-----BEGIN PRIVACY-ENHANCED MESSAGE----- Proc-Type: 2001,MIC-CLEAR Originator-Name: webmaster@www.sec.gov Originator-Key-Asymmetric: MFgwCgYEVQgBAQICAf8DSgAwRwJAW2sNKK9AVtBzYZmr6aGjlWyK3XmZv3dTINen TWSM7vrzLADbmYQaionwg5sDW3P6oaM5D3tdezXMm7z1T+B+twIDAQAB MIC-Info: RSA-MD5,RSA, RvrA3n7jwq8PNnIj02VP7mn8cYBZNNpckdUXO5l79cMctCG3UyxI0iS1MGlcWk7H kwCi6qa9B0sq07Bkvxq9oA== 0000892626-99-000395.txt : 19990813 0000892626-99-000395.hdr.sgml : 19990813 ACCESSION NUMBER: 0000892626-99-000395 CONFORMED SUBMISSION TYPE: 10-Q PUBLIC DOCUMENT COUNT: 3 CONFORMED PERIOD OF REPORT: 19990630 FILED AS OF DATE: 19990812 FILER: COMPANY DATA: COMPANY CONFORMED NAME: AMLI RESIDENTIAL PROPERTIES TRUST CENTRAL INDEX KEY: 0000914724 STANDARD INDUSTRIAL CLASSIFICATION: REAL ESTATE INVESTMENT TRUSTS [6798] IRS NUMBER: 363925916 STATE OF INCORPORATION: MD FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: 10-Q SEC ACT: SEC FILE NUMBER: 001-12784 FILM NUMBER: 99685759 BUSINESS ADDRESS: STREET 1: 125 S WACKER DR STREET 2: STE 3100 CITY: CHICAGO STATE: IL ZIP: 60606 BUSINESS PHONE: 3124431477 FORMER COMPANY: FORMER CONFORMED NAME: AMLI RESIDENTIAL PROPERTIES INC DATE OF NAME CHANGE: 19931112 10-Q 1 UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q Quarterly Report Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 For the Quarterly Period Ended June 30, 1999 Commission File Number 1-12784 AMLI RESIDENTIAL PROPERTIES TRUST (Exact name of registrant as specified in its charter) Maryland 36-3925916 (State of Organization) (I.R.S. Employer Identification No.) 125 South Wacker Drive, Suite 3100, Chicago, Illinois 60606 (Address of principal executive office) (Zip code) Registrant's telephone number, including area code: (312) 443-1477 Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months and (2) has been subject to such filing requirements for the past 90 days. Yes ( X ) No ( ) The number of the Registrant's Common Shares of Beneficial Interest outstanding was 16,980,002 as of June 30, 1999. INDEX PART I FINANCIAL INFORMATION Item 1. Financial Statements (Unaudited) Consolidated Balance Sheets as of June 30, 1999 and December 31, 1998. . . . . . . . . 3 Consolidated Statements of Operations for the three and six months ended June 30, 1999 and 1998 . . . . . . . . . . . . . . . 5 Consolidated Statements of Shareholders' Equity for the six months ended June 30, 1999. . . . . . . . . . . . . . . . . . . . 7 Consolidated Statements of Cash Flows for the six months ended June 30, 1999 and 1998 . . . . . . . . . . . . . . . 8 Notes to Consolidated Financial Statements . . . . . . 10 Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations. . . . . . . . . . . . . . . . 29 Item 3. Quantitative and Qualitative Disclosures About Market Risk. . . . . . . . . . . . . . . . . . 37 PART II OTHER INFORMATION Item 4. Submission of Matters to a Vote of Security Holders . . . . . . . . . . . . . . . 42 Item 6. Exhibits and Reports on Form 8-K . . . . . . . . . . . 42 SIGNATURES . . . . . . . . . . . . . . . . . . . . . . . . . . . 43 PART I. FINANCIAL INFORMATION ITEM 1. FINANCIAL STATEMENTS AMLI RESIDENTIAL PROPERTIES TRUST CONSOLIDATED BALANCE SHEETS JUNE 30, 1999 AND DECEMBER 31, 1998 (UNAUDITED) (Dollars in thousands, except share data)
JUNE 30, DECEMBER 31, 1999 1998 -------------- ------------ ASSETS: Rental apartments: Land . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 87,278 91,459 Depreciable property . . . . . . . . . . . . . . . . . . . . . . . . . . . . 557,648 586,507 ---------- ---------- 644,926 677,966 Less accumulated depreciation. . . . . . . . . . . . . . . . . . . . . . . . (76,862) (78,143) ---------- ---------- 568,064 599,823 Rental properties held for sale, net of accumulated depreciation . . . . . . . 41,312 -- Properties under development . . . . . . . . . . . . . . . . . . . . . . . . . 42,152 61,798 Investments in partnerships. . . . . . . . . . . . . . . . . . . . . . . . . . 85,327 72,150 Cash and cash equivalents. . . . . . . . . . . . . . . . . . . . . . . . . . . 783 4,546 Deferred expenses, net . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2,826 2,942 Security deposits. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1,818 1,684 Notes receivable from and advances to Service Companies. . . . . . . . . . . . 34,983 31,277 Other assets . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 18,567 11,372 ---------- ---------- Total assets $ 795,832 785,592 ========== ========== LIABILITIES AND SHAREHOLDERS' EQUITY: LIABILITIES: Debt (note 5). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 382,320 367,370 Accrued interest payable . . . . . . . . . . . . . . . . . . . . . . . . . . . 2,325 2,170 Accrued real estate taxes payable. . . . . . . . . . . . . . . . . . . . . . . 8,321 10,141 Construction costs payable . . . . . . . . . . . . . . . . . . . . . . . . . . 566 1,967 Security deposits and prepaid rents. . . . . . . . . . . . . . . . . . . . . . 3,318 3,420 Other liabilities. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2,846 3,096 ---------- ---------- Total liabilities. . . . . . . . . . . . . . . . . . . . . . . . . . 399,696 388,164 ---------- ---------- AMLI RESIDENTIAL PROPERTIES TRUST CONSOLIDATED BALANCE SHEETS - CONTINUED JUNE 30, DECEMBER 31, 1999 1998 ------------- ------------ Commitments and contingencies (note 6) Minority interest. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 54,418 54,574 ---------- ---------- SHAREHOLDERS' EQUITY: Series A Cumulative Convertible Preferred shares of beneficial interest, $0.01 par value, 1,500,000 authorized, 1,200,000 issued and 850,000 and 1,100,000 outstanding, respectively (aggregate liquidation preference of $17,156 and $22,200, respectively). . . . . . . . . . . . . . . 9 11 Series B Cumulative Convertible Preferred shares of beneficial interest, $0.01 par value, 3,125,000 authorized, issued and outstanding (aggregate liquidation preference of $76,406) . . . . . . . . . . . . . . . . 31 31 Shares of beneficial interest, $0.01 par value, 145,375,000 authorized, 16,980,002 and 16,655,155 common shares issued and outstanding, respectively. . . . . . . . . . . . . . . . . . . . . . . . 169 167 Additional paid-in capital . . . . . . . . . . . . . . . . . . . . . . . . . . 421,643 420,303 Employees' and Trustees' notes . . . . . . . . . . . . . . . . . . . . . . . . (10,684) (10,668) Dividends paid in excess of earnings . . . . . . . . . . . . . . . . . . . . . (69,450) (66,990) ---------- ---------- Total shareholders' equity . . . . . . . . . . . . . . . . . . . . . 341,718 342,854 ---------- ---------- Total liabilities and shareholders' equity . . . . . . . . . . . . . $ 795,832 785,592 ========== ========== See accompanying notes to consolidated financial statements.
AMLI RESIDENTIAL PROPERTIES TRUST CONSOLIDATED STATEMENTS OF OPERATIONS THREE AND SIX MONTHS ENDED JUNE 30, 1999 AND 1998 (UNAUDITED) (Dollars in thousands, except share data)
THREE MONTHS ENDED SIX MONTHS ENDED JUNE 30 JUNE 30 -------------------------- -------------------------- 1999 1998 1999 1998 ----------- ---------- ----------- ---------- Revenues: Property: Rental . . . . . . . . . . . . . . . . . . . . . $ 27,281 25,204 53,976 49,342 Other. . . . . . . . . . . . . . . . . . . . . . 1,757 1,456 3,326 2,748 Interest and share of income from Service Companies. . . . . . . . . . . . . . . . 1,037 630 1,676 1,059 Other interest . . . . . . . . . . . . . . . . . . 365 223 692 414 Income from partnerships . . . . . . . . . . . . . 923 499 1,673 823 Other. . . . . . . . . . . . . . . . . . . . . . . 1,317 1,297 1,790 1,585 -------- -------- -------- -------- Total revenues . . . . . . . . . . . . . . 32,680 29,309 63,133 55,971 -------- -------- -------- -------- Expenses: Personnel. . . . . . . . . . . . . . . . . . . . . 2,700 2,529 5,343 4,846 Advertising and promotion. . . . . . . . . . . . . 651 796 1,270 1,504 Utilities. . . . . . . . . . . . . . . . . . . . . 906 1,059 1,928 2,144 Building repairs and maintenance and services. . . 1,552 1,490 2,844 2,745 Landscaping and grounds maintenance. . . . . . . . 665 648 1,259 1,090 Real estate taxes. . . . . . . . . . . . . . . . . 3,508 3,274 6,928 6,454 Insurance. . . . . . . . . . . . . . . . . . . . . 221 251 421 472 Property management fees . . . . . . . . . . . . . 727 667 1,434 1,305 Other operating expenses . . . . . . . . . . . . . 365 387 630 731 Interest . . . . . . . . . . . . . . . . . . . . . 5,625 4,800 10,941 9,738 Amortization of deferred costs . . . . . . . . . . 97 118 208 248 Depreciation . . . . . . . . . . . . . . . . . . . 4,394 4,488 9,184 8,779 General and administrative . . . . . . . . . . . . 948 1,112 1,994 1,966 -------- -------- -------- -------- Total expenses . . . . . . . . . . . . . . 22,359 21,619 44,384 42,022 -------- -------- -------- -------- AMLI RESIDENTIAL PROPERTIES TRUST CONSOLIDATED STATEMENTS OF OPERATIONS - CONTINUED THREE MONTHS ENDED SIX MONTHS ENDED JUNE 30 JUNE 30 -------------------------- -------------------------- 1999 1998 1999 1998 ----------- ---------- ----------- ---------- Income before nonrecurring gains and minority interest. . . . . . . . . . . . . . . . . 10,321 7,690 18,749 13,949 Gain on sale of land . . . . . . . . . . . . . . . . 281 -- 281 -- -------- -------- -------- -------- Income before minority interest. . . . . . . . . . . 10,602 7,690 19,030 13,949 Minority interest. . . . . . . . . . . . . . . . . . 1,513 1,109 2,661 2,042 -------- -------- -------- -------- Net income . . . . . . . . . . . . . . . . 9,089 6,581 16,369 11,907 Less income attributable to preferred shares . . . . 1,789 958 3,662 1,562 -------- -------- -------- -------- Net income attributable to common shares . $ 7,300 5,623 12,707 10,345 ======== ======== ======== ======== Net income per common share (basic and diluted). . . $ .43 .34 .75 .62 ======== ======== ======== ======== Dividends declared and paid per common share . . . . $ .45 .44 .90 .88 ======== ======== ======== ======== See accompanying notes to consolidated financial statements.
AMLI RESIDENTIAL PROPERTIES TRUST CONSOLIDATED STATEMENTS OF SHAREHOLDERS' EQUITY SIX MONTHS ENDED JUNE 30, 1999 (Dollars in thousands)
SHARES OF EMPLOYEES' DIVIDENDS BENEFICIAL INTEREST ADDITIONAL AND PAID -------------------- PAID-IN TRUSTEES' IN EXCESS SHARES AMOUNT CAPITAL NOTES OF EARNINGS TOTAL ------- ------ ---------- --------- ----------- --------- Balance at December 31, 1998 . . . . . 20,880,155 $209 420,303 (10,668) (66,990) 342,854 Shares issued in connection with: Executive Share Purchase Plan . . . . 23,466 -- 483 -- -- 483 Employees' and Trustees' notes, net . . -- -- -- (16) -- (16) Units converted to shares. . . . . . . . 51,381 -- 786 -- -- 786 Reallocation of minority interest. . . . -- -- 71 -- -- 71 Dividends paid in excess of earnings . . . -- - -- -- (2,460) (2,460) ---------- ---- ------- ------- ------- ------- Balance at June 30, 1999. . . . . . . 20,955,002 $209 421,643 (10,684) (69,450) 341,718 ========== ==== ======= ======= ======= ======= See accompanying notes to consolidated financial statements.
