Exhibit 99.2

Second Quarter 2009

Supplemental Financial Data

Table of Contents

	Page
Consolidated Statements of Operations	3
Calculation of Funds from Operations and Adjusted Funds From Operations	6
Same Store Results	7
Consolidated Balance Sheets	10
Debt Summary	11
Summary of Apartment Communities Under Construction and in Lease-Up and Land Held for Future Investment and Sale	14
Summary of Apartment Communities Under Rehabilitation	15
Summary of Condominium Projects	16
Community Acquisition and Disposition Summary	17
Capitalized Costs Summary	18
Investments in Unconsolidated Real Estate Entities	19
Net Asset Value Supplemental Information	20
Non-GAAP Financial Measures and Other Defined Terms	22

The projections and estimates given in this document and other written or oral statements made by or on behalf of the Company may constitute “forward-looking statements” within the meaning of the federal securities laws. All forward-looking statements are subject to certain risks and uncertainties that could cause actual events to differ materially from those projected. Management believes that these forward-looking statements are reasonable; however, you should not place undue reliance on such statements. These statements are based on current expectations and speak only as of the date of such statements. The Company undertakes no obligation to publicly update or revise any forward-looking statement, whether as a result of future events, new information or otherwise. The following are some of the factors that could cause the Company’s actual results and its expectations to differ materially from those described in the Company’s forward-looking statements: the success of the Company’s business strategies discussed in its Annual Report on Form 10-K dated December 31, 2008 and in subsequent filings with the SEC; future conditions in the global capital markets, including changes in the availability of credit and liquidity; future local and national economic conditions, including changes in levels of employment, interest rates, the availability of mortgage and other financing and related factors; a downgrade in the credit rating of the Company’s securities; demand for apartments in the Company’s markets and the effect on occupancy and rental rates; the impact of competition on the Company’s business, including competition for tenants and development locations for its apartment communities and competing for-sale housing in the markets where the Company is completing condominium conversions or developing new condominiums; the uncertainties associated with the Company’s current and planned future real estate development, including actual costs exceeding the Company’s budgets or development periods exceeding expectations; uncertainties associated with the timing and amount of asset sales, the market for asset sales and the resulting gains/losses associated with such asset sales; the Company’s ability to enter into new joint ventures and the availability of equity financing from traditional real estate investors to fund development activities; the Company’s ability to obtain construction loan financing to fund development activities; uncertainties associated with the Company’s condominium conversion and for-sale housing business, including the lack of demand for for-sale housing and the Company’s inability to sell for-sale products at attractive pricing levels; uncertainties associated with loss of personnel in connection with the Company’s reduction of corporate and property development and management overhead; conditions affecting ownership of residential real estate and general conditions in the multifamily residential real estate market; uncertainties associated with environmental and other regulatory matters; the impact of ongoing litigation with the Equal Rights Center regarding compliance with the Americans with Disabilities Act and the Fair Housing Act (including any award of compensatory or punitive damages or injunctive relief requiring the Company to retrofit apartments or public use areas or prohibiting the sale of apartment communities or condominium units) as well as the impact of other litigation; the effects of changes in accounting policies and other regulatory matters detailed in the Company’s filings with the Securities and Exchange Commission; the costs of remediating damages to the Company’s communities that have stucco or exterior insulation finishing systems for potential water penetration and other related issues; and the Company’s ability to continue to qualify as a real estate investment trust under the Internal Revenue Code. Other important risk factors regarding the Company are included under the caption “Risk Factors” in the Company’s Annual Report on Form 10-K dated December 31, 2008 and may be discussed in subsequent filings with the SEC. The risk factors discussed in Form 10-K under the caption “Risk Factors” are specifically incorporated by reference into this document.

2

POST PROPERTIES, INC.

CONSOLIDATED STATEMENTS OF OPERATIONS

(In thousands, except per share or unit data)

(Unaudited)

	Three months ended June 30,				Six months ended June 30,
	2009		2008		2009		2008
Revenues
Rental	$	64,808	$	66,208	$	130,192	$	132,364
Other property revenues		4,033		4,108		7,601		7,425
Other		277		235		503		474
Total revenues		69,118		70,551		138,296		140,263
Expenses
Total property operating and maintenance (exclusive of items shown separately below)		32,658		35,195		65,356		69,591
Depreciation		18,009		15,213		35,601		30,310
General and administrative (1)		3,964		4,351		8,373		9,485
Investment and development (2)		793		1,274		1,790		2,664
Other investment costs (2)		646		244		1,299		499
Strategic review costs (3)		-		2,091		-		8,161
Impairment, severance and other costs (4) (11)		9,658		29,300		9,658		29,300
Total expenses		65,728		87,668		122,077		150,010
Operating income (loss)		3,390		(17,117)		16,219		(9,747)
Interest income		23		61		138		271
Interest expense		(12,241)		(11,004)		(26,419)		(22,035)
Amortization of deferred financing costs		(682)		(859)		(1,616)		(1,710)
Net gains (losses) on condominium sales activities (5)		232		(368)		(28)		1,751
Equity in income (loss) of unconsolidated real estate entities (6)(11)		(74,656)		420		(74,546)		821
Other income (expense), net (7)		50		66		1,109		(108)
Net gain (loss) on early extinguishment of indebtedness (8)		(79)		-		819		-
Loss from continuing operations		(83,963)		(28,801)		(84,324)		(30,757)
Discontinued operations (9)
Income from discontinued property operations		2,026		3,232		4,635		6,036
Gains on sales of real estate assets		24,742		-		24,742		2,311
Income from discontinued operations		26,768		3,232		29,377		8,347
Net loss		(57,195)		(25,569)		(54,947)		(22,410)
Noncontrolling interests - consolidated real estate entities (11)		8,150		293		8,226		(173)
Noncontrolling interests - Operating Partnership		250		213		248		206
Net loss attributable to the Company		(48,795)		(25,063)		(46,473)		(22,377)
Dividends to preferred shareholders		(1,910)		(1,910)		(3,819)		(3,819)
Net loss attributable to common shareholders	$	(50,705)	$	(26,973)	$	(50,292)	$	(26,196)
Per common share data - Basic (10)
Loss from continuing operations (net of preferred dividends)	$	(1.75)	$	(0.68)	$	(1.80)	$	(0.78)
Income from discontinued operations		0.60		0.07		0.66		0.19
Net loss attributable to common shareholders	$	(1.14)	$	(0.61)	$	(1.13)	$	(0.59)
Weighted average common shares outstanding - basic		44,118		44,011		44,116		43,939
Per common share data - Diluted (10)
Loss from continuing operations (net of preferred dividends)	$	(1.75)	$	(0.68)	$	(1.80)	$	(0.78)
Income from discontinued operations		0.60		0.07		0.66		0.19
Net loss attributable to common shareholders	$	(1.14)	$	(0.61)	$	(1.13)	$	(0.59)
Weighted average common shares outstanding - diluted		44,118		44,011		44,116		43,939

3

POST PROPERTIES, INC.

NOTES TO CONSOLIDATED

STATEMENTS OF OPERATIONS

(In thousands, except per share or unit data)

(1) For the three and six months ended June 30, 2009, as compared to 2008, general and administrative costs decreased primarily as a result of reduced personnel and long-term incentive compensation costs and for the six months ended, $353 of additional severance charges in 2008 related to prior year severance arrangements. Beginning in the fourth quarter of 2008, the Company began allocating personnel and other costs, primarily related to accounting, information technology and human resources that support property management and investment operations, from general and administrative expenses to property management and investment and development expenses. Prior period results have been adjusted to reflect the current period presentation.

(2) Investment and development expenses for the three and six months ended June 30, 2009 and 2008 included investment group expenses, development personnel and associated costs not allocable to current development projects. Beginning in the fourth quarter of 2008, the Company reclassified its land carry costs (primarily property taxes and assessments) to a separate line, “Other investment costs.” Previously, these costs were included in the line captioned investment and development expenses. Prior period results have been adjusted to reflect the current period presentation of land carry costs and other support costs discussed in (1) above.

(3) Strategic review costs for the three and six months ended June 30, 2008 included financial, legal and other costs associated with the Company’s formal process to pursue a possible business combination or other sale transaction. In June 2008, the Company concluded the formal process without a business combination or other sale transaction.

(4) Impairment, severance and other costs for the three and six months ended June 30, 2009 consisted of non-cash impairment charges to write off certain condominium land held for future investment. The gross non-cash impairment charge totaling $9,658 includes the amount allocable to the noncontrolling joint venture interest in the consolidated entity holding the land. See (11) below for a reconciliation of the net impairment charge applicable to the Company. Impairment, severance and other costs for the three and six months ended June 30, 2008 consisted of non-cash charges totaling $28,947 associated with the write down of certain land held for investment, predevelopment costs and pursuit costs related to the Company’s investment and development activities no longer expected to be commenced at that time and severance charges totaling $353.

(5) For the three and six months ended June 30, 2009 and 2008, income from continuing operations included net gains from condominium sales activities at newly developed and condominium conversion projects representing portions of existing communities. In addition, condominium gains are net of certain expensed sales and marketing costs associated with condominium communities under development and in pre-sale totaling $107 and $160 for the three months ended and $231 and $407 for the six months ended June 30, 2009 and 2008, respectively. A summary of revenues and costs and expenses of condominium activities included in continuing operations for the three and six months ended June 30, 2009 and 2008 was as follows:

	Three months ended June 30,				Six months ended June 30,
	2009		2008		2009		2008
Condominium revenues	$	6,176	$	10,051	$	8,222	$	18,348
Condominium costs and expenses		(5,944)		(10,419)		(8,250)		(16,597)
Gains (losses) on sales of condominiums	$	232	$	(368)	$	(28)	$	1,751

(6) For the three and six months ended June 30, 2009, the Company recognized its share of a non-cash impairment charge recognized at an unconsolidated entity constructing condominium homes. The gross non-cash impairment charge, totaling $74,733, includes the write off of the Company’s costs in excess of its invested capital and includes the amount allocable to the noncontrolling joint venture interest in the consolidated entity holding the equity investment. See (11) below for a reconciliation of the net impairment charge applicable to the Company.

