EX-99.2 3 exh_992.txt EXHIBIT 99.2 ------------ AMLI RESIDENTIAL ------------------------------------------------------------ FIRST QUARTER 2004 SUPPLEMENTAL OPERATING AND FINANCIAL DATA ------------------------------------------------------------ [ graphics indicating property / caption reading "AMLI at Milton Park - Atlanta, Georgia Stabilized in First Quarter 2004" AMLI RESIDENTIAL PROPERTIES TRUST 125 South Wacker Drive Chicago, Illinois 60606 Phone: (312) 443-1477 Fax: (312) 443-0909 www.amli.com ------------ Certain matters discussed in this supplemental package and the conference call held in connection herewith are forward looking statements within the meaning of Federal Securities Law. Although the Company believes expectations reflected in such forward looking statements are based upon reasonable assumptions, it can give no assurance that its expectations will be achieved. Forward looking statements can be identified by the Company's use of the words "project," "believe," "expect," "anticipate," "intend," "estimate," "assume," and other similar expressions that predict or indicate future events, achievements or trends or that do not relate to historical matters. The Company is making forward looking statements because it believes that investors, analysts, and others, many of whom prepare models and projections of the Company's performance, are interested in the Company's current estimates of future activities. The Company advises such parties to make their own determination of any relevant or material assumption used by them. Many factors may cause the Company's actual performance in any period or periods to differ materially from the anticipated future performance expressed or implied by these forward looking statements. Certain of the factors that could cause the Company's actual performance to differ materially from those expressed or implied by these forward looking statements include, but are not limited to, general economic conditions, local real estate conditions, the timely development and lease-up of communities, other risk detailed from time to time in the Company's SEC reports, including the annual report on Form 10-K for the year ended December 31, 2003. AMLI RESIDENTIAL TABLE OF CONTENTS Page ---- SUMMARY INFORMATION Description of AMLI and Investor Information. . . . . . . . . 1 Earnings Release. . . . . . . . . . . . . . . . . . . . . . . 2 Selected Financial and Operating Information. . . . . . . . . 8 Funds From Operations . . . . . . . . . . . . . . . . . . . . 16 Statements of Operations. . . . . . . . . . . . . . . . . . . 18 Balance Sheets. . . . . . . . . . . . . . . . . . . . . . . . 24 DEBT AND PREFERRED SHARES Debt and Preferred Shares Summary . . . . . . . . . . . . . . 30 Debt Maturities . . . . . . . . . . . . . . . . . . . . . . . 34 SAME STORE AND NOI DATA Quarterly Comparison of Same Store Communities. . . . . . . . 36 Quarterly Comparison of Components of NOI . . . . . . . . . . 45 OTHER DATA Co-Investment Compensation. . . . . . . . . . . . . . . . . . 48 Service Companies Financial Information . . . . . . . . . . . 49 PORTFOLIO Stabilized Communities. . . . . . . . . . . . . . . . . . . . 53 Development Summary . . . . . . . . . . . . . . . . . . . . . 59 Land Held for Development or Sale . . . . . . . . . . . . . . 63 NON-GAAP FINANCIAL MEASURES Definition of Non-GAAP Financial Measures . . . . . . . . . . 64 Reconciliation Between Net Income and FFO and AFFO. . . . . . 66 Reconciliation Between Net Income and Consolidated NOI. . . . 68 Reconciliation Between Net Income and Combined NOI. . . . . . 71 First Quarter 2004 Supplemental Information AMLI Residential Properties Trust AMLI RESIDENTIAL COMPANY DESCRIPTION INVESTOR INFORMATION AMLI Residential (or AMLI) is an integrated, self-managed real estate operating company that was formed in February 1994 to continue and expand the multifamily property business previously conducted by AMLI Realty Co., our predecessor company, which has been in business since 1980. AMLI is structured as an UPREIT, or umbrella partnership real estate investment trust, and we own interests in properties and conduct our business through AMLI Residential Properties, L.P., (the Operating Partnership or OP). The sole general partner of the OP is AMLI Residential Properties Trust, the public company whose shares of beneficial interest are traded on the NYSE under the symbol "AML." Our business is the development, acquisition and management of upscale apartment communities in the Southeast, Southwest, Midwest and Mountain regions of the United States. We also serve as an institutional advisor and asset manager for domestic and international, tax-exempt and taxable investors in connection with our joint venture co-investment business. A summary schedule of our investment communities is included in this Supplement. We operate all of our communities under the AMLI [registered trademark] brand name, representing our commitment to high quality, exceptional service and superior value. We have corporate offices in Atlanta, Dallas, Indianapolis and Kansas City, in addition to our main office in Chicago. We employ approximately 850 people who are dedicated to our mission ... To Provide an Outstanding Living Environment For Our Residents. For additional information on AMLI, please visit our website at www.amli.com. The following information is presented as a supplement to our other public reporting, including our Form 10-Q and Form 10-K, both of which can be found on our website or through the SEC's EDGAR database. We hope that the information contained herein is helpful to you. We encourage your feedback and any suggestions, which you believe will help us provide better disclosure to you. Please contact either of: Robert Chapman Executive Vice President & CFO 312.984.6845 rchapman@amli.com Sue Bersh Vice President - Corporate Communications 312.984.2607 sbersh@amli.com Thank you for your interest in AMLI Residential. AML LISTED NYSE First Quarter 2004 Page 1 Supplemental Information AMLI Residential Properties Trust 125 South Wacker Drive AMLI RESIDENTIAL Suite 3100 Chicago, Illinois 60606 Phone: 312.443.1477 Fax: 312.443.0909 www.amli.com PRESS RELEASE For Immediate Release For More Information, Contact: --------------------- Robert J. Chapman, Chief Financial Officer April 27, 2004 (312) 984-6845 AMLI RESIDENTIAL ANNOUNCES FIRST QUARTER OPERATING RESULTS AND DECLARES DIVIDEND (CHICAGO, IL) AMLI RESIDENTIAL PROPERTIES TRUST (NYSE: AML) announces today operating results for the first quarter ended March 31, 2004. EARNINGS -------- Net income for the quarter ended March 31, 2004 was $6,719,000 as compared to $3,708,000 for the quarter ended March 31, 2003, an increase of 81%. Diluted Earnings Per Share ("EPS") for the quarter ended March 31, 2004 was $0.21 compared to $0.10 for the same period a year earlier, an increase of 110%. The increases are primarily attributable to the recognition of AMLI's share of the gain on the sale of a co-investment community in January 2004. The Company did not sell any communities in the first quarter of 2003. Funds From Operations ("FFO") for the first quarter 2004 were $15,678,000, or $0.56 per common share, compared to $12,717,000, or $0.52 per common share, for the first quarter 2003, a per share increase of 7.7%. Actual results were $0.03 per share higher than the midpoint of AMLI's most recent guidance and $0.04 per share higher than First Call's most recent estimate. "AMLI had a strong quarter, primarily due to better than expected operating results from our communities," commented Allan J. Sweet, AMLI President. "Revenue was as we expected. Community operating expenses were less than expected, accounting for the $0.03 per share positive variation from our prior guidance. We believe half of the expense savings is permanent and the other half represents timing differences and will be incurred in future quarters." FIRST QUARTER ACTIVITIES ------------------------ During the first quarter, AMLI sold 3,450,000 of its common shares to Lehman Brothers Inc., as sole book-running manager, and Stifel, Nicolaus & Company, Incorporated, as co-manager. Net proceeds from this sale, after deducting offering expenses, were approximately $94.6 million and were used to pay down the outstanding balance under AMLI's revolving line of credit and for general corporate purposes. In January, AMLI sold AMLI at Wells Branch, a 576-unit community in Austin, Texas, in which AMLI owned a 25% interest. AMLI also acquired the 60% interest it did not already own in AMLI on Timberglen, a 260-unit community in Dallas, Texas. In March, AMLI completed the initial lease-up and stabilization of AMLI at Milton Park, a 461-unit community in Alpharetta, Georgia. First Quarter 2004 Page 2 Supplemental Information AMLI Residential Properties Trust Additionally, during the quarter AMLI began a $4 million renovation of AMLI at West Paces, a 337-unit community in the Buckhead area of Atlanta, Georgia. AMLI expects the renovation to be completed in the third quarter of 2005. AMLI at West Paces was constructed in 1992 and purchased by AMLI in 1993. As of March 31, 2004, AMLI has reclassified the results of the community's operations from "Same Store Community" to a newly designated "Community Under Rehab" category in its supplemental disclosures. At the end of the quarter, AMLI decided to retain for investment AMLI at Walnut Creek, a 460-unit community that AMLI owned in its subsidiary, which had developed it for sale. The ownership of the property was transferred, through a sale, to AMLI's operating partnership where the results of its operations will be now reported. No gain or loss on the transaction occurred for GAAP accounting purposes, and the transaction had no impact on earnings during the quarter. Also during the quarter, AMLI closed its Indianapolis corporate office. AMLI will continue to operate and pursue additional investment opportunities in this market. "A few other items affecting our first quarter results are worth noting," commented Robert J. Chapman, AMLI CFO. "One is that our corporate general and administrative expenses included a one-time charge of approximately $500,000 primarily related to personnel costs in connection with the closing of AMLI's Indianapolis office. Another is that we had interest expense savings for the quarter that were essentially equal to the increase in G&A, as we paid down our line of credit from the proceeds of the equity raise and benefited from lower LIBOR rates than we assumed." SAME COMMUNITY RESULTS ---------------------- On a combined same community basis, which includes both wholly-owned and co-investment communities (at 100%), for the quarter ended March 31, 2004 versus the prior year's comparable quarter, total community revenue was flat (reflecting an increase in weighted average occupancy to 92.5% from 89.0% and a decrease in weighted average collected revenue per occupied unit of 4.1%), operating expenses increased by 0.6%, and net operating income ("NOI") decreased by 0.4%. Comparing the first quarter of 2004 to the fourth quarter of 2003, total community revenue decreased by 0.3% (reflecting a decrease in weighted average occupancy by 0.6% from 93.1% and an increase in weighted average collected revenue per occupied unit of 0.3%), operating expenses decreased 2.3%, and NOI increased 1.0%. EBITDA ------ Earnings before interest, taxes, depreciation and amortization ("EBITDA") for the quarter ended March 31, 2004 was $27,054,000 compared to the same period last year of $23,614,000, representing an increase of 14.6%. SUBSEQUENT EVENTS ----------------- In April 2004, AMLI sold AMLI at Spring Creek, a 1,180-unit community in Atlanta, Georgia and purchased, via tax-deferred exchanges, AMLI at Ibis, a 234-unit community in West Palm Beach, Florida and AMLI on Eldridge Parkway, a 668-unit community in Houston, Texas. In connection with the sale of AMLI at Spring Creek, AMLI will recognize an approximately $35 million ($1.12 EPS) gain on sale of real estate. AMLI will also recognize an approximately $5 million ($0.16 per share of earnings) net gain on early extinguishment of debt related to the buyer's assumption of the $40.75 million of long-term tax-exempt financing that encumbers the property. This gain will be included in FFO in the second quarter. AMLI views this transaction as a one-time, non-recurring event. First Quarter 2004 Page 3 Supplemental Information AMLI Residential Properties Trust OUTLOOK ------- AMLI now revises its prior guidance and currently expects FFO for the full year 2004 to be in the range of $2.04 to $2.16 per share (with a midpoint of $2.10 per share) and per share estimates for the second, third and fourth quarters (generally plus or minus $0.02 per quarter) of $0.54, $0.48, $0.52, respectively, plus actual results for the first quarter of $0.56 per share. AMLI's current guidance estimates are based on the following assumptions: . Same Store Communities - NOI will range from a decrease of approximately 2.5% to an increase of 1.5% for the full year 2004 compared to 2003, unchanged from prior guidance. . Lease-up Communities - There is no effect on FFO from the AMLI at Walnut Creek transaction; however, NOI from the lease-up of the community will now be reflected on the books of the operating partnership, rather than in a subsidiary. . Development - Prior guidance assumed no development starts. AMLI now believes that it will start at least one new development and is considering a limited number of others. . Dispositions (wholly owned) - In addition to the sale of AMLI at Spring Creek, AMLI intends to sell a number of its "older", wholly owned communities in 2004 and currently expects to sell about $60 million in estimated value, of which approximately $30 million is expected to be sold in the second quarter and $30 million in the fourth quarter. . Dispositions (co-investments) - In addition to the sale of an interest in AMLI at Wells Branch, AMLI does not currently project any further sales of joint venture communities this year. . Acquisitions (wholly owned) - In addition to the acquisitions of AMLI at Ibis and AMLI on Eldridge Parkway, AMLI is currently projecting approximately $165 million of wholly owned acquisitions for the remainder of the year, $25 million, $60 million and $80 million in the second, third and fourth quarters, respectively. . Acquisitions (co-investments) - AMLI's current assumption is the same as in its prior guidance, to acquire $100 million in co-investment joint ventures, in which AMLI will own an average 25% interest, half around the end of third quarter and the balance late in the fourth quarter. . Financing - AMLI currently expects to close approximately $85 million of long-term fixed rate mortgage debt, all in the second quarter, the proceeds of which will be used to pay down AMLI's floating rate, line of credit. . In addition to the one-time income recognition of the gain from early extinguishment of debt, AMLI expects to incur a one-time, non-recurring prepayment penalty and write-off of deferred financing fees in connection with the refinancing of one of AMLI's existing mortgages, which will negatively impact FFO in the second quarter by approximately $0.04 per share. . Dilution from Equity Raise - AMLI used the proceeds of its common share offering at the end of the first quarter to pay down its line of credit debt, which has the affect of reducing interest expense. However, until such proceeds are fully reinvested in income earning assets, the negative impact earnings will be about $0.01-0.02 per share per month. First Quarter 2004 Page 4 Supplemental Information AMLI Residential Properties Trust The following broadly reconciles the Company's current midpoint FFO per share earnings guidance to its prior midpoint per share guidance: Prior guidance. . . . . . . . . . . . . . . . $ 2.08 Impact of: Recognition of income from early extinguishment of debt, net. . . . . . . 