AMLI RESIDENTIAL PROPERTIES TRUST CONSOLIDATED STATEMENTS OF CASH FLOWS SIX MONTHS ENDED JUNE 30, 1999 AND 1998 (UNAUDITED) (Dollars in thousands)
1999 1998 -------- -------- Cash flows from operating activities: Net income . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 16,369 11,907 Adjustments to reconcile net income to net cash provided by operating activities: Depreciation and amortization. . . . . . . . . . . . . . . . . . . . . . . . 9,392 9,027 Income from partnerships . . . . . . . . . . . . . . . . . . . . . . . . . . (1,673) (823) Loss from Service Companies. . . . . . . . . . . . . . . . . . . . . . . . . 426 93 Gain on sale of land . . . . . . . . . . . . . . . . . . . . . . . . . . . . (281) -- Minority interest. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2,661 2,042 Changes in assets and liabilities: Increase in deferred costs . . . . . . . . . . . . . . . . . . . . . . . . . (144) (211) (Increase) decrease in security deposits . . . . . . . . . . . . . . . . . . (134) 42 Decrease (increase) in other assets. . . . . . . . . . . . . . . . . . . . . 756 (1,735) Decrease in accrued real estate taxes and interest payable . . . . . . . . . (1,471) (1,442) (Decrease) increase in tenant security deposits and prepaid rents. . . . . . (102) 270 Decrease in other liabilities. . . . . . . . . . . . . . . . . . . . . . . . (250) (917) -------- ------- Net cash provided by operating activities. . . . . . . . . . . . . . . . 25,549 18,253 -------- ------- Cash flows from investing activities: Net cash proceeds from sale of land. . . . . . . . . . . . . . . . . . . . . . . 1,451 -- Investments in partnerships. . . . . . . . . . . . . . . . . . . . . . . . . . . (5,999) 73 Cash distributions from partnerships . . . . . . . . . . . . . . . . . . . . . . 3,093 2,212 Advances to affiliates . . . . . . . . . . . . . . . . . . . . . . . . . . . . . (11,816) (3,794) Earnest money deposits . . . . . . . . . . . . . . . . . . . . . . . . . . . . . (435) 253 Acquisition properties . . . . . . . . . . . . . . . . . . . . . . . . . . . . . (359) (1,853) Capital expenditures - rehab properties. . . . . . . . . . . . . . . . . . . . . (2,047) -- Capital expenditures - other properties. . . . . . . . . . . . . . . . . . . . . (2,306) (19,139) Properties under development, net of co-investors' share of costs. . . . . . . . (2,878) (28,380) Decrease in construction costs payable . . . . . . . . . . . . . . . . . . . . . (1,401) (5,240) -------- ------- Net cash used in investing activities. . . . . . . . . . . . . . . . . . (22,697) (55,868) -------- ------- AMLI RESIDENTIAL PROPERTIES TRUST CONSOLIDATED STATEMENTS OF CASH FLOWS - CONTINUED 1999 1998 -------- -------- Cash flows from financing activities: Debt proceeds, net of financing costs. . . . . . . . . . . . . . . . . . . . . . 120,784 128,097 Debt repayments. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . (105,834) (124,327) Proceeds from shares offering, net of issuance costs . . . . . . . . . . . . . . -- 49,513 Proceeds from issuance of Executive Share Purchase Plan shares, net of Employees' and Trustees' notes. . . . . . . . . . . . . . . . . . . . . 450 355 Distributions to partners. . . . . . . . . . . . . . . . . . . . . . . . . . . . (3,186) (2,884) Dividends paid . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . (18,829) (15,695) -------- ------- Net cash (used in) provided by financing activities. . . . . . . . . . . (6,615) 35,059 -------- ------- Net decrease in cash and cash equivalents. . . . . . . . . . . . . . . . . . . . . (3,763) (2,556) Cash and cash equivalents at beginning of period . . . . . . . . . . . . . . . . . 4,546 5,676 -------- ------- Cash and cash equivalents at end of period . . . . . . . . . . . . . . . . . . . . $ 783 3,120 ======== ======= Supplemental disclosure of cash flow information: Cash paid for mortgage and other interest, net of amounts capitalized. . . . . . $ 10,786 9,768 ======== ======== See accompanying notes to consolidated financial statements.
AMLI RESIDENTIAL PROPERTIES TRUST NOTES TO CONSOLIDATED FINANCIAL STATEMENTS JUNE 30, 1999 AND 1998 (Unaudited) (Dollars in thousands, except share data) 1. ORGANIZATION AND BASIS OF PRESENTATION Organization AMLI Residential Properties Trust (the "Company") commenced operations upon the completion of its initial public offering on February 15, 1994. In the opinion of management, all adjustments, which include only normal recurring adjustments necessary to present fairly the financial position at June 30, 1999 and December 31, 1998 and the results of operations and cash flows for the periods presented, have been made. Certain information and note disclosures normally included in the Company's annual financial statements prepared in accordance with generally accepted accounting principles have been condensed or omitted. These consolidated financial statements should be read in conjunction with the financial statements and notes thereto included in the Company's December 31, 1998 Annual Report on Form 10-K filed with the Securities and Exchange Commission. The results for the six months ended June 30, 1999 are not necessarily indicative of expected results for the entire year. The consolidated financial statements include the accounts of the Company and AMLI Residential Properties, L. P. (the "Operating Partnership" which holds the operating assets of the Company). The Company is the sole general partner and owned an 85% majority interest in the Operating Partnership at June 30, 1999. The limited partners hold Operating Partnership units ("OP Units") which are convertible into shares of the Company on a one-for-one basis, subject to certain limitations. The Company's management has made a number of estimates and assumptions relating to the reporting of assets and liabilities, disclosure of contingent assets and liabilities and the reported amounts of revenues and expenses during the report periods to prepare these financial statements in conformity with generally accepted accounting principles. Actual amounts realized or paid could differ from these estimates. 2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Real Estate Assets In September 1998, AMLI initiated its first community rehab since its initial public offering by commencing the rehab of AMLI at Riverbend in Indianapolis, Indiana. In addition, three other properties, AMLI at Spring Creek in Atlanta, Georgia; AMLI at Valley Ranch in Irving, Texas; and AMLI at North Dallas in Dallas, Texas, have begun rehab programs in 1999. A rehab is a capital improvement program involving significant repairs, replacements and improvements at an aggregate cost of at least the greater of $3,000 per apartment home or 5% of the value of the entire apartment community. All costs (except costs to routinely paint the interiors of units at turnover) associated with a rehab will be capitalized and depreciated over their policy lives. The Company has incurred rehab costs of $2,047 and $472 during the six months ended June 30, 1999 and twelve months ended December 31, 1998. AMLI RESIDENTIAL PROPERTIES TRUST NOTES TO CONSOLIDATED FINANCIAL STATEMENTS - CONTINUED Rental Properties Held for Sale Six Months Ended June 30, 1999 --------------------- Anticipated Carrying Operating Disposition Property Cost Revenue Income Date - -------- -------- ------- --------- ------------ AMLI at: Scope Creek $19,783 2,915 1,944 4th Qtr, 1999 Crown Colony 9,156 779 515 4th Qtr, 1999 Sherwood 12,373 1,147 767 4th Qtr, 1999 ------- ------ ------ $41,312 4,841 3,226 ======= ====== ====== Properties Under Development Land being planned for development and all apartment homes in a new community or new phase are reported as "property under development" until the entire community or new phase is substantially complete and stabilized (generally 95% occupancy). Upon stabilization, all apartment homes in the community or new phase are reported as "Rental apartments". Regardless of whether or not 95% occupancy is achieved, a community or new phase will be reported as "Rental apartments" no later than six months following substantial completion of construction. At June 30, 1999, the Company's properties under development include parcels of land in the development planning stage on which physical construction will commence later this year or in 2000. Properties under development are as follows: AMLI RESIDENTIAL PROPERTIES TRUST NOTES TO CONSOLIDATED FINANCIAL STATEMENTS - CONTINUED
NUMBER NUMBER TOTAL OF OF EXPENDED COMMUNITY LOCATION ACRES UNITS THRU 6/30/99 - --------- -------- ------ ------ ------------ Wholly-Owned: Development Communities: AMLI: at Bent Tree II Dallas, TX 10 200 $ 3,933 at Killian Creek Gwinnett County, GA 22 216 13,323 --- ----- -------- Total Development Communities 32 416 17,256 --- ----- -------- Land Held for Future Development: AMLI: at Champions II (1) Houston, TX 14 288 2,484 at Kings Harbor (1) Houston, TX 15 300 2,275 at Mesa Ridge (1) Ft. Worth, TX 27 520 3,964 at Fossil Lake Ft. Worth, TX 19 324 2,963 at Vista Ridge City of Lewisville, TX 15 300 2,681 at Prairie Lakes I Noblesville, IN 17 228 887 at Prairie Lakes II-IV Noblesville, IN 103 1,100 4,373 at Summit Ridge (1) Summit, MO 24 410 1,914 at Cambridge Square (1) Overland Park, KS 48 486 3,355 --- ----- -------- Total Land Held for Future Development 282 3,956 24,896 --- ----- -------- Total Wholly-Owned 314 4,372 42,152 --- ----- -------- AMLI RESIDENTIAL PROPERTIES TRUST NOTES TO CONSOLIDATED FINANCIAL STATEMENTS - CONTINUED NUMBER NUMBER TOTAL OF OF EXPENDED COMMUNITY LOCATION ACRES UNITS THRU 6/30/99 - --------- -------- ------ ------ ------------ Co-Investments (Company Ownership Percentage): Development Communities: AMLI: at Northwinds (35%) (3) Atlanta, GA 80 800 51,825 at Park Bridge (25%) Atlanta, GA 35 352 4,567 at Lost Mountain (55%) Paulding County, GA 17 164 1,824 at Deerfield (25%) (3) Plano, TX 18 240 16,001 at Monterey Oaks (25%) Austin, TX 26 430 7,655 at Oakhurst North (25%) (3) Aurora, IL 29 464 42,631 at St. Charles (25%) St. Charles, IL 25 400 20,203 Creekside (25%) Overland Park, KS 12 224 5,657 at Wynnewood Farms (25%) Overland Park, KS 20 232 5,825 at Regents Crest II (25%) Overland Park, KS 6 108 3,257 at Castle Creek (40%) Indianapolis, IN 16 276 7,508 at Lake Clearwater (25%) Indianapolis, IN 11 216 8,472 --- ----- -------- Total Development Communities (2) 295 3,906 175,425 --- ----- -------- Land Held for Future Development: AMLI: at Mill Creek (25%) Gwinnett County, GA 33 400 4,846 --- ----- -------- Total Land Held for Future Development 33 400 4,846 --- ----- -------- Total Co-Investments 328 4,306 180,271 --- ----- -------- Total Wholly-Owned and Co-Investments 642 8,678 222,423 === ===== ======== (1) It is the Company's intention to develop these land parcels in partnership with one or more institutional investors. (2) Excludes AMLI at Spring Mill, a 400 unit community located in Hamilton County, Indiana, in which a 20% residual interest was acquired for $1,243 on June 16, 1999. Completed at a cost of $29,477, this property is 80% leased at June 30, 1999 and is anticipated to be substantially leased later in 1999. (3) These properties are substantially complete at June 30, 1999 and are anticipated to be substantially leased late in 1999.