(7) For the three and six months ended June 30, 2009, other income (expense) included non-cash income of approximately $207 and $582, respectively, related to a reduction in estimated costs associated with the hurricane damage sustained in 2008, offset by inspection expenses related to the Company’s exterior remediation project. For the three and six months ended June 30, 2009 and 2008, other expenses also included estimated state franchise and other income taxes. For the

4

six months ended June 30, 2009, other income (expense) included non-cash income of $874 related to the mark-to-market of an interest rate swap agreement that became ineffective under generally accepted accounting principles.

(8) Net gain on early extinguishment of indebtedness for the six months ended June 30, 2009 includes a net gain of $3,445 from the early extinguishment of debt related to the Company’s tender offer for its 2010 and 2011 senior unsecured bonds offset by a net loss of $2,626 on the prepayment of the Company’s weekly-remarketed, variable rate taxable mortgage bonds and the associated interest rate swap agreement.

(9) Under SFAS No. 144, the operating results of real estate assets designated as held for sale are included in discontinued operations for all periods presented. Additionally, all subsequent gains or additional losses on the sale of these assets are included in discontinued operations.

For the three and six months ended June 30, 2009, income from discontinued operations included the operating results of two apartment communities, containing 798 units, held for sale at June 30, 2009 and one apartment community containing 530 units through its sale date in 2009. For the three and six months ended June 30, 2008, income from discontinued operations included the results of operations of the two apartment communities held for sale at June 30, 2009, the apartment community sold in 2009 and four apartment communities sold in 2008 through their sale dates.

The operating revenues and expenses of these communities for the three and six months ended June 30, 2009 and 2008 were as follows:

	Three months ended June 30,				Six months ended June 30,
	2009		2008		2009		2008
Revenues
Rental	$	3,228	$	7,275	$	7,463	$	14,613
Other property revenues		196		447		454		831
Total revenues		3,424		7,722		7,917		15,444
Expenses
Total property operating and maintenance (exclusive of items shown separately below)		1,087		2,567		2,559		5,292
Depreciation		-		871		-		1,962
Interest		311		1,052		723		2,154
Total expenses		1,398		4,490		3,282		9,408
Income from discontinued property operations	$	2,026	$	3,232	$	4,635	$	6,036

For the three and six months ended June 30, 2009, the Company recognized net gains in discontinued operations of $24,742 from the sale of one apartment community, containing 530 units. This sale generated aggregate net proceeds of approximately $43,643 for the three and six months ended June 30, 2009. For the six months ended June 30, 2008, the Company recognized net gains in discontinued operations of $2,311 from the sale of one apartment community, containing 143 units. This sale generated aggregate net proceeds of approximately $19,433 for the six months ended June 30, 2008.

(10) Post Properties, Inc. is structured as an UPREIT, or Umbrella Partnership Real Estate Investment Trust. Post GP Holdings, Inc., a wholly-owned subsidiary of the Company, is the sole general partner and, together with Post LP Holdings, Inc., also a wholly-owned subsidiary of the Company, owns the controlling interest in Post Apartment Homes, L.P., the Operating Partnership through which the Company conducts its operations. As of June 30, 2009, there were 44,572 units of the Operating Partnership outstanding, of which 44,353, or 99.5%, were owned by the Company.

(11) A summary of non-cash impairment charges recognized for the three and six months ended June 30, 2009 related to the Company’s investment in its 3630 Peachtree condominium project and adjacent land is as follows:

Condominium land held for future investment (see (4) above)	$	9,658
Equity in loss of unconsolidated real estate entity (see (6) above)		74,733
Noncontrolling joint venture interest share of charges		(8,074)
	$	76,317

5

POST PROPERTIES, INC.

CALCULATION OF FUNDS FROM OPERATIONS AND ADJUSTED FUNDS FROM OPERATIONS AVAILABLE

TO COMMON SHAREHOLDERS AND UNITHOLDERS

(In thousands, except per share or unit data)

(Unaudited)

A reconciliation of net income (loss) available to common shareholders to funds from operations available to common shareholders and unitholders and adjusted funds from operations available to common shareholders and unitholders is provided below.

	Three months ended June 30,						Six months ended June 30,
	2009			2008			2009			2008
Net loss attributable to common shareholders	$	(50,705)		$	(26,973)		$	(50,292)		$	(26,196)
Noncontrolling interests - Operating Partnership		(250)			(213)			(248)			(206)
Depreciation on consolidated real estate assets, net (1)		17,501			15,582			34,578			31,284
Depreciation on real estate assets held in unconsolidated entities		350			345			700			693
Gains on sales of apartment communities		(24,742)			-			(24,742)			(2,311)
Losses (gains) on sales of condominiums		(232)			368			28			(1,751)
Incremental losses on condominium sales (2)		(959)			(1,748)			(2,072)			(244)
Funds (deficit) from operations available to common shareholders and unitholders (A)	$	(59,037)		$	(12,639)		$	(42,048)		$	1,269
Funds (deficit) from operations available to common shareholders and unitholders (A)	$	(59,037)		$	(12,639)		$	(42,048)		$	1,269
Annually recurring capital expenditures (3)		(3,673)			(3,382)			(6,307)			(5,640)
Periodically recurring capital expenditures (3)		(1,215)			(1,738)			(5,009)			(3,331)
Non-cash impairment charges		76,317			28,947			76,317			28,947
Non-cash income related to mark-to-market of interest rate swap agreement		-			-			(874)			-
Non-cash straight-line adjustment for ground lease expenses		285			294			574			589
Net loss (gain) on early extinguishment of indebtedness		78			-			(819)			-
Strategic review costs		-			2,091			-			8,161
Adjusted funds from operations available to common shareholders and unitholders (4) (B)	$	12,755		$	13,573		$	21,834		$	29,995
Per Common Share Data - Basic
Funds (deficit) from operations per share or unit, as defined (A÷C)	$	(1.32	)	$	(0.28	)	$	(0.94	)	$	0.03
Adjusted funds from operations per share or unit (4) (B÷C)	$	0.29		$	0.31		$	0.49		$	0.68
Dividends declared	$	0.20		$	0.45		$	0.40		$	0.90
Weighted average shares outstanding		44,351			44,111			44,325			44,039
Weighted average shares and units outstanding (C)		44,570			44,405			44,544			44,387
Per Common Share Data - Diluted
Funds (deficit) from operations per share or unit, as defined (A÷D)	$	(1.32	)	$	(0.28	)	$	(0.94	)	$	0.03
Adjusted funds from operations per share or unit (4) (B÷D)	$	0.29		$	0.31		$	0.49		$	0.67
Dividends declared	$	0.20		$	0.45		$	0.40		$	0.90
Weighted average shares outstanding (5)		44,351			44,111			44,325			44,361
Weighted average shares and units outstanding (5) (D)		44,570			44,405			44,544			44,709

(1) Depreciation on consolidated real estate assets is net of the minority interest portion of depreciation in consolidated entities.

(2) See the table entitled “Summary of Condominium Projects” and related footnotes on page 16, specifically footnote 5, for discussion of the Company’s policy for recognizing incremental gains on condominium sales in FFO.

(3) For the three and six months ended June 30, 2009, excludes approximately $8,157 and $13,528, respectively, of periodically recurring capital expenditures related to the Company’s exterior remediation project. For the three months ended June 30, 2009 and 2008, includes approximately $140 and $8, respectively, of periodically recurring capital expenditures associated with the Company’s communities under rehabilitation. For the six months ended June 30, 2009 and 2008, includes approximately $2,058 and $29, respectively, of periodically recurring capital expenditures associated with the Company’s communities under rehabilitation.

(4) Since the Company does not add back the depreciation of non-real estate assets in its calculation of funds from operations, non-real estate related capital expenditures of $67 and $190 for the three months and $126 and $421 for the six months ended June 30, 2009 and 2008, respectively, are excluded from the calculation of adjusted funds from operations available to common shareholders and unitholders.

(5) Diluted weighted average shares and units include the impact of dilutive securities totaling 322 for the six months ended June 30, 2008. These dilutive securities were antidilutive to the computation of income (loss) per share, as the Company reported a loss from continuing operations for this period under generally accepted accounting principles. Additionally, basic and diluted weighted average shares and units included the impact of non-vested shares and units totaling 233 and 100 for the three months ended and 209 and 100 for the six months ended June 30, 2009 and 2008, respectively, for the computation of funds (deficit) from operations per share. Such non-vested shares and units are considered in the income (loss) per share computations under generally accepted accounting principles using the “two-class method.”

6

POST PROPERTIES, INC.

SAME STORE RESULTS

(In thousands, except per share or unit data)

(Unaudited)

Same Store Results

The Company defines fully stabilized or same store communities as those which have reached stabilization prior to the beginning of the previous calendar year, adjusted by communities sold and classified as held for sale and communities under rehabilitation. Same store net operating income is a supplemental non-GAAP financial measure. See Table 1 on page 24 for a reconciliation of same store net operating income to GAAP net income. The operating performance and capital expenditures of the 41 communities containing 14,921 apartment units which were fully stabilized as of January 1, 2008, is summarized as follows:

	Three months ended June 30,					Six months ended June 30,
	2009		2008		% Change	2009		2008		% Change
Rental and other revenues	$	57,292	$	59,297	(3.4)%	$	114,985	$	117,907	(2.5)%
Real estate taxes and insurance expenses		8,962		9,372	(4.4)%		18,184		18,855	(3.6)%
Other property operating and maintenance expenses		13,740		15,406	(10.8)%		27,587		29,913	(7.8)%
Total property operating and maintenance expenses (excluding depreciation and amortization) (1)		22,702		24,778	(8.4)%		45,771		48,768	(6.1)%
Same store net operating income	$	34,590	$	34,519	0.2%	$	69,214	$	69,139	0.1%
Capital expenditures (2)
Annually recurring:
Carpet	$	679	$	682	(0.4)%	$	1,251	$	1,242	0.7%
Other		2,500		1,861	34.3%		4,125		2,948	39.9%
Total annually recurring (3)		3,179		2,543	25.0%		5,376		4,190	28.3%
Periodically recurring (3)		8,759		1,579	454.7%		15,176		2,869	429.0%
Total capital expenditures (A)	$	11,938	$	4,122	189.6%	$	20,552	$	7,059	191.1%
Total capital expenditures per unit (A ÷ 14,921 units)	$	800	$	276	189.9%	$	1,377	$	473	191.1%
Average monthly rental rate per unit (4)	$	1,287	$	1,328	(3.1)%	$	1,298	$	1,326	(2.1)%

(1) Beginning in the fourth quarter of 2008, other property operating and maintenance expenses include certain expenses reclassified from corporate property management expenses for all periods presented. The reclassified operating expenses relate primarily to relief and preventative maintenance engineers, collections personnel, certain property related advertising and property level performance based awards.