0.12 Dilution due to timing of redeployment of equity raise. . . . . . . . . . . . . (0.06) Dilution due to cap rate differential in selling and buying . . . . . . . . . . (0.03) Increase in interest expense by converting from floating- to fixed-rate debt. . . (0.03) Closing of Indianapolis corporate office . (0.02) All other, including permanent community operating expense savings from 1Q. . . . 0.04 ------ Revised guidance. . . . . . . . . . . . . . . $ 2.10 ====== The following chart reconciles AMLI's current FFO per share guidance to EPS: Current Midpoint Quarterly Guidance ------------------------------------------------ Full Year Actual Midpoint Q1 Q2 Q3 Q4 Guidance ------ ----- ----- ----- -------- Diluted EPS . . . . . 0.21 1.56 0.02 0.55 2.38 Convertible Preferred Shares Adjustment . . . . 0.03 0.00 0.05 0.00 0.00 Gains on sale. . . . (0.10) (1.44) 0.00 (0.38) (1.83) Depreciaiton . . . . 0.42 0.42 0.41 0.35 1.55 FFO per share . . . . 0.56 0.54 0.48 0.52 2.10 Note: "Gains on sales" and "depreciation" include AMLI's shares from co- investment partnerships. DIVIDEND -------- Yesterday, the Board of Trustees declared a quarterly dividend of $0.48 per common share. This dividend is payable on May 18, 2004 to all common shareholders of record as of May 7, 2004 and is based on an annual dividend rate of $1.92 per common share. CONFERENCE CALL --------------- AMLI will hold a conference call on Wednesday, April 28, 2004 at 3:30 p.m. Eastern Time. The toll-free number for the call is 888-780-9654- Passcode: AMLI, and should be accessed approximately 5 minutes prior to conference time. A live webcast of the conference call will also be available in the 'Company Info' section on AMLI's website (www.amli.com/comp/) and at www.streetevents.com. Additionally, an on-line replay of the webcast will be available for 60 days following the call. SUPPLEMENTAL INFORMATION ------------------------ AMLI produces Quarterly Supplemental Information that provides detailed information regarding the Company's activities during the quarter. The First Quarter Supplemental Information is available in the 'Company Info' section on our website (www.amli.com/comp/) under 'Shareholder Reports.' First Quarter 2004 Page 5 Supplemental Information AMLI Residential Properties Trust DEFINITIONS ----------- This press release and the Quarterly Supplemental Information described above contain certain non-GAAP ("Generally Accepted Accounting Principles") information that is generally provided by most publicly-traded residential REITs. AMLI uses this information internally to measure its performance and/or liquidity and to compare its performance to other REITs in its peer group, and believes that this information may be of interest and use to the investment community for the same reason. Except where indicated, community revenue, community expenses, net operating income ("NOI") and earnings before interest, taxes, depreciation and amortization ("EBITDA") are computed based on various line items included in our consolidated statements of income prepared in accordance with GAAP. Where indicated, this information is presented on a basis that includes AMLI's proportionate share of the non-GAAP financial measures of its co-investment partnerships. Reconciliations of all non-GAAP financial measures to GAAP financial measures are included in the Company's Quarterly Supplemental Financial information, primarily pages 24, 25 and 26. EBITDA is NOI (including AMLI's proportionate share of the NOI of its co- investment partnerships) plus all fees and interest income and income from the Service Companies and gains or losses from sales or valuation of land and other income, less general and administration expense. FUNDS FROM OPERATIONS ("FFO") is EBITDA less interest expense (including AMLI's proportionate share of the interest expense of its co-investment partnerships and amortization of deferred financing expense) and any income taxes. FFO computed in this manner is equal to FFO as defined in NAREIT's white paper, which definition is "net income (computed in accordance with GAAP), excluding gains (or losses) from sales of property, plus depreciation and amortization, and after adjustments for unconsolidated partnerships and joint ventures." Additional definitions can be found in the Quarterly Supplemental Information. ABOUT AMLI ---------- The AMLI portfolio currently includes 72 apartment communities containing 27,014 apartment homes, with an additional 1,816 apartment homes under development or in lease-up in five locations. AMLI is focused on the development, acquisition and management of institutional quality multifamily communities in the Southeast, Southwest, Midwest and Mountain regions of the U.S. AMLI Residential also serves as institutional advisor and asset manager for large pension funds, tax-exempt foundations and other financial institutions through AMLI's co-investment business. AMLI employs approximately 850 people who are dedicated to achieving AMLI's mission--PROVIDE AN OUTSTANDING LIVING ENVIRONMENT FOR OUR RESIDENTS. More information on AMLI is available at www.amli.com. FORWARD-LOOKING STATEMENTS -------------------------- Certain matters discussed in this press release are forward-looking statements within the meaning of Federal Securities Law. Although the Company believes expectations reflected in such forward looking statements are based upon reasonable assumptions, it can give no assurance that its expectations will be achieved. First Quarter 2004 Page 6 Supplemental Information AMLI Residential Properties Trust Forward-looking statements can be identified by the Company's use of the words "project," "believe," "expect," "anticipate," "intend," "estimate," "assume," and other similar expressions that predict or indicate future events, achievements or trends or that do not relate to historical matters. The Company does not assure the future results or outcome of the matters described in forward-looking statements; rather, these statements merely reflect the Company's current expectations of the approximate outcomes of the matters discussed. Forward-looking statements involve known and unknown risks, uncertainties and other factors, some of which are beyond the Company's control. The reader is cautioned to make his/her own judgment with regard to the statements discussed in this press release and the assumption noted by the Company herein. The Company is making forward-looking statements because it believes investors, analysts and others, many of whom prepare models and projections of the Company's performance, are interested in the Company's current estimates of its future activities. The Company advises such parties to make their own determination of any relevant or material assumption used by them. Many factors may cause the Company's actual performance in any period or periods to differ materially from the anticipated future performance expressed or implied by these forward-looking statements. Certain of the factors that could cause the Company's actual performance to differ materially from those expressed or implied by these forward-looking statements include, but are not limited to, general economic conditions, local real estate conditions, the timely development and lease-up of communities, other risks detailed from time to time in the Company's SEC reports, including the annual report on form 10-K for the year ended December 31, 2003. # # # # First Quarter 2004 Page 7 Supplemental Information AMLI Residential Properties Trust AMLI RESIDENTIAL SELECTED FINANCIAL AND OPERATING INFORMATION Quarter Ended Unaudited (Dollars in thousands, except for share data)
2004 2003 -------------------------------------------------------------------------------------- Dec 31 Sep 30 Jun 30 Mar 31 Dec 31 Sep 30 Jun 30 (j) Mar 31 -------------------- ---------- -------------------- -------------------- ---------- EARNINGS AND CASH FLOWS ----------------------- EBITDA (a). . . . . . . $ 27,054 26,347 26,139 22,413 23,614 FFO . . . . . . . . . . 15,678 15,025 14,684 11,789 12,717 AFFO. . . . . . . . . . 14,586 13,953 13,253 10,559 11,408 Net income. . . . . . . 4,787 13,533 5,935 2,928 3,708 Dividends (b) . . . . . 13,112 13,010 11,787 11,758 11,733 PER SHARE DATA - DILUTED ------------------------ FFO . . . . . . . . . . $ 0.56 $ 0.55 $ 0.57 $ 0.48 $ 0.52 AFFO. . . . . . . . . . $ 0.52 $ 0.51 $ 0.51 $ 0.43 $ 0.47 Net income allocable to common shares . . . $ 0.21 $ 0.55 $ 0.21 $ 0.06 $ 0.10 Common dividends. . . . $ 0.48 $ 0.48 $ 0.48 $ 0.48 $ 0.48 FFO payout ratio (based on per share amounts) . . . . . . . 86% 87% 84% 100% 92% AFFO payout ratio (based on per share amounts) . . . . . . . 92% 94% 94% 111% 102% See notes on following pages. First Quarter 2004 Page 8 Supplemental Information AMLI Residential Properties Trust
AMLI RESIDENTIAL SELECTED FINANCIAL AND OPERATING INFORMATION - CONTINUED Quarter Ended Unaudited (Dollars in thousands, except for share data)
2004 2003 -------------------------------------------------------------------------------------- Dec 31 Sep 30 Jun 30 Mar 31 Dec 31 Sep 30 Jun 30 (j) Mar 31 -------------------- ---------- -------------------- -------------------- ---------- NUMBER OF APARTMENT HOMES ------------------------- Stabilized Communities: Wholly-owned. . . . . . 15,240 14,980 14,100 12,260 12,260 Partnerships. . . . . . 12,052 12,427 14,189 16,271 15,573 -------------------- ---------- -------------------- -------------------- ---------- 27,292 27,407 28,289 28,531 27,833 -------------------- ---------- -------------------- -------------------- ---------- Communities Under Development and/or Lease-up: Wholly-owned. . . . . . 782 322 322 322 322 Partnerships. . . . . . 1,034 1,495 1,495 1,495 1,919 -------------------- ---------- -------------------- -------------------- ---------- 1,816 1,817 1,817 1,817 2,241 -------------------- ---------- -------------------- -------------------- ---------- Total . . . . . . . 29,108 29,224 30,106 30,348 30,074 ==================== ========== ==================== ==================== ========== First Quarter 2004 Page 9 Supplemental Information AMLI Residential Properties Trust AMLI RESIDENTIAL SELECTED FINANCIAL AND OPERATING INFORMATION Quarter Ended Unaudited (Dollars in thousands, except for share data) 2004 2003 -------------------------------------------------------------------------------------- Dec 31 Sep 30 Jun 30 Mar 31 Dec 31 Sep 30 Jun 30 Mar 31 -------------------- ---------- -------------------- -------------------- ---------- CAPITALIZATION -------------- Total Assets before Depreciation: Consolidated (c). . . . $1,284,825 1,304,155 1,207,530 1,084,879 1,076,479 Combined including share of partnerships (d). . . . . . . . . . 1,537,620 1,560,451 1,464,356 1,347,423 1,335,377 Debt: Consolidated. . . . . . 496,583 610,513 522,672 462,781 457,950 Combined, including shares of partner- ships. . . . . . . . . 706,534 820,090 731,110 674,373 669,648 See notes on following pages. First Quarter 2004 Page 10 Supplemental Information AMLI Residential Properties Trust
AMLI RESIDENTIAL SELECTED FINANCIAL AND OPERATING INFORMATION - CONTINUED Quarter Ended Unaudited (Dollars in thousands, except for share data)
2004 2003 -------------------------------------------------------------------------------------- Dec 31 Sep 30 Jun 30 Mar 31 Dec 31 Sep 30 Jun 30 Mar 31 -------------------- ---------- -------------------- -------------------- ---------- Share Information: Common shares outstanding (e). . . . 25,289,72521,394,568 19,503,20716,928,640 16,787,100 Preferred shares outstanding (f). . . . 3,925,000 4,025,000 4,025,000 4,025,000 4,025,000 Operating partnership units outstanding (g). 1,715,394 1,743,396 3,473,482 3,545,993 3,547,685 -------------------- ---------- -------------------- -------------------- ---------- Total shares and units outstanding. . . 30,930,11927,162,964 27,001,68924,499,633 24,359,785 -------------------- ---------- -------------------- -------------------- ---------- Share price, end of period. . . . . $ 28.25$ 26.80 $ 26.20$ 23.55 $ 21.05 Equity Market Capitalization . . . . 873,776 727,967 707,444 576,966 512,773 Total Market Capitalization: Consolidated. . . . . . 1,370,359 1,338,480 1,230,116 1,039,747 970,723 Combined, including share of partnerships. 1,580,310 1,548,057 1,438,554 1,251,339 1,182,422 DEBT SERVICE (h) ---------------- Interest Expense (excluding amortiza- tion of deferred financing costs): Consolidated. . . . . . $ 6,965 6,607 6,255 5,913 6,296 Combined, including share of partnerships. 10,693 10,502 10,126 9,754 10,042 See notes on following pages. First Quarter 2004 Page 11 Supplemental Information AMLI Residential Properties Trust
AMLI RESIDENTIAL SELECTED FINANCIAL AND OPERATING INFORMATION - CONTINUED Quarter Ended Unaudited (Dollars in thousands, except for share data)
2004 2003 -------------------------------------------------------------------------------------- Dec 31 Sep 30 Jun 30 Mar 31 Dec 31 Sep 30 Jun 30 Mar 31 -------------------- ---------- -------------------- -------------------- ---------- Capitalized Interest: Consolidated. . . . . . 465 521 498 643 392 Combined, including share of partnerships. 509 546 540 734 444 Scheduled Principal Payments (normal amortization): Consolidated. . . . . . 1,207 1,004 1,043 968 952 Combined, including share of partnerships. 1,748 1,564 1,583 1,512 1,528 First Quarter 2004 Page 12 Supplemental Information AMLI Residential Properties Trust AMLI RESIDENTIAL SELECTED FINANCIAL AND OPERATING INFORMATION Quarter Ended Unaudited (Dollars in thousands, except for share data) 2004 2003 -------------------------------------------------------------------------------------- Dec 31 Sep 30 Jun 30 Mar 31 Dec 31 Sep 30 Jun 30 (j) Mar 31 -------------------- ---------- -------------------- -------------------- ---------- OPERATIONAL RATIOS ------------------ EBITDA, as percent of total market capitalization: Consolidated. . . . . . 7.9% 7.9% 8.5% 8.6% 9.7% Combined, including share of uncon- solidated affiliates debt . . . . . . . . . 6.8% 6.8% 7.3% 7.2% 8.0% Interest Coverage: Consolidated. . . . . . 3.9 4.0 4.2 3.8 3.8 Combined, including share of partnerships. 2.5 2.5 2.6 2.3 2.4 Fixed Charge Coverage (i): Consolidated. . . . . . 2.7 2.7 2.8 2.5 2.6 Combined, including share of partnerships. 1.9 1.9 1.9 1.7 1.7 See notes on following pages. First Quarter 2004 Page 13 Supplemental Information AMLI Residential Properties Trust
AMLI RESIDENTIAL SELECTED FINANCIAL AND OPERATING INFORMATION - CONTINUED Quarter Ended Unaudited (Dollars in thousands, except for share data)
2004 2003 -------------------------------------------------------------------------------------- Dec 31 Sep 30 Jun 30 Mar 31 Dec 31 Sep 30 Jun 30 (j) Mar 31 -------------------- ---------- -------------------- -------------------- ---------- FINANCIAL RATIOS ---------------- Debt to Total Market Capitalization: Consolidated. . . . . . 36.2% 45.6% 42.5% 44.5% 47.2% Combined, including share of uncon- solidated affiliates . 44.7% 53.0% 50.8% 53.9% 56.6% Debt to Total Assets, at Cost (before depreciation): Consolidated. . . . . . 38.6% 46.8% 43.3% 42.7% 42.5% Combined, including share of partnerships. 45.9% 52.6% 49.9% 50.0% 50.1% Notes: (a) Includes an adjustment to add back the Service Companies' taxes and depreciation (see page 49). (b) Represents dividends paid on all common and preferred shares and OP units. (c) All references to "Consolidated" refer to disclosures that are derived from numbers directly on the Company's consolidated financial statements, which are prepared in accordance with GAAP and reflect the Company's interest in unconsolidated partnerships on the equity method. (d) All references to "Combined," "Combined, including share of partnerships" or the like refer to calculations derived by combining the Company's consolidated financial information with the Company's prorata share of its partnerships' financial information. Excludes revenues of the Service Companies. See notes on following pages. First Quarter 2004 Page 14 Supplemental Information AMLI Residential Properties Trust