AMLI RESIDENTIAL PROPERTIES TRUST NOTES TO CONSOLIDATED FINANCIAL STATEMENTS - CONTINUED Interest Rate Limitation Contracts The Company has used interest rate caps and swaps to limit its exposure to increases in interest rates on its floating rate debt. The Company does not use them for trading purposes. At June 30, 1999, the Company was a party to four interest rate swap agreements which require the Company to pay to or receive from counterparties on a monthly basis the amounts, if any, by which the Company's interest costs on the fixed rate basis differs from the interest payments required on certain floating rate debt. The Company is exposed to credit losses in the event of nonperformance by the counterparties to its interest rate swaps. The Company does not obtain collateral or other security to support financial instruments subject to credit risk but monitors the credit standing of counterparties. The company anticipates, however, that the counterparties will be able to fully satisfy their obligations under the contracts. The following summarizes certain information pursuant to interest rate limitation and swap contracts at June 30, 1999. AMLI RESIDENTIAL PROPERTIES TRUST NOTES TO CONSOLIDATED FINANCIAL STATEMENTS - CONTINUED
Type Remaining Cumulative Approximate Notional Fixed of Contract Cash Value of Amount Rate(1) Contract Maturity Paid Liability(2) - -------- ------- -------- --------- ---------- ------------- $10,000 6.216% Swap 11/01/02 $122 66 10,000 6.029% Swap 11/01/02 92 9 20,000 6.145% Swap 02/15/03 205 81 10,000 6.070% Swap 02/18/03 92 16 ---- ----- $511 172 ==== ===== (1) The fixed rate for the swaps includes the swap spread (the risk component added to the Treasury yield to determine a fixed rate) and excludes lender's spread. (2) "Value of Liability" represents the approximate amount which would have to be paid as of June 30, 1999 to terminate these contracts. This amount is not recorded as a liability in the accompanying balance sheet as of June 30, 1999. (3) Statement of Financial Accounting Standards No. 133, "Accounting for Derivative Instruments and Hedging Activities," becomes effective for all fiscal quarters for fiscal years beginning after June 15, 2000 and is not expected to have a material impact on the Company's financial statements.
AMLI RESIDENTIAL PROPERTIES TRUST NOTES TO CONSOLIDATED FINANCIAL STATEMENTS - CONTINUED PER SHARE DATA In accordance with Statement of Financial Accounting Standards No. 128, "Earnings Per Share," basic EPS is computed by dividing income available to common shareholders by the weighted average number of common shares outstanding for the period. Diluted EPS reflects the potential dilution that could occur if securities or other contracts to issue common stock were exercised or converted into common stock or resulted in the issuance of common stock that then shared in the earnings of the entity. A reconciliation of the numerator and denominator of the basic EPS computation to the numerator and denominator of the diluted EPS computation is as follows:
Three Months Ended Six Months Ended June 30, June 30, ------------------------- ------------------------- 1999 1998 1999 1998 ---------- ----------- ---------- ---------- Net income . . . . . . . . . . . . . . . . . $ 9,089 6,581 16,369 11,907 Less income attributable to preferred shares . . . . . . . . . . . . . (1,789) (958) (3,662) (1,562) ---------- ---------- ---------- ---------- Net income attributable to common shares. . . . . . . . . . . . . . . $ 7,300 5,623 12,707 10,345 ========== ========== ========== ========== Weighted average common shares - Basic . . . 16,975,558 16,619,783 16,858,332 16,605,921 Dilutive Options and Other Plan shares . . . 77,053 73,154 57,760 83,616 Weighted average common shares - Dilutive . . . . . . . . . . . . . . . . 17,052,611 16,692,937 16,916,092 16,689,537 ========== ========== ========== ========== Net income per common share: Basic. . . . . . . . . . . . . . . . . . $ .43 .34 .75 .62 Diluted. . . . . . . . . . . . . . . . . $ .43 .34 .75 .62 ========== ========== ========== ==========
AMLI RESIDENTIAL PROPERTIES TRUST NOTES TO CONSOLIDATED FINANCIAL STATEMENTS - CONTINUED 3. INVESTMENTS IN PARTNERSHIPS AND SERVICE COMPANIES INVESTMENTS IN PARTNERSHIPS At June 30, 1999, the Operating Partnership is a general partner in various co-investment partnerships and in the GP Properties (AMLI at Prairie Court in Oak Park, Illinois and AMLI at Towne Creek in Gainesville, Georgia) which are accounted for using the equity method. The Operating Partnership and the Service Companies receive various fees for services provided to these co-investment partnerships, including development fees, construction fees, acquisition fees, property management fees, asset management fees, financing fees, administrative fees and disposition fees. The Operating Partnership is entitled to shares of cash flow or liquidation proceeds in excess of its stated ownership percentages, in most cases based on returns to its partners in excess of specified rates. The Operating Partnership has received cash flow and has recorded income in excess of its ownership percentages of $276 and $97 for the six months ended June 30, 1999 and 1998, respectively. Investments in partnerships at June 30, 1999 and the Company's 1999 share of income or loss from each are summarized as follows: AMLI RESIDENTIAL PROPERTIES TRUST NOTES TO CONSOLIDATED FINANCIAL STATEMENTS - CONTINUED
Equity Total Company's Company's Company's ---------------- Company's Net Share of Share of Percentage Total Company's Investment Income Net Income Deprecia- Community Ownership Assets Total Share (1) (1) (Loss) (Loss) tion - --------- ---------- ------- ----- --------- ---------- ----- ---------- ---------- AMLI: at Park Place 25% $19,227 6,509 1,627 1,593 306 77 68 at Greenwood Forest 15% 16,366 4,459 669 651 12 2 36 at Champions Park 15% 11,987 2,924 439 439 18 3 26 at Champions Centre 15% 9,192 2,339 351 351 (7) (1) 21 at Windbrooke 15% 16,529 4,557 684 684 94 14 38 at Willeo Creek 30% 14,377 4,449 1,335 1,335 127 38 77 at Pleasant Hill 40% 25,567 9,960 4,194 3,755 371 148 165 at Barrett Lakes 35% 26,150 9,093 3,182 3,292 289 101 159 at Chevy Chase 33% 43,233 13,219 4,352 4,352 649 214 211 at Willowbrook 40% 35,886 11,061 4,424 4,337 490 196 229 at River Park 40% 14,727 5,505 2,202 2,157 234 93 87 at Fox Valley 25% 23,978 23,436 5,859 6,049 605 151 93 at Fossil Creek 25% 20,989 20,581 5,145 5,239 737 184 90 at Danada Farms 10% 46,886 21,038 2,104 2,094 620 62 67 at Verandah 35% 23,839 6,329 2,238 2,297 (56) 20 193 at Northwinds 35% 51,798 20,761 7,280 7,090 424 149 248 at Regents Crest 25% 28,204 11,397 2,857 2,892 245 112 85 at Oakhurst North 25% 44,150 41,518 10,380 10,373 34 9 143 at Wells Branch 25% 34,431 33,669 8,417 7,834 526 131 134 on the Parkway 25% 16,244 5,217 1,304 986 28 7 88 on Timberglen 40% 11,069 4,157 1,667 251 (20) 12 92 at Castle Creek 40% 7,519 6,341 2,536 2,547 (5) (2) -- at Lake Clear- water 25% 8,479 6,928 1,732 1,739 (3) (1) -- Creekside 25% 5,663 4,718 1,179 1,203 -- -- -- at Deerfield 25% 15,960 5,971 1,493 1,326 (109) (27) 26 at Wynnewood Farms 25% 5,869 4,396 1,099 1,058 -- -- -- AMLI RESIDENTIAL PROPERTIES TRUST NOTES TO CONSOLIDATED FINANCIAL STATEMENTS - CONTINUED Equity Total Company's Company's Company's ---------------- Company's Net Share of Share of Percentage Total Company's Investment Income Net Income Deprecia- Community Ownership Assets Total Share (1) (1) (Loss) (Loss) tion - --------- ---------- ------- ----- --------- ---------- ----- ---------- ---------- at Monterey Oaks 25% 7,655 7,095 1,774 1,723 -- -- -- at St. Charles 25% 20,203 16,318 4,079 3,944 -- -- -- at Park Bridge 25% 4,579 4,333 1,083 1,057 -- -- -- at Mill Creek 25% 4,846 4,682 1,171 1,140 -- -- -- at Lost Mountain 25% 2,436 296 296 296 -- -- -- at Spring Mill 20% 29,738 29,530 -- 1,243 53 -- -- (Residual) -------- ------- ------ ------ ----- ----- ------ $647,776 352,786 87,152 85,327 5,662 1,692 2,376 ======== ======= ====== ====== ===== ====== GP Properties and other (19) ----- 1,673 =====
AMLI RESIDENTIAL PROPERTIES TRUST NOTES TO CONSOLIDATED FINANCIAL STATEMENTS - CONTINUED (1) The Company's investment in partnerships differs from the Company's share of co-investment partnerships' equity primarily due to capitalized interest on its investments in properties under development and the elimination of the Company's share of development fee income. These items are amortized over 40 years using the straight-line method. The Company's original investment in the co-investment partnerships totals $95,676 at June 30, 1999. All but one debt financing has been obtained at fixed rate from various insurance companies on behalf of these co-investment partnerships. AMLI at Deerfield's financing is a variable rate note payable to AMLI. The following summarizes co-investment debt at June 30, 1999: Total Outstanding Interest Community Commitment at 6/30/99 Rate Maturity - --------- ---------- ----------- -------- -------- AMLI: at Park Place $13,000 12,102 8.21% October 1999 at Deerfield 11,370 8,976 L+1.5% December 1999 at Champions Centre 6,700 6,555 8.93% January 2002 at Champions Park 9,500 8,773 7.26% January 2002 at Windbrooke 11,500 11,364 9.24% February 2002 at Greenwood Forest 11,625 11,508 8.95% May 2002 at Chevy Chase 29,767 28,688 6.67% April 2003 at Willeo Creek 10,000 9,657 6.77% May 2003 at Willowbrook 24,500 23,779 7.785% May 2003 at Regents Crest 16,500 15,880 7.50% December 2003 at Verandah 16,940 16,902 7.55% April 2004 on Timberglen 6,770 6,677 7.70% June 2004 at Danada Farms 24,500 24,443 7.33% March 2007 at Pleasant Hill 15,500 15,079 9.15% March 2007 at River Park 9,100 8,928 7.75% June 2008 on the Parkway 10,800 10,728 6.75% January 2009 at Barrett Lakes 16,680 16,579 8.50% December 2009 at Northwinds 33,800 26,883 8.25% October 2010 at Lost Mountain 10,252 1,572 6.84% November 2040 In general, these loans provide for monthly payments of principal and interest based on a 25 or 27 year amortization schedule and a balloon payment at maturity. Loans against newly-completed properties provide for payments of interest only for an initial period, with principal amortization commencing generally within two years of completion of construction and initial lease-up. Investments in Service Companies Summarized combined financial information of the Service Companies at and for the six months ended June 30, 1999 and 1998 follows: 1999 1998 ------- ------- Income (1) $ 8,138 6,738 General and adminis- trative expenses (5,863) (4,629) ------- ------- EBITDA 2,275 2,109 AMLI RESIDENTIAL PROPERTIES TRUST NOTES TO CONSOLIDATED FINANCIAL STATEMENTS - CONTINUED 1999 1998 ------- ------- Interest (1,639) (873) Depreciation (2) (737) (585) Income taxes 20 (269) ------- ------- Net income (loss) (3) $ (81) 382 ======= ======= Total assets $43,772 31,533 ======= ======= (1) Net of construction and landscaping costs. (2) Includes $334 in amortization of goodwill each year. (3) Includes $171 after-tax gain from sale of land. Substantially all interest expense of the Service Companies results from notes payable to the Company at interest rates ranging from 9.5% to 13.0%. Interest and share of income from Service Companies as included in the accompanying Consolidated Statements of Operations is reconciled below: June 30, ------------------ 1999 1998 ------- ------ Intercompany interest expensed . . . . . . . $ 1,639 1,123 Intercompany interest capitalized. . . . . . 463 28 Net income (loss). . . . . . . . . . . . . . (81) 382 Intercompany eliminations and minority interests . . . . . . . . . . . . (345) (474) ------- ------ $ 1,676 1,059 ======= ====== 4. RELATED PARTY TRANSACTIONS During the six months ended June 30, 1999 and 1998, the Company accrued or paid to its affiliates fees and other costs and expenses as follows: 1999 1998 ------ ----- Management fees $1,434 1,305 General contractor fees 162 827 Interest expense 274 287 Landscaping and grounds maintenance 428 335 ====== ===== In addition, at June 30, 1999 and December 31, 1998, the Company owed Amrescon $566 and $1,967, respectively, for construction costs of communities under development. AMLI RESIDENTIAL PROPERTIES TRUST NOTES TO CONSOLIDATED FINANCIAL STATEMENTS - CONTINUED During the six months ended June 30, 1999 and 1998, the Company earned or received from its affiliates other income as follows: 1999 1998 ------ ------ Development fees $1,479 1,206 Asset management fees 302 302 Accounting and administrative fees 9 77 Interest on advances to other affiliates 212 25 Interest on notes and advances to Service Companies 2,102 1,151 ===== ===== In addition, during the six months ended June 30, 1999 and 1998, total revenues of $1,395 and $968, respectively, were generated from leases to AMLI Corporate Homes ("ACH"), a division of one of the Service Companies. At June 30, 1999 and December 31, 1998, $26 and $22 were due from ACH, respectively. AMLI RESIDENTIAL PROPERTIES TRUST NOTES TO CONSOLIDATED FINANCIAL STATEMENTS - CONTINUED 5. DEBT The table below summarizes certain information relating to the indebtedness of the Company.