(2) See Table 3 on page 27 for a reconciliation of these segment components of property capital expenditures to total annually recurring capital expenditures and total periodically recurring capital expenditures as presented on the consolidated cash flow statements prepared under GAAP.

(3) Periodically recurring expenditures included $8,157 and $13,528 for the three and six months ended June 30, 2009, respectively, related to the Company’s exterior remediation project. Periodically recurring expenditures included $254 and $493 for the three months and $579 and $964 for the six months ended June 30, 2009 and 2008, respectively, related to the Company’s “resident design center” program.

(4) Average monthly rental rate is defined as the average of the gross actual rates for occupied units and the anticipated rental rates for unoccupied units divided by total units. See Table 2 on page 25 for further information.

7

Same Store Operating Results by Market –

Comparison of Second Quarter of 2009 to Second Quarter of 2008

(Increase (decrease) from same period in prior year)

	Three months ended June 30, 2009							Six months ended June 30, 2009
Market	Revenues	(1)	Expenses	(1)	NOI	(1)	Average Economic Occupancy	Revenues	(1)	Expenses	(1)	NOI	(1)	Average Economic Occupancy
Atlanta	(3.7)%		(4.7)%		(2.9)%		(1.0)%	(2.7)%		(1.5)%		(3.6)%		(1.3)%
Dallas	(5.5)%		(15.4)%		3.3%		(0.9)%	(3.2)%		(14.0)%		6.4%		(0.6)%
Washington, DC	(1.3)%		(1.9)%		(1.0)%		(0.1)%	(0.9)%		(2.1)%		(0.3)%		0.2%
Tampa	(1.9)%		(11.9)%		6.5%		2.5%	(2.0)%		(9.5)%		3.9%		2.4%
Charlotte	(9.5)%		(14.7)%		(6.4)%		(3.1)%	(7.0)%		(9.0)%		(5.8)%		(2.4)%
New York	(2.4)%		1.6%		(4.3)%		(0.8)%	(2.5)%		1.3%		(4.5)%		(2.2)%
Houston	0.1%		(18.7)%		19.1%		(0.7)%	0.6%		(6.8)%		7.2%		(1.0)%
Austin	(2.8)%		(6.2)%		0.2%		(2.5)%	(2.5)%		(6.9)%		1.6%		(2.8)%
Orlando	2.2%		9.9%		(3.8)%		6.2%	(0.3)%		(0.7)%		0.0%		5.9%
Total	(3.4)%		(8.4)%		0.2%		(0.3)%	(2.5)%		(6.1)%		0.1%		(0.3)%

(1) See Table 2 on page 25 for a reconciliation of these components of same store net operating income and Table 1 on page 24 for a reconciliation of same store net operating income to GAAP net income.

Same Store Occupancy by Market

Market	Apartment Units	% of NOI Three months ended June 30, 2009	Average Economic Occupancy (1)		Average Economic Occupancy (1)		Physical  Occupancy  at June 30, 2009 (2)	Average Rental Rate Per Unit Three Months Ended June 30, 2009 (3)
			Three months ended June 30,		Six months ended June 30,
			2009	2008	2009	2008
Atlanta	4,242	24.5%	93.4%	94.4%	93.4%	94.7%	92.9%	$	1,114
Dallas	3,429	18.3%	93.0%	93.9%	93.7%	94.3%	93.5%		1,078
Washington, DC	1,905	19.3%	94.5%	94.6%	94.4%	94.2%	94.7%		1,787
Tampa	1,877	11.9%	94.4%	91.9%	95.1%	92.7%	96.8%		1,214
Charlotte	1,388	8.3%	91.2%	94.3%	91.1%	93.5%	94.4%		1,108
New York	337	7.0%	93.4%	94.2%	92.8%	95.0%	95.3%		3,843
Houston	837	5.2%	91.9%	92.6%	92.0%	93.0%	91.8%		1,263
Austin	308	1.9%	91.5%	94.0%	92.1%	94.9%	90.3%		1,325
Orlando	598	3.6%	95.2%	89.0%	94.9%	89.0%	95.5%		1,339
Total	14,921	100.0%	93.4%	93.7%	93.6%	93.9%	93.9%	$	1,287

(1) The calculation of average economic occupancy does not include a deduction for net concessions and employee discounts. Average economic occupancy, including these amounts, would have been 92.3% and 92.4% for the three months and 92.2% and 92.6% for the six months ended June 30, 2009 and 2008, respectively. For the three months ended June 30, 2009 and 2008, net concessions were $456 and $558, respectively, and employee discounts were $197 and $207, respectively. For the six months ended June 30, 2009 and 2008, net concessions were $1,166 and $1,081, respectively, and employee discounts were $393 and $413, respectively.

(2) Physical occupancy is defined as the number of units occupied divided by total apartment units, expressed as a percentage.

(3) Average monthly rental rate is defined as the average of the gross actual rates for occupied units and the anticipated rental rates for unoccupied units divided by total units. See Table 2 on page 25 for further information.

8

Same Store Sequential Comparison

	Three months ended
	June 30,     2009		March 31,     2009		% Change
Rental and other revenues	$	57,292	$	57,694	(0.7)%
Real estate taxes and insurance expenses		8,962		9,222	(2.8)%
Other property operating and maintenance expenses		13,740		13,848	(0.8)%
Total property operating and maintenance expenses (excluding depreciation and amortization)		22,702		23,070	(1.6)%
Same store net operating income (1)	$	34,590	$	34,624	(0.1)%
Average economic occupancy		93.4%		93.7%	(0.3)%
Average monthly rental rate per unit	$	1,287	$	1,308	(1.6)%
(1)        See Table 2 on page 25 for a reconciliation of these components of same store net operating income and Table 1 on page 24 for a reconciliation of same store net operating income to GAAP net income.

Sequential Same Store Operating Results by Market –

Comparison of Second Quarter of 2009 to First Quarter 2009

(Increase (decrease) between periods)

Market	Revenues	(1)	Expenses	(1)	NOI	(1)	Average Economic     Occupancy
Atlanta	(0.7)%		(1.8)%		0.1%		0.0%
Dallas	(1.9)%		2.1%		(4.6)%		(1.4)%
Washington, DC	0.9%		(1.7)%		2.4%		0.2%
Tampa	(0.9)%		1.2%		(2.4)%		(1.3)%
Charlotte	(2.9)%		0.8%		(4.9)%		0.2%
New York	(1.1)%		(15.1)%		7.7%		1.1%
Houston	0.3%		(13.5)%		12.8%		(0.2)%
Austin	(1.5)%		(3.7)%		0.5%		(1.2)%
Orlando	2.4%		8.6%		(2.5)%		0.5%
Total	(0.7)%		(1.6)%		(0.1)%		(0.3)%
(1)        See Table 2 on page 25 for a reconciliation of these components of same store net operating income and Table 1 on page 24 for a reconciliation of same store net operating income to GAAP net income.

9

POST PROPERTIES, INC.

CONSOLIDATED BALANCE SHEETS

(In thousands, except per share or unit data)

	June 30, 2009		December 31,       2008
	(Unaudited)
Assets
Real estate assets
Land	$	268,541	$	258,593
Building and improvements		1,874,469		1,802,496
Furniture, fixtures and equipment		217,297		205,221
Construction in progress		123,072		138,496
Land held for future investment		82,039		81,555
		2,565,418		2,486,361
Less: accumulated depreciation		(587,116)		(553,814)
Condominiums, for-sale and under construction		90,911		65,507
Assets held for sale, net of accumulated depreciation of $28,441 and $42,379 at June 30, 2009 and December 31, 2008		63,364		85,097
Total real estate assets		2,132,577		2,083,151
Investments in and advances to unconsolidated real estate entities		8,706		39,300
Cash and cash equivalents		3,694		75,472
Restricted cash		10,614		10,164
Deferred charges, net		9,582		10,278
Other assets		32,328		34,290
Total assets	$	2,197,501	$	2,252,655
Liabilities and shareholders’ equity
Indebtedness	$	1,086,790	$	1,112,913
Accounts payable and accrued expenses		97,949		93,175
Investments in unconsolidated real estate entities		54,334		15,985
Dividend and distribution payable		8,914		8,888
Accrued interest payable		5,137		5,493
Security deposits and prepaid rents		15,779		15,941
Total liabilities		1,268,903		1,252,395
Redeemable common units		4,094		4,410
Commitments and contingencies
Equity
Company shareholders’ equity Preferred stock, $.01 par value, 20,000 authorized: 8 1/2% Series A Cumulative Redeemable Shares, liquidation preference $50 per share, 900 shares issued and outstanding		9		9
7 5/8% Series B Cumulative Redeemable Shares, liquidation preference $25 per share, 2,000 shares issued and outstanding		20		20
Common stock, $.01 par value, 100,000 authorized:
44,353 and 44,222 shares issued and 44,353 and 44,222 shares outstanding at June 30, 2009 and December 31, 2008, respectively		443		442
Additional paid-in-capital		888,639		886,643
Accumulated earnings		37,269		105,300
Accumulated other comprehensive income (loss)		-		(1,819)
		926,380		990,595
Less common stock in treasury, at cost, 85 and 80 shares at June 30, 2009 and December 31, 2008, respectively		(3,010)		(2,965)
Total Company shareholders’ equity		923,370		987,630
Noncontrolling interests - consolidated real estate entities		1,134		8,220
Total equity		924,504		995,850
Total liabilities and equity	$	2,197,501	$	2,252,655

10

POST PROPERTIES, INC.