AMLI RESIDENTIAL SELECTED FINANCIAL AND OPERATING INFORMATION - CONTINUED Quarter Ended Unaudited (Dollars in thousands, except for share data)
2004 2003 -------------------------------------------------------------------------------------- Dec 31 Sep 30 Jun 30 Mar 31 Dec 31 Sep 30 Jun 30 (j) Mar 31 -------------------- ---------- -------------------- -------------------- ---------- (e) Includes res- tricted shares of 113,750 47,900 47,900 43,400 -- (f) All preferred shares are convertible to common shares at the option of the holder. (g) Represents Minority Interest on the Company's Consolidated Balance Sheets. (h) Excludes amortization of deferred and other financing costs. (i) Includes interest expense, principal amortization and preferred dividends. Restated 2003 to include principal amortization previously excluded. (j) Non-cash impairment loss of $1,191 recorded as a charge against net income in the three months ended June 30, 2003 had previously not been recorded as a charge against EBITDA, FFO and AFFO. As a result of guidance from the Securities and Exchange Commission, EBITDA, FFO and AFFO for the three months ended June 30, 2003, together with related per share amounts, have been revised downward to include this change. First Quarter 2004 Page 15 Supplemental Information AMLI Residential Properties Trust
AMLI RESIDENTIAL FUNDS FROM OPERATIONS Quarter Ended Unaudited (Dollars in thousands, except for share data)
2004 2003 ------------------------------------------------------------------------------------ Dec 31 Sep 30 Jun 30 Mar 31 Dec 31 Sep 30 Jun 30 Mar 31 -------------------- ---------- -------------------- -------------------- ---------- Company's share of communities' EBITDA (a). . . . . . . . . . $ 28,166 27,005 24,624 23,986 24,139 Share of Service Companies' EBITDA/FFO (b) . . . . (113) 103 1,720 228 563 Other income. . . . . . 479 87 193 188 196 Co-investment fee income (c) . . . . . . 718 557 1,207 512 456 General and administrative . . . . (2,196) (1,255) (1,605) (1,310) (1,740) Non-cash impairment loss (on investment community in Q2, 2003). . . . . . . . . -- (150) -- (1,191) -- -------------------- ---------- -------------------- -------------------- ---------- Earnings before interest, taxes, depreciation and amortization (EBITDA) . . . . . . . 27,054 26,347 26,139 22,413 23,614 -------------------- ---------- -------------------- -------------------- ---------- Interest expense (d): Wholly-owned communities and portfolio debt . . (7,257) (6,941) (6,537) (6,253) (6,492) Share of partnership communities. . . . . . (3,776) (3,966) (3,927) (3,894) (3,800) -------------------- ---------- -------------------- -------------------- ---------- (11,033) (10,907) (10,464) (10,147) (10,292) -------------------- ---------- -------------------- -------------------- ---------- First Quarter 2004 Page 16 Supplemental Information AMLI Residential Properties Trust AMLI RESIDENTIAL FUNDS FROM OPERATIONS - CONTINUED Quarter Ended Unaudited (Dollars in thousands, except for share data) 2004 2003 ------------------------------------------------------------------------------------ Dec 31 Sep 30 Jun 30 Mar 31 Dec 31 Sep 30 Jun 30 Mar 31 -------------------- ---------- -------------------- -------------------- ---------- Service Companies taxes and depreciation and amortization: Taxes . . . . . . . . 494 391 (213) 303 155 Depreciation and amortization . . . . (837) (806) (778) (780) (760) -------------------- ---------- -------------------- -------------------- ---------- (343) (415) (991) (477) (605) -------------------- ---------- -------------------- -------------------- ---------- Funds from Operations (FF0). . . . . . . . . 15,678 15,025 14,684 11,789 12,717 -------------------- ---------- -------------------- -------------------- ---------- Capital expenditures paid from FFO (e): Wholly-owned communities. . . . . . (904) (842) (1,100) (834) (1,084) Share of partnership communities. . . . . . (188) (230) (331) (396) (225) -------------------- ---------- -------------------- -------------------- ---------- (1,092) (1,072) (1,431) (1,230) (1,309) -------------------- ---------- -------------------- -------------------- ---------- Adjusted Funds from Operations (AFFO). . . $ 14,586 13,953 13,253 10,559 11,408 ==================== ========== ==================== ==================== ========== Notes: (a) Includes discontinued operations. See page 44 for reconciliation of community revenue and expenses to the Company's share of communities' EBITDA. (b) Includes share of EBITDA, net of intercompany interest elimination. (c) See page 48. (d) Includes amortization of deferred and other financing costs. (e) For details, refer to the Company's Management Discussion and Analysis in the relevant Form 10-K or Form 10-Q filed with the SEC. First Quarter 2004 Page 17 Supplemental Information AMLI Residential Properties Trust
AMLI RESIDENTIAL CONSOLIDATED (a) STATEMENTS OF OPERATIONS Three Months Ended Unaudited (Dollars in thousands, except for share data)
2004 2003 ------------------------------------------------------------------------------------ Dec 31 Sep 30 Jun 30 Mar 31 Dec 31 Sep 30 Jun 30 Mar 31 -------------------- ---------- -------------------- -------------------- ---------- Rental operations: Revenue: Rental . . . . . . . . $ 28,895 26,838 23,922 21,395 21,306 Other. . . . . . . . . 2,218 1,982 1,976 1,713 1,427 -------------------- ---------- -------------------- -------------------- ---------- 31,113 28,820 25,898 23,108 22,733 -------------------- ---------- -------------------- -------------------- ---------- Expenses: Rental . . . . . . . . 12,855 12,370 11,823 10,188 9,670 Depreciation . . . . . 8,641 7,193 5,635 4,720 4,692 -------------------- ---------- -------------------- -------------------- ---------- 21,496 19,563 17,458 14,908 14,362 -------------------- ---------- -------------------- -------------------- ---------- 9,617 9,257 8,440 8,200 8,371 Income from partnerships (b) . . . 1,503 1,596 1,309 1,469 1,457 -------------------- ---------- -------------------- -------------------- ---------- Income from rental operations . . . . . . 11,120 10,853 9,749 9,669 9,828 -------------------- ---------- -------------------- -------------------- ---------- Other income and expenses: Fee income from unconsolidated partnerships. . . . . 433 557 1,207 512 456 Other income . . . . . 479 87 193 188 196 Interest and amorti- zation of deferred financing costs . . . (6,982) (6,324) (5,949) (5,694) (5,941) -------------------- ---------- -------------------- -------------------- ---------- (6,070) (5,680) (4,549) (4,994) (5,289) -------------------- ---------- -------------------- -------------------- ---------- First Quarter 2004 Page 18 Supplemental Information AMLI Residential Properties Trust AMLI RESIDENTIAL CONSOLIDATED (a) STATEMENTS OF OPERATIONS - CONTINUED Three Months Ended Unaudited (Dollars in thousands, except for share data) 2004 2003 ------------------------------------------------------------------------------------ Dec 31 Sep 30 Jun 30 Mar 31 Dec 31 Sep 30 Jun 30 Mar 31 -------------------- ---------- -------------------- -------------------- ---------- Service Companies' operations: Total revenue . . . . 13,782 16,090 19,144 14,041 22,153 Total expenses. . . . (14,262) (16,402) (18,415) (14,290) (22,195) -------------------- ---------- -------------------- -------------------- ---------- (480) (312) 729 (249) (42) -------------------- ---------- -------------------- -------------------- ---------- General and administrative . . . . 2,196 1,255 1,605 1,310 1,740 Provision for loss on land held for development or sale. . -- 150 -- -- -- -------------------- ---------- -------------------- -------------------- ---------- Income from continuing operations before share of gains on sales of properties. . 2,374 3,456 4,324 3,116 2,757 Gain on sale of residential property including share of gains on sales of a partnership's properties . . . . . . 2,648 4,325 1,959 -- -- Impairment of an investment in a partnership. . . . . . -- -- -- (1,191) -- -------------------- ---------- -------------------- -------------------- ---------- Income from continuing operations before minority interest. . . 5,022 7,781 6,283 1,925 2,757 Minority interest . . 225 586 697 (10) 137 -------------------- ---------- -------------------- -------------------- ---------- Income from continuing operations . . . . . . 4,797 7,195 5,586 1,935 2,620 -------------------- ---------- -------------------- -------------------- ---------- First Quarter 2004 Page 19 Supplemental Information AMLI Residential Properties Trust AMLI RESIDENTIAL CONSOLIDATED (a) STATEMENTS OF OPERATIONS - CONTINUED Three Months Ended Unaudited (Dollars in thousands, except for share data) 2004 2003 ------------------------------------------------------------------------------------ Dec 31 Sep 30 Jun 30 Mar 31 Dec 31 Sep 30 Jun 30 Mar 31 -------------------- ---------- -------------------- -------------------- ---------- Income from discon- tinued operations, net of minority interest . . . . . . . 1,922 1,225 349 993 1,088 Gain on sale of discon- tinued operations, net of minority interest . . . . . . . -- 5,113 -- -- -- -------------------- ---------- -------------------- -------------------- ---------- 1,922 6,338 349 993 1,088 -------------------- ---------- -------------------- -------------------- ---------- Net income. . . . . . . 6,719 13,533 5,935 2,928 3,708 Net income attributable to preferred shares. . 1,932 1,980 1,981 1,980 1,981 -------------------- ---------- -------------------- -------------------- ---------- Net income attributable to common shares . . . $ 4,787 11,553 3,954 948 1,727 ==================== ========== ==================== ==================== ========== Notes: (a) All references to "Consolidated" refer to disclosures that are derived from numbers directly on the Company's consolidated financial statements, which are prepared in accordance with GAAP and reflect the Company's interest in unconsolidated partnerships on the equity method. (b) Includes other items of partnership operations such as interest income on invested funds, legal, audit and other costs of partnership administration including asset management fees paid to the Company, compensation received in the form of cash flow preference and share of income in excess of the Company's ownership percentage. First Quarter 2004 Page 20 Supplemental Information AMLI Residential Properties Trust
AMLI RESIDENTIAL COMBINED (a) STATEMENTS OF OPERATIONS Three Months Ended Unaudited (Dollars in thousands, except for share data)
2004 2003 ------------------------------------------------------------------------------------ Dec 31 Sep 30 Jun 30 Mar 31 Dec 31 Sep 30 Jun 30 Mar 31 -------------------- ---------- -------------------- -------------------- ---------- Rental operations: Revenue: Rental . . . . . . . . $ 39,457 38,446 36,460 34,247 33,762 Other. . . . . . . . . 3,093 2,823 3,016 2,784 2,347 -------------------- ---------- -------------------- -------------------- ---------- 42,550 41,269 39,477 37,031 36,109 -------------------- ---------- -------------------- -------------------- ---------- Expenses: Rental . . . . . . . . 17,431 17,254 17,500 15,984 15,042 Depreciation . . . . . 11,231 9,864 8,568 7,835 7,812 -------------------- ---------- -------------------- -------------------- ---------- 28,662 27,118 26,068 23,819 22,854 -------------------- ---------- -------------------- -------------------- ---------- Income from rental operations. . . 13,888 14,151 13,409 13,212 13,255 -------------------- ---------- -------------------- -------------------- ---------- Other icome and epenses: Fee income from unconsolidated partnerships. . . . . 433 557 1,207 512 456 Other income (b) . . . 1,487 755 460 539 569 Interest and amorti- zation of deferred financing costs . . . (10,758) (10,290) (9,876) (9,588) (9,741) -------------------- ---------- -------------------- -------------------- ---------- (8,838) (8,978) (8,209) (8,537) (8,716) -------------------- ---------- -------------------- -------------------- ---------- First Quarter 2004 Page 21 Supplemental Information AMLI Residential Properties Trust AMLI RESIDENTIAL COMBINED (a) STATEMENTS OF OPERATIONS - CONTINUED Three Months Ended Unaudited (Dollars in thousands, except for share data) 2004 2003 ------------------------------------------------------------------------------------ Dec 31 Sep 30 Jun 30 Mar 31 Dec 31 Sep 30 Jun 30 Mar 31 -------------------- ---------- -------------------- -------------------- ---------- Service Companies' operations: Total revenue . . . . 13,782 16,090 19,144 14,041 22,153 Total expenses. . . . (14,262) (16,402) (18,415) (14,290) (22,195) -------------------- ---------- -------------------- -------------------- ---------- (480) (312) 729 (249) (42) -------------------- ---------- -------------------- -------------------- ---------- General and administrative . . . . 2,196 1,255 1,605 1,310 1,740 Provision for loss on land held for development or sale. . -- 150 -- -- -- -------------------- ---------- -------------------- -------------------- ---------- Income from continuing operations Before share of gains on sales of properties. . 2,374 3,456 4,324 3,116 2,757 Gain on sale of residential property including share of gains on sales of a partnership's properties . . . . . . 2,648 4,325 1,959 -- -- Impairment of an investment in a partnership. . . . . . -- -- -- (1,191) -- -------------------- ---------- -------------------- -------------------- ---------- Income from continuing operations before minority interest. . . 5,022 7,781 6,283 1,925 2,757 Minority interest . . 225 586 697 (10) 137 -------------------- ---------- -------------------- -------------------- ---------- Income from continuing operations . . . . . . 4,797 7,195 5,586 1,935 2,620 -------------------- ---------- -------------------- -------------------- ---------- First Quarter 2004 Page 22 Supplemental Information AMLI Residential Properties Trust AMLI RESIDENTIAL COMBINED (a) STATEMENTS OF OPERATIONS - CONTINUED Three Months Ended Unaudited (Dollars in thousands, except for share data) 2004 2003 ------------------------------------------------------------------------------------ Dec 31 Sep 30 Jun 30 Mar 31 Dec 31 Sep 30 Jun 30 Mar 31 -------------------- ---------- -------------------- -------------------- ---------- Income from discontinued operations, net of minority interest. . . 1,922 1,225 349 993 1,088 Gain on sale of discontinued operations, net of minority interest . . . . . . . -- 5,113 -- -- -- -------------------- ---------- -------------------- -------------------- ---------- 1,922 6,338 349 993 1,088 -------------------- ---------- -------------------- -------------------- ---------- Net income. . . . . . . 6,719 13,533 5,935 2,928 3,708 Net income attributable to preferred shares. . 1,932 1,980 1,981 1,980 1,981 -------------------- ---------- -------------------- -------------------- ---------- Net income attributable to common shares . . . $ 4,787 11,553 3,954 948 1,727 ==================== ========== ==================== ==================== ========== Notes: (a) All references to "Combined", "Combined, including share of partnerships" or the like refer to calculations derived by combining the Company's consolidated financial information with the Company's pro rata share of its partnerships' financial information. (b) Includes other items of partnership operations such as interest income on invested funds, legal, audit and other costs of partnership administration including asset management fees paid to the Company, compensation received in the form of cash flow preference and share of income in excess of the Company's ownership percentage. First Quarter 2004 Page 23 Supplemental Information AMLI Residential Properties Trust