Balance Balance Original at Interest Maturity at Encumbered Communities Amount 6/30/99 Rate Date 12/31/98 - ---------------------- -------- -------- -------- -------- -------- BOND FINANCING: Tax-Exempt Unsecured (1) $ 40,750 40,750 Rate+1.23% 10/1/24 40,750 Tax-Exempt AMLI at Poplar Creek 9,500 9,500 Rate+1.15% 2/1/24 9,500 -------- ------- ------- Total Bonds 50,250 50,250 50,250 -------- ------- ------- MORTGAGE NOTES PAYABLE TO FINANCIAL INSTITUTIONS: AMLI at Conner Farms 13,275 12,621 7.00% 6/15/03 12,739 AMLI at Sherwood 7,320 6,518 7.75% 7/1/03 6,621 AMLI at Riverbend 31,000 29,582 7.30% 7/1/03 29,847 AMLI in Great Hills 11,000 10,500 7.34% 7/1/03 10,593 AMLI at Valley Ranch 11,500 10,352 7.625% 7/10/03 10,470 AMLI at Nantucket 7,735 7,629 7.70% 6/1/04 7,683 AMLI at Bishop's Gate 15,380 14,939 (2) 8/1/05 15,072 AMLI at Regents Center 20,100 19,557 (3) 9/1/05 19,649 AMLI on the Green (4) AMLI of North Dallas (4) 43,234 41,456 7.789% 5/1/06 41,778 AMLI at Clairmont 12,880 12,880 6.95% 2/15/08 12,880 -------- ------- -------- Total Mortgage Notes Payable 173,424 166,034(5) 167,332 -------- ------- -------- AMLI RESIDENTIAL PROPERTIES TRUST NOTES TO CONSOLIDATED FINANCIAL STATEMENTS - CONTINUED Balance Balance Original at Interest Maturity at Encumbered Properties Amount 6/30/99 Rate Date 12/31/98 - --------------------- -------- -------- -------- -------- -------- OTHER NOTES PAYABLE: AMLI at Park Creek 10,322 10,286 7.875% 12/1/38 9,038 Unsecured line of credit (6)(7) 200,000 150,000 L+.90% 6/27/01 135,000 Note payable to Service Company 5,000 5,000 10.00% 1/1/03 5,000 Unsecured note payable to Service Company 750 750 4.00% Demand 750 -------- ------- --------- ------- ------- Total Other Notes Payable 216,072 166,036 149,788 -------- ------- ------- Total $439,746 382,320 367,370 ======== ======= ======= (1) The terms of these tax-exempt bonds require that a portion of the apartment units be leased to individuals who qualify based on income levels specified by the U.S. Government. The bonds bear interest at a variable rate that is adjusted weekly based upon the remarketing rate for these bonds (3.25% for AMLI at Spring Creek and 3.22% for AMLI at Poplar Creek at July 28, 1999). The credit enhancement for the AMLI at Spring Creek bonds was provided by a $41,297 letter of credit from Wachovia Bank which expires on October 15, 2002 and the credit enhancement for the AMLI at Poplar Creek bonds was provided by a $9,617 letter of credit from LaSalle National Bank that expires December 18, 2002. (2) This original $14,000 mortgage bears interest at 9.1%. For financial reporting purposes, it was valued at $15,380 to reflect a 7.25% market rate of interest when assumed in connection with the acquisition of AMLI at Bishop's Gate on October 17, 1997. (3) $13,800 at 8.73% and $6,300 at 9.23%. (4) These two properties secure the FNMA loan that was sold at a discount of $673. At June 30, 1999, the unamortized discount amount is $460. AMLI RESIDENTIAL PROPERTIES TRUST NOTES TO CONSOLIDATED FINANCIAL STATEMENTS - CONTINUED (5) All but $21,057 of the total is non-recourse to the partners of the Operating Partnership. (6) The Company has used interest rate swaps on $50,000 of the outstanding amount to fix its base interest rate (before current lender's spread) at an average of 6.12%. (7) The Company's $200,000 unsecured line of credit has been provided by a group of six banks led by Wachovia Bank, N.A. and Bank One, N.A. The credit agreement provides for annual one-year extensions and reductions in the interest rate based on the future credit rating the Company is able to obtain. In June 1998, the Company extended the maturity of the line of credit by one year to June 2001. This unsecured line of credit requires that the Company meet various covenants typical of such an arrangement, including minimum net worth, minimum debt service coverage and maximum debt to equity percentage. The unsecured line of credit is used for acquisition and development activities and working capital needs.
AMLI RESIDENTIAL PROPERTIES TRUST NOTES TO CONSOLIDATED FINANCIAL STATEMENTS - CONTINUED As of June 30, 1999, the scheduled maturities of the Company's debt are as follows:
FIXED RATE MORTGAGE NOTES NOTES PAYABLE UNSECURED PAYABLE TO BOND TO FINANCIAL LINES SERVICE FINANCINGS INSTITUTIONS OF CREDIT COMPANIES TOTAL ---------- ------------- --------- ----------- ---------- 1999 . . . . . . . . . . . . . . . . . . $ -- 1,366 -- 750 2,116 2000 . . . . . . . . . . . . . . . . . . -- 3,034 -- -- 3,034 2001 . . . . . . . . . . . . . . . . . . -- 3,281 150,000 -- 153,281 2002 . . . . . . . . . . . . . . . . . . 50,250 3,534 -- -- 53,784 2003 . . . . . . . . . . . . . . . . . . -- 65,785 -- 5,000 70,785 Thereafter . . . . . . . . . . . . . . . -- 99,320 -- -- 99,320 ------- ------- ------- ------- ------- $50,250 176,320 150,000 5,750 382,320 ======= ======= ======= ======= =======
AMLI RESIDENTIAL PROPERTIES TRUST NOTES TO CONSOLIDATED FINANCIAL STATEMENTS - CONTINUED 6. COMMITMENTS AND CONTINGENCIES The limited partnership Agreements of AMLI at Verandah L.P. and AMLI on Timberglen provide for the redemption (at an amount determined by formula) by the partnerships of the limited partner's entire interest, in their sole discretion, at any time after March 25, 2002 and December 16, 2003, or at any time that there is a designated event of default on related indebtedness of the partnerships, which event of default remains uncured and unwaived to the time of notice of redemption election. The redemption amount may be paid in cash or Company shares of beneficial interest, or any combination thereof, in the sole discretion of the Company. 7. SEGMENT REPORTING The revenues, net operating income, FFO and assets for the Company's reportable segment are summarized as follows: June 30, ------------------------- 1999 1998 ---------- ---------- Multifamily segment revenues (1) . . . . . . . . $ 97,394 81,563 ========== ========== Multifamily segment net operating income (1) . . . . . . . . . . . . . . . . . . $ 56,465 45,349 Reconciling items to FFO: Reduce co-investment net operating income to Company's share (2) . . . . . . . . (17,171) (12,061) Interest income and share of income (loss) from Service Companies. . . . . . . . 1,883 1,259 Other interest income. . . . . . . . . . . . . 692 414 Other revenues . . . . . . . . . . . . . . . . 1,790 1,585 General and administrative expenses. . . . . . (1,994) (1,966) Interest expense and loan cost amortization . . . . . . . . . . . . . . . . (11,149) (9,986) ---------- ---------- Consolidated FFO before minority interest . . . . . . . . . . . . . . . . . . . 30,516 24,594 ---------- ---------- Reconciling items to net income: Depreciation - wholly owned Properties . . . . . . . . . . . . . . . . . (9,184) (8,779) Depreciation - share of co-investment Properties . . . . . . . . . . (2,376) (1,666) Share of Service Company's goodwill amortization. . . . . . . . . . . . (207) (200) Gain on sale of land . . . . . . . . . . . . . 281 -- ---------- ---------- Income before minority interest and extraordinary items. . . . . . . . . . . . 19,030 13,949 Minority interest. . . . . . . . . . . . . . . . 2,661 2,042 ---------- ---------- Income before extraordinary items. . . . . . . . . . . . . . . . . . . . . $ 16,369 11,907 ========== ========== AMLI RESIDENTIAL PROPERTIES TRUST NOTES TO CONSOLIDATED FINANCIAL STATEMENTS - CONTINUED June 30, December 31, 1999 1998 ---------- ------------ Segment assets (1) (3) . . . . . . . . . . . . . $1,350,910 1,281,291 ========== ========== (1) Represents revenues from wholly owned and co-investment properties. (2) Represents amount required to reduce co-investment properties' net operating income to the Company's share of net operating income from partnerships. (3) Represents original acquisition costs of wholly owned and co- investment properties. The Company does not derive any of its consolidated revenues from foreign countries and does not have any major customers that individually account for 10% or more of the Company's consolidated revenues. ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS (DOLLARS IN THOUSANDS, EXCEPT SHARE DATA) The following discussion is based primarily on the consolidated financial statements of Amli Residential Properties Trust (the "Company") as of June 30, 1999 and December 31, 1998 and for the three and six months ended June 30, 1999 and 1998. This information should be read in conjunction with the accompanying unaudited consolidated financial statements and notes thereto. These financial statements include all adjustments which are, in the opinion of management, necessary to reflect a fair statement of the results for the interim periods presented, and all such adjustments are of a normal recurring nature. The Company commenced operations upon completion of its initial public offering in February 1994. On January 30, 1996, the Company issued 1,200,000 Series A convertible preferred shares for $20 per share, or $24,000, directly to four institutional investors and Amli Realty Co. ("ARC") in a registered offering. Through June 30, 1999, 350,000 Series A convertible preferred shares have been converted to common shares. In November 1996, the Company completed a public offering of 2,976,900 common shares. In July 1997, the Company closed on an offering of 1,694,700 common shares. In February 1998, the Company placed Series B 3,125,000 convertible preferred shares for $24 per share with Security Capital Preferred Growth Incorporated. The net proceeds of the issuance of the preferred shares and the public offerings were used to reduce the Company's debt and fund development costs. As of June 30, 1999, the Company owned an 85% general partnership interest in AMLI Residential Properties, L.P. (the "Operating Partnership"), which holds the operating assets of the Company. The limited partners hold Operating Partnership units ("OP Units") that are convertible into common shares of the Company on a one-for-one basis, subject to certain limitations. Through June 30, 1999, 287,737 OP Units have been converted to common shares. At June 30, 1999, the Company owned 20,955,002 OP Units and the limited partners owned 3,569,847 OP Units. The Company has qualified, and anticipates continuing to qualify, as a real estate investment trust ("REIT") for Federal income tax purposes. RESULTS OF OPERATIONS During the period from January 1, 1998 through June 30, 1999, growth from property revenues and property operating expenses resulted from increases at communities owned as of January 1, 1998, from communities acquired and from the newly-constructed communities since January 1, 1998. Since January 1, 1998, the Company has acquired a total of 1,102 units of four stabilized communities (AMLI at Clairmont, AMLI at Centennial Park, AMLI at Lexington Farms and AMLI at Eagle Creek) and developed and begun rental operations on 456 apartment homes of two new communities (AMLI at Park Creek and AMLI at Killian Creek). Property operations for the six months ended June 30, 1999 and 1998 are summarized as follows: Increase 1999 1998 (Decrease) ------- ------ --------- Total Property Revenues - ----------------------- Same Communities. . . . . . . . . $47,973 46,835 1,138 New Communities . . . . . . . . . 3,597 1,741 1,856 Development and/or Lease-up Communities. . . . . . . . . . . 516 153 363 Acquisition Communities . . . . . 5,214 1,232 3,982 Communities Contributed to Ventures/Sold . . . . . . . . 1 2,129 (2,128) ------- ------- ------- Total. . . . . . . . . . . . . $57,301 52,090 5,211 ======= ======= ======= Increase 1999 1998 (Decrease) ------- ------ --------- Total Property Operating Expenses - --------------------------------- Same Communities. . . . . . . . . $18,783 18,684 99 New Communities . . . . . . . . . 1,110 762 348 Development and/or Lease-up Communities. . . . . . . . . . . 328 92 236 Acquisition Communities . . . . . 1,825 425 1,400 Communities Contributed to Ventures/Sold . . . . . . . . 10 1,328 (1,318) ------- ------- ------- Total. . . . . . . . . . . . . $22,056 21,291 765 ======= ======= ======= Total Property Net Operating Income - ----------------------------------- Same Communities. . . . . . . . . $29,190 28,151 1,039 New Communities . . . . . . . . . 