DEBT SUMMARY

(Dollars in thousands, except per share or unit data)

(Unaudited)

Summary of Outstanding Debt at June 30, 2009 - Consolidated

Type of Indebtedness	Balance		Percentage     of Total	Weighted Average Rate (1)     June 30,
				2009	2008
Unsecured fixed rate senior notes	$	360,142	33.1%	6.4%	6.4%
Secured fixed rate notes		688,582	63.3%	5.8%	5.3%
Secured variable rate notes		-	0.0%	0.0%	6.1%
Unsecured lines of credit		29,913	2.8%	1.1%	3.1%
Secured variable rate construction notes		8,153	0.8%	1.8%	0.0%
	$	1,086,790	100.0%	5.8%	5.6%
	Balance		Percentage of Total Debt	Weighted Average Maturity of Total Debt (2) (3)
Total fixed rate debt	$	1,048,724	96.5%	5.0
Total variable rate debt		38,066	3.5%	1.1
Total debt	$	1,086,790	100.0%	4.9

Debt Maturities – Consolidated and Unconsolidated

	Consolidated				Unconsolidated Entities
Aggregate debt maturities by year	Amount			Weighted Average Rate on Debt Maturities (1)	Amount			Company   Share		Weighted Average     Rate on Debt Maturities (1)
Remainder of 2009	$	770		5.8%	$	-		$	-	0.0%
2010		132,032	(3)	6.2%		-			-	0.0%
2011		59,637		5.3%		33,679	(4)		33,679	1.8%
2012		104,381		5.5%		-			-	0.0%
2013		206,515		6.1%		79,772			27,920	5.8%
Thereafter		583,455		5.8%		126,724			31,681	5.7%
	$	1,086,790		5.8%	$	240,175		$	93,280	4.7%

Debt Statistics

	Six months ended       June 30,
	2009	2008
Interest coverage ratio (5)(6)	2.4x	2.4x
Fixed charge coverage ratio (5)(7)	2.1x	2.0x
Total debt as a % of undepreciated real estate assets (adjusted for joint venture partner's share of debt) (8)	41.6%	40.2%
Total debt and preferred equity as a % of undepreciated real estate assets (adjusted for joint venture partner's share of debt) (8)	45.0%	43.6%

(1) Weighted average rate includes credit enhancements and other fees, where applicable. The weighted average rates at June 30, 2008 are based on the debt outstanding at that date.

(2) Weighted average maturity of total debt represents number of years to maturity based on the debt maturities schedule above.

(3) Includes outstanding balances on lines of credit of $29,913 maturing in 2010.

(4) Amount represents the outstanding balance of the condominium portion of the total construction loan outstanding on the Company’s mixed-use development. See page 19 for further discussion.

(5) Calculated for the six months ended June 30, 2009 and 2008.

(6) Interest coverage ratio is defined as net income available for debt service divided by interest expense. For purposes of this calculation, net income available for debt service represents income from continuing operations, before preferred or common noncontrolling interest, gains on sales of real estate and investment sales, impairment charges, interest expense, depreciation, amortization and income taxes. Net income available for debt service was also adjusted for the Company’s share of depreciation and interest expense from unconsolidated entities, and interest expense used in the calculation was adjusted to include the Company’s share of interest expense from unconsolidated entities. The calculation of the interest coverage ratio is a non-GAAP financial measure. A reconciliation of net income available for debt service to income from continuing operations and interest expense to consolidated interest expense is included in Table 4 on page 27.

(7) Fixed charge coverage ratio is defined as net income available for debt service divided by interest expense plus dividends to preferred shareholders and distributions to preferred unitholders. For purposes of this calculation, net income available for debt service represents earnings from continuing operations, before preferred or common noncontrolling interest, gains on sales of real estate and investment sales, impairment charges, interest expense, depreciation, amortization and income taxes. Net income available for debt service was also adjusted for the Company’s share of depreciation and interest expense from unconsolidated entities, and interest expense used in the calculation was adjusted to include the Company’s share of interest expense from unconsolidated entities. The calculation of the fixed charge coverage ratio is a non-GAAP financial measure. A reconciliation of net income available for debt service to income from continuing operations and fixed charges to consolidated interest expense plus preferred dividends to shareholders and preferred distributions to unitholders is included in Table 4 on page 27.

(8) A computation of the debt ratios is included in Table 5 on page 28.

11

POST PROPERTIES, INC.

DEBT SUMMARY (CONT.)

(Dollars in thousands, except per share or unit data)

(Unaudited)

Financial Debt Covenants - Senior Unsecured Public Notes

Covenant requirement (1)	As of     June 30, 2009
Consolidated Debt to Total Assets cannot exceed 60%	39%
Secured Debt to Total Assets cannot exceed 40%	25%
Total Unencumbered Assets to Unsecured Debt must be at least 1.5/1	4.8x
Consolidated Income Available for Debt Service Charge must be at least 1.5/1	2.5x
(1)        A summary of the public debt covenant calculations and reconciliations of the financial components used in the public debt covenant calculations to the most comparable GAAP financial measures are detailed below.

Ratio of Consolidated Debt to Total Assets

	As of     June 30, 2009
Consolidated debt, per balance sheet (A)	$	1,086,790
Total assets, as defined (B) (Table A)	$	2,803,476
Computed ratio (A÷B)		39%
Required ratio (cannot exceed)		60%

Ratio of Secured Debt to Total Assets

Total secured debt (C)	$	696,735
Computed ratio (C÷B)		25%
Required ratio (cannot exceed)		40%

Ratio of Total Unencumbered Assets to Unsecured Debt

Consolidated debt, per balance sheet (A)	$	1,086,790
Total secured debt (C)		(696,735)
Total unsecured debt (D)	$	390,055
Total unencumbered assets, as defined (E) (Table A)	$	1,869,473
Computed ratio (E÷D)		4.8x
Required minimum ratio		1.5x

Ratio of Consolidated Income Available for Debt Service to Annual

    Debt Service Charge (Annualized) (2)

Consolidated Income Available for Debt Service, as defined (F) (Table B)	$	145,730
Annual Debt Service Charge, as defined (G) (Table B)	$	57,720
Computed ratio (F÷G)		2.5x
Required minimum ratio		1.5x
(2)        The actual calculation of these ratios requires the use of annual trailing financial data. These computations reflect annualized 2009 results for comparison and presentation purposes. The computations using annual financial data also reflect compliance with the debt covenants.

12

POST PROPERTIES, INC.

DEBT SUMMARY (CONT.)

(Dollars in thousands, except per share or unit data)

(Unaudited)

Table A

Calculation of Total Assets and Total Unencumbered Assets for

    Public Debt Covenant Computations

	As of     June 30, 2009
Total real estate assets	$	2,132,577
Add:
Investments in and advances to unconsolidated real estate entities		8,706
Accumulated depreciation		587,116
Accumulated depreciation on assets held for sale		28,441
Other tangible assets		46,636
Total assets for public debt covenant computations		2,803,476
Less:
Encumbered real estate assets		(934,003)
Total unencumbered assets for public debt covenant computations	$	1,869,473

Table B

Calculation of Consolidated Income Available for Debt Service and

    Annual Debt Service Charge (Annualized) (1)

Consolidated income available for debt service	Six months ended   June 30, 2009
Net income	$	(54,947)
Add:
Non-cash impairment charge - unconsolidated entity		74,733
Non-cash impairment charge - consolidated entities		9,658
Depreciation		35,601
Depreciation (company share) of assets held in unconsolidated entities		700
Amortization of deferred financing costs		1,616
Interest expense		26,419
Interest expense (company share) of assets held in unconsolidated entities		1,718
Interest expense of discontinued operations		723
Income tax expense		464
Losses on sales of real estate assets, net		28
Other non-cash expenses		2,587
Less:
Net gain on early extinguishment of indebtedness		(819)
Gains on sales of real estate assets - discontinued operations		(24,742)
Other non-cash income		(874)
Consolidated income available for debt service	$	72,865
Consolidated income available for debt service (annualized)	$	145,730
Annual debt service charge
Consolidated interest expense	$	26,419
Interest expense (company share) of assets held in unconsolidated entities		1,718
Interest expense of discontinued operations		723
Debt service charge	$	28,860
Debt service charge (annualized)	$	57,720
(1)        The actual calculation of these ratios requires the use of annual trailing financial data. These computations reflect annualized 2009 results for comparison and presentation purposes. The computations using annual financial data also reflect compliance with the debt covenants.

13

POST PROPERTIES, INC.

SUMMARY OF APARTMENT COMMUNITIES UNDER CONSTRUCTION AND IN LEASE-UP

AND LAND HELD FOR FUTURE INVESTMENT AND SALE

($ in millions)

Apartment Communities Under Construction and in Lease-up

Community	Location	Number   of Units	Retail   Sq. Ft.	Estimated   Cost		Costs   Incurred   as of 06/30/09		Quarter    of Const.    Start	Quarter of  First Units  Available	Estimated Quarter of Stabilized  Occupancy (1)	Units  Leased (2)
Post Eastside™	Dallas, TX	435	37,900	$	57.9	$	55.5	4Q 2006	2Q 2008	2Q 2010	304
Post Sierra at Frisco Bridges™	Dallas, TX	269	29,000		42.1		37.1	3Q 2007	2Q 2009	3Q 2010	59
Post Park®	Wash. DC	396	1,700		84.7		71.0	4Q 2007	2Q 2009	4Q 2010	65
Post West Austin™	Austin, TX	329	-		53.2		48.9	4Q 2007	2Q 2009	3Q 2010	59
Total		1,429	68,600	$	237.9	$	212.5				487

(1) The Company defines stabilized occupancy as the earlier to occur of (i) the attainment of 95% physical occupancy on the first day of any month or (ii) one year after completion of construction.

(2) As of July 28, 2009.

Land Held for Future Investment and Sale

The following are land positions (including pre-development costs incurred to date) that the Company currently holds. There can be no assurance that projects held for future investment will be developed in the future or at all or that land held for sale will be sold.