AMLI RESIDENTIAL CONSOLIDATED (a) BALANCE SHEETS (Unaudited, dollars in thousands)
2004 2003 ------------------------------------------------------------------------------------ Dec 31 Sep 30 Jun 30 Mar 31 Dec 31 Sep 30 Jun 30 Mar 31 -------------------- ---------- -------------------- -------------------- ---------- Assets: Rental apartments Land . . . . . . . . . $ 133,298 128,301 125,222 105,098 100,966 Depreciable property . 840,363 805,130 810,666 677,232 653,002 -------------------- ---------- -------------------- -------------------- ---------- 973,661 933,431 935,888 782,330 753,968 Less: Accumulated depreciation . . . . . (125,470) (116,830) (138,343) (131,332) (125,786) -------------------- ---------- -------------------- -------------------- ---------- 848,191 816,601 797,545 650,998 628,182 Rental apartments held for sale, net of accumulated depreciation (b) . . . 61,893 61,826 -- -- -- Rental apartments under development. . . -- -- -- -- 26,692 Land held for development or sale. . 15,409 15,200 12,644 12,604 14,248 Investments in partnerships (c) . . . 140,546 147,291 169,363 193,244 193,356 Cash and cash equivalents . . . 6,961 5,937 6,090 5,357 5,927 Service Companies' assets . . . . . . . . 43,219 68,777 66,930 61,978 55,013 Other assets and deferred costs, net (d). . . . . . . . 19,145 47,702 16,615 29,366 27,275 -------------------- ---------- -------------------- -------------------- ---------- Total assets. . . . $1,135,364 1,163,334 1,069,187 953,547 950,693 ==================== ========== ==================== ==================== ========== First Quarter 2004 Page 24 Supplemental Information AMLI Residential Properties Trust AMLI RESIDENTIAL CONSOLIDATED (a) BALANCE SHEETS - CONTINUED (Unaudited, dollars in thousands) 2004 2003 ------------------------------------------------------------------------------------ Dec 31 Sep 30 Jun 30 Mar 31 Dec 31 Sep 30 Jun 30 Mar 31 -------------------- ---------- -------------------- -------------------- ---------- Liabilities: Debt. . . . . . . . . . $ 496,583 610,513 522,672 462,781 457,950 Distributions in excess of investments in and earnings from partnerships . . . . . 6,022 6,184 6,175 5,969 5,822 Accrued expenses and other liabilities. . . 30,755 38,174 38,069 35,497 32,168 -------------------- ---------- -------------------- -------------------- ---------- Total liabilities. . 533,360 654,871 566,916 504,247 495,940 -------------------- ---------- -------------------- -------------------- ---------- Mandatorily redeemable convertible preferred shares . . . . . . . . 93,247 93,247 93,247 93,247 93,247 Minority interest . . . 32,308 31,203 61,718 61,579 63,198 Total shareholders' equity . . . . . . . . 476,449 384,013 347,306 294,474 298,308 -------------------- ---------- -------------------- -------------------- ---------- Total liabilities and shareholders' equity. . . . . . . $1,135,364 1,163,334 1,069,187 953,547 950,693 ==================== ========== ==================== ==================== ========== Notes: (a) All references to "Consolidated" refer to disclosures that are derived from numbers directly on the Company's consolidated financial statements, which are prepared in accordance with GAAP and reflect the Company's interest in unconsolidated partnerships on the equity method. (b) Net of accumulated depreciation of $24,569 at March 31, 2004 and December 31, 2003. (c) See details in the Company's Form 10-K or Form 10-Q filed with the SEC. First Quarter 2004 Page 25 Supplemental Information AMLI Residential Properties Trust
AMLI RESIDENTIAL CONSOLIDATED (a) BALANCE SHEETS - CONTINUED (Unaudited, dollars in thousands)
2004 2003 ------------------------------------------------------------------------------------ Dec 31 Sep 30 Jun 30 Mar 31 Dec 31 Sep 30 Jun 30 Mar 31 -------------------- ---------- -------------------- -------------------- ---------- (d) Includes the following: Deferred financing costs, net . . . $ 5,463 6,094 5,887 4,982 3,877 Deferred develop- ment costs . . . 3,556 4,123 4,053 3,738 4,780 Operating receivables and prepaid expenses . . . . 3,034 3,530 1,989 2,340 3,007 Deposits and restricted cash. 2,938 2,248 2,420 2,179 2,166 Notes receivable. 2,766 30,112 1,874 10,960 11,168 Advances to affiliates . . . 301 576 (287) 4,655 1,524 Other . . . . . . 1,087 1,019 679 512 753 -------------------- ---------- -------------------- -------------------- ---------- $ $ 19,145 47,702 16,615 29,366 27,275 ==================== ========== ==================== ==================== ========== First Quarter 2004 Page 26 Supplemental Information AMLI Residential Properties Trust
AMLI RESIDENTIAL COMBINED (a) BALANCE SHEETS (Unaudited, dollars in thousands)
2004 2003 ------------------------------------------------------------------------------------ Dec 31 Sep 30 Jun 30 Mar 31 Dec 31 Sep 30 Jun 30 Mar 31 -------------------- ---------- -------------------- -------------------- ---------- Assets: Rental apartments Land . . . . . . . . . $ 182,529 177,625 178,058 162,671 156,655 Depreciable property . 1,143,565 1,112,374 1,141,120 1,039,799 1,002,147 -------------------- ---------- -------------------- -------------------- ---------- 1,326,094 1,289,999 1,319,178 1,202,470 1,158,802 Less: Accumulated depreciation . . . . . (165,080) (156,297) (178,820) (174,068) (165,407) -------------------- ---------- -------------------- -------------------- ---------- 1,161,014 1,133,702 1,140,358 1,028,402 993,395 Rental apartments held for sale, net of accumulated depreciation (b) . . . 61,893 61,826 -- -- -- Rental apartments under development. . . 35,075 40,334 35,421 32,071 69,209 Land held for development or sale. . 15,409 15,200 12,644 12,604 14,248 Cash and cash equivalents . . . 10,201 8,817 9,699 8,898 10,058 Service Companies' assets . . . . . . . . 43,219 68,777 66,930 61,978 55,013 Other assets and deferred cost, net (c). . . . . . . . 21,738 51,507 20,484 29,401 28,047 -------------------- ---------- -------------------- -------------------- ---------- Total assets. . . . $1,348,549 1,380,163 1,285,536 1,173,354 1,169,970 ==================== ========== ==================== ==================== ========== First Quarter 2004 Page 27 Supplemental Information AMLI Residential Properties Trust AMLI RESIDENTIAL COMBINED (a) BALANCE SHEETS - CONTINUED (Unaudited, dollars in thousands) 2004 2003 ------------------------------------------------------------------------------------ Dec 31 Sep 30 Jun 30 Mar 31 Dec 31 Sep 30 Jun 30 Mar 31 -------------------- ---------- -------------------- -------------------- ---------- Liabilities: Debt. . . . . . . . . . $ 706,534 820,090 731,110 674,373 669,648 Accrued expenses and other liabilities. . . 40,011 51,610 52,155 49,681 45,569 -------------------- ---------- -------------------- -------------------- ---------- Total liabilities. . 746,545 871,700 783,265 724,054 715,217 -------------------- ---------- -------------------- -------------------- ---------- Mandatorily redeemable convertible preferred shares . . . . . . . . 93,247 93,247 93,247 93,247 93,247 Minority interest . . . 32,308 31,203 61,718 61,579 63,198 Total shareholders' equity . . . . . . . . 476,449 384,013 347,306 294,474 298,308 -------------------- ---------- -------------------- -------------------- ---------- Total liabilities and shareholders' equity. . . . . . . $1,348,549 1,380,163 1,285,536 1,173,354 1,169,970 ==================== ========== ==================== ==================== ========== Notes: (a) All references to "Combined", "Combined, including share of partnerships" or the like refer to calculations derived by combining the Company's consolidated financial information with the Company's pro rata share of its partnerships' financial information. (b) Net of accumulated depreciation of $24,569 at March 31, 2004 and December 31, 2003. First Quarter 2004 Page 28 Supplemental Information AMLI Residential Properties Trust
AMLI RESIDENTIAL COMBINED (a) BALANCE SHEETS - CONTINUED (Unaudited, dollars in thousands)
2004 2003 ------------------------------------------------------------------------------------ Dec 31 Sep 30 Jun 30 Mar 31 Dec 31 Sep 30 Jun 30 Mar 31 -------------------- ---------- -------------------- -------------------- ---------- (c) Includes the following: Deferred financing costs, net . . . $ 6,858 7,482 7,358 6,510 5,465 Deferred develop- ment costs . . . 3,556 4,123 4,053 3,738 4,780 Operating receivables and prepaid expenses . . . . 3,544 4,297 2,206 2,716 3,492 Deposits and restricted cash. 4,052 3,581 4,139 3,423 3,221 Notes receivable. 1,941 30,112 1,874 8,277 8,485 Advances to affiliates . . . 339 522 (144) 3,956 1,565 Other . . . . . . 1,448 1,390 998 781 1,039 -------------------- ---------- -------------------- -------------------- ---------- $ 21,738 51,507 20,484 29,401 28,047 ==================== ========== ==================== ==================== ========== First Quarter 2004 Page 29 Supplemental Information AMLI Residential Properties Trust
AMLI RESIDENTIAL DEBT AND PREFERRED SHARES SUMMARY March 31, 2004 (Unaudited, dollars in thousands)
CONSOLIDATED DEBT (a) --------------------- Weighted Average Years to Type of Percent Interest Maturity Variable of Indebtedness Balance of Total Rate (c) (d) Secured Unsecured Fixed (e) --------------- -------- -------- -------- -------- -------- --------- -------- -------- Conventional mortgages . . . . . $324,833 65.4% 6.6% 5.5 324,833 -- 324,833 -- Construction financing . . . . . -- 0% 0% 0.0 -- -- -- -- Tax-exempt debt . . . 50,250 10.1% 2.5% 0.6 50,250 -- -- 50,250 Credit facilities (f) 117,000 23.6% 4.9% 2.1 -- 117,000 85,000 32,000 Other (g) . . . . . . 4,500 0.9% 1.8% 0.0 -- 4,500 -- 4,500 -------- ------- ------- ------- ------- ------- ------- ------- Total . . . . . . $496,583 100.0% 5.7% 4.1 375,083 121,500 409,833 86,750 ======== ======= ======= ======= ======= ======= ======= ======= Percent of total. . 75.5% 24.5% 82.5% 17.5% ======= ======= ======= ======= COMBINED DEBT, INCLUDING SHARE OF PARTNERSHIPS (b) -------------------------------------------------- Weighted Average Years to Type of Percent Interest Maturity Variable of Indebtedness Balance of Total Rate (c) (d) Secured Unsecured Fixed (e) --------------- -------- -------- -------- -------- -------- --------- -------- -------- Conventional mortgages . . . . . $529,942 75.0% 6.8% 5.7 529,942 -- 529,942 -- Construction financing . . . . . 6,510 0.9% 3.1% 2.2 6,510 -- 54 6,456 Tax-exempt debt . . . 50,250 7.1% 2.5% 0.6 50,250 -- -- 50,250 Credit facilities (f) 117,000 16.6% 4.9% 2.1 -- 117,000 85,000 32,000 Other (g) . . . . . . 2,832 0.4% 1.8% 0.0 -- 2,832 -- 2,832 -------- ------- ------- ------- ------- ------- ------- ------- Total . . . . . . $706,534 100.0% 6.1% 4.7 586,702 119,832 614,996 91,538 ======== ======= ======= ======= ======= ======= ======= ======= Percent of total. . 83.0% 17.0% 87.0% 13.0% ======= ======= ======= ======= See notes on the following page First Quarter 2004 Page 30 Supplemental Information AMLI Residential Properties Trust
AMLI RESIDENTIAL DEBT AND PREFERRED SHARES SUMMARY March 31, 2004 (Unaudited, dollars in thousands)
PREFERRED SHARES ---------------- Current Number of Out- Liquidation Date Original Shares at standing Dividend Preference Security of Issue Issue Issuance Shares Rate (h) ---------------------- --------- -------- --------- --------- -------- ----------- Convertible Preferred Series B (i) $ 75,000 3,125,000 3,125,000 (j) 76,500 Convertible Preferred Series D (k) 10/31/01 20,000 800,000 800,000 (l) 20,433 -------- --------- --------- ------- Total Preferred Shares $ 95,000 3,925,000 3,925,000 96,933 ======== ========= ========= ======= Notes: (a) All references to "Consolidated" refer to disclosures that are derived from numbers directly on the Company's consolidated financial statements, which are prepared in accordance with GAAP and reflect the Company's interest in unconsolidated partnerships on the equity method. (b) All references to "Combined", "Combined, including share of partnerships" or the like refer to calculations derived by combining the Company's consolidated financial information with the Company's pro rata share of its partnerships' financial information. (c) The Weighted Average Interest Rate for variable rate debt reflects (i) the variable rate in effect on the last day of the period (ii) the effective fixed interest rates on swaps and (iii) each financing's respective lender credit spread. (d) Years to Maturity reflects the expiration date of the credit enhancements supporting Tax-exempt debt, not the actual maturity dates of the bonds, which are in 2024. First Quarter 2004 Page 31 Supplemental Information AMLI Residential Properties Trust
AMLI RESIDENTIAL DEBT AND PREFERRED SHARES SUMMARY - CONTINUED March 31, 2004 (Unaudited, dollars in thousands) (e) The following summarizes interest rate limitation and swap contracts associated with the Credit Facilities:
Fixed Rate, Excluding Lender Type of Notional Credit Term of Contract Counterparty Amount Spread Contract -------- ------------ -------- ----------- --------------- Swap Harris Trust & Savings Bank $15,000 6.405% 9/21/99 - 9/20/04 Swap Harris Trust & Savings Bank 10,000 6.438% 10/4/99 - 10/4/04 Swap Commerzbank 15,000 4.378% 4/1/04 - 4/1/09 Cap Commerzbank 15,000 4.000% 4/1/04 - 4/1/09 Swap PNC Bank, N.A. 30,000 4.510% 4/1/04 - 4/1/09 ------- $85,000 ======= (f) See note (c) on page 34. (g) Demand notes payable by the Company to its managed partnerships. Combined amount is net of elimination of Company's share. (h) Includes quarterly dividends payable in the following month. (i) Funded in three installments of $25 million each on 3/9/98, 6/30/98 and 9/30/98. (j) The dividend per share is the greater of an annualized (i) $1.84 per share or (ii) the amount payable on the common shares. Dividends paid in February 2004 were $1,500. (k) 800,000 preferred shares were issued at $25 per share. These shares may be converted to 720,721 common shares, reflecting a conversion price of $27.75 per common share. (l) The dividend per share is the greater of an annualized (i) $2.1625 per share or (ii) the amount payable on the common shares. Dividends paid in February 2004 were $433. First Quarter 2004 Page 32 Supplemental Information AMLI Residential Properties Trust
AMLI RESIDENTIAL DEBT AND PREFERRED SHARES SUMMARY - CONTINUED March 31, 2004 (Unaudited, dollars in thousands) (m) During April 2004 AMLI obtained commitments for new fixed-rate secured loans as follows:
Amount Rate Maturity -------- ------ ----------- AMLI at Riverbend $ 45,000 4.850% June 2014 AMLI at Eldridge Parkway 32,709 5.355% June 2015 AMLI at Park Creek 10,322 5.650% Dec. 2038 -------- $ 88,031 ======== During March and April 2004 AMLI cash settled a series of Treasury Locks entered into to protect the interest rates on two of these loans until the rates could be locked with the lenders. AMLI received from these hedging activities a net of $318, which will generally be deferred and amortized over 10 years. AMLI will pay a $500 prepayment penalty when it refinances its existing loan on AMLI at Park Creek; this amount is anticipated to be charged against earnings in the 2nd quarter of 2004. First Quarter 2004 Page 33 Supplemental Information AMLI Residential Properties Trust
AMLI RESIDENTIAL DEBT MATURITIES March 31, 2004 (Unaudited, dollars in thousands)