2,487 979 1,508 Development and/or Lease-up Communities. . . . . . . . . . . 188 61 127 Acquisition Communities. . . . . 3,389 807 2,582 Communities Contributed to Ventures/Sold . . . . . . . . (9) 801 (810) ------- ------- ------- Total. . . . . . . . . . . . . $35,245 30,799 4,446 ======= ======= ======= The term "New Communities" refers to completed properties owned since the beginning of the earliest period for which comparative financial information is presented. Property Net Operating Income is computed before interest, taxes, depreciation and amortization. This performance measure is not intended as a replacement for net income determined in accordance with generally accepted accounting principles ("GAAP"). In December 1998, the Company contributed AMLI on Timberglen, a 260- unit property, to a 40% owned partnership. In addition, the Company in joint venture with institutional investors, completed the development or has under development and begun rental operations of five new communities that contain a total of 2,320 apartment homes (AMLI at Northwinds, AMLI at Wells Branch, AMLI at Oakhurst North, AMLI on the Parkway and AMLI at Deerfield). Property operations for the six months ended June 30, 1999 and 1998 are summarized as follows: Increase 1999 1998 (Decrease) ------- ------- --------- Total Co-investment Property Revenues - ------------------------------------- Same Communities. . . . . . . . . $29,231 28,074 1,157 New Communities . . . . . . . . . 3,418 2,184 1,234 Development and/or Lease-up Communities. . . . . . . . . . . 7,692 814 6,878 Acquisition Communities . . . . . -- -- -- Communities Contributed to Ventures/Sold . . . . . . . . 938 -- 938 ------- ------- ------- Total. . . . . . . . . . . . . $41,279 31,072 10,207 ======= ======= ======= Company's share of co-invest- ment total revenues. . . . . . . $11,147 8,204 2,943 ======= ======= ======= AMLI RESIDENTIAL PROPERTIES TRUST COMPONENTS OF PROPERTY EBITDA - CONTINUED Increase 1999 1998 (Decrease) ------- ------- --------- Total Co-investment Property Operating Expenses - --------------------------- Same Communities. . . . . . . . . $11,098 11,075 23 New Communities . . . . . . . . . 1,346 1,228 118 Development and/or Lease-up Communities. . . . . . . . . . . 3,249 460 2,789 Acquisition Communities . . . . . -- -- -- Communities Contributed to Ventures/Sold . . . . . . . . 455 -- 455 ------- ------- ------- Total. . . . . . . . . . . . . $16,148 12,763 3,385 ======= ======= ======= Company's share of co-invest- ment property operating expenses . . . . . . . . . . . . $ 4,270 3,338 932 ======= ======= ======= Total Co-investment Property Net Operating Income - ---------------------------- Same Communities. . . . . . . . . $18,133 16,999 1,134 New Communities . . . . . . . . . 2,072 956 1,116 Development and/or Lease-up Communities. . . . . . . . . . . 4,443 354 4,089 Acquisition Communities. . . . . . . . . . . -- -- -- Communities Contributed to Ventures/Sold. . . . . . . . . . 483 -- 483 ------- ------- ------- Total. . . . . . . . . . . . . $25,131 18,309 6,822 ======= ======= ======= Company's share of co-invest- ment property EBITDA. . . . . . . $ 7,013 4,926 2,087 ======= ======= ======= For the six months ended June 30, 1999, net income attributable to common shares was $12,707 or $.75 per share on total revenues of $63,133. For the six months ended June 30, 1998, net income attributable to common shares was $10,345, or $.62 per share on total revenues of $55,971. On a "same community" basis, weighted average occupancy of the apartment homes owned wholly by the Company decreased slightly to 92.9% for the six months ended June 30, 1999 from 93.8% in the prior year. Weighted average collected rental rates increased by 2.6% to $727 from $708 per unit per month for the six months ended June 30, 1999 and 1998, respectively. Including Co-Investment Communities, weighted average occupancy of the Company's apartment homes decreased to 93.2% for the six months ended June 30, 1999 from 94.1% in the prior year, and weighted average collected rental rates increased by 3.0% to $762 from $740 per unit per month for the six months ended June 30, 1999 and 1998, respectively. COMPARISON OF SIX MONTHS ENDED JUNE 30, 1999 TO SIX MONTHS ENDED JUNE 30, 1998. Income before minority interest increased to $19,030 for the six months ended June 30, 1999 from $13,949 for the six months ended June 30, 1998. This increase was primarily attributable to a $7,162 increase in total revenues, reduced by a $766 increase in property operating expenses, a $1,203 increase in interest expense and a $405 increase in depreciation. Net income for the six months ended June 30, 1999 and 1998 was $16,369 and $11,907, respectively. Total property revenues increased by $5,212, or 9.1%. This increase in property revenues was primarily from the 1,102 apartment homes acquired during 1988. In addition, leasing commenced on 456 apartment homes developed by the Company during 1998. Furthermore, moderate increases in rental rates were achieved while managing and maintaining just below 95% average occupancy at the communities. Other property revenues include increases in revenues from garages and carport ($453), telephone and cable systems ($190) and other fees ($2,683) charged to residents. On the same community basis total property revenues increased by $1,138, or 2.4% and property operating income increased by $1,039, or 3.7%. Interest and share of income from Service Companies increased 58.3% to $1,676 from $1,059 as a result of additional advances to the Service Companies to fund the acquisition cost of non-residential land and the cost of computer hardware and software. Income from partnerships increased to $1,673 from $823, or 103.3%. This increase was a result of the contribution of a 260-unit apartment community into a co-investment partnership in 1998. In addition, five new co- investment partnerships have invested in five development communities, which has a total of 2,320 apartment homes that began rental operations in late 1998 and 1999. On the same community basis, the Company's share of total property revenue increased by $2,295 or 3.1% and share of property net operating income increased by $2,367 or 52.5%. Other income increased to $1,790 from $1,585, or 12.9% as a result of fees charged to newly formed co-investment partnerships that own properties under development. This increase includes a $273 increase in development fees. Other interest income increased by $278. This increase was from additional employee notes for purchase of the Company's shares, from increased short- term advances to co-investment partnerships, and from a gap loan to one co- investment partnership that is anticipated to be repaid by year end. Property operating expenses increased by $766, or 3.6%. This increase is principally due to the increase in the number of apartment homes through acquisition or development. On the same community basis, property operating expenses increased by $99 or .5%. Interest expense, net of the amounts capitalized, increased to $10,941 from $9,738 or 12.4%, primarily due to increased indebtedness incurred in conjunction with properties under development and investments in joint ventures. General and administrative expenses increased to $1,994 for the six months ended June 30, 1999 from $1,966 for the six months ended June 30, 1998. The increase is primarily attributable to increased compensation and compensation-related costs attributable to both additional employees and increased rates of compensation. LIQUIDITY AND CAPITAL RESOURCES At June 30, 1999, the Company had $783 in cash and cash equivalents and $50,000 in availability under its $200,000 unsecured line of credit. At June 30, 1999, seventeen of the Company's wholly-owned stabilized Communities were unencumbered. There are no other fixed rate loans on wholly-owned Communities with maturity dates prior to July 2003. Net cash flows provided by operating activities for the six months ended June 30, 1999 increased to $25,549 from $18,253 for the six months ended June 30, 1998. The increase is primarily due to an increase in property net operating income and an increase in other revenue, reduced by increases in interest expense and general and administrative expense. Cash flows used in investing activities for the six months ended June 30, 1999 deceased to $22,697 from $55,868 for the six months ended June 30, 1998. The decrease consisted primarily of reduced expenditures for acquisition and development costs and less working capital advances to the Service Companies. Net cash flows used in financing activities for the six months ended June 30, 1999 were $6,615, which reflect net proceeds of additional borrowings and dividend payments. In 1998, cash flows include net proceeds from preferred shares issued, net proceeds of borrowings and dividend payments. Funds from operations ("FFO") is defined as net income (computed in accordance with GAAP), excluding gains (losses) from debt restructuring and sales of property, 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 is widely accepted in measuring the performance of equity REITs. An understanding of the Company's FFO will enhance the reader's comprehension of the Company's results of operations and cash flows as presented in the financial statements and data included elsewhere herein. FFO should not be considered an alternative to net income or any other GAAP measurement as a measure of the results of the Company's operations, the Company's cash flows or liquidity. FFO for the six months ended June 30, 1999 and 1998 is summarized as follows: JUNE 30, ----------------------- 1999 1998 ------- ------- Net income before minority interest $19,030 13,949 Depreciation 9,184 8,779 Share of co-investment partner- ships' depreciation 2,376 1,666 Share of Service Company's goodwill amortization 207 200 Gain on sale of land (281) -- ------- ------ FFO $30,516 24,594 ======= ====== Weighted average shares and units including dilutive shares 24,539 21,730 ======= ====== FFO shown above is net of startup losses at newly-constructed communities. At some communities, the initial lease-up was so rapid that there were no startup losses. In the typical situation, startup losses will be recorded between the time the first apartment building is delivered from construction until occupancy levels are adequate to recover all costs and expenses (including interest but excluding depreciation). FFO, as shown above for the six months ended June 30, 1999 and 1998, is shown net of startup losses of $375 and $782, respectively. The startup losses for the six months ended June 30, 1999 are attributable to the initial lease-up of AMLI at Wells Branch, AMLI at Oakhurst North, AMLI at Killian Creek and AMLI at Deerfield. Additional amounts will be recorded in future quarters of 1999 as initial lease-up is completed or continued at these and other communities which will enter the lease-up period during 1999. The Company expects to pay quarterly dividends from cash available for distribution. Until distributed, funds available for distribution will be invested in short-term investment-grade securities or used to temporarily reduce outstanding balances on the Company's revolving lines of credit. The Company intends to finance the majority of its future development activities by co-investing these developments with institutional partners. The Company expects to meet its short-term liquidity requirements by using its working capital and any portion of net cash flow from operations not distributed currently. The Company is of the opinion that its future net cash flows will be adequate to meet operating requirements in both the short and the long term and provide for payment of dividends by the Company in accordance with REIT requirements. In order to qualify as a REIT, the Company is required to make distributions to its shareholders equal to 95% of its REIT taxable income. The Company's 1999 estimated dividend payment level equals an annual rate of $1.80 per common share. The Company anticipates that all dividends to be paid in 1999 will be fully taxable. The Company expects to meet certain long-term liquidity requirements such as scheduled debt maturities, repayment of loans