Land Held for Future Investment:

Project	Metro Area	Carrying Value     At June 30, 2009     (in thousands)	Estimated Usable Acreage
Alexander	Atlanta, GA	$      6,652	2.5
Allen Plaza	Atlanta, GA	19,016	5.6
South Lamar	Austin, TX	4,942	4.0
Frisco Bridges II	Dallas, TX	5,480	5.4
Midtown Square III	Houston, TX	3,502	1.6
Richmond	Houston, TX	4,420	2.1
Baldwin Park	Orlando, FL	9,841	13.5
Wade	Raleigh, NC	10,949	31.4
Soho Square	Tampa, FL	5,168	4.1
Carlyle Square II	Washington, D.C.	12,069	2.4
Total Land Held for Future Investment (1)		$    82,039	72.6
Land Held for Sale:
Project	Metro Area	Carrying Value At June 30, 2009 (in thousands)	Estimated Usable Acreage
Millennium	Atlanta, GA	$      2,774	1.0
Spring Hill	Atlanta, GA	2,023	9.1
Wade	Raleigh, NC	8,626	49.1
Citrus Park	Tampa, FL	3,450	17.7
Total Land Held for Sale (2)		$    16,873	76.9
(1)       The carrying value of land held for future investment at June 30, 2009 has been written-down to reflect previously recorded impairments totaling $72,171 in 2008.
(2)       The carrying value of land held for sale at June 30, 2009 has been written-down to reflect previously recorded impairments of $15,660 in 2008.

14

POST PROPERTIES, INC.

SUMMARY OF APARTMENT COMMUNITIES UNDER REHABILITATION

(Dollars in thousands, except per square foot)

					Property NOI For the Fiscal	Property NOI For the	Undepreciated	Number of Units As of June 30, 2009
Project	Location	Year   Completed	Total     Units	Average Sq. Ft. Per Unit (1)	Year Preceding   The Start of Rehabilitation	Three Months Ended  June 30, 2009	Book Value Prior to Rehabilitation	Completed	Out of Service	Units Leased	% Units Leased
Post Heights™	Dallas, TX	1998-1999	368	845	$    2,598	$    275	$    42,195	368	-	286	78%
Post Peachtree Hills®	Atlanta, GA	1992-1994	300	978	2,436	128	19,539	300	-	257	86%
			668				$    61,734	668	-	543

	Rehabilitation Cost Incurred in The Three Months Ended June 30, 2009						Rehabilitation Capital Cost Incurred As of June 30, 2009								Projected
Project	Revenue- Generating Capital Cost		Non-Revenue- Generating Capital Cost		Total     Capital     Cost		Revenue- Generating   Capital Cost		Non-Revenue- Generating Capital Cost		Total Capital Cost		Quarter of Rehabilitation Start	Quarter of Rehabilitation Completion	Quarter of Re-Stabilized Occupancy
Post Heights™	$	655	$	-	$	655	$	7,975	$	1,135	$	9,110	1Q 2008	2Q 2009	4Q 2009
Post Peachtree Hills®		1,270		140		1,410		8,952		1,033		9,985	1Q 2008	2Q 2009	4Q 2009
	$	1,925	$	140	$	2,065	$	16,927	$	2,168	$	19,095

(1) Average square footage information is based on approximate amounts and individual unit sizes may vary.

15

POST PROPERTIES, INC.

SUMMARY OF CONDOMINIUM PROJECTS

(Dollars in thousands)

										Units (2)
Project	Location	Year   Completed	Sale   Start Date	Quarter of  First Available Units	Average Unit  Sq. Ft. (1)	Book Value as of 6/30/09			Remaining     Construction     Costs as of 6/30/09	Total	Closed	Under Contract	Available   for Sale
Completed Condominium Conversion Projects
Harbour Place City Homes™	Tampa, FL	1999	Q2 2006	N/A	1,036	$	885		N/A	206	193	1	12
RISETM	Houston, TX	2000	Q2 2006	N/A	1,407		4,163		N/A	143	114	9	20
Completed Condominium Development Projects
Mercer Square™	Dallas, TX	2007	3Q2007	N/A	1,094		3,748		N/A	85	60	6	19
Condominium Development Projects Under Construction
The Ritz-Carlton Residences, Atlanta, Buckhead (3)	Atlanta, GA	N/A	N/A	1Q 2010	1,903		6,569	(7)	35,094	129	-	-	129
Four Seasons Residences	Austin, TX	N/A	N/A	1Q 2010	1,969		82,115		51,385	148	-	67	81
						$	97,480		$    86,479	711	367	83	261

Financial Summary – Aggregate Condominium Activity

	Three months ended June 30, 2009					Three months ended June 30, 2008					Six months ended June 30, 2009					Six months ended June 30, 2008
Project	Units Closed	Gross Revenues		Gain on Sale (5)(6)		Units Closed	Gross Revenues		Gain on Sale (5)(6)		Units Closed	Gross Revenues		Gain on Sale (5)(6)		Units Closed	Gross Revenues		Gain on Sale (5)(6)
Completed Condominium Conversion Projects
Harbour Place City Homes™	11	$	2,115	$	772	8	$	1,857	$	148	21	$	3,959	$	1,340	11	$	2,505	$	267
RISETM	10		2,863		(24)	8		2,372		(276)	10		2,863		(190)	14		4,328		(176)
Completed Condominium Development Projects
The Condominiums at Carlyle Square™ (4)	-		-		-	6		2,849		5	-		-		-	22		7,918		1,566
Mercer Square™	5		1,198		(409)	11		2,973		286	6		1,391		(955)	13		3,597		484
	26		6,176		339	33		10,051		163	37		8,213		195	60		18,348		2,141
Other	-		-		(107)	-		-		(161)	-		9		(223)	-		-		(407)
Total	26	$	6,176	$	232	33	$	10,051	$	2	37	$	8,222	$	(28)	60	$	18,348	$	1,734

(1) Average square footage information is based on approximate amounts and individual unit sizes may vary.

(2) Unit status is as of July 28, 2009. There can be no assurance that condominium units under contract will close.

(3) The amounts reflected for this project represent the condominium portion of a mixed-use development currently being developed in an entity owned with other third-party developers. The condominium portion of the project is owned through a joint venture with an Atlanta-based condominium development partner and is branded as The Ritz-Carlton Residences, Atlanta, Buckhead. See footnote 2 on page 19 for further information concerning this venture.

(4) Final condominium closings occurred in 2008 at this community.

(5) For conversion projects, the Company recognizes accounting gains under GAAP to the extent that net sales proceeds from the sale of condominium units exceed the Company’s net GAAP basis and related expenses. For FFO purposes, the Company recognizes incremental gains on condominium sales in FFO, net of provision for income taxes, to the extent that net sales proceeds, less costs of sales, from the sale of condominium units exceed the “transfer price”. The transfer price for purposes of computing incremental gains on condominium sales included in FFO at conversion projects reflects the greater of (1) the estimated fair value on the date the project was acquired by the Company’s taxable REIT subsidiary (as supported by independently-prepared, third-party appraisals) or (2) its net book value at that time. For development projects, gains on condominium sales in FFO are equivalent to gains reported under GAAP.

(6) For co-investment projects, amounts exclude noncontrolling interests of $(370) and $17 for the three and six months ended June 30, 2008, respectively. There was no income tax provision for the three and six months ended June 30, 2009 and 2008 attributable to gains (losses) on condominium sales.

(7) The carrying value of The Ritz-Carlton Residences, Atlanta, Buckhead located at 3630 Peachtree in Atlanta, Georgia has been written down to reflect an impairment charge (including non-controlling joint venture interests) of $74,733 in the second quarter of 2009.

16

POST PROPERTIES, INC.

COMMUNITY ACQUISITION AND DISPOSITION SUMMARY

Property Name/Period	Location	Units	Year Built	Gross Amount     Per Unit		Gross Amount
Acquisitions
2008
None
2009
None
Dispositions
Q1 2008
Post Wilson™	Dallas, TX	143	1999	$	138,811	$	19,850,000
Q3 2008
Post Oglethorpe®	Atlanta, GA	250	1994	$	154,000		38,500,000
Q4 2008
Post Woods®	Atlanta, GA	494	1977-1983	$	106,781		52,750,000
Post Lenox Park®	Atlanta, GA	206	1995	$	110,194		22,700,000
2008 YTD Total						$	133,800,000
Average Cap Rate – Dispositions – 2008							6.1%	(1)
Q2 2009 Post Dunwoody®	Atlanta, GA	530	1989-1996	$	89,434	$	47,400,000
Q3 2009
Post Forest®	Washington, D.C.	364	1990	$	157,967		57,500,000
Post Ridge®	Atlanta, GA	434	1998	$	103,226		44,800,000
2009 YTD Total						$	149,700,000
Average Cap Rate – Dispositions – 2009							7.6%	(1)

(1) Based on trailing twelve-month net operating income after adjustments for management fee (3.0%) and capital reserves ($300/unit).

17

POST PROPERTIES, INC.

CAPITALIZED COSTS SUMMARY

(Dollars in thousands, except per share or unit data)

(Unaudited)

The Company has a policy of capitalizing those expenditures relating to the acquisition of new assets and the development, construction and rehabilitation of apartment and condominium communities. In addition, the Company capitalizes expenditures that enhance the value of existing assets and expenditures that substantially extend the life of existing assets. All other expenditures necessary to maintain a community in ordinary operating condition are expensed as incurred. Additionally, for new development communities, carpet, vinyl and blind replacements are expensed as incurred during the first five years (which corresponds to the estimated depreciable life of these assets) after construction completion. Thereafter, these replacements are capitalized. Further, the Company expenses as incurred the interior and exterior painting of operating communities, unless those communities are under major rehabilitation.

The Company capitalizes interest, real estate taxes, and certain internal personnel and associated costs related to apartment and condominium communities under development, construction, and major rehabilitation. The internal personnel and associated costs are capitalized to the projects under development based upon the effort identifiable with such projects. The Company treats each unit in an apartment and condominium community separately for cost accumulation, capitalization and expense recognition purposes. Prior to the commencement of leasing and sales activities, interest and other construction costs are capitalized and are reflected on the balance sheet as construction in progress. The Company ceases the capitalization of such costs as the residential units in a community become substantially complete and available for occupancy. This results in a proration of these costs between amounts that are capitalized and expensed as the residential units in a development community become available for occupancy. In addition, prior to the completion of units, the Company expenses as incurred substantially all operating expenses (including pre-opening marketing and property management and leasing personnel expenses) of such communities.

A summary of community acquisition and development improvements and other capitalized expenditures for the three and six months ended June 30, 2009 and 2008 is detailed below.