CONSOLIDATED DEBT (a) --------------------- Wtd. Average Interest Rate on Scheduled Due at Percent to Maturing Year Amortization Maturity Total Total Debt ---------- ------------ ----------- ----------- ----------- ------------ 2004 $ 3,914 4,500 8,414 1.7% 4.4% 2005 5,471 31,024 36,495 7.3% 8.2% 2006 4,598 169,767 174,365 35.1% 4.5% 2007 2,813 75,073(c) 77,886 15.7% 6.7% 2008 2,434 11,301 13,735 2.8% 6.9% 2009 2,600 -- 2,600 0.5% -- 2010 2,777 -- 2,777 0.6% -- 2011 1,510 119,104 120,614 24.3% 6.6% 2012 110 -- 110 0.0% -- 2013 119 -- 119 0.0% -- Thereafter 9,173 50,295(d) 59,468 12.0% 0.0% -------- ------- ------- ------ ----- Total $ 35,519 461,064 496,583 100.0% 5.2% ======== ======= ======= ====== ===== Percent to Total 7.2% 92.8% 100.0% ======== ======= ======= First Quarter 2004 Page 34 Supplemental Information AMLI Residential Properties Trust AMLI RESIDENTIAL DEBT MATURITIES - CONTINUED March 31, 2004 (Unaudited, dollars in thousands) COMBINED DEBT, INCLUDING SHARE OF PARTNERSHIPS (b) -------------------------------------------------- Wtd. Average Interest Rate on Scheduled Due at Percent to Maturing Year Amortization Maturity Total Total Debt ---------- ------------ ----------- ----------- ----------- ------------ 2004 $ 5,582 2,832 8,414 1.2% 4.8% 2005 7,876 31,024 38,900 5.5% 8.2% 2006 7,202 200,741 207,943 29.4% 4.7% 2007 5,195 105,435(c) 110,630 15.7% 7.2% 2008 4,162 45,578 49,740 7.0% 7.0% 2009 4,032 44,389 48,421 6.9% 6.7% 2010 3,877 10,447 14,324 2.0% 8.3% 2011 1,909 148,421 150,330 21.3% 6.7% 2012 378 2,678 3,056 0.4% 6.4% 2013 361 8,009 8,370 1.2% 5.2% Thereafter 15,925 50,481(d) 66,406 9.4% 6.0% -------- ------- ------- ------ ----- Total $ 56,499 650,035 706,534 100.0% 5.7% ======== ======= ======= ====== ===== Percent to Total 8.0% 92.0% 100.0% ======== ======= ======= Notes: (a) All references to "Consolidated" refer to disclosures that are derived from numbers directly on the Company's consolidated financial statements, which are prepared in accordance with GAAP and reflect the Company's interest in unconsolidated partnerships on the equity method. (b) All references to "Combined", "Combined, including share of partnerships" or the like refer to calculations derived by combining the Company's consolidated financial information with the Company's pro rata share of its partnerships' financial information. (c) The Company's primary unsecured line of credit was replaced in May 2003 with a new $200,000 line of credit maturing in May 2006. The line of credit was increased to $240,000 in November 2003. (d) Includes Bonds which mature in 2024. The credit enhancements on $40,750 and $9,500 expire on October 15, 2004 and on December 18, 2004, respectively. The Spring Creek Bonds were sold to the purchaser of AMLI at Spring Creek community, which closed on April 14, 2004. First Quarter 2004 Page 35 Supplemental Information AMLI Residential Properties Trust
AMLI RESIDENTIAL SAME STORE COMMUNITIES (a) QUARTER ENDED WEIGHTED AVERAGE PHYSICAL OCCUPANCY (b) ---------------------------------------
Percent Change - Current Quarter Compared to Apart- ---------------- 2004 2003 ment Last Last --------------------------------- --------------------------------- Market Homes Year Quarter Dec 31 Sep 30 Jun 30 Mar 31 Dec 31 Sep 30 Jun 30 Mar 31 ------ ------ ------ ------- ------ ------ ------ ------ ------ ------ ------ ------ Dallas 7,517 4.3% -0.7% 92.4% 93.1% 92.9% 91.4% 88.1% Atlanta 5,322 2.3% -1.0% 92.8% 93.9% 94.2% 90.9% 90.5% Austin 2,221 -0.4% -1.0% 91.4% 92.4% 93.7% 91.2% 91.7% Houston 1,133 5.6% 1.2% 94.6% 93.4% 94.6% 91.0% 89.0% Indianapolis 2,428 2.4% -1.2% 91.8% 93.1% 94.0% 91.2% 89.4% Kansas City 2,192 3.3% 0.0% 92.7% 92.7% 93.5% 90.6% 89.4% Chicago 3,243 4.4% -0.3% 93.0% 93.3% 94.0% 92.1% 88.6% Denver 1,260 7.9% -0.3% 90.5% 90.8% 92.0% 86.2% 82.7% ------ ------ ------- ------ ------ ------ ------ ------ ------ ------ ------ Total 25,316 3.5% -0.6% 92.5% 93.1% 93.6% 91.0% 89.0% ====== ====== ====== ====== ====== ====== ====== ====== ====== ====== ====== First Quarter 2004 Page 36 Supplemental Information AMLI Residential Properties Trust
AMLI RESIDENTIAL SAME STORE COMMUNITIES (a) - CONTINUED QUARTER ENDED WEIGHTED AVERAGE COLLECTED REVENUE PER OCCUPIED UNIT (c) ---------------------------------------------------------
Percent Change - Current Quarter Compared to Apart- ---------------- 2004 2003 ment Last Last --------------------------------- --------------------------------- Market Homes Year Quarter Dec 31 Sep 30 Jun 30 Mar 31 Dec 31 Sep 30 Jun 30 Mar 31 ------ ------ ------ ------- ------ ------ ------ ------ ------ ------ ------ ------ Dallas 7,517 -4.5% 0.5% $ 802 798 815 827 840 Atlanta 5,322 -2.5% 1.3% 838 827 847 858 859 Austin 2,221 -5.8% 0.3% 775 773 794 819 823 Houston 1,133 -4.3% 0.3% 1,022 1,019 1,053 1,063 1,068 Indianapolis 2,428 -2.7% 0.7% 794 788 815 816 816 Kansas City 2,192 -1.5% -0.2% 801 802 814 820 813 Chicago 3,243 -4.9% -0.6% 1,058 1,064 1,079 1,100 1,112 Denver 1,260 -8.4% -1.1% 951 961 965 1,028 1,038 ------ ------ ------- ------ ------ ------ ------ ------ ------ ------ ------ Total 25,316 -4.1% 0.3% $ 856 853 872 887 893 ====== ====== ====== ====== ====== ====== ====== ====== ====== ====== ====== Notes: (a) Information shown is Combined, including partnership communities at 100%. (b) Represents average daily physical occupancy which excludes model units. (c) Represents amounts collected for rent and other income. First Quarter 2004 Page 37 Supplemental Information AMLI Residential Properties Trust
AMLI RESIDENTIAL SAME STORE COMMUNITIES (a) QUARTER ENDED TOTAL REVENUE (b) -----------------
Percent Change - Current Quarter Compared to Apart- ---------------- 2004 2003 ment Last Last --------------------------------- --------------------------------- Market Homes Year Quarter Dec 31 Sep 30 Jun 30 Mar 31 Dec 31 Sep 30 Jun 30 Mar 31 ------ ------ ------ ------- ------ ------ ------ ------- ------ ------ ------ ------ Dallas 7,517 0.3% -0.3% $16,719 16,762 17,084 17,024 16,662 Atlanta 5,322 0.0% 0.1% 12,426 12,413 12,750 12,466 12,431 Austin 2,221 -6.2% -0.9% 4,717 4,759 4,959 4,977 5,030 Houston 1,133 1.7% 1.6% 3,287 3,235 3,386 3,290 3,233 Indianapolis 2,428 1.3% -0.7% 5,283 5,321 5,571 5,417 5,213 Kansas City 2,192 2.2% -0.2% 4,884 4,893 5,002 4,886 4,780 Chicago 3,243 -0.1% -0.9% 9,571 9,657 9,869 9,862 9,585 Denver 1,260 1.3% -1.5% 3,253 3,301 3,355 3,351 3,210 ------ ------ ------- ------ ------ ------ ------- ------ ------ ------ ------ Total 25,316 0.0% -0.3% $60,140 60,341 61,976 61,273 60,144 ====== ====== ====== ====== ====== ====== ======= ====== ====== ====== ====== EXPENSES (b) ------------ Percent Change - Current Quarter Compared to Apart- ---------------- 2004 2003 ment Last Last --------------------------------- --------------------------------- Market Homes Year Quarter Dec 31 Sep 30 Jun 30 Mar 31 Dec 31 Sep 30 Jun 30 Mar 31 ------ ------ ------ ------- ------ ------ ------ ------- ------ ------ ------ ------ Dallas 7,517 -3.8% -6.8% $ 6,981 7,491 8,093 7,684 7,256 Atlanta 5,322 4.8% -3.8% 4,812 5,004 5,178 4,756 4,591 Austin 2,221 -3.7% 5.1% 2,187 2,080 2,050 2,198 2,270 Houston 1,133 -1.4% 0.5% 1,387 1,380 1,459 1,460 1,406 Indianapolis 2,428 0.5% 0.6% 2,207 2,195 2,399 2,258 2,196 Kansas City 2,192 3.0% 10.6% 1,717 1,552 2,047 1,869 1,667 Chicago 3,243 5.1% -1.5% 3,881 3,939 4,205 4,100 3,692 Denver 1,260 4.5% -9.3% 1,010 1,114 1,240 1,297 967 ------ ------ ------ ------ ------ ------ ------- ------ ------ ------ ------ Total 25,316 0.6% -2.3% $24,182 24,755 26,671 25,622 24,045 ====== ====== ====== ====== ====== ====== ======= ====== ====== ====== ====== First Quarter 2004 Page 38 Supplemental Information AMLI Residential Properties Trust
AMLI RESIDENTIAL SAME STORE COMMUNITIES (a) - CONTINUED QUARTER ENDED NET OPERATING INCOME (b) ------------------------
Percent Change - Current Quarter Compared to Apart- ---------------- 2004 2003 ment Last Last --------------------------------- --------------------------------- Market Homes Year Quarter Dec 31 Sep 30 Jun 30 Mar 31 Dec 31 Sep 30 Jun 30 Mar 31 ------ ------ ------ ------- ------ ------ ------ ------- ------ ------ ------ ------ Dallas 7,517 3.5% 5.0% $ 9,738 9,271 8,991 9,340 9,406 Atlanta 5,322 -2.9% 2.8% 7,614 7,409 7,572 7,710 7,840 Austin 2,221 -8.4% -5.6% 2,530 2,679 2,909 2,779 2,760 Houston 1,133 4.1% 2.5% 1,900 1,855 1,927 1,830 1,827 Indianapolis 2,428 1.9% -1.6% 3,076 3,126 3,172 3,159 3,017 Kansas City 2,192 1.7% -5.2% 3,167 3,341 2,955 3,017 3,113 Chicago 3,243 -3.5% -0.5% 5,690 5,718 5,664 5,762 5,893 Denver 1,260 0.0% 2.6% 2,243 2,187 2,115 2,054 2,243 ------ ------ ------ ------ ------ ------ ------- ------ ------ ------ ------ Total 25,316 -0.4% 1.0% $35,958 35,586 35,305 35,651 36,099 ====== ====== ====== ====== ====== ====== ======= ====== ====== ====== ====== Notes: (a) Information shown is Combined, including partnership communities at 100%. (b) See page 44 for reconciliation of same store community revenue, expenses, net operating income and EBITDA. First Quarter 2004 Page 39 Supplemental Information AMLI Residential Properties Trust
AMLI RESIDENTIAL SAME STORE COMMUNITIES (a) QUARTER ENDED OPERATING EXPENSES ------------------
Percent Change - Current Quarter Compared to ---------------- 2004 2003 Last Last --------------------------------- --------------------------------- Expense Year Quarter Dec 31 Sep 30 Jun 30 Mar 31 Dec 31 Sep 30 Jun 30 Mar 31 ------- ------ ------- ------ ------ ------ ------- ------ ------ ------ ------ Personnel 7.6% 0.9% $ 6,039 5,987 6,344 6,199 5,615 Advertising and promotion -10.0% -9.2% 1,050 1,157 1,465 1,226 1,167 Utilities 0.2% -10.4% 1,666 1,859 2,236 1,666 1,662 Building repairs and maintenance 1.8% -19.1% 2,526 3,123 3,867 3,075 2,481 Landscaping and grounds maintenance -16.3% -15.3% 826 975 1,290 1,474 987 Real estate taxes -1.0% 4.8% 8,201 7,828 7,544 7,998 8,283 Insurance 13.2% 0.6% 1,197 1,190 1,131 1,069 1,058 Property management fees -2.9% -1.2% 2,121 2,147 2,228 2,223 2,184 Other -8.6% 13.7% 556 489 566 692 608 ------ ------- ------ ------ ------ ------- ------ ------ ------ ------ 0.6% -2.3% $24,182 24,755 26,671 25,622 24,045 ====== ======= ====== ====== ====== ======= ====== ====== ====== ====== First Quarter 2004 Page 40 Supplemental Information AMLI Residential Properties Trust
AMLI RESIDENTIAL SAME STORE COMMUNITIES (a) - CONTINUED QUARTER ENDED CAPITAL EXPENDITURES (b) ------------------------
Percent Change - Current Quarter Compared to ---------------- 2004 2003 Last Last --------------------------------- --------------------------------- Year Quarter Dec 31 Sep 30 Jun 30 Mar 31 Dec 31 Sep 30 Jun 30 Mar 31 ------ ------- ------ ------ ------ ------- ------ ------ ------ ------ Total -19.9% -3.8% $ 1,335 1,388 1,981 1,866 1,667 ====== ======= ====== ====== ====== ======= ====== ====== ====== ====== Per apartment home $ 0.05 0.05 0.08 0.07 0.07 ====== ====== ====== ======= ====== ====== ====== ====== TOTAL OPERATING COST (c) ------------------------ Percent Change - Current Quarter Compared to ---------------- 2004 2003 Last Last --------------------------------- --------------------------------- Year Quarter Dec 31 Sep 30 Jun 30 Mar 31 Dec 31 Sep 30 Jun 30 Mar 31 ------ ------- ------ ------ ------ ------- ------ ------ ------ ------ Total -0.8% -2.4% $25,517 26,143 28,652 27,488 25,712 ====== ======= ====== ====== ====== ======= ====== ====== ====== ====== Per apartment home $ 1.01 1.03 1.13 1.09 1.02 ====== ====== ====== ======= ====== ====== ====== ====== Notes: (a) Information shown is Combined, including share of partnership communities at 100%. (b) See details in the Company's Form 10-K or Form 10-Q filed with the SEC. (c) Total operating cost equals the sum of the operating expenses and capital expenditures. First Quarter 2004 Page 41 Supplemental Information AMLI Residential Properties Trust
AMLI RESIDENTIAL SAME COMMUNITY RENTAL REVENUE The following graphs present monthly rental revenue for the three months of 2004 in black, compared to monthly rental revenue for the twelve months of 2003 in grey. Commentary and financial data are "Combined" (including partnership communities at 100%) and based only on the same community portfolio. "Combined" same community rental revenue for the first quarter of 2004 totaled $55.8 million, or 92.7% of total community revenue, which was $60.1 million. The difference is attributable to other community revenue, which includes ancillary services revenue and rental-related fees. Note that occupancy changes are disclosed in absolute terms, and economic data is as of February 2004. ALL COMMUNITIES --------------- For the first quarter 2004 compared to the same quarter a year ago, rental revenue declined 0.7%. The change was attributable to a 4.6% decline in collected rent per occupied unit, which was mostly offset by a 3.5% increase in occupancy. Sequentially, portfolio-wide rental revenue for the current quarter compared to the fourth quarter 2003 decreased by 0.8%. Rental income decreased as a result of a decline in occupancy in six of eight markets and decreasing collected rent per occupied unit in seven of our eight markets. Overall, collected rent per occupied unit and occupancy were down slightly, by 0.2% and 0.6%, respectively. DALLAS ------ DALLAS rental revenue for the first quarter 2004 was flat compared to the first quarter 2003. Occupancy increased by 4.4% year over year, but was offset by a decline in collected rent per occupied unit of 4.9%. On a sequential basis, rental revenue decreased by 0.8% which was primarily due to a decrease in occupancy of 0.6%. Collected rent per occupied unit remained essentially flat, falling by only 0.2% this quarter compared to a 1.2% sequential drop last quarter. After nearly two and a half years of losing jobs when measured on a year over year basis, the DF/W metroplex added 800 jobs in the trailing 12 months ended February 2004. Job growth will need to accelerate in the future year to help absorb the relatively high permit activity that remains in this market as 10,542 permits have been issued (2.4% of existing stock) for the year ending February 2004. ATLANTA ------- ATLANTA rental revenue for the first quarter 2004 declined 1.4% compared to the first quarter 2003, driven by a 3.8% decline in collected rent per occupied unit which was partially offset by a 2.3% increase in occupancy. On a sequential basis, rental revenue for the current quarter decreased by 0.4% compared to the fourth quarter 2003 as occupancy fell 1.0% and collected rent per occupied unit increased by 0.8%. The challenge in Atlanta remains absorption of new supply, with 11,664 units permitted for the year ending February 2004 (a 3.2% increase to the existing apartment stock). Encouraging news in Atlanta is that annualized permits have fallen by 15.5% versus the same period of a year ago, and job growth has turned positive. More good news is annual job growth, which as of the year ending February 2004 was positive 15,000. First Quarter 2004 Page 42 Supplemental Information AMLI Residential Properties Trust AMLI RESIDENTIAL SAME COMMUNITY RENTAL REVENUE - CONTINUED CHICAGO ------- CHICAGO rental revenue for the first quarter 2004 increased 0.2% compared to the same quarter a year ago, driven by a 4.4% increase in occupancy, which was offset by a decline in collected rent per occupied unit of 4.5%. Sequentially, rental revenue for the current quarter was down 0.7% compared to the fourth quarter of 2003. Occupancy trended downward slightly, by 0.3%, over last quarter and collected rent per occupied unit continued to trend downward, but at a slower pace, dropping 0.5% in the first quarter. Chicago's challenge remains demand; the latest employment figures continue to show a net decrease over the last 12 months, albeit at a much more modest pace than in prior years. On the supply side, the Chicago metro issued permits for 10,859 new multifamily units, representing 1.6% of existing apartment stock, for the year ending February 2004, an 11% increase from the year ended November, 2002. AUSTIN ------ AUSTIN rental revenue for the first quarter 2004 declined 6.8% compared to the first quarter of 2003 due to a decrease in collected rent per occupied unit of 6.3% and a slight decrease in occupancy of 0.4%. On a sequential basis compared to the fourth quarter 2003, rental revenue for the current quarter fell by 1.7% as occupancy fell 1.0%. Collected rent per occupied unit