for construction, development, and acquisition activities through the issuance of long-term secured and unsecured debt and additional equity securities of the Company (or OP Units). On July 20, 1995, the Company's shelf registration became effective. The registration statement provided for up to an aggregate of $200,000 of preferred shares, common shares and security warrants which the Company may issue from time to time. Through June 30, 1999, the Company has issued preferred and common shares for an aggregate issuance price of $128,467 leaving a balance of $71,533 in shares that the Company may issue in the future under the shelf registration statement. COMPANY INDEBTEDNESS The Company's debt as of June 30, 1999 includes $176,320 (46.1% of the total) which is secured by first mortgages on 12 of the wholly-owned communities and is summarized as follows: SUMMARY DEBT TABLE ------------------ Type of Weighted Average Outstanding Percent Indebtedness Interest Rate Balance of Total - ------------ ---------------- ----------- -------- Fixed Rate Mortgages 7.6% $176,320 46.1% Tax-Exempt Tax-Exempt Rate + 1.23% 50,250 13.2% Bonds (1) Tax-Exempt Rate + 1.15% Lines of Credit (2) LIBOR + 0.90% 150,000 39.2% Notes payable to Service Companies Various 5,750 1.5% -------- ----- Total $382,320 100.0% ======== ===== - -------------------- (1) The tax-exempt bonds bear interest at a variable tax-exempt rate that is adjusted weekly based on the re-marketing of these bonds (3.25% for AMLI at Spring Creek and 3.22% for AMLI at Poplar Creek at July 28, 1999). The AMLI at Spring Creek bonds mature on October 1, 2024 and the related credit enhancement expires on October 15, 2002. The AMLI at Poplar Creek bonds mature on February 1, 2024 and the related credit enhancement expires on December 18, 2002. (2) Amounts borrowed under lines of credit are due in 2001. The interest rate on $50,000 has been fixed pursuant to interest rate swap contracts. DEVELOPMENT ACTIVITIES At June 30, 1999, the Company has made capital contributions totalling $95,676 to its existing co-investment partnerships and anticipates funding substantially all of its remaining commitment of $40,259 during 1999 to complete the 4,706 apartment homes being developed by co-investment partnerships. Currently 416 apartment homes in two wholly-owned communities are under development. The Company expects to incur $10,844 in 1999 to complete construction of these communities. The Company owns land for the development of an additional 3,956 apartment homes in Ft. Worth and Houston, Texas; Noblesville, Indiana; Lees Summit, Missouri and Atlanta, Georgia. The Company has earnest money deposits of $1,576 for seven land parcels anticipated to be acquired in 1999 for future development. CAPITAL EXPENDITURES Capital expenditures are those made for assets having a useful life in excess of one year and include replacements (including carpeting and appliances) and betterments, such as unit upgrades, enclosed parking facilities and similar items. In conjunction with acquisitions of existing properties, it is the Company's policy to provide in its acquisition budgets adequate funds to complete any deferred maintenance items and to otherwise make the properties acquired competitive with comparable newly-constructed properties. In some cases, the Company will provide in its acquisition budget additional funds to upgrade or otherwise improve new acquisitions. REHAB EXPENDITURES In September 1998, AMLI initiated its first community rehab since its initial public offering. Rehab is a capital improvement program involving significant repairs, replacements and improvements at an aggregate cost of at least the greater of $3,000 per apartment home or 5% of the value of the entire apartment community. All costs (except costs to routinely paint the interiors of units at turnover) associated with a rehab will be capitalized and depreciated over their policy lives. AMLI's larger properties were built in phases, and the rehabs of these larger properties are anticipated to be done in phases, each extending over consecutive periods not exceeding 24 months. At June 30, 1999, four communities were under rehab and have incurred costs as follows: AMLI: at Riverbend $1,571 at Spring Creek 317 at North Dallas 446 at Valley Ranch 185 ------ $2,519 ====== INFLATION Virtually all apartment leases at the communities and co-investment communities are for six or twelve months' duration. This enables the Company to pass along inflationary increases in its operating expenses on a timely basis. Because the Company's property operating expenses (exclusive of depreciation and amortization) average approximately 38.5% of rental and other property revenue, increased inflation typically results in comparable increases in income before interest and general and administrative expenses, so long as rental market conditions allow increases in rental rates while maintaining stable occupancy. An increase in general price levels may immediately precede, or accompany, an increase in interest rates. The Company's exposure (including the Company's proportionate share of its co-investment partnerships' expense) to rising interest rates is mitigated by the existing debt level of approximately 41% of the Company's total market capitalization at June 30, 1999 (46% including the Company's share of co-investment partnerships' debt), the high percentage of intermediate term fixed rate debt (46% of total debt), and the use of interest rate swaps to effectively fix the interest rate on $20 million of floating rate debt through November 2002 and $30 million through February 2003 (13% of total debt). As a result, for the foreseeable future, increases in interest expense resulting from increasing inflation are anticipated to be less than future increases in income before interest and general and administrative expenses. YEAR 2000 READINESS The Chairman of the Securities and Exchange Commission has asked all public companies to provide thorough, meaningful disclosure regarding their Year 2000 readiness. This topic is getting increasing attention as January 1, 2000 gets closer. As is now widely understood, there is real potential for malfunction by computers and other equipment whose performance is dependent in part on microprocessors. The Company and the Service Companies have replaced all primary data processing systems within the last thirty months and believe the new systems are Year 2000 compliant. The Company has commenced testing of its data processing systems; most testing has been completed by June 30, 1999, and all testing is now anticipated to be complete by September 30, 1999. Little remedial action is anticipated. External consultants have been engaged by the Service Companies to assist these testing efforts and consult regarding remedial action. Total costs for using outside consultants in this effort is estimated at less than $100 of which $47 had been incurred at June 30, 1999. The Company has undertaken a review of other aspects of its operations that may be affected by the Year 2000 problem. In the currently expected worst case scenarios, either a computer program or software could malfunction, or mechanical operations, such as elevators, electronic locking or entry systems and HVAC systems, could malfunction. AMLI believes that each of these problems can be temporarily corrected manually, and repaired permanently in a short period of time. The Company has contacted all its significant vendors, including banks and companies providing outsourcing services for payroll and benefits administration, to ensure that these vendors are satisfactorily addressing the problem. The Company continues to be of the opinion that there will be no direct material effect on its operating performance or results of operations from the Year 2000 problem. Although the Company intends to diligently continue preparations for Year 2000, it is not possible to quantify potential indirect effects resulting from the lack of readiness on the part of others with whom the Company conducts its business. Contingency plans have been prepared for use by all community locations and for all departments at AMLI's corporate offices. In general, these plans provide for ensuring that hard copy of all significant reports is made at the end of 1999; they describe the manual procedures that will have to be performed during any period of disruption of services or communication; and they provide for inventorying a larger than usual quantity of supplies including computer supplies and fax machines, in case replacements are required as a result of any Year 2000 casualty. OTHER MATTERS Statement of Financial Accounting Standards No. 133 "Accounting for Derivative Instruments and Hedging Activities" becomes effective for all fiscal quarters for fiscal years beginning after June 15, 2000 and is not currently expected to have a material impact on the Company's financial statements. SAFE HARBOR STATEMENT UNDER THE PRIVATE SECURITIES LITIGATION REFORM ACT OF 1995 Certain statements set forth herein or incorporated by reference herein from the Company's filings under the Securities Exchange Act of 1934, as amended, contain forward-looking statements, including, without limitation, statements relating to the timing and anticipated capital expenditures of the Company's development programs. Although the Company believes that the expectations reflected in such forward-looking statements are based on reasonable assumptions, the actual results may differ materially from that set forth in the forward-looking statements. Certain factors that might cause such differences include general economic conditions, local real estate conditions, construction delays due to the unavailability of construction materials, weather conditions or other delays beyond the control of the Company. Consequently, such forward-looking statements should be regarded solely as reflections of the Company's current operating and development plans and estimates. These plans and estimates are subject to revision from time to time as additional information becomes available, and actual results may differ from those indicated in the referenced statements. ITEM 3. QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK Not applicable. OCCUPANCY The following is a listing of approximate physical occupancy levels by quarter for the Company's Wholly-Owned Communities and Co-Investment Communities:
1999 1998 LOCATION/COMMUNITY COMPANY'S NUMBER -------------------------- -------------------------- - ------------------ PERCENTAGE OF AT AT AT AT AT AT AT AT WHOLLY-OWNED COMMUNITIES OWNERSHIP UNITS 12/31 9/30 6/30 3/31 12/31 9/30 6/30 3/31 - ------------------------ ---------- ------- ----- ----- ----- ------ ----- ----- ------ ------ DALLAS/FT. WORTH, TEXAS AMLI: at AutumnChase. . . . . . . . 690 91% 91% 92% 93% 90% 97% at Bent Tree. . . . . . . . . 300 93% 93% 97% 91% 93% 93% at Bishop's Gate. . . . . . . 266 93% 94% 91% 92% 97% 100% at Chase Oaks . . . . . . . . 250 92% 92% 92% 93% 93% 98% at Gleneagles . . . . . . . . 590 95% 94% 92% 93% 98% 97% on the Green. . . . . . . . . 424 94% 93% 88% 93% 92% 96% at Nantucket. . . . . . . . . 312 95% 94% 91% 93% 97% 98% of North Dallas . . . . . . . 1,032 90% 92% 91% 93% 93% 96% on Rosemeade. . . . . . . . . 236 95% 95% 94% 94% 95% 96% at Valley Ranch . . . . . . . 460 96% 91% 90% 92% 97% 98% ------ ----- ----- ----- ----- ----- ----- ----- ----- 4,560 93% 93% 92% 93% 94% 97% ------ ----- ----- ----- ----- ----- ----- ----- ----- AUSTIN, TEXAS AMLI: at the Arboretum. . . . . . . 231 96% 97% 94% 97% 96% 97% in Great Hills. . . . . . . . 344 97% 93% 89% 99% 97% 98% at Lantana Ridge. . . . . . . 354 92% 92% 90% 92% 92% 94% at Martha's Vineyard. . . . . 360 98% 96% 93% 96% 97% 96% ------ ----- ----- ----- ----- ----- ----- ----- ----- 1,289 96% 94% 91% 95% 96% 96% ------ ----- ----- ----- ----- ----- ----- ----- ----- ATLANTA, GEORGIA AMLI: at Peachtree City. . . . . . . 312 97% 94% 90% 96% 99% N/A at Clairmont . . . . . . . . . 288 95% 94% 96% 95% 96% 96% lease lease at Park Creek. . . . . . . . . 200 95% 88% 97% up up N/A at Sope Creek. . . . . . . . . 695 92% 93% 94% 97% 95% 94% at Spring Creek. . . . . . . . 1,180 91% 91% 92% 94% 93% 94% at Vinings . . . . . . . . . . 