	Three months ended June 30,				Six months ended June 30,
	2009		2008		2009		2008
Development and acquisition expenditures (1)	$	37,265	$	41,255	$	86,507	$	80,613
Periodically recurring capital expenditures
Community rehabilitation and other revenue generating improvements (2)		1,925		4,443		3,503		7,951
Other community additions and improvements (3) (6)		9,372		1,738		18,537		3,331
Annually recurring capital expenditures
Carpet replacements and other community additions and improvements (4)		3,673		3,382		6,307		5,640
Corporate additions and improvements		67		190		126		421
	$	52,302	$	51,008	$	114,980	$	97,956
Other Data
Capitalized interest	$	3,490	$	3,288	$	6,597	$	6,671
Capitalized development and associated costs (5)	$	1,194	$	1,568	$	2,499	$	3,328

(1) Reflects aggregate community acquisition and development costs, exclusive of the change in construction payables and assumed debt, if any, between years.

(2) Represents expenditures for community rehabilitations and other unit upgrade costs that enhance the rental value of such units (see page 15).

(3) Represents community improvement expenditures (e.g. property upgrades) that generally occur less frequently than on an annual basis.

(4) Represents community improvement expenditures (e.g. carpets, appliances) of a type that are expected to be incurred on an annual basis.

(5) Reflects internal personnel and associated costs capitalized to construction and development activities.

(6) Periodically recurring expenditures includes $8,157 and $13,528 for the three and six months ended June 30, 2009, respectively, related to the Company’s exterior remediation project.

18

POST PROPERTIES, INC.

INVESTMENTS IN UNCONSOLIDATED REAL ESTATE ENTITIES

(Dollars in thousands, except per share or unit data)

(Unaudited)

Apartments and Condominium Development Communities

The Company holds investments in limited liability companies (the “Property LLCs”) with institutional investors and accounts for its investments in these Property LLCs using the equity method of accounting. A summary of non-financial and financial information for the Property LLCs is as follows:

Non-Financial Data
Joint Venture Property	Location		Property     Type			# of Units		Ownership  Interest
Post Collier Hills® (1)		Atlanta, GA		Apartments			396		25%
Post Crest® (1)		Atlanta, GA		Apartments			410		25%
Post Lindbergh® (1)		Atlanta, GA		Apartments			396		25%
Post Biltmore™		Atlanta, GA		Apartments			276		35%
Post Massachusetts Avenue™		Washington, D.C.		Apartments			269		35%
3630 Peachtree South Tower (2)		Atlanta, GA		Mixed-Use			129		49%
Financial Data
	As of June 30, 2009										Three months ended June 30, 2009							Six months ended June 30, 2009
Joint Venture Property	Gross Investment in Real Estate (9)		Mortgage/ Construction Notes Payable			Entity Equity		Company’s Equity Investment			Entity NOI		Company’s Equity in Earnings		Mgmt. Fees & Other			Entity NOI		Company’s Equity in Earnings		Mgmt.  Fees & Other
Post Collier Hills® (1)	$	54,635	$	39,565	(4)	$	13,090	$	(4,106)	(1)	$	729	$	9				$	1,453	$	18
Post Crest® (1)		63,887		46,159	(4)		15,046		(6,508)	(1)		687		(28)					1,385		(52)
Post Lindbergh® (1)		60,285		41,000	(5)		17,960		(3,900)	(1)		713		(9)					1,499		2
Post Biltmore™		36,334		29,272	(6)		1,326		2,292			633		3					1,231		(5)
Post Massachusetts Avenue™		69,464		50,500	(7)		9,276		6,414			1,633		237					3,245		470
3630 Peachtree South Tower (2)		91,541		95,289	(8)		(22,086)		(39,820)	(3)		(233)		(74,868)					(376)		(74,979)
Total	$	376,146	$	301,785		$	34,612	$	(45,628)		$	4,162	$	(74,656)	$	211	(10)	$	8,437	$	(74,546)	$	422	(10)

(1) In 2007, the Company’s investment in the 25% owned Property LLC resulted from the transfer of three previously owned apartment communities to the Property LLC co-owned with an institutional investor. The assets, liabilities and members’ equity of the Property LLC were recorded at fair value based on agreed-upon amounts contributed to the venture. The credit investments in the Company’s 25% owned Property LLC resulted from financing proceeds distributed in excess of the Company’s historical cost-basis investment. These credit investments are reflected in consolidated liabilities on the Company’s consolidated balance sheet.

(2) The mixed-use project (the “Master JV”) consists of 129 luxury for-sale condominiums to be marketed as The Ritz-Carlton Residences, Atlanta, Buckhead (sponsored through a joint venture between the Company and a private condominium developer; the “Condo JV”) and approximately 425,000 square feet of Class A office space (sponsored through a joint venture between an office REIT and a private office developer). The Condo JV owns an approximate 49% pro-rata interest in the Master JV accounted for on the equity method, representing the condominium portion of the project. Due to its majority ownership of the Condo JV, the Company consolidates that entity on its consolidated balance sheet. The Company’s share of gross real estate assets and construction notes payable at June 30, 2009 was $6,659 and $33,679, respectively. See page 17 for further information regarding the for-sale condominium portion of the project.

(3) The Company’s credit investment results from a non-cash impairment charge of $68,219, net of the allocable loss to the noncontrolling joint venture interest in the entity of $6,514, for the three months ended June 30, 2009 to write down its investment to fair value. The credit investment is reflected in consolidated liabilities on the Company’s balance sheet.

(4) These notes bear interest at a fixed rate of 5.63% and mature in 2017.

(5) This note bears interest at a fixed rate of 5.71% and matures in 2017.

(6) This note bears interest at a fixed rate of 5.83% and requires monthly interest only payments through 2013. The note is prepayable without penalty in September 2011.

(7) This note bears interest at a fixed rate of 5.82% and requires monthly interest only payments through 2013. The note is prepayable without penalty in September 2011.

(8) At June 30, 2009, $95,289 was outstanding under a $178,840 construction loan facility bearing interest at a variable rate of LIBOR plus 1.35% and which matures in 2011.

(9) Represents GAAP basis net book value plus accumulated depreciation.

(10) Amounts include net property and asset management fees to the Company included in “Other Revenues” in the Company’s consolidated statements of operations.

19

POST PROPERTIES, INC.

NET ASSET VALUE SUPPLEMENTAL INFORMATION

(Dollars in thousands, except per share or unit data)

(Unaudited)

This supplemental financial and other data provides adjustments to certain GAAP financial measures and Net Operating Income (“NOI”), which is a supplemental non-GAAP financial measure that the Company uses internally to calculate Net Asset Value (“NAV”). These measures, as adjusted, are also non-GAAP financial measures. With the exception of NOI, the most comparable GAAP measure for each of the non-GAAP measures presented below in the “As Adjusted” column is the corresponding number presented in the first column listed below.

The Company presents below NOI for the quarter ended June 30, 2009 for properties stabilized by April 1, 2009 so that a capitalization rate may be applied and an approximate value for the assets determined. Properties not stabilized by April 1, 2009 are presented at full undepreciated cost. Other tangible assets, total liabilities and the liquidation value of preferred shares are also presented.

Financial Data

(In thousands)

Income Statement Data	Three months ended June 30, 2009		Adjustments			As Adjusted
Rental revenues	$	64,808	$	(539)	(1)	$	64,269
Other property revenues		4,033		(75)	(1)		3,958
Total rental and other revenues (A)		68,841		(614)			68,227
Property operating & maintenance expenses
(excluding depreciation and amortization) (B)		32,658		(6,199)	(1)		26,459
Property net operating income (Table 1) (A-B)	$	36,183	$	5,585		$	41,768
Assumed property management fee
(calculated at 3% of revenues) (A x 3%)							(2,047)
Assumed property capital expenditure reserve
($300 per unit per year based on 17,002 units)							(1,275)
Adjusted property net operating income						$	38,446
Annualized property net operating income (C)						$	153,784
Apartment units represented (D)		20,662		(3,660)	(1)		17,002
Other Asset Data	As of June 30, 2009		Adjustments			As Adjusted
Cash & equivalents	$	3,694	$	-		$	3,694
Real estate assets under construction, lease-up, conversion or rehabilitation, at cost (2)		123,072		232,965	(2)		356,037
Land held for future investment		82,039		-			82,039
Condominiums, for-sale and under construction		90,911		-			90,911
Assets held for sale (3)		63,364		(46,491)	(3)		16,873
Investments in and advances to unconsolidated real estate entities (4)		8,706		(8,706)	(4)		-
Restricted cash and other assets		42,942		-			42,942
Cash & other assets of unconsolidated real estate entities (5)		6,672		(4,738)	(5)		1,934
Total (E)	$	421,400	$	173,030		$	594,430
Other Liability Data
Indebtedness	$	1,086,790	$	-		$	1,086,790
Investments in unconsolidated real estate entities (4)		54,334		(14,514)	(4)		39,820
Other liabilities (including noncontrolling interests) (6)		128,913		(14,290)	(6)		114,623
Total liabilities of unconsolidated real estate entities (7)		209,851		(149,286)	(7)		60,565
Total (F)	$	1,479,888	$	(178,090)		$	1,301,798

20

Other Data

	As of June 30, 2009
	# Shares/Units	Stock Price		Implied Value
Liquidation value of preferred shares (G)				$	95,000
Common shares outstanding	44,353
Common units outstanding	219
Total (H)	44,572	$	13.44	$	599,048
Implied market value of Company gross real estate assets (I) = (F+G+H-E)				$	1,401,416
Implied Portfolio Capitalization Rate (C÷I)					11.0%
Implied market value of Company gross real estate assets per unit (I÷D)				$	82.4

(1) The following table summarizes the adjustments made to the components of property net operating income for the three months ended June 30, 2009 to adjust property net operating income to the Company’s share for fully stabilized communities:

	Rental Revenue		Other Revenue		Expenses		Units
Under construction, lease-up, conversion, or rehabilitation	$	(3,343)	$	(280)	$	(2,883)	(2,404)
Corporate property management expenses		-		-		(2,709)	-
Company share of unconsolidated entities		1,974		144		707	(1,256)
Held for sale operating properties		2,772		154		931	-
Corporate apartments and other		(1,942)		(93)		(2,245)	-
	$	(539)	$	(75)	$	(6,199)	(3,660)

(2) The “As Adjusted” amount represents CIP balance per the Company’s balance sheet plus the costs of properties under construction and lease-up that have been transferred to operating real estate assets as apartment units are completed, plus the gross book value for communities under rehabilitation during the second quarter of 2009.