continued to fall as well, but at a much slower pace, decreasing by 0.5%. Austin continues to struggle with absorption as approximately 7,231 new units have been completed in the past twelve months. Fortunately permit activity continues to remain rather low as 2,131 permits (1.3% of existing stock) were issued for the year ending February 2004, a decrease of 36% from the same period a year ago. The Bureau of Labor Statistics is reporting positive job growth of 1,100 jobs in the previous twelve months as of February 2004. KANSAS CITY ----------- KANSAS CITY rental revenue for the first quarter 2004 increased 0.7%, compared to the same period a year ago due to an increase of 3.3% in occupancy which was somewhat offset by an decrease in collected rent per occupied unit of 2.9%. Sequentially, rental revenue for the current quarter decreased slightly, by 0.5%, as occupancy remained flat versus last quarter and collected rent per occupied unit fell by 0.5%. Demand fundamentals in Kansas continue to challenge property operations, although there have been positive signs in both job growth and multifamily permits in 2004; for the year ending February 2004 the Kansas City metro area added 1,800 jobs, a positive 0.2% rate, following a loss of 16,500 jobs for the same period of a year ago. In addition, multifamily permits have trended down over the past year. For the year ending February 2004 authorized permits totaled 1,696 units, a 43.6% decrease over the same period of a year ago, and representing a 1.4% increase to the existing apartment stock. First Quarter 2004 Page 43 Supplemental Information AMLI Residential Properties Trust AMLI RESIDENTIAL SAME COMMUNITY RENTAL REVENUE - CONTINUED INDIANAPOLIS ------------ INDIANAPOLIS rental revenue for the first quarter 2004 grew by 0.3% compared to the same quarter a year ago as a result of an increase in occupancy of 2.4% which was partially offset by a 1.8% decrease in collected rent per occupied unit. Sequentially, rental revenue for the current quarter declined 1.6% as both collected rent and occupancy decreased by 0.1% and 1.2%, respectively, from the fourth quarter. Demand and supply fundamentals in Indianapolis have begun to show improvement. The BLS reported a gain of 9,500 jobs or a positive 1.1% growth rate for the year ending February 2004. In addition, 2,067 multifamily permits have been authorized over the past year, which is a 31.8% decrease from the same period of a year ago. HOUSTON ------- HOUSTON rental revenue increased by 0.7% in the first quarter of 2004 compared to the first quarter of 2003. Collected rent per occupied unit fell 5.2% while occupancy increased dramatically, by 5.6%. On a sequential basis, rental revenue for the current quarter also increased, by 0.9%, over the previous quarter driven by a 1.2% increase in occupancy. Collected rent per occupied unit continued to trend down, albeit at a slower pace than previous quarters, falling 0.4% this quarter compared to a 1.6% decrease in the previous quarter. Houston will be faced with challenging supply and demand fundamentals in the upcoming year. Permit activity remains high as 13,925 permits (3.8% of existing stock) were issued for the year ending February 2004. On the demand side, Houston is one of the three markets to register a decrease in jobs as approximately 1,600 jobs were lost for the twelve months ended February 2004. DENVER ------ DENVER rental revenue for the first quarter 2004 compared to the first quarter of 2003 fell 0.3% due to continued weakness in the market, which pushed collected rent per occupied unit down by 9.7%. Occupancy, however, improved significantly, by 7.9%, which helped limit the decline in rental revenue. On a sequential basis, rental revenue for the current quarter declined 2.1% from the fourth quarter 2003 due to further deterioration of collected rent per occupied unit, which fell 1.7%. Occupancy declined slightly over last quarter, down 0.3%. The Denver/Boulder metro continues to display weak demand/supply fundamentals driven by negative job growth and delivery of significant new supply. For the year ending February 2004 the metro area experienced a loss of 21,200 jobs, a negative 1.6% growth rate. On a positive note, for the year ending February 2004 authorized permits totaled 4,111 units (representing a 1.7% increase to the existing apartment stock), a 38.4% and 68.8% decrease over the same period of one and two years ago, respectively. First Quarter 2004 Page 44 Supplemental Information AMLI Residential Properties Trust AMLI RESIDENTIAL COMPONENTS OF NOI THREE MONTHS ENDED MARCH 31 (Dollars in thousands)
Partnership Communities Wholly-Owned Communities (a) Combined (h)(i) at 100% ---------------------------- -------------------------- -------------------------- Percent Percent Percent 2004 2003 Change 2004 2003 Change 2004 2003 Change -------- -------- -------- -------- -------- -------- -------- -------- -------- REVENUE Same Store communities (b). . . . 24,963 25,103 -0.6% 35,134 35,194 -0.2% 27,685 27,510 0.6% Acquired from/contribu- ted to partnerships. . 7,467 0 0.0% 7,477 1,703 339.1% 25 7,531 -99.7% New communities (c) . . 0 0 0.0% 941 622 51.2% 3,565 2,328 53.2% Communities under development and lease-up . . . . . . . 735 224 229.0% 963 263 266.8% 1,143 196 482.2% Acquisition communities (d). . . . 512 0 0.0 512 0 0.0 0 0 0.0% Communities under rehab (e). . . . . . . 832 887 -6.2 832 887 -6.2 0 0 0.0% Communities held for sale or sold (f) . . . 37 869 -95.8 124 1,790 -93.1 350 3,566 -90.2 -------- -------- -------- -------- -------- -------- -------- -------- -------- 34,546 27,083 27.6% 45,983 40,459 13.7% 32,768 41,131 -20.3% ======== ======== ======== ======== ======== ======== ======== ======== ======== EXPENSES Same Store communities (b). . . . 10,393 10,534 -1.3% 14,389 14,435 -0.3% 10,808 10,487 3.1% Acquired from/contribu- ted to partnerships. . 2,998 0 0.0% 2,991 688 334.4% -17 3,023 -100.6% New communities (c) . . 0 0 0.0% 362 307 17.9% 1,385 1,165 18.9% Communities under development and lease-up . . . . . . . 305 210 45.5% 479 270 77.5% 880 301 192.3% Acquisition communities (d). . . . 266 0 0.0% 266 0 0.0% 0 0 0.0% Communities under rehab (e). . . . . . . 365 285 28.0% 365 285 28.0% 0 0 0.0% Communities held for sale or sold (f) . . . -78 292 -126.6% -27 708 -103.8% 209 1,613 -87.0% -------- -------- -------- -------- -------- -------- -------- -------- -------- 14,249 11,321 25.9% 18,825 16,693 12.8% 13,265 16,589 -20.0% ======== ======== ======== ======== ======== ======== ======== ======== ======== First Quarter 2004 Page 45 Supplemental Information AMLI Residential Properties Trust AMLI RESIDENTIAL COMPONENTS OF NOI - CONTINUED THREE MONTHS ENDED MARCH 31 (Dollars in thousands) Partnership Communities Wholly-Owned Communities (a) Combined (g) (h) at 100% ---------------------------- -------------------------- -------------------------- Percent Percent Percent 2004 2003 Change 2004 2003 Change 2004 2003 Change -------- -------- -------- -------- -------- -------- -------- -------- -------- NET OPERATING INCOME Same Store communities (b). . . . 14,570 14,569 0.0% 20,746 20,759 -0.1% 16,877 17,023 -0.9% Acquired from/contribu- ted to partnerships. . 4,469 0 0.0% 4,486 1,015 342.3% 42 4,508 -99.1% New communities (c) . . 0 0 0.0% 579 315 83.6% 2,180 1,163 87.6% Communities under development and lease-up . . . . . . . 430 14 3018.0% 484 -7 -6823.8% 263 -105 -350.7% Acquisition communities (d). . . . 246 0 0.0% 246 0 0.0% 0 0 0.0% Communities under Rehab (e). . . . . . . 467 602 27.6% 467 602 -22.4% 0 0 0.0% Communities held for sale or sold (f). . . 115 577 -80.2% 151 1,082 -86.0% 141 1,953 -92.8% -------- -------- -------- -------- -------- -------- -------- -------- -------- 20,297 15,762 28.8% 27,158 23,766 14.3% 19,503 24,542 -20.5 ======== ======== ======== ======== ======== ======== ======== Cash flow preference and operating promote (g). . . . . . 1,066 655 -------- -------- Company's share of NOI (h) . . . . . . . 28,224 24,421 Company's share of other, net. . . . . . -58 -282 -------- -------- COMPANY'S SHARE OF COMMUNITIES' EBITDA . 28,166 24,139 ======== ======== COMPANY'S PERCENTAGE OF PARTNERSHIPS' NOI: Before cash flow preferences (g). . . . 35.2% 32.6% Including cash flow preferences and other (g). . . . . . . 40.6% 35.3% ======== ======== First Quarter 2004 Page 46 Supplemental Information AMLI Residential Properties Trust AMLI RESIDENTIAL COMPONENTS OF NOI - CONTINUED THREE MONTHS ENDED December 31 (Dollars in thousands) Notes: (a) Includes communities that were sold and reported as Discontinued Operations in the Company's Statements of Operations. (b) Same store communities are communities that have had stabilized operations and were owned by the Company as of January 1, 2003. (c) New communities are communities that were developed by the Company and began stabilized operations after January 1, 2003. (d) Acquisition communities are communities having stabilized operations that were acquired by the Company after January 1, 2003. (e) Communities being rehabbed as of January 1, 2004. (f) Reflects operations through the date of sale. (g) The terms of certain partnership agreements provide that the Company is entitled to an additional share of such partnership's NOI in addition to the Company's proportionate ownership percentage. See page 48. (h) Based on Company's ownership share of each partnership's NOI. Reflect only property operations. Excludes other items of partnership operations such as interest income on invested funds, legal, accounting, audit and other costs of partnership administration, including asset management fees paid to the Company. See page 48. (i) Company's 100% interest in wholly-owned communities plus the Company's share of partnership communities. First Quarter 2004 Page 47 Supplemental Information AMLI Residential Properties Trust
AMLI RESIDENTIAL CO-INVESTMENT COMPENSATION Quarter Ended (Dollars in thousands)
2004 2003 ----------------------------------------- ----------------------------------------- Dec 31 Sep 30 Jun 30 Mar 31 Dec 31 Sep 30 Jun 30 Mar 31 -------- -------- -------- -------- -------- -------- -------- -------- FEE INCOME (a) Acquisition fees (a). . $ -- -- -- -- -- Asset management fees (b) . . . . . . . . . 451 113 111 118 118 Disposition fees (c). . -- 242 325 -- -- Development fees (a). . 267 202 396 394 338 -------- -------- -------- -------- -------- -------- -------- -------- 718 557 832 512 456 -------- -------- -------- -------- -------- -------- -------- -------- SHARE OF CASH FLOW (d) Promoted interest from sale proceeds . . . . -- -- 375 -- -- Promoted interest from operating cash flow . 254 151 127 146 125 Cash flow preferences (e) . . . . . . . . . 812 358 330 550 530 -------- -------- -------- -------- -------- -------- -------- -------- 1,066 509 832 695 655 -------- -------- -------- -------- -------- -------- -------- -------- TOTAL . . . . . . . $ 1,784 1,066 1,664 1,207 1,111 ======== ======== ======== ======== ======== ======== ======== ======== Notes: (a) Acquisition, debt/equity placement and development fees are shown net of elimination of Company's share. Property management, construction and certain asset management fees are earned by the Company's subsidiaries. See page 49. (b) Asset management fees are shown at 100%. The Company's share of partnerships' EBITDA is reduced by its share of this fee. Includes $285 in the first quarter of 2004 which is reported in discontinued operations (see pages 18 and 21). (c) Disposition fees are shown at 100% as reported gains on sale have been reduced for this cost. (d) See page 44. (e) The Company receives compensation from certain partnerships in the form of a preferential distribution of cash flow. First Quarter 2004 Page 48 Supplemental Information AMLI Residential Properties Trust
AMLI RESIDENTIAL SERVICE COMPANIES FINANCIAL INFORMATION Three Months Ended (Unaudited) (Dollars in thousands) COMBINED CONDENSED STATEMENTS OF OPERATIONS -------------------------------------------
2004 2003 ----------------------------------------- ----------------------------------------- Dec 31 Sep 30 Jun 30 Mar 31 Dec 31 Sep 30 Jun 30 Mar 31 -------- -------- -------- -------- -------- -------- -------- -------- REVENUE Property management fees (a) . . . . . . . $ 2,482 2,552 2,657 2,611 2,551 General contractor revenue, net (b) . . . 144 (310) 77 360 625 Gross profit - corporate homes (c). . 249 242 276 251 227 Other income. . . . . . 639 572 320 395 205 -------- -------- -------- -------- -------- -------- -------- -------- 3,514 3,056 3,330 3,617 3,608 -------- -------- -------- -------- -------- -------- -------- -------- OPERATING EXPENSES Property management . . 2,647 1,396 2,606 2,663 2,351 General contractor. . . 780 721 765 498 443 Corporate homes . . . . 244 260 245 245 230 -------- -------- -------- -------- -------- -------- -------- -------- 3,671 2,377 3,616 3,406 3,024 -------- -------- -------- -------- -------- -------- -------- -------- Provision for loss on land parcels held for sale . . . . . . . -- (550) -- -- -- Share of gain on sale of a residential community built for sale . . . . . . . -- -- 1,913 -- -- -------- -------- -------- -------- -------- -------- -------- -------- EBITDA (d). . . . . . . (157) 129 1,627 211 584 -------- -------- -------- -------- -------- -------- -------- -------- First Quarter 2004 Page 49 Supplemental Information AMLI Residential Properties Trust AMLI RESIDENTIAL SERVICE COMPANIES FINANCIAL INFORMATION - CONTINUED (Dollars in thousands) COMBINED CONDENSED STATEMENTS OF OPERATIONS ------------------------------------------- 2004 2003 ----------------------------------------- ----------------------------------------- Dec 31 Sep 30 Jun 30 Mar 31 Dec 31 Sep 30 Jun 30 Mar 31 -------- -------- -------- -------- -------- -------- -------- -------- Interest expense. . . . (408) (351) (289) (230) (172) Depreciation and amortization . . . . (837) (806) (778) (780) (760) Taxes . . . . . . . . . 494 391 (213) 303 155 -------- -------- -------- -------- -------- -------- -------- -------- NET INCOME (LOSS) . . . (908) (637) 347 (496) (193) Eliminations, interest and other (d). . . . . 456 325 382 247 151 -------- -------- -------- -------- -------- -------- -------- -------- SHARE OF INCOME (LOSS) FROM THE SERVICE COMPANIES (e). . . . . $ (452) (312) 729 (249) (42) ======== ======== ======== ======== ======== ======== ======== ======== Notes: (a) Includes a 3% fee from wholly-owned communities. (b) General contractor revenue is shown net of construction costs. (c) Gross revenue from customers less payments to communities and cost of sales. (d) Share of Service Company's EBITDA on page 16 equals EBITDA above plus intercompany elimination excluding interest. (e) See Company's Consolidated Statements of Operations. First Quarter 2004 Page 50 Supplemental Information AMLI Residential Properties Trust
AMLI RESIDENTIAL SERVICE COMPANIES FINANCIAL INFORMATION (Dollars in thousands) COMBINED CONDENSED FINANCIAL POSITION -------------------------------------