360 96% 96% 92% 94% 96% 95% at West Paces. . . . . . . . . 337 95% 94% 95% 97% 99% 98% ------ ----- ----- ----- ----- ----- ----- ----- ----- 3,372 93% 93% 93% 95% 95% 95% ------ ----- ----- ----- ----- ----- ----- ----- ----- 1999 1998 COMPANY'S NUMBER -------------------------- -------------------------- PERCENTAGE OF AT AT AT AT AT AT AT AT LOCATION/COMMUNITY OWNERSHIP UNITS 12/31 9/30 6/30 3/31 12/31 9/30 6/30 3/31 - ------------------ ---------- ------- ----- ----- ----- ------ ----- ----- ------ ------ EASTERN KANSAS AMLI: at Alvamar. . . . . . . . . . 152 95% 93% 90% 94% 94% 95% at Centennial Park. . . . . . 170 94% 89% 89% N/A N/A N/A at Crown Colony . . . . . . . 220 92% 91% 88% 91% 89% 96% at Lexington Farms. . . . . . 404 94% 91% 85% N/A N/A N/A at Regents Center . . . . . . 424 97% 97% 95% 93% 95% 90% at Sherwood . . . . . . . . . 300 92% 91% 93% 89% 93% 92% at Town Center. . . . . . . . 156 92% 96% 91% 96% 94% 93% ------ ----- ----- ----- ----- ----- ----- ----- ----- 1,826 94% 93% 90% 92% 93% 93% ------ ----- ----- ----- ----- ----- ----- ----- ----- INDIANAPOLIS, INDIANA AMLI: at Conner Farms . . . . . . . 300 95% 96% 89% 93% 86% 90% at Eagle Creek. . . . . . . . 240 91% 94% 87% N/A N/A N/A at Riverbend. . . . . . . . . 996 91% 87% 88% 92% 93% 96% ------ ----- ----- ----- ----- ----- ----- ----- ----- 1,536 92% 90% 88% 92% 92% 95% ------ ----- ----- ----- ----- ----- ----- ----- ----- CHICAGO, ILLINOIS AMLI: at Park Sheridan. . . . . . . 253 96% 93% 93% 98% 97% 100% at Poplar Creek . . . . . . . 196 96% 90% 93% 94% 95% 98% ------ ----- ----- ----- ----- ----- ----- ----- ----- 449 96% 92% 93% 96% 96% 99% ------ ----- ----- ----- ----- ----- ----- ----- ----- 13,032 93.3% 92.4% 91.4% 93.6% 94.2% 95.1% ====== ===== ===== ===== ===== ===== ===== ===== ===== CO-INVESTMENT COMMUNITIES: - -------------------------- ATLANTA, GA AMLI: at Barrett Lakes. . . . . . . 35% 446 94% 94% 88% 93% 93% 96% at Pleasant Hill. . . . . . . 40% 502 93% 90% 91% 94% 95% 93% at River Park . . . . . . . . 40% 222 95% 93% 91% 96% 95% 98% at Towne Creek. . . . . . . . 1% 150 96% 86% 83% 89% 92% 95% at Willeo Creek . . . . . . . 30% 242 99% 91% 86% 96% 94% 98% ------ ----- ----- ----- ----- ----- ----- ----- ----- 1,562 95% 91% 89% 94% 94% 96% ------ ----- ----- ----- ----- ----- ----- ----- ----- 1999 1998 COMPANY'S NUMBER -------------------------- -------------------------- PERCENTAGE OF AT AT AT AT AT AT AT AT LOCATION/COMMUNITY OWNERSHIP UNITS 12/31 9/30 6/30 3/31 12/31 9/30 6/30 3/31 - ------------------ ---------- ------- ----- ----- ----- ------ ----- ----- ------ ------ CHICAGO, IL AMLI: at Chevy Chase. . . . . . . . 33% 592 97% 96% 95% 97% 98% 97% at Danada Farms . . . . . . . 10% 600 94% 96% 94% 94% 96% 98% lease at Fox Valley . . . . . . . . 25% 272 92% 94% 86% 89% 87% up at Prairie Court. . . . . . . 1% 125 97% 95% 94% 96% 93% 96% at Willowbrook. . . . . . . . 40% 488 96% 95% 96% 95% 98% 98% at Windbrooke . . . . . . . . 15% 236 97% 99% 98% 99% 95% 100% ------- ----- ----- ----- ----- ----- ----- ----- ----- 2,313 96% 96% 94% 95% 95% 98% ------- ----- ----- ----- ----- ----- ----- ----- ----- EASTERN KANSAS AMLI: at Regents Crest. . . . . . . 25% 368 93% 93% 96% 96% 94% 92% ------- ----- ----- ----- ----- ----- ----- ----- ----- DALLAS, TX AMLI: lease lease lease at Fossil Creek . . . . . . . 25% 384 96% 91% 90% up up up on Timberglen . . . . . . . . 40% 260 95% 92% 92% N/A N/A N/A at Verandah . . . . . . . . . 35% 538 93% 95% 94% 93% 96% 97% lease lease lease lease on the Parkway. . . . . . . . 25% 240 92% 95% up up up up ------- ----- ----- ----- ----- ----- ----- ----- ----- 1,422 94% 94% 92% 93% 96% 97% ------- ----- ----- ----- ----- ----- ----- ----- ----- AUSTIN, TX AMLI: at Park Place . . . . . . . . 25% 588 96% 96% 92% 95% 95% 95% lease at Wells Branch . . . . . . . 25% 576 89% up N/A N/A N/A N/A ------- ----- ----- ----- ----- ----- ----- ----- ----- 1,164 92% 96% 92% 95% 95% 95% ------- ----- ----- ----- ----- ----- ----- ----- ----- 1999 1998 COMPANY'S NUMBER -------------------------- -------------------------- PERCENTAGE OF AT AT AT AT AT AT AT AT LOCATION/COMMUNITY OWNERSHIP UNITS 12/31 9/30 6/30 3/31 12/31 9/30 6/30 3/31 - ------------------ ---------- ------- ----- ----- ----- ------ ----- ----- ------ ------ HOUSTON, TX AMLI: at Champions Centre . . . . . 15% 192 92% 92% 93% 95% 97% 98% at Champions Park . . . . . . 15% 246 95% 85% 91% 98% 95% 95% at Greenwood Forest . . . . . 15% 316 96% 93% 92% 98% 96% 97% ------- ----- ----- ----- ----- ----- ----- ----- ----- 754 94% 90% 92% 97% 96% 97% ------- ----- ----- ----- ----- ----- ----- ----- ----- Total Co-Investment Communities. . . . . . . . . . 7,583 94.4% 93.6% 92.1% 94.8% 94.8% 96.4% ------- ----- ----- ----- ----- ----- ----- ----- ----- TOTAL. . . . . . . . . . . . . . 20,615 93.7% 92.8% 91.6% 94.1% 94.4% 95.9% ======= ===== ===== ===== ===== ===== ===== ===== =====
PART II. OTHER INFORMATION ITEM 4. SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS The Annual Meeting of Shareholders of AMLI Residential Properties Trust was held on May 3, 1999, for the purpose of electing three members of the Board of Trustees, approving of amendments to Option Plan and ratifying the appointment of independent auditors. Proxies for the meeting were solicited pursuant to Section 14(a) of the Securities Exchange Act of 1934 and there was no solicitation in opposition to management's solicitations. All of the management's nominees for directors as listed in the proxy statement were elected with the following vote: SHARES SHARES VOTED SHARES NOT "FOR" "WITHHELD" VOTED ------ ---------- ------ Laura D. Gates 12,073,533 46,654 -- Marc S. Heilweil 12,013,628 106,559 -- Gregory T. Mutz 12,072,666 47,521 -- The ratification of the appointment of KPMG LLP as independent auditor was approved by the following vote: SHARES SHARES SHARES VOTED VOTED SHARES NOT "FOR" "AGAINST" "WITHHELD" VOTED ---------- --------- ---------- ------- 11,890,651 19,767 209,768 -- ITEM 6. EXHIBITS AND REPORTS ON FORM 8-K No reports on Form 8-K have been filed during the quarter ended June 30, 1999. The Exhibits filed as part of this report are listed below. EXHIBIT NO. DOCUMENT DESCRIPTION 27. Financial Data Schedule 99. Financial and Operating Data furnished to Shareholders and Analysts SIGNATURES Pursuant to the requirements of Section 13 or 15(d) of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized. AMLI RESIDENTIAL PROPERTIES TRUST Date: August 12, 1999 By: /s/ CHARLES C. KRAFT ----------------------------------- Charles C. Kraft Principal Accounting Officer Pursuant to the requirements of the Securities Exchange Act of 1934, this report has been signed below by the following persons on behalf of the Registrant and in the capacities and on the dates indicated. Date: August 12, 1999 By: /s/ GREGORY T. MUTZ ----------------------------------- Gregory T. Mutz Chairman of the Board of Trustees Date: August 12, 1999 By:/s/ ALLAN J. SWEET ----------------------------------- Allan J. Sweet President and Trustee Date: August 12, 1999 By: /s/ ROBERT J. CHAPMAN ----------------------------------- Robert J. Chapman Principal Financial Officer Date: August 12, 1999 By: /s/ CHARLES C. KRAFT ----------------------------------- Charles C. Kraft Principal Accounting Officer EX-27 2
5 THIS SCHEDULE CONTAINS SUMMARY FINANCIAL INFORMATION EXTRACTED FROM THE REGISTRANT'S FORM 10-Q FOR THE SIX MONTHS ENDED JUNE 30, 1999 AND IS QUALIFIED IN ITS ENTIRETY BY REFERENCE TO SUCH FINANCIAL STATEMENTS INCLUDED IN SUCH REPORT. 6-MOS DEC-31-1999 JUN-30-1999 783 0 0 0 0 0 738,975 87,447 795,832 0 382,320 0 40 169 341,509 795,832 0 63,133 0 44,384 0 0 10,941 16,369 0 16,369 0 0 0 16,369 .75 .75
EX-99 3 EXHIBIT 99 - ---------- AMLI RESIDENTIAL PROPERTIES TRUST FINANCIAL AND OPERATING DATA June 30, 1999 1. Funds from Operations 2. Statements of Operations 3. Balance Sheets 4. Selected Financial Information 5. Debt 6. Debt Maturities 7. Same Community Comparison - Wholly-Owned - three months ended June 30, 1999 and 1998 8. Same Community Comparison - Wholly-Owned - six months ended June 30, 1999 and 1998 9. Same Community Comparison - Wholly-Owned and Co-Investments - three months ended June 30, 1999 and 1998 10. Same Community Comparison - Wholly-Owned and Co-Investments - six months ended June 30, 1999 and 1998 11. Property Information 12. Property EBITDA 13. Development Activities AMLI RESIDENTIAL PROPERTIES TRUST FUNDS FROM OPERATIONS Unaudited - Dollars in thousands except per share data
THREE MONTHS ENDED SIX MONTHS ENDED JUNE 30 JUNE 30 -------------------------- -------------------------- 1999 1998 1999 1998 ----------- ---------- ----------- ---------- REVENUES - -------- Property revenues: Rental . . . . . . . . . . . . . . . . . . . . . . $ 27,281 25,204 53,976 49,342 Other. . . . . . . . . . . . . . . . . . . . . . . 1,757 1,456 3,326 2,748 -------- -------- -------- -------- Total Property Revenues. . . . . . . . . . . 29,038 26,660 57,302 52,090 -------- -------- -------- -------- Property operating expenses. . . . . . . . . . . . . (10,568) (10,434) (20,623) (19,986) Property management fees . . . . . . . . . . . . . . (727) (667) (1,434) (1,305) -------- -------- -------- -------- Property expenses. . . . . . . . . . . . . . (11,295) (11,101) (22,057) (21,291) Operating expense ratio. . . . . . . . . . . . . . . 38.9% 41.6% 38.5% 40.9% -------- -------- -------- -------- Net operating income . . . . . . . . . . . . 17,743 15,559 35,245 30,799 -------- -------- -------- -------- OTHER INCOME - ------------ Share of Service Cos. FFO (1)(2) . . . . . . . . . 55 120 (219) 108 Interest from Service Companies (3). . . . . . . . 1,089 606 2,102 1,151 Other interest . . . . . . . . . . . . . . . . . . 365 223 692 414 Share of partnerships FFO (4). . . . . . . . . . . 2,142 1,355 4,049 2,489 Fee income - developments. . . . . . . . . . . . . 1,159 1,105 1,479 1,206 Fee income - asset management. . . . . . . . . . . 151 151 302 302 Other. . . . . . . . . . . . . . . . . . . . . . . 7 41 9 77 -------- -------- -------- -------- Total other income . . . . . . . . . . . . . 4,968 3,601 8,414 5,747 General and administrative . . . . . . . . . . . . . (948) (1,112) (1,994) (1,966) -------- -------- -------- -------- EBITDA . . . . . . . . . . . . . . . . . . . . . . . 21,763 18,048 41,665 34,580 -------- -------- -------- -------- Interest expense . . . . . . . . . . . . . . . . . . (5,625) (4,800) (10,941) (9,738) Amortization of deferred costs . . . . . . . . . . . (97) (118) (208) (248) -------- -------- -------- -------- FUNDS FROM OPERATIONS (FFO). . . . . . . . . . . . . $ 16,041 13,130 30,516 24,594 ======== ======== ======== ======== AMLI RESIDENTIAL PROPERTIES TRUST FUNDS FROM OPERATIONS - CONTINUED Unaudited - Dollars in thousands except per share data THREE MONTHS ENDED SIX MONTHS ENDED JUNE 30 JUNE 30 -------------------------- -------------------------- 1999 1998 1999 1998 ----------- ---------- ----------- ---------- Capital expenditures paid from FFO (5) . . . . . . . (1,338) (1,062) (2,306) (1,854) Other - share of Co-investments Cap exp. . . . . . . (127) (103) (216) (147) -------- -------- -------- -------- Funds available for distribution (FAD) . . . . . . . $ 14,576 11,965 27,994 22,593 ======== ======== ======== ======== FFO per share. . . . . . . . . . . . . . . . . . . . $ 0.65 0.59 1.24 1.13 FAD per share. . . . . . . . . . . . . . . . . . . . $ 0.59 0.54 1.14 1.04 Dividend per share . . . . . . . . . . . . . . . . . $ 0.45 0.44 0.90 0.88 Dividend as a % of FFO . . . . . . . . . . . . . . . 68.9% 74.1% 72.3% 77.9% Dividend as a % of FAD . . . . . . . . . . . . . . . 75.8% 81.3% 78.8% 84.6% ======== ======== ======== ======== NOTES: (1) Includes share of income before goodwill amortization of $207 and $200 for the six months ended June 30, 1999 and 1998. (2) Includes $171 gain on sale of non-residential land by a Service Company subsidiary for the three and six months ended June 30, 1999. (3) Interest on 13% notes receivable and working capital advances. (4) Includes share of income and share of depreciation of $2,371 and $2,332 for the six months ended June 30, 1999 and 1998, respectively. (5) Rehab costs of approximately $2,138 in 1999 are not reflected in cap ex paid from FFO.
