit Apartments
 
Columbus, OH
 
208
 
1
 
207
 
196
 
94.2%
 
97.3%
Forty 57 Apartments
 
Lexington, KY
 
436
 
1
 
435
 
412
 
94.5%
 
95.6%
Riverford Crossing Apartments
 
Frankfort, KY
 
300
 
1
 
299
 
290
 
96.7%
 
98.5%
Montecito Apartments
 
Austin, TX
 
268
 
2
 
266
 
259
 
96.6%
 
97.9%
Hilliard Grand Apartments
 
Dublin, OH
 
314
 
1
 
313
 
308
 
98.1%
 
99.3%
Library Lofts East
 
Kansas City, MO
 
118
 
—
 
118
 
112
 
94.9%
 
99.1%
Deep Deuce at Bricktown
 
Oklahoma City, OK
 
294
 
1
 
293
 
282
 
95.9%
 
98.2%
Retreat at Quail North
 
Oklahoma City, OK
 
240
 
1
 
239
 
222
 
92.5%
 
94.4%
Lodge at Trails Edge
 
Indianapolis, IN
 
268
 
2
 
266
 
255
 
95.1%
 
96.4%
Waterford on the Meadow
 
Plano, TX
 
350
 
—
 
350
 
337
 
96.3%
 
98.1%
Tapestry Park Apartments
 
Birmingham, AL
 
354
 
1
 
353
 
342
 
96.6%
 
98.6%
Dawntree Apartments
 
Carrolton, TX
 
400
 
—
 
400
 
387
 
96.8%
 
97.9%
Stuart Hall Lofts
 
Kansas City, MO
 
115
 
—
 
115
 
105
 
91.3%
 
97.1%
Bricegrove Park Apartments
 
Canal Winchester, OH
 
240
 
—
 
240
 
222
 
92.5%
 
94.8%
Retreat at Hamburg Place
 
Lexington, KY
 
150
 
1
 
149
 
140
 
93.3%
 
95.8%
Heights at 2121
 
Houston, TX
 
504
 
4
 
500
 
471
 
93.5%
 
95.0%
Villas at Huffmeister
 
Houston, TX
 
294
 
1
 
293
 
283
 
96.3%
 
97.9%
Villas at Kingwood
 
Kingwood, TX
 
330
 
1
 
329
 
315
 
95.5%
 
97.4%
Waterford Place at Riata Ranch
 
Cypress, TX
 
228
 
1
 
227
 
211
 
92.5%
 
93.4%
Carrington Place
 
Houston, TX
 
324
 
1
 
323
 
296
 
91.4%
 
93.8%
Carrington at Champion Forest
 
Houston, TX
 
284
 
1
 
283
 
269
 
94.7%
 
96.4%
Carrington Park at Huffmeister
 
Cypress, TX
 
232
 
1
 
231
 
225
 
97.0%
 
98.1%
Echo at Katy Ranch
 
Katy, TX
 
260
 
1
 
259
 
242
 
93.1%
 
94.0%
Heritage Grand at Sienna Plantation
 
Missouri City, TX
 
240
 
1
 
239
 
227
 
94.6%
 
97.3%
Mallard Crossing Apartments
 
Loveland, OH
 
350
 
1
 
349
 
328
 
93.7%
 
95.4%
Reserve at Creekside
 
Chattanooga, TN
 
192
 
1
 
191
 
186
 
96.9%
 
97.4%
Mapleshade Park
 
Dallas, TX
 
148
 
1
 
147
 
145
 
98.0%
 
97.9%
Oak Crossing Apartments
 
Fort Wayne, IN
 
222
 
1
 
221
 
212
 
95.5%
 
97.4%
Double Creek Flats
 
Plainfield, IN
 
240
 
—
 
240
 
221
 
92.1%
 
94.9%
Jefferson at the Perimeter
 
Dunwoody, GA
 
504
 
—
 
504
 
469
 
93.1%
 
93.8%
  Total
 
 
 
10,622
 
36
 
10,586
 
10,051
 
94.6%
 
96.4%
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 



 
 
 
 
Total Units
 
Total Square Footage
 
Occupied Square Footage
 
% Occupied
 
 
 
 
Commercial
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Library Lofts Commercial
 
Kansas City, MO
 
2
 
16,680
 
16,680
 
100.0%
 
 
 
 
Stuart Hall Commercial
 
Kansas City, MO
 
1
 
4,450
 
4,450
 
100.0%
 
 
 
 
Total
 
 
 
3
 
21,130
 
21,130
 
100.0%
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 



logoa22.jpg
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Monthly Portfolio Snapshot
|
SEPTEMBER 2018
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Property
 
Location
 
Total Units
 
Non-Revenue Units
 
Rentable Units
 
Average Occupied Units
 
Average % Occupied
 
% Leased
Multi-Family
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Clarion Park Apartments
 