2004 2003 ----------------------------------------- ----------------------------------------- Dec 31 Sep 30 Jun 30 Mar 31 Dec 31 Sep 30 Jun 30 Mar 31 -------- -------- -------- -------- -------- -------- -------- -------- ASSETS Receivables (a) . . . . $ 6,557 6,351 9,162 12,453 14,356 Land held for sale (b) . . . . . . . 12,404 12,301 12,822 12,816 12,780 Rental communities under development and held for sale (c). . . . . . . . . . 8,396 34,618 29,620 20,434 11,736 Building and leasehold improve- ments, net (d) . . . . 2,257 2,227 2,327 2,352 2,406 Information technology costs, net . . . . . . 7,959 8,500 8,160 8,287 8,231 Other (e) . . . . . . . 5,646 4,780 4,839 5,636 5,504 -------- -------- -------- -------- -------- -------- -------- -------- Total Assets. . . . $ 43,219 68,777 66,930 61,978 55,013 ======== ======== ======== ======== ======== ======== ======== ======== Notes: (a) Primarily costs and fees due from affiliates. (b) Represents land parcels as follows: Prairie Lakes (120 acres in Indiana). . . . . $ 7,192 7,160 7,681 7,616 7,642 Fossil Creek (34 acres in Texas). . . . . . 5,212 5,141 5,141 5,200 5,138 -------- -------- -------- -------- -------- -------- -------- -------- $ 12,404 12,301 12,822 12,816 12,780 ======== ======== ======== ======== ======== ======== ======== ======== First Quarter 2004 Page 51 Supplemental Information AMLI Residential Properties Trust AMLI RESIDENTIAL SERVICE COMPANIES FINANCIAL INFORMATION - CONTINUED (Dollars in thousands) 2004 2003 ----------------------------------------- ----------------------------------------- Dec 31 Sep 30 Jun 30 Mar 31 Dec 31 Sep 30 Jun 30 Mar 31 -------- -------- -------- -------- -------- -------- -------- -------- (c) See Pages 59, 61 and 63. (d) Primarily includes a corporate office building, net of depreciation. (e) Represented by: Investments in partnerships. . . $ 215 485 928 1,747 1,632 Investments in real estate . . . 1,448 737 737 737 737 Deferred income tax . . . . . . . 2,721 2,229 1,852 2,064 1,760 Unamortized goodwill. . . . . 668 668 668 668 668 Other. . . . . . . 594 661 654 420 707 -------- -------- -------- -------- -------- -------- -------- -------- $ 5,646 4,780 4,839 5,636 5,504 ======== ======== ======== ======== ======== ======== ======== ======== First Quarter 2004 Page 52 Supplemental Information AMLI Residential Properties Trust
AMLI RESIDENTIAL STABILIZED COMMUNITIES March 31, 2004
Number Percent Ave. AMLI's of of Physical Collected Ownership Apart- Port- Occupancy Revenue Percen- Year Year ment folio March 31 1st Qtr Components Market/Community tage Location Acquired Completed Homes (a) 2004 2004 of NOI ---------------- --------- -------- --------- --------- ------ ------- ------------------ ---------- DALLAS/ FT. WORTH, TX ------------- AMLI: at Bent Tree 100% Dallas, TX 1997 1996/2000 500 91.8% $ 846 Same Store at Bishop's Gate 100% Plano, TX 1997 1997 266 92.5% 1,020 Same Store at Breckinridge Point 45% Richardson, TX 2000 1999 440 93.2% 914 Same Store at Bryan Place 48% Dallas, TX 2002 1999 420 87.1% 922 Sam Store at Chase Oaks 100% Plano, TX 1994 1986 250 90.0% 680 Same Store at Deerfield 25% Plano, TX Developed 2000 240 93.3% 887 Same Store on Frankford 45% Dallas, TX 2000 1998 582 92.8% 896 Same Store on the Green 100% Ft. Worth, TX 1994 1990/93 424 89.2% 718 Same Store Knox-Henderson 100% Dallas, TX 2003 1994 180 95.0% 1,034 Acquisition at Nantucket 100% Dallas, TX 1988 1986 312 94.2% 565 Same Store of North Dallas 100% Dallas, TX 1989/90 1985/86 1,032 89.8% 688 Same Store at Oak Bend 100% Dallas, TX 1999 1997 426 89.2% 783 Same Store (b) on the Parkway 25% Dallas, TX Developed 1999 240 90.5% 834 Same Store at Prestonwood Hills 45% Dallas, TX 1999 1997 272 91.8% 883 Same Store 7th Street Station 100% Ft. Worth, TX 2002 2000 189 96.8% 1,013 Same Store at Shadow Ridge 100% Flower Mound, TX 2001 2000 222 90.5% 978 Same Store at Stonebridge Ranch 100% McKinney, TX 2001 2001 250 88.8% 758 Same Store on Timberglen 100% Dallas, TX 1990 1985 260 91.5% 613 Same Store Upper West Side 100% Ft. Worth, TX 2002 2001 194 91.8% 969 Same Store at Valley Ranch 100% Irving, TX 1990 1985 460 91.1% 785 Same Store at Verandah 100% Arlington, TX 1997 1986/91 538 89.4% 688 Same Store (b) (c) ------ ------ ------ ------ 7,697 28.2% 91.1% 807 ------ ------ ------ ------ First Quarter 2004 Page 53 Supplemental Information AMLI Residential Properties Trust AMLI RESIDENTIAL STABILIZED COMMUNITIES - CONTINUED March 31, 2004 Number Percent Ave. AMLI's of of Physical Collected Ownership Apart- Port- Occupancy Revenue Percen- Year Year ment folio March 31, 1st Qtr Components Market/Community tage Location Acquired Completed Homes (a) 2004 2004 of NOI ---------------- --------- -------- --------- --------- ------ ------- ------------------ ---------- ATLANTA, GA ------------ AMLI: at Barrett Lakes 35% Kennesaw, GA Developed 1997 446 95.7% 900 Same Store at Barrett Walk 25% Kennesaw, GA Developed 2002 290 96.6% 860 New at Clairmont 100% Atlanta, GA 1988 1988 288 95.1% 799 Same Store at Kedron Village 20% Fayette County, GA Developed 2002 216 94.0% 1,007 Same Store at Killian Creek 100% Snellville, GA Developed 1999 256 93.4% 808 Same Store at Lost Mountain 75% Paulding County, GA Developed 2000 164 97.6% 779 Same Store at Mill Creek 25% Gwinnett County, GA Developed 2001 400 89.0% 822 Same Store at Milton Park 25% Alpharetta, GADeveloped 2003 461 91.8% 909 New at Northwinds 35% Alpharetta, GA Developed 1999 800 92.3% 927 Same Store at Park Creek 100% Gainesville, GA Developed 1998 200 97.5% 773 Same Store at Peachtree City 20% Fayette County, GA Developed 1998 312 95.5% 885 Same Store at River Park 40% Norcross, GA Developed 1997 222 94.1% 904 Same Store at Spring Creek 100% Atlanta, GA Developed 1985/86 /87/89 1,180 90.3% 749 Same Store (c) at Towne Creek 100% Gainesville, GA Developed 1989 150 97.3% 635 Same Store at Vinings 100% Smyrma, GA 1992/97 1985 360 96.9% 830 Same Store at West Paces 100% Atlanta, GA 1993 1992 337 89.3% 883 Same Store at Windward Park 45% Alpharetta, GA 1999 1999 328 91.8% 903 Same Store ------ ------ ------ ------ 6,410 23.5% 93.1% 846 ------ ------ ------ ------ First Quarter 2004 Page 54 Supplemental Information AMLI Residential Properties Trust AMLI RESIDENTIAL STABILIZED COMMUNITIES - CONTINUED March 31, 2004 Number Percent Ave. AMLI's of of Physical Collected Ownership Apart- Port- Occupancy Revenue Percen- Year Year ment folio March 31, 1st Qtr Components Market/Community tage Location Acquired Completed Homes (a) 2004 2004 of NOI ---------------- --------- -------- --------- --------- ------ ------- ------------------ ---------- CHICAGO, IL ----------- AMLI: at Chevy Chase 33% Buffalo Grove, IL 1996 1988 592 95.3% 1,053 Same Store at Danada Farms 100% Wheaton, IL 1997 1989/91 600 95.7% 1,037 Same Store (b) at Fox Valley 25% Aurora, IL Developed 1998 272 93.0% 1,031 Same Store at Oakhurst North 100% Aurora, IL Developed 2000 464 89.9% 1,031 Same Store (b) at Osprey Lake 69% Gurnee, IL 2001 1997/99 483 92.8% 1,037 Same Store at Poplar Creek 100% Schaumburg, IL 1997 1985 196 94.9% 1,073 Same Store at St. Charles 25% St. Charles, IL Developed 2000 400 89.8% 1,131 Same Store at Windbrooke 15% Buffalo Grove, IL 1995 1987 236 95.3% 1,112 Same Store ------ ------ ------ ------ 3,243 11.9% 93.3% 1,058 ------ ------ ------ ------ AUSTIN, TX ---------- AMLI: in Great Hills 100% Austin, TX 1991 1985 344 93.6% 651 Same Store at Lantana Ridge 100% Austin, TX 1997 1997 354 88.1% 812 Same Store at Monterey Oaks 25% Austin, TX Developed 2000 430 87.4% 845 Same Store at Scofield Ridge 45% Austin, TX 2000 2000 487 93.4% 789 Same Store at StoneHollow 100% Austin, TX 2000 1997 606 91.1% 765 Same Store ------ ------ ------ ------ 2,221 8.1% 90.8% 775 ------ ------ ------ ------ First Quarter 2004 Page 55 Supplemental Information AMLI Residential Properties Trust AMLI RESIDENTIAL STABILIZED COMMUNITIES - CONTINUED March 31, 2004 Number Percent Ave. AMLI's of of Physical Collected Ownership Apart- Port- Occupancy Revenue Percen- Year Year ment folio March 31, 1st Qtr Components Market/Community tage Location Acquired Completed Homes (a) 2004 2004 of NOI ---------------- --------- -------- --------- --------- ------ ------- ------------------ ---------- KANSAS CITY, KS --------------- AMLI: at Cambridge Square 30% Overland Park, KS Developed 2002 408 92.7% 886 New Creekside 100% Overland Park, KS Developed 2000 224 94.6% 795 Same Store (b) at Lexington Farms 100% Overland Park, KS 1998 1998 404 92.1% 777 Same Store at Regents Center 100% Overland Park, KS 1994 1991/95 /97 424 91.3% 765 Same Store at Regents Crest 100% Overland Park, KS 1997 1997/2000 476 92.9% 781 Same Store (b) at Summit Ridge 25% Lees Summit, MO Developed 2001 432 91.7% 833 Same Store at Wynnewood Farms 25% Overland Park, KS Developed 2000 232 90.5% 892 Same Store ------ ------ ------ ------ 2,600 9.5% 92.2% 814 ------ ------ ------ ------ First Quarter 2004 Page 56 Supplemental Information AMLI Residential Properties Trust AMLI RESIDENTIAL STABILIZED COMMUNITIES - CONTINUED March 31, 2004 Number Percent Ave. AMLI's of of Physical Collected Ownership Apart- Port- Occupancy Revenue Percen- Year Year ment folio March 31, 1st Qtr Components Market/Community tage Location Acquired Completed Homes (a) 2004 2004 of NOI ---------------- --------- -------- --------- --------- ------ ------- ------------------ ---------- INDIANAPOLIS, IN ---------------- AMLI: at Castle Creek 100% Indianapolis, IN Developed 2000 276 93.8% 895 Same Store (b) at Conner Farms 100% Fishers, IN 1997 1993 300 90.0% 840 Same Store at Eagle Creek 100% Indianapolis, IN 1998 1998 240 92.9% 864 Same Store at Lake Clearwater 25% Indianapolis, IN Developed 1999 216 88.9% 951 Same Store at Riverbend 100% Indianapolis, IN 1992/93 1983/85 996 95.6% 673 Same Store on Spring Mill 100% Carmel, IN 1999 1999 400 83.5% 863 Same Store (b) ------ ------ ------ ------ 2,428 8.9% 91.8% 794 ------ ------ ------ ------ HOUSTON, TX ----------- AMLI: at Kings Harbor 25% Houston, TX Developed 2001 300 95.0% 862 New at the Medical Center 100% Houston, TX 2001 2000 334 90.1% 995 Same Store Midtown 45% Houston, TX 2000 1998 419 95.5% 1,062 Same Store Towne Square 45% Houston, TX 2000 1999 380 93.7% 1,003 Same Store ------ ------ ------ ------ 1,433 5.3% 93.6% 989 ------ ------ ------ ------ First Quarter 2004 Page 57 Supplemental Information AMLI Residential Properties Trust AMLI RESIDENTIAL STABILIZED COMMUNITIES - CONTINUED March 31, 2004 Number Percent Ave. AMLI's of of Physical Collected Ownership Apart- Port- Occupancy Revenue Percen- Year Year ment folio March 31, 1st Qtr Components Market/Community tage Location Acquired Completed Homes (a) 2004 2004 of NOI ---------------- --------- -------- --------- --------- ------ ------- ------------------ ---------- DENVER, CO ---------- AMLI: at Lowry Estates 50% Denver, CO 2000 2000 414 87.2% 1,005 Same Store at Gateway Park 100% Denver, CO 2000 2000 328 93.9% 861 Same Store at Park Meadows 25% Littleton, CO 2002 2001 518 95.0% 965 Same Store ------ ------ ------ ------ 1,260 4.6% 92.1% 951 ------ ------ ------ ------ TOTAL 27,292 100% 92.1% $ 859 ====== ====== ====== ====== Note: (a) Based on number of apartment homes (b) These communities are "Same Store" with respect to information provided on pages 36, 38 and 40 regarding wholly-owned and Partnership communities, but are included as "Acquired from/contributed to partnerships" on page 44. (c) Reported as "Held for Sale" in the Consolidated and Combined Balance Sheets (pages 24 and 27) and in Income from discontinued operations in the Consolidated and combined Statements of Operations (pages 18 and 21). First Quarter 2004 Page 58 Supplemental Information AMLI Residential Properties Trust
AMLI RESIDENTIAL DEVELOPMENT SUMMARY March 31, 2004 (Dollars in thousands)
Number Percen- of Con- Antici- Antici- Number of tage of Apart- struc- pated pated Apartment Percent Percent Owner- ment tion First Comple- Stabil- Homes Complete Leased Market/Community Submarket ship Homes StartedOccupancy tion ization Delivered (a) (b) ---------------- --------- ------- ------ ---------------- ------- ------- --------- -------- ------- Communities Under Development ----------------- AUSTIN, TX ---------- AMLI Downtown Austin, TX 30% 220 2Q/02 1Q/04 3Q/04 1Q/05 9 86% 9% CHICAGO, IL ----------- AMLI: at Museum Gardens Vernon Hills, IL 25% 294 2Q/03 3Q/04 1Q/05 1Q/06 -- 42% N/A ----- ----- Total 514 9 ===== ===== Communities Being Developed for Sale by a Consolidated Service Company ------------------ INDIANAPOLIS, IN ---------------- AMLI at Old Town Carmel Carmel, IN 100% 91 1Q/03 1Q/04 2Q/04 3Q/04 -- 73% 18% ===== ===== First Quarter 2004 Page 59 Supplemental Information AMLI Residential Properties Trust AMLI RESIDENTIAL DEVELOPMENT SUMMARY - CONTINUED March 31, 2004 (Dollars in thousands) Number Percen- of Con- Antici- Antici- Number of tage of Apart- struc- pated pated Apartment Percent Percent Owner- ment tion First Comple- Stabil- Homes Complete Leased Market/Community Submarket ship Homes StartedOccupancy tion ization Delivered (a) (b) ---------------- --------- ------- ------ ---------------- ------- ------- --------- -------- ------- Communities Substantially Completed and in Lease-Up ------------- INDIANAPOLIS, IN ---------------- AMLI Carmel Center Carmel, IN 100% 322 2Q/01 2Q/02 2Q/03 3Q/04 322 100% 88% AUSTIN, TX ---------- AMLI at Walnut Creek Austin, TX 100% 460 4Q/02 3Q/03 2Q/04 1Q/05 370 99% 52% CHICAGO, IL ----------- AMLI at Seven Bridges Woodridge, IL 20% 520 3Q/01 3Q/02 4Q/03 3Q/04 520 100% 80% ----- ----- 1,302 1,212 ===== ===== Notes: (a) Represents costs to date divided by Total Development Costs. (b) Represents number of leased apartments (not necessarily occupied) divided by the total Number of Apartment Homes. First Quarter 2004 Page 60 Supplemental Information AMLI Residential Properties Trust
AMLI RESIDENTIAL DEVELOPMENT SUMMARY March 31, 2004 (Dollars in thousands)
Company's Share of Joint Required Equity Capital Venture -------------------------------------- Percentage Total Partner Balance of Development Equity Funded of Market/Community Ownership Costs (a) Debt Capital Total to Date 2004 2005 ---------------- ---------- ----------- ---------- --------- -------- -------- -------- -------- Communities Under Development ----------------- AUSTIN, TX ---------- AMLI Downtown 30% 50,920 30,920(b) 14,000 6,000 6,000 -- -- CHICAGO, IL ----------- AMLI: at Museum Gardens 25% 61,400(c) 37,000 17,325 5,775 5,775 -- -- -------- ------- ------- ------- ------- ------ ------- TOTAL $112,320 67,920 31,325 11,775 11,775 -- -- ======== ======= ======= ======= ======= ====== ======= Communities Being Developed for Sale by a Consolidated Service Company ------------------ INDIANAPOLIS, IN ---------------- AMLI at Old Town Carmel 100% $ 11,606 -- -- 11,606 8,396 3,210 -- ======== ======= ======= ======= ======= ====== ======= First Quarter 2004 Page 61 Supplemental Information AMLI Residential Properties Trust AMLI RESIDENTIAL DEVELOPMENT SUMMARY - CONTINUED March 31, 2004 (Dollars in thousands) Company's Share of Joint Required Equity Capital Venture -------------------------------------- Percentage Total Partner Balance of Development Equity Funded of Market/Community Ownership Costs (a) Debt Capital Total to Date 2004 2005 ---------------- ---------- ----------- ---------- -------- ------- -------- -------- -------- Communities Substantially Completed and in Lease-Up ------------- INDIANAPOLIS, IN ---------------- AMLI Carmel Center 100% 28,370 -- -- 28,370 28,370 -- -- AUSTIN, TX ---------- AMLI at Walnut Creek 100% 31,000 -- -- 31,000 30,800 200 -- CHICAGO, IL ----------- AMLI at Seven Bridges 20% 83,000 51,000 25,600 6,400 5,936 464 -- -------- ------- ------- ------- ------- ------ ------ $142,370 51,000 25,600 65,770 65,106 664 -- ======== ======= ======= ======= ======= ====== ====== Notes: (a) Includes anticipated costs of initial lease-up, some of which will be expensed. (b) The property is subject to a construction loan in the amount of $30,920, of which $21,520 has been funded to date. The partnership currently intends to refinance the construction loan with a permanent loan in the same amount upon completion and stabilization. (c) Of this total development costs, $1,300 is anticipated to be funded from net operating income from the community during the lease-up period. First Quarter 2004 Page 62 Supplemental Information AMLI Residential Properties Trust