(3) The adjustment reflects a reduction for the depreciated book value of two apartment communities held for sale and included in discontinued operations at June 30, 2009, as the net property operating income of these communities has been included in adjusted property net operating income reflected above (see note 1).

(4) The adjustment reflects a reduction for the investments in unconsolidated entities for entities with operating real estate assets, as the Company’s net operating income of such investments is included in the adjusted net operating income reflected above. The “As Adjusted” liability amount represents the consolidated credit investment in 3630 Peachtree South Tower (i.e., The Ritz-Carlton Residences, Atlanta, Buckhead).

(5) The “As of June 30, 2009” amount represents cash and other assets of unconsolidated apartment entities. The adjustment includes a reduction for the venture partners’ respective share of cash and other assets. The “As Adjusted” amount represents the Company’s respective share of the cash and other assets of unconsolidated apartment entities.

(6) The “As of June 30, 2009” amount consists of the sum of accrued interest payable, dividends and distributions payable, accounts payable and accrued expenses, security deposits and prepaid rents, and noncontrolling interests in consolidated real estate entities as reflected on the Company’s balance sheet. The adjustment represents a reduction for the non-cash liability associated with straight-line, long-term ground lease expense.

(7) The “As of June 30, 2009” amount represents total liabilities of unconsolidated apartment entities. The adjustment represents a reduction for the venture partner’s respective share of liabilities. The “As Adjusted” amount represents the Company’s respective share of liabilities of unconsolidated apartment entities.

21

POST PROPERTIES, INC.

NON-GAAP FINANCIAL MEASURES AND OTHER DEFINED TERMS

(Dollars in thousands, except per share or unit data)

(Unaudited)

Definitions of Supplemental Non-GAAP Financial Measures and Other Defined Terms

The Company uses certain non-GAAP financial measures and other defined terms in this accompanying Supplemental Financial Data. These non-GAAP financial measures include FFO, AFFO, net operating income, same store capital expenditures and certain debt statistics and ratios. The definitions of these non-GAAP financial measures are summarized below. The Company believes that these measures are helpful to investors in measuring financial performance and/or liquidity and comparing such performance and/or liquidity to other REITs.

Funds from Operations - The Company uses FFO as an operating measure. The Company uses the NAREIT definition of FFO. FFO is defined by NAREIT to mean net income (loss) available to common shareholders determined in accordance with GAAP, excluding gains (losses) from extraordinary items and sales of depreciable operating property, plus depreciation and amortization of real estate assets, and after adjustment for unconsolidated partnerships and joint ventures all determined on a consistent basis in accordance with GAAP. FFO presented in the Company’s press release and Supplemental Financial Data is not necessarily comparable to FFO presented by other real estate companies because not all real estate companies use the same definition. The Company’s FFO is comparable to the FFO of real estate companies that use the current NAREIT definition.

Accounting for real estate assets using historical cost accounting under GAAP assumes that the value of real estate assets diminishes predictably over time. NAREIT stated in its April 2002 White Paper on Funds from Operations that “since real estate asset values have historically risen or fallen with market conditions, many industry investors have considered presentations of operating results for real estate companies that use historical cost accounting to be insufficient by themselves.” As a result, the concept of FFO was created by NAREIT for the REIT industry to provide an alternate measure. Since the Company agrees with the concept of FFO and appreciates the reasons surrounding its creation, the Company believes that FFO is an important supplemental measure of operating performance. In addition, since most equity REITs provide FFO information to the investment community, the Company believes that FFO is a useful supplemental measure for comparing the Company’s results to those of other equity REITs. The Company believes that the line on its consolidated statement of operations entitled “net income (loss) available to common shareholders” is the most directly comparable GAAP measure to FFO.

Adjusted Funds From Operations - The Company also uses adjusted funds from operations (“AFFO”) as an operating measure. AFFO is defined as FFO less operating capital expenditures after adjusting for the impact of non-cash straight-line long-term ground lease expense, non-cash impairment charges, non-cash income (loss) related to mark-to-market of interest rate swap agreements, non-cash debt extinguishment costs and strategic review costs. The Company believes that AFFO is an important supplemental measure of operating performance for an equity REIT because it provides investors with an indication of the REIT’s ability to fund operating capital expenditures through earnings. In addition, since most equity REITs provide AFFO information to the investment community, the Company believes that AFFO is a useful supplemental measure for comparing the Company to other equity REITs. The Company believes that the line on its consolidated statement of operations entitled “net income (loss) available to common shareholders” is the most directly comparable GAAP measure to AFFO.

Property Net Operating Income - The Company uses property NOI, including same store NOI and same store NOI by market, as an operating measure. NOI is defined as rental and other revenues from real estate operations less total property and maintenance expenses from real estate operations (exclusive of depreciation and amortization). The Company believes that NOI is an important supplemental measure of operating performance for a REIT’s operating real estate because it provides a measure of the core operations, rather than factoring in depreciation and amortization, financing costs and general and administrative expenses generally incurred at the corporate level. This measure is particularly useful, in the opinion of the Company, in evaluating the performance of geographic operations, same store groupings and individual properties. Additionally, the Company believes that NOI, as defined, is a widely accepted measure of comparative operating performance in the real estate investment community. The Company believes that the line on its consolidated statement of operations entitled “net income” is the most directly comparable GAAP measure to NOI.

22

Same Store Capital Expenditures - The Company uses same store annually recurring and periodically recurring capital expenditures as cash flow measures. Same store annually recurring and periodically recurring capital expenditures are supplemental non-GAAP financial measures. The Company believes that same store annually recurring and periodically recurring capital expenditures are important indicators of the costs incurred by the Company in maintaining its same store communities on an ongoing basis. The corresponding GAAP measures include information with respect to the Company’s other operating segments consisting of communities stabilized in the prior year, lease-up communities, rehabilitation communities, sold properties and commercial properties in addition to same store information. Therefore, the Company believes that the Company’s presentation of same store annually recurring and periodically recurring capital expenditures is necessary to demonstrate same store replacement costs over time. The Company believes that the most directly comparable GAAP measure to same store annually recurring and periodically recurring capital expenditures are the lines on the Company’s consolidated statements of cash flows entitled “annually recurring capital expenditures” and “periodically recurring capital expenditures.”

Debt Statistics and Debt Ratios - The Company uses a number of debt statistics and ratios as supplemental measures of liquidity. The numerator and/or the denominator of certain of these statistics and/or ratios include non-GAAP financial measures that have been reconciled to the most directly comparable GAAP financial measure. These debt statistics and ratios include: (1) an interest coverage ratio; (2) a fixed charge coverage ratio; (3) total debt as a percentage of undepreciated real estate (adjusted for joint venture partner’s share of debt); (4) total debt plus preferred equity as a percentage of undepreciated real estate (adjusted for joint venture partner’s share of debt); (5) a ratio of consolidated debt to total assets; (6) a ratio of secured debt to total assets; (7) a ratio of total unencumbered assets to unsecured debt; and (8) a ratio of consolidated income available to debt service to annual debt service charge. A number of these debt statistics and ratios are derived from covenants found in the Company’s debt agreements, including, among others, the Company’s senior unsecured notes. In addition, the Company presents these measures because the degree of leverage could affect the Company’s ability to obtain additional financing for working capital, capital expenditures, acquisitions, development or other general corporate purposes. The Company uses these measures internally as an indicator of liquidity and the Company believes that these measures are also utilized by the investment and analyst communities to better understand the Company’s liquidity.

Average Economic Occupancy - The Company uses average economic occupancy as a statistical measure of operating performance. The Company defines average economic occupancy as gross potential rent less vacancy losses, model expenses and bad debt expenses divided by gross potential rent for the period, expressed as a percentage.

23

Reconciliations of Supplemental Non-GAAP Financial Measures

Table 1

Reconciliation of Same Store Net Operating Income (NOI) to GAAP Net Income

(Dollars in thousands)

(Unaudited)

	Three months ended						Six months ended
	June 30,     2009		June 30,     2008		March 31,     2009		June 30,     2009		June 30,     2008
Total same store NOI	$	34,590	$	34,519	$	34,624	$	69,214	$	69,139
Property NOI from other operating segments		1,593		602		1,630		3,223		1,059
Consolidated property NOI		36,183		35,121		36,254		72,437		70,198
Add (subtract):
Interest income		23		61		115		138		271
Other revenues		277		235		226		503		474
Depreciation		(18,009)		(15,213)		(17,592)		(35,601)		(30,310)
Interest expense		(12,241)		(11,004)		(14,178)		(26,419)		(22,035)
Amortization of deferred financing costs		(682)		(859)		(934)		(1,616)		(1,710)
General and administrative		(3,964)		(4,351)		(4,409)		(8,373)		(9,485)
Investment and development		(793)		(1,274)		(997)		(1,790)		(2,664)
Other investment costs		(646)		(244)		(653)		(1,299)		(499)
Strategic review costs		-		(2,091)		-		-		(8,161)
Impairment, severance and other charges		(9,658)		(29,300)		-		(9,658)		(29,300)
Gains (losses) on sales of real estate assets, net		232		(368)		(260)		(28)		1,751
Equity in income (loss) of unconsolidated real estate entities		(74,656)		420		110		(74,546)		821
Other income (expense), net		50		66		1,059		1,109		(108)
Net gain (loss) on early extinguishment of indebtedness		(79)		-		898		819		-
Loss from continuing operations		(83,963)		(28,801)		(361)		(84,324)		(30,757)
Income from discontinued operations		26,768		3,232		2,609		29,377		8,347
Net income (loss)	$	(57,195)	$	(25,569)	$	2,248	$	(54,947)	$	(22,410)

24

Table 2

Same Store Net Operating Income (NOI) and Average Rental Rate per Unit by Market

(Dollars in thousands)