AMLI RESIDENTIAL PROPERTIES TRUST STATEMENT OF OPERATIONS Unaudited - Dollars in thousands except per share data
THREE MONTHS ENDED SIX MONTHS ENDED JUNE 30 JUNE 30 -------------------------- -------------------------- 1999 1998 1999 1998 ----------- ---------- ----------- ---------- REVENUES - -------- Property revenues: Rental . . . . . . . . . . . . . . . . . . . . . . $ 27,281 25,204 53,976 49,342 Other. . . . . . . . . . . . . . . . . . . . . . . 1,757 1,456 3,326 2,748 Interest and share of income (loss) from Service Cos.. . . . . . . . . . . . . . . . . 1,037 630 1,676 1,059 Other interest . . . . . . . . . . . . . . . . . . . 365 223 692 414 Share of income from co-investment partnerships. . . 923 499 1,673 823 Fees from co-investment partnerships . . . . . . . . 1,317 1,297 1,790 1,585 -------- -------- -------- -------- Total revenues . . . . . . . . . . . . . . . 32,680 29,309 63,133 55,971 -------- -------- -------- -------- EXPENSES - -------- Personnel. . . . . . . . . . . . . . . . . . . . . . 2,700 2,529 5,343 4,846 Advertising and promotion. . . . . . . . . . . . . . 651 796 1,270 1,504 Utilities. . . . . . . . . . . . . . . . . . . . . . 906 1,059 1,928 2,144 Building repairs and maintenance . . . . . . . . . . 1,552 1,490 2,844 2,745 Landscaping and grounds maintenance. . . . . . . . . 665 648 1,259 1,090 Real estate taxes. . . . . . . . . . . . . . . . . . 3,508 3,274 6,928 6,454 Insurance. . . . . . . . . . . . . . . . . . . . . . 221 251 421 472 Other operating expenses . . . . . . . . . . . . . . 365 387 630 731 Property management fees . . . . . . . . . . . . . . 727 667 1,434 1,305 Interest, net of capitalized . . . . . . . . . . . . 5,625 4,800 10,941 9,738 Amortization of deferred costs . . . . . . . . . . . 97 118 208 248 Depreciation of real property. . . . . . . . . . . . 3,284 3,277 6,813 6,447 Depreciation of personal property. . . . . . . . . . 1,110 1,211 2,371 2,332 General and administrative . . . . . . . . . . . . . 948 1,112 1,994 1,966 -------- -------- -------- -------- Total expenses . . . . . . . . . . . . . . . 22,359 21,619 44,384 42,022 -------- -------- -------- -------- AMLI RESIDENTIAL PROPERTIES TRUST STATEMENT OF OPERATIONS - CONTINUED Unaudited - Dollars in thousands except per share data THREE MONTHS ENDED SIX MONTHS ENDED JUNE 30 JUNE 30 -------------------------- -------------------------- 1999 1998 1999 1998 ----------- ---------- ----------- ---------- Non-recurring item - gain on sale of properties and rate caps . . . . . . . . . . . . . 281 -- 281 -- -------- -------- -------- -------- Income before taxes, minority interest and extraordinary item . . . . . . . . . . . . . . 10,602 7,690 19,030 13,949 Minority interest. . . . . . . . . . . . . . . . . . 1,513 1,109 2,661 2,042 -------- -------- -------- -------- Income before and extraordinary items. . . . . . . . 9,089 6,581 16,369 11,907 Extraordinary items net of minority interest . . . . -- -- -- -- -------- -------- -------- -------- Net income . . . . . . . . . . . . . . . . . . . . . $ 9,089 6,581 16,369 11,907 Net income allocable to preferred shares . . . . . . 1,789 958 3,662 1,562 -------- -------- -------- -------- Net income allocable to common shares. . . . . . . . $ 7,300 5,623 12,707 10,345 ======== ======== ======== ======== INCOME PER COMMON SHARE: - ----------------------- Before extraordinary items . . . . . . . . . . . . . $ 0.43 0.34 0.75 0.62 Extraordinary item . . . . . . . . . . . . . . . . . $ 0.00 0.00 0.00 0.00 Income per common share. . . . . . . . . . . . . . . $ 0.43 0.34 0.75 0.62 ======== ======== ======== ======== FUNDS FROM OPERATIONS - --------------------- Income before taxes, minority interest and extraordinary item . . . . . . . . . . . . . . . . $ 10,602 7,690 19,030 13,949 -------- -------- -------- -------- Depreciation of real property. . . . . . . . . . . . 3,284 3,277 6,813 6,447 Depreciation of personal property. . . . . . . . . . 1,110 1,211 2,371 2,332 Non-recurring items - gain on sale of properties and rate caps. . . . . . . . . . . . . . . . . . . (281) -- (281) -- Share of Co-investments depreciation . . . . . . . . 1,219 856 2,376 1,666 Share of Service Company amortization of goodwill & gain on land sale . . . . . . . . . . . 107 96 207 200 -------- -------- -------- -------- Funds from operations (FFO). . . . . . . . . . . . . $ 16,041 13,130 30,516 24,594 FFO per share. . . . . . . . . . . . . . . . . . . . $ 0.65 0.59 1.24 1.13 ======== ======== ======== ======== AMLI RESIDENTIAL PROPERTIES TRUST STATEMENT OF OPERATIONS - CONTINUED Unaudited - Dollars in thousands except per share data THREE MONTHS ENDED SIX MONTHS ENDED JUNE 30 JUNE 30 -------------------------- -------------------------- 1999 1998 1999 1998 ----------- ---------- ----------- ---------- Capital expenditures paid from FFO . . . . . . . . . (1,338) (1,062) (2,306) (1,854) Other - Share Co-investments Cap exp . . . . . . . . (127) (103) (216) (147) -------- -------- -------- -------- Funds available for distribution (FAD) . . . . . . . $ 14,576 11,965 27,994 22,593 FAD per share. . . . . . . . . . . . . . . . . . . . $ 0.59 0.54 1.14 1.04 -------- -------- -------- -------- Dividends per share. . . . . . . . . . . . . . . . . $ 0.45 0.44 0.90 0.88 ======== ======== ======== ======== Dividends as a % of FFO. . . . . . . . . . . . . . . 68.9% 74.1% 72.3% 77.9% Dividends as a % of FAD. . . . . . . . . . . . . . . 75.8% 81.3% 78.8% 84.65 ======== ======== ======== ========
AMLI RESIDENTIAL PROPERTIES TRUST CONDENSED BALANCE SHEETS Unaudited - Dollars in thousands except per share data
JUN. 30, DEC. 31, 1999 1998 -------- -------- ASSETS - ------ Rental apartments Land . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 87,278 91,459 Depreciable property . . . . . . . . . . . . . . . . . . . . . . . . 557,648 586,507 -------- -------- 644,926 677,966 Less accumulated depreciation. . . . . . . . . . . . . . . . . . . . (76,862) (78,143) -------- -------- 568,064 599,823 Rental apartments held for sale, net of accumulated depreciation . . . 41,312 -- Properties under development . . . . . . . . . . . . . . . . . . . . . 42,152 61,798 Investments in partnerships. . . . . . . . . . . . . . . . . . . . . . 85,327 72,150 Cash and cash equivalents. . . . . . . . . . . . . . . . . . . . . . . 783 4,546 Security deposits. . . . . . . . . . . . . . . . . . . . . . . . . . . 1,818 1,684 Deferred costs, net. . . . . . . . . . . . . . . . . . . . . . . . . . 2,826 2,942 Notes receivable and advances to Service Companies . . . . . . . . . . 34,983 31,277 Other assets . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 18,567 11,372 -------- -------- Total assets . . . . . . . . . . . . . . . . . . . . . . . . . $795,832 $785,592 ======== ======== LIABILITIES AND SHAREHOLDERS' EQUITY - ------------------------------------ Debt . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $382,320 367,370 Accrued interest payable . . . . . . . . . . . . . . . . . . . . . . . 2,325 2,170 Accrued real estate taxes. . . . . . . . . . . . . . . . . . . . . . . 8,321 10,141 Construction costs payable . . . . . . . . . . . . . . . . . . . . . . 566 1,967 Security deposits and prepaid rents. . . . . . . . . . . . . . . . . . 3,318 3,420 Other liabilities. . . . . . . . . . . . . . . . . . . . . . . . . . . 2,846 3,096 -------- -------- Total liabilities. . . . . . . . . . . . . . . . . . . . . . . $399,696 388,164 -------- -------- AMLI RESIDENTIAL PROPERTIES TRUST CONDENSED BALANCE SHEETS - CONTINUED Unaudited - Dollars in thousands except per share data JUN. 30, DEC. 31, 1999 1998 -------- -------- Minority interest. . . . . . . . . . . . . . . . . . . . . . . . . . . $ 54,418 54,574 -------- -------- Shareholders' equity Preferred shares, $.01 par value . . . . . . . . . . . . . . . . . . 40 42 Shares of beneficial interest, $.01 par value. . . . . . . . . . . . 169 167 Additional paid-in capital . . . . . . . . . . . . . . . . . . . . . 421,643 420,303 Employees and trustees notes . . . . . . . . . . . . . . . . . . . . (10,684) (10,668) Retained earnings. . . . . . . . . . . . . . . . . . . . . . . . . . 64,966 48,597 Dividends paid . . . . . . . . . . . . . . . . . . . . . . . . . . . (134,416) (115,587) -------- -------- Total shareholders' equity . . . . . . . . . . . . . . . . . . 341,718 342,854 -------- -------- Total liabilities and shareholders' equity . . . . . . . . . . $795,832 $785,592 ======== ========
AMLI RESIDENTIAL PROPERTIES TRUST Selected Quarterly Financial Information June 30, 1999 (dollars in thousands except for share data)
Quarter Ending --------------------------------------------------------------------------- Jun 30, Mar 31 Dec 31 Sep 30 Jun 30 Mar 31 1999 1998 1998 1998 1998 1998 -------- -------- -------- -------- -------- -------- Debt $ 382,320 380,475 367,370 336,190 337,108 361,305 Debt including share of co-investment debt $ 458,682 454,348 439,172 402,972 400,485 422,393 Total Shares and Units Outstanding (1) 24,524,849 24,464,805 24,445,827 24,130,128 23,085,101 22,028,680 Value per Common Share - end of quarter $ 22.375 20.625 22.25 21.3125 21.4375 22.9375 Total Equity (Market Value) - end of quarter $ 548,743 504,587 543,920 514,273 494,887 505,283 Market Capitalization $ 931,063 885,062 911,290 850,463 831,995 866,588 Market Capitalization including share of Co-investment debt $1,007,425 958,935 983,092 917,245 895,372 927,676 Market Capitalization including Co-investment at cost $1,554,018 1,431,730 1,455,887 1,313,940 1,279,707 1,252,510 ========== ========== ========== ========== ========== ========== Total Revenues (2) $ 32,680 30,453 31,227 30,155 29,309 26,662 EBITDA (3) $ 21,763 19,902 20,167 19,213 18,048 16,532 FFO $ 16,041 14,475 14,796 13,842 13,130 11,464 FAD $ 14,576 13,418 13,772 12,546 11,965 10,628 Dividends Paid $ 11,011 11,004 10,323 9,719 9,356 9,224 Debt service (net of capitalized interest) $ 6,280 5,995 5,924 5,932 5,441 5,571 Interest Expense $ 5,625 5,316 5,270 5,255 4,800 4,938 G & A Expense $ 948 1,046 1,190 837 1,112 854 Total Shares and Units Outstanding - Wtd. Avg. 24,467,931 24,455,709 24,355,803 23,097,922 22,050,967 21,238,186 ========== ========== ========== ========== ========== ========== AMLI RESIDENTIAL PROPERTIES TRUST Selected Quarterly Financial Information - CONTINUED June 30, 1999 (dollars in thousands except for share data) Quarter Ending --------