AMLI RESIDENTIAL LAND HELD FOR DEVELOPMENT OR SALE March 31, 2004 Number of Apartment Market/Community Submarket Homes ---------------- --------- --------- AUSTIN, TX ---------- AMLI at Anderson Mill Northwest Austin 520 IRVING, TX ---------- AMLI at La Villita Irving 360 FORT WORTH, TX -------------- AMLI at Mesa Ridge North Fort Worth 230 HOUSTON, TX ----------- AMLI at Champions II Northwest Houston 288 KANSAS CITY, KS --------------- AMLI at: Lexington Farms - Phase II Overland Park 104 Westwood Ridge Overland Park 428 ------ Total 1,930 ====== First Quarter 2004 Page 63 Supplemental Information AMLI Residential Properties Trust AMLI RESIDENTIAL NON-GAAP FINANCIAL MEASURES March 31, 2004 This Quarterly Supplemental Information contains certain non-GAAP ("Generally Accepted Accounting Principles") information that is generally provided by most publicly-traded residential REITs and that we believe may be of interest and use to the investment community. Reconciliations of all non-GAAP financial measures to GAAP financial measures are included at the end of this Supplemental Operating and Financial Data. DEFINITIONS OF NON-GAAP FINANCIAL MEASURES NOI AND EBITDA -------------- Except where indicated, community revenue, community expenses, net operating income ("NOI") and earnings before interest, taxes, depreciation and amortization ("EBITDA") are computed based on various line items included in our consolidated statements of income prepared in accordance with GAAP. Where indicated, this information is presented on a basis that includes AMLI's proportionate share of the non-GAAP financial measures of its co-investment partnerships. NOI from one community is the community revenue less the community expenses for that property. NOI for all communities is the community revenue from all communities less the community expenses for all communities. EBITDA is NOI (including AMLI's proportionate share of the NOI of its co- investment partnerships) plus all fees and interest income and income from the Service Companies and gains or losses from sales or valuation of land and other income, less general and administration expenses. COMMUNITY REVENUE ----------------- COMMUNITY REVENUE comprises that portion of total revenue collected or due from leases at AMLI's rental communities and includes any such amounts as may be reported as discontinued operations. COMMUNITY EXPENSES ------------------ COMMUNITY EXPENSES comprise that portion of total expenses that exclude losses from sales or valuation of land, expenses of the Service Companies, general and administration expense, and interest, taxes, depreciation and amortization. Community operating expenses include amounts reported as personnel, advertising and promotion, utilities, building repairs and maintenance and services, landscaping and grounds maintenance, real estate taxes, insurance, property management, and other operating expenses, and such amounts as may be included in discontinued operations. First Quarter 2004 Page 64 Supplemental Information AMLI Residential Properties Trust AMLI RESIDENTIAL NON-GAAP FINANCIAL MEASURES - CONTINUED March 31, 2004 DEFINITIONS OF NON-GAAP FINANCIAL MEASURES - CONTINUED FUNDS FROM OPERATIONS ("FFO") ----------------------------- FUNDS FROM OPERATIONS is EBITDA less interest expense (including AMLI's proportionate share of interest expense of its co-investment partnerships and amortization of deferred financing expense) and any income taxes. FFO is defined as net income (computed in accordance with GAAP), excluding extraordinary gains (losses) from debt restructuring and gains (losses) from sales of depreciable operating communities, plus depreciation and amortization, and after adjustments for unconsolidated partnerships, joint ventures and other affiliates. Adjustments for unconsolidated partnerships, joint ventures and other affiliates are calculated to reflect FFO on the same basis. FFO does not represent cash flows from operations, as defined by GAAP; is not indicative that cash flows are adequate to fund all cash needs; is not to be considered an alternative to net income or any other GAAP measure as a measurement of the results of the Company's operations or the Company's cash flows or liquidity as defined by GAAP. FFO is widely accepted in measuring the performance of equity REITs. FFO PER SHARE IS FFO divided by the fully-diluted number of Operating Partnership Units outstanding. FFO is always presented on a fully-diluted basis only. ADJUSTED FUNDS FROM OPERATIONS ("AFFO") --------------------------------------- ADJUSTED FUNDS FROM OPERATIONS IS FFO less expenditures capitalized (excluding expenditures capitalized relating to the development of new property, the acquisition of additional property, or the rehab of existing property, but including AMLI's proportionate share of such expenditures capitalized by its co-investment partnerships). AFFO PER SHARE is AFFO divided by the fully-diluted number of Operating Partnership Units outstanding. AFFO per share is always presented on a fully-diluted basis only. SAME STORE COMMUNITIES ---------------------- SAME STORE COMMUNITY INFORMATION includes only such portions of community revenue, expenses, NOI or EBITDA as are generated from AMLI's same community universe, which changes each January 1 as communities with one full year of stabilized operations as of that date are added, and which may change quarterly thereafter as any components of the same community universe are sold or contributed to co-investment partnerships. First Quarter 2004 Page 65 Supplemental Information AMLI Residential Properties Trust AMLI RESIDENTIAL NON-GAAP FINANCIAL MEASURES March 31, 2004 RECONCILIATION OF NON-GAAP FINANCIAL MEASURES RECONCILIATION BETWEEN NET INCOME AND FFO AND AFFO
2004 2003 ------------------------------------------ ------------------------------------------ Dec 31 Sep 30 Jun 30 Mar 31 Dec 31 Sep 30 Jun 30 Mar 31 ---------- ---------- ---------- ---------- ---------- ---------- ---------- ---------- NET INCOME. . . . . . $ 6,719 13,533 5,935 2,928 3,708 Income from discon- tinued operations, net of minority interest . . . . . . (1,922) (1,225) (349) (993) (1,088) Gains on sales of discontinued operations, net of minority interest. . -- (5,113) -- -- -- Minority interest . . 225 586 697 (10) 137 ---------- ---------- ---------- ---------- ---------- ---------- ---------- ---------- Income from continuing operations before minority interest. . 5,022 7,781 6,283 1,925 2,757 Income from discon- tinued operations before minority interest . . . . . . 2,073 1,365 416 1,202 1,322 Depreciation (a). . . 8,641 7,533 7,012 5,546 5,518 Share of co-investment partnerships' depreciation . . . . 2,590 2,671 2,932 3,116 3,120 Share of gains on sales of operating communities. . . . . (2,648) (4,325) (1,959) -- -- ---------- ---------- ---------- ---------- ---------- ---------- ---------- ---------- FFO . . . . . . . . . $ 15,678 15,025 14,684 11,789 12,717 ========== ========== ========== ========== ========== ========== ========== ========== First Quarter 2004 Page 66 Supplemental Information AMLI Residential Properties Trust AMLI RESIDENTIAL NON-GAAP FINANCIAL MEASURES - CONTINUED March 31, 2004 2004 2003 ------------------------------------------ ------------------------------------------ Dec 31 Sep 30 Jun 30 Mar 31 Dec 31 Sep 30 Jun 30 Mar 31 ---------- ---------- ---------- ---------- ---------- ---------- ---------- ---------- Capital expenditures paid from FFO. . . . (904) (842) (1,100) (834) (1,084) Share of co-invest- ment partnerships' capital expendi- tures. . . . . . . . (188) (230) (331) (396) (225) ---------- ---------- ---------- ---------- ---------- ---------- ---------- ---------- AFFO. . . . . . . . . $ 14,586 13,953 13,253 10,559 11,408 ========== ========== ========== ========== ========== ========== ========== ========== Weighted average shares and units including dilutive shares . . . . . . . 27,994,382 27,237,972 25,946,127 24,467,736 24,308,052 ========== ========== ========== ========== ========== ========== ========== ========== (a) Includes discon- tinued operations of - . . . . . . . . -- 340 1,377 826 826 ========== ========== ========== ========== ========== ========== ========== ========== First Quarter 2004 Page 67 Supplemental Information AMLI Residential Properties Trust
AMLI RESIDENTIAL NON-GAAP FINANCIAL MEASURES March 31, 2004 RECONCILIATION OF NON-GAAP FINANCIAL MEASURES RECONCILIATION BETWEEN NET INCOME AND CONSOLIDATED NOI
2004 2003 ------------------------------------------ ------------------------------------------ Dec 31 Sep 30 Jun 30 Mar 31 Dec 31 Sep 30 Jun 30 Mar 31 ---------- ---------- ---------- ---------- ---------- ---------- ---------- ---------- NET INCOME. . . . . . $ 6,719 13,533 5,935 2,928 3,708 Minority interest . . 225 586 697 (10) 137 Income from discon- tinued operations, net of minority interest . . . . . . (1,922) (1,225) (349) (993) (1,088) Gains on sales of discontinued operations, net of minority interest . . . . . . -- (5,113) -- -- -- ---------- ---------- ---------- ---------- ---------- ---------- ---------- ---------- Net income from continuing operations before minority interest . . . . . . 5,022 7,781 6,283 1,925 2,757 First Quarter 2004 Page 68 Supplemental Information AMLI Residential Properties Trust AMLI RESIDENTIAL NON-GAAP FINANCIAL MEASURES - CONTINUED March 31, 2004 2004 2003 ------------------------------------------ ------------------------------------------ Dec 31 Sep 30 Jun 30 Mar 31 Dec 31 Sep 30 Jun 30 Mar 31 ---------- ---------- ---------- ---------- ---------- ---------- ---------- ---------- Income from partnerships . . . . (1,503) (1,596) (1,309) (1,469) (1,457) Interest and amortiza- tion of deferred financing costs. . . 6,982 6,324 5,949 5,694 5,941 Depreciation. . . . . 8,641 7,193 5,635 4,720 4,692 Fee income from unconsolidated partnerships . . . . (433) (557) (1,207) (512) (456) Other income. . . . . (479) (87) (193) (188) (196) Service Companies' operations . . . . . 480 312 (729) 249 42 General and administrative . . . 2,196 1,255 1,605 1,310 1,740 Provision for loss on land held for development or sale . . . . . . . . -- 150 -- -- -- Gains on sales of residential properties including share of gains on sales of partnerships' properties . . . . . (2,648) (4,325) (1,959) -- -- Impairment of an investment in a partnership. . . . . -- -- -- 1,191 -- ---------- ---------- ---------- ---------- ---------- ---------- ---------- ---------- NOI from continuing operations . . . . . 18,258 16,450 14,075 12,920 13,063 NOI from discon- tinued operations. . 2,039 2,323 2,381 2,587 2,699 ---------- ---------- ---------- ---------- ---------- ---------- ---------- ---------- Consolidated NOI. . . $ 20,297 18,773 16,456 15,507 15,762 ========== ========== ========== ========== ========== ========== ========== ========== First Quarter 2004 Page 69 Supplemental Information AMLI Residential Properties Trust AMLI RESIDENTIAL NON-GAAP FINANCIAL MEASURES - CONTINUED March 31, 2004 2004 2003 ------------------------------------------ ------------------------------------------ Dec 31 Sep 30 Jun 30 Mar 31 Dec 31 Sep 30 Jun 30 Mar 31 ---------- ---------- ---------- ---------- ---------- ---------- ---------- ---------- COMPONENTS OF NOI Same Store communities. . . . . $ 14,570 12,116 11,939 12,203 14,569 Acquired from/ contributed to partnerships . . . . 4,469 3,442 1,362 -- -- New communities . . . -- -- -- -- -- Development and/or lease-up communities. . . . . 430 430 357 185 14 Acquisition communities. . . . . 246 17 -- -- -- Communities under rehab. . . . . . . . 467 448 417 530 602 Communities sold. . . 115 2,320 2,381 2,589 577 ---------- ---------- ---------- ---------- ---------- ---------- ---------- ---------- Total . . . . . . . . $ 20,297 18,773 16,456 15,507 15,762 ========== ========== ========== ========== ========== ========== ========== ========== First Quarter 2004 Page 70 Supplemental Information AMLI Residential Properties Trust
AMLI RESIDENTIAL NON-GAAP FINANCIAL MEASURES March 31, 2004 RECONCILIATION OF NON-GAAP FINANCIAL MEASURES RECONCILIATION BETWEEN NET INCOME AND COMBINED NOI
2004 2003 ------------------------------------------ ------------------------------------------ Dec 31 Sep 30 Jun 30 Mar 31 Dec 31 Sep 30 Jun 30 Mar 31 ---------- ---------- ---------- ---------- ---------- ---------- ---------- ---------- NET INCOME. . . . . . $ 6,719 13,533 5,935 2,928 3,708 Minority interest . . 225 586 697 (10) 137 Income from discon- tinued operations, net of minority interest . . . . . . (1,922) (1,225) (349) (993) (1,088) Gains on sales of discontinued operations, net of minority interest . . . . . . -- (5,113) -- -- -- ---------- ---------- ---------- ---------- ---------- ---------- ---------- ---------- Net income from continuing operations before minority interest . . . . . . 5,022 7,781 6,283 1,925 2,757 First Quarter 2004 Page 71 Supplemental Information AMLI Residential Properties Trust AMLI RESIDENTIAL NON-GAAP FINANCIAL MEASURES - CONTINUED March 31, 2004 2003 2002 ------------------------------------------ ------------------------------------------ Dec 31 Sep 30 Jun 30 Mar 31 Dec 31 Sep 30 Jun 30 Mar 31 ---------- ---------- ---------- ---------- ---------- ---------- ---------- ---------- Interest and amortization of deferred financing costs. . . 6,982 6,324 5,949 5,694 5,941 Share of partnerships' interest and amorti- zation of deferred financing costs. . . 3,776 3,965 3,927 3,894 3,800 Depreciation. . . . . 8,641 7,193 5,635 4,720 4,692 Share of partnerships' depreciation . . . . 2,590 2,671 2,933 3,116 3,120 Share of partnerships' cash flow in excess of its ownership interests, net of other expenses . . . (1,008) (667) (266) (351) (373) Fee income from unconsolidated partnerships . . . . (433) (557) (1,207) (512) (456) Other income. . . . . (479) (87) (193) (188) (196) Service Companies' operations . . . . . 480 312 (729) 249 42 General and administrative . . . 2,196 1,255 1,605 1,310 1,740 Provision for loss on land held for development or sale. -- 150 -- -- -- Gains on sales of residential properties including share of gains on sales of partnerships' properties . . . . . (2,648) (4,325) (1,959) -- -- Impairment of an investment in a partnership. . . . . -- -- -- 1,191 -- ---------- ---------- ---------- ---------- ---------- ---------- ---------- ---------- First Quarter 2004 Page 72 Supplemental Information AMLI Residential Properties Trust AMLI RESIDENTIAL NON-GAAP FINANCIAL MEASURES - CONTINUED March 31, 2004 2004 2003 ----------------------------------------- ------------------------------------------ Dec 31 Sep 30 Jun 30 Mar 31 Dec 31 Sep 30 Jun 30 Mar 31 --------- --------- ---------- ---------- ---------- ---------- ---------- ---------- NOI from continuing operations . . . . . 25,119 24,015 21,977 21,048 21,067 NOI from discontinued operations . . . . . 2,039 2,323 2,381 2,587 2,699 --------- --------- ---------- ---------- ---------- ---------- ---------- ---------- Combined NOI. . . . . $ 27,158 26,338 24,358 23,634 23,766 ========= ========= ========== ========== ========== ========== ========== ========== COMPONENTS OF NOI Same Store communities. . . . . $ 20,746 18,403 18,201 18,427 20,759 Acquired from/ contributed to partnerships . . . . 4,486 3,809 2,001 995 1,015 New communities . . . 579 451 389 301 315 Development and/ or lease-up communities. . . . . 484 717 537 296 (7) Acquisition communities. . . . . 246 17 -- -- -- Communities under rehab. . . . . . . . 467 448 417 530 602 Communities sold. . . 151 2,493 2,813 3,088 1,082 --------- --------- ---------- ---------- ---------- ---------- ---------- ---------- Total . . . . . . . . 27,158 26,338 24,358 23,635 23,766 --------- --------- ---------- ---------- ---------- ---------- ---------- ---------- Share of partner- ships' cash flow in excess of the Company's ownership interests, net of other expenses . . . 1,008 667 266 351 373 --------- --------- ---------- ---------- ---------- ---------- ---------- ---------- Company's share of communities EBITDA . $ 28,166 27,005 24,624 23,986 24,139 ========= ========= ========== ========== ========== ========== ========== ========== First Quarter 2004 Page 73 Supplemental Information AMLI Residential Properties Trust