	Three months ended						Q2 ‘09 vs. Q2 ‘08   % Change	Q2 ‘09 vs. Q1 ‘09   % Change	Q2 ‘09 % Same   Store NOI
	June 30,     2009		June 30,     2008		March 31,     2009
Rental and other revenues
Atlanta	$	14,422	$	14,969	$	14,519	(3.7)%	(0.7)%
Dallas		10,982		11,627		11,189	(5.5)%	(1.9)%
Washington, D.C.		10,215		10,350		10,121	(1.3)%	0.9%
Tampa		6,966		7,101		7,030	(1.9)%	(0.9)%
Charlotte		4,443		4,912		4,577	(9.5)%	(2.9)%
New York		3,634		3,725		3,675	(2.4)%	(1.1)%
Houston		3,072		3,070		3,063	0.1%	0.3%
Austin		1,196		1,231		1,214	(2.8)%	(1.5)%
Orlando		2,362		2,312		2,306	2.2%	2.4%
Total rental and other revenues		57,292		59,297		57,694	(3.4)%	(0.7)%
Property operating and maintenance expenses (exclusive of depreciation and amortization)
Atlanta		5,958		6,249		6,065	(4.7)%	(1.8)%
Dallas		4,650		5,499		4,554	(15.4)%	2.1%
Washington, D.C.		3,524		3,594		3,584	(1.9)%	(1.7)%
Tampa		2,866		3,252		2,831	(11.9)%	1.2%
Charlotte		1,588		1,862		1,576	(14.7)%	0.8%
New York		1,206		1,187		1,420	1.6%	(15.1)%
Houston		1,259		1,548		1,456	(18.7)%	(13.5)%
Austin		541		577		562	(6.2)%	(3.7)%
Orlando		1,110		1,010		1,022	9.9%	8.6%
Total		22,702		24,778		23,070	(8.4)%	(1.6)%
Net operating income
Atlanta		8,464		8,720		8,454	(2.9)%	0.1%	24.5%
Dallas		6,332		6,128		6,635	3.3%	(4.6)%	18.3%
Washington, D.C.		6,691		6,756		6,537	(1.0)%	2.4%	19.3%
Tampa		4,100		3,849		4,199	6.5%	(2.4)%	11.9%
Charlotte		2,855		3,050		3,001	(6.4)%	(4.9)%	8.3%
New York		2,428		2,538		2,255	(4.3)%	7.7%	7.0%
Houston		1,813		1,522		1,607	19.1%	12.8%	5.2%
Austin		655		654		652	0.2%	0.5%	1.9%
Orlando		1,252		1,302		1,284	(3.8)%	(2.5)%	3.6%
Total same store NOI	$	34,590	$	34,519	$	34,624	0.2%	(0.1)%	100.0%
Average rental rate per unit
Atlanta	$	1,114	$	1,152	$	1,134	(3.3)%	(1.7)%
Dallas		1,078		1,103		1,093	(2.3)%	(1.4)%
Washington, D.C.		1,787		1,813		1,799	(1.4)%	(0.7)%
Tampa		1,214		1,286		1,231	(5.6)%	(1.3)%
Charlotte		1,108		1,187		1,151	(6.7)%	(3.8)%
New York		3,843		3,893		3,939	(1.3)%	(2.4)%
Houston		1,263		1,250		1,269	1.0%	(0.5)%
Austin		1,325		1,331		1,346	(0.5)%	(1.5)%
Orlando		1,339		1,452		1,373	(7.8)%	(2.5)%
Total average rental rate per unit		1,287		1,328		1,308	(3.1)%	(1.6)%

25

Table 2 (con’t)

Same Store Net Operating Income (NOI) and Average Rental Rate per Unit by Market

(Dollars in thousands)

	Six months ended				% Change
	June 30,     2009		June 30,     2008
Rental and other revenues
Atlanta	$	28,941	$	29,756	(2.7)%
Dallas		22,171		22,893	(3.2)%
Washington, D.C.		20,337		20,531	(0.9)%
Tampa		13,996		14,283	(2.0)%
Charlotte		9,020		9,696	(7.0)%
New York		7,308		7,493	(2.5)%
Houston		6,135		6,101	0.6%
Austin		2,410		2,471	(2.5)%
Orlando		4,667		4,683	(0.3)%
Total rental and other revenues		114,985		117,907	(2.5)%
Property operating and maintenance expenses (exclusive of depreciation and amortization)
Atlanta		12,023		12,200	(1.5)%
Dallas		9,205		10,703	(14.0)%
Washington, D.C.		7,108		7,258	(2.1)%
Tampa		5,697		6,294	(9.5)%
Charlotte		3,164		3,478	(9.0)%
New York		2,625		2,591	1.3%
Houston		2,715		2,912	(6.8)%
Austin		1,102		1,184	(6.9)%
Orlando		2,132		2,148	(0.7)%
Total		45,771		48,768	(6.1)%
Net operating income
Atlanta		16,918		17,556	(3.6)%
Dallas		12,966		12,190	6.4%
Washington, D.C.		13,229		13,273	(0.3)%
Tampa		8,299		7,989	3.9%
Charlotte		5,856		6,218	(5.8)%
New York		4,683		4,902	(4.5)%
Houston		3,420		3,189	7.2%
Austin		1,308		1,287	1.6%
Orlando		2,535		2,535	0.0%
Total same store NOI	$	69,214	$	69,139	0.1%
Average rental rate per unit
Atlanta	$	1,124	$	1,148	(2.1)%
Dallas		1,086		1,099	(1.2)%
Washington, D.C.		1,793		1,809	(0.9)%
Tampa		1,222		1,291	(5.3)%
Charlotte		1,130		1,186	(4.7)%
New York		3,891		3,886	0.1%
Houston		1,266		1,239	2.2%
Austin		1,335		1,326	0.7%
Orlando		1,356		1,457	(6.9)%
Total average rental rate per unit		1,298		1,326	(2.1)%

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Table 3

Reconciliation of Segment Cash Flow Data to Statements of Cash Flows

(Dollars in thousands)

	Three months ended June 30,				Six months ended June 30,
	2009		2008		2009		2008
Annually recurring capital expenditures by operating segment
Fully stabilized	$	3,179	$	2,543	$	5,376	$	4,190
Communities stabilized during 2008		221		309		401		444
Development, rehabilitation and lease-up		135		108		205		212
Other segments		138		422		325		794
Total annually recurring capital expenditures per statements of cash flows (1)	$	3,673	$	3,382	$	6,307	$	5,640
Periodically recurring capital expenditures by operating segment
Fully stabilized	$	8,759	$	1,579	$	15,176	$	2,869
Communities stabilized during 2008		5		3		6		48
Development, rehabilitation and lease-up		145		22		2,132		45
Other segments		463		134		1,223		369
Total periodically recurring capital expenditures per statements of cash flows (1)	$	9,372	$	1,738	$	18,537	$	3,331
(1)    For the three and six months ended June 30, 2009, includes approximately $8,157 and $13,528, respectively, of periodically recurring capital expenditures related to the Company’s exterior remediation project.

Table 4

Computation of Interest and Fixed Charge Coverage Ratios

(Dollars in thousands)

	Six months ended June 30,
	2009		2008
Loss from continuing operations	$	(84,324)	$	(30,757)
Other non-cash expenses, net		1,713		2,488
Income tax expense		464		341
Losses (gains) on sales of real estate assets, net		28		(1,751)
Net gain on early extinguishment of indebtedness		(819)		-
Non-cash impairment charge - unconsolidated entity		74,733		-
Non-cash impairment charge - consolidated entities		9,658		28,947
Depreciation expense		35,601		30,310
Depreciation (company share) of assets held in unconsolidated entities		700		693
Interest expense		26,419		22,035
Interest expense (company share) of assets held in unconsolidated entities		1,718		1,387
Amortization of deferred financing costs		1,616		1,710
Income available for debt service (A)	$	67,507	$	55,403
Interest expense	$	26,419	$	22,035
Interest expense (company share) of assets held in unconsolidated entities		1,718		1,387
Interest expense for purposes of computation (B)		28,137		23,422
Dividends and distributions to preferred shareholders and unitholders		3,819		3,819
Fixed charges for purposes of computation (C)	$	31,956	$	27,241
Interest coverage ratio (A÷B)		2.4x		2.4x
Fixed charge coverage ratio (A÷C)		2.1x		2.0x

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Table 5

Computation of Debt Ratios

(Dollars in thousands)

	As of June 30,
	2009		2008
Total real estate assets per balance sheet	$	2,132,577	$	2,115,247
Plus:
Company share of real estate assets held in unconsolidated entities		80,436		94,510
Company share of accumulated depreciation - assets held in unconsolidated entities		7,864		6,049
Accumulated depreciation per balance sheet		587,116		499,981
Accumulated depreciation on assets held for sale		28,441		93,844
Total undepreciated real estate assets (A)	$	2,836,434	$	2,809,631
Total debt per balance sheet	$	1,086,790	$	1,064,405
Plus:
Company share of third party debt held in unconsolidated entities		93,280		65,128
Total debt (adjusted for joint venture partners’ share of debt) (B)	$	1,180,070	$	1,129,533
Total debt as a % of undepreciated real estate assets (adjusted for joint venture partners’ share of debt (B÷A)		41.6%		40.2%
Total debt per balance sheet	$	1,086,790	$	1,064,405
Plus:
Company share of third party debt held in unconsolidated entities		93,280		65,128
Preferred shares at liquidation value		95,000		95,000
Total debt and preferred equity (adjusted for joint venture partners’ share of debt) (C)	$	1,275,070	$	1,224,533
Total debt and preferred equity as a % of undepreciated real estate assets (adjusted for joint venture partners’ share of debt) (C÷A)		45.0%		43.6%

Table 6

Calculation of Company Undepreciated Book Value Per Share

(Dollars in thousands)

	June 30, 2009
Total Company shareholders’ equity, per balance sheet	$	923,370
Plus:
Accumulated depreciation, per balance sheet		587,116
Accumulated depreciation held for sale assets, per balance sheet		28,441
Noncontrolling interest of common unitholders in Operating Partnership, per balance sheet		4,094
Less:
Deferred charges, net, per balance sheet		(9,582)
Preferred shares at liquidation value		(95,000)
Total undepreciated book value (A)	$	1,438,439
Total common shares and units (B)		44,571
Company undepreciated book value per share (A÷B)	$	32.27

28