Olathe, KS
 
220
 
1
 
219
 
206
 
93.6%
 
97.1%
Truman Farm Villas
 
Grandview, MO
 
200
 
1
 
199
 
194
 
97.0%
 
97.5%
EBT Lofts
 
Kansas City, MO
 
102
 
—
 
102
 
96
 
94.1%
 
96.4%
Spring Creek Apartments
 
Edmond, OK
 
252
 
1
 
251
 
238
 
94.4%
 
95.4%
Montclair Parc Apartment Homes
 
Oklahoma City, OK
 
360
 
1
 
359
 
341
 
94.7%
 
95.6%
Sonoma Grande Apartments
 
Tulsa, OK
 
336
 
1
 
335
 
310
 
92.3%
 
93.5%
Estancia Apartments
 
Tulsa, OK
 
294
 
1
 
293
 
264
 
89.8%
 
92.6%
Hilliard Park Apartments
 
Columbus, OH
 
201
 
1
 
200
 
194
 
96.5%
 
98.2%
Sycamore Terrace Apartments
 
Terre Haute, IN
 
250
 
1
 
249
 
232
 
92.8%
 
94.5%
Hilliard Summit Apartments
 
Columbus, OH
 
208
 
1
 
207
 
197
 
94.7%
 
96.9%
Forty 57 Apartments
 
Lexington, KY
 
436
 
1
 
435
 
409
 
93.8%
 
95.8%
Riverford Crossing Apartments
 
Frankfort, KY
 
300
 
1
 
299
 
284
 
94.7%
 
96.3%
Montecito Apartments
 
Austin, TX
 
268
 
2
 
266
 
257
 
95.9%
 
96.4%
Hilliard Grand Apartments
 
Dublin, OH
 
314
 
1
 
313
 
302
 
96.2%
 
97.8%
Library Lofts East
 
Kansas City, MO
 
118
 
—
 
118
 
113
 
95.8%
 
97.9%
Deep Deuce at Bricktown
 
Oklahoma City, OK
 
294
 
1
 
293
 
278
 
94.6%
 
95.3%
Retreat at Quail North
 
Oklahoma City, OK
 
240
 
1
 
239
 
222
 
92.5%
 
93.5%
Lodge at Trails Edge
 
Indianapolis, IN
 
268
 
2
 
266
 
251
 
93.7%
 
95.4%
Waterford on the Meadow
 
Plano, TX
 
350
 
—
 
350
 
339
 
96.9%
 
98.5%
Tapestry Park Apartments
 
Birmingham, AL
 
354
 
1
 
353
 
334
 
94.4%
 
95.6%
Dawntree Apartments
 
Carrolton, TX
 
400
 
—
 
400
 
390
 
97.5%
 
98.2%
Stuart Hall Lofts
 
Kansas City, MO
 
115
 
—
 
115
 
108
 
93.9%
 
97.5%
Bricegrove Park Apartments
 
Canal Winchester, OH
 
240
 
—
 
240
 
227
 
94.6%
 
97.4%
Retreat at Hamburg Place
 
Lexington, KY
 
150
 
1
 
149
 
139
 
92.7%
 
93.5%
Heights at 2121
 
Houston, TX
 
504
 
4
 
500
 
471
 
93.5%
 
94.7%
Villas at Huffmeister
 
Houston, TX
 
294
 
1
 
293
 
282
 
95.9%
 
97.1%
Villas at Kingwood
 
Kingwood, TX
 
330
 
1
 
329
 
318
 
96.4%
 
97.9%
Waterford Place at Riata Ranch
 
Cypress, TX
 
228
 
1
 
227
 
207
 
90.8%
 
94.7%
Carrington Place
 
Houston, TX
 
324
 
1
 
323
 
301
 
92.9%
 
94.8%
Carrington at Champion Forest
 
Houston, TX
 
284
 
1
 
283
 
268
 
94.4%
 
95.9%
Carrington Park at Huffmeister
 
Cypress, TX
 
232
 
1
 
231
 
221
 
95.3%
 
96.9%
Echo at Katy Ranch
 
Katy, TX
 
260
 
1
 
259
 
238
 
91.5%
 
92.4%
Heritage Grand at Sienna Plantation
 
Missouri City, TX
 
240
 
1
 
239
 
227
 
94.6%
 
96.4%
Mallard Crossing Apartments
 
Loveland, OH
 
350
 
1
 
349
 
330
 
94.3%
 
95.3%
Reserve at Creekside
 
Chattanooga, TN
 
192
 
1
 
191
 
184
 
95.8%
 
96.2%
Mapleshade Park
 
Dallas, TX
 
148
 
1
 
147
 
144
 
97.3%
 
98.4%
Oak Crossing Apartments
 
Fort Wayne, IN
 
222
 
1
 
221
 
212
 
95.5%
 
97.2%
Double Creek Flats
 
Plainfield, IN
 
240
 
—
 
240
 
223
 
92.9%
 
94.8%
Jefferson at the Perimeter
 
Dunwoody, GA
 
504
 
3
 
501
 
454
 
90.1%
 
91.5%
  Total
 
 
 
10,622
 
39
 
10,583
 
10,005
 
94.2%
 
95.7%
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 



 
 
 
 
Total Units
 
Total Square Footage
 
Occupied Square Footage
 
% Occupied
 
 
 
 
Commercial
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Library Lofts Commercial
 
Kansas City, MO
 
2
 
16,680
 
16,680
 
100.0%
 
 
 
 
Stuart Hall Commercial
 
Kansas City, MO
 
1
 
4,450
 
4,450
 
100.0%
 
 
 
 
Total
 
 
 
3
 
21,130
 
21,130
 
100.0%
 
 
 
 



DEFINITIONS OF PORTFOLIO PERFORMANCE METRICS
Total Units:
Number of units per property at the end of the reporting period.
Non-Revenue Units:
Number of model units or other non-revenue administrative units at the end of the reporting period.
Rentable Units:
Total Units less Non-Revenue Units at the end of the reporting period.
Average Occupied Units:
Number of units occupied based on a weekly average during the reporting period.
Average Percent Occupied:
Percent of units occupied (Average Occupied Units divided by Total Units).
Percent Leased:
Percent of Total Units leased at the end of the reporting period (number of leased units divided by Total Units).
Total Square Footage:
Total square footage of commercial property at the end of the reporting period.
Occupied Square Footage:
Total square footage of commercial property occupied at the end of the reporting period.
Percent Occupied:
Percent of square footage occupied (Occupied Square Footage divided by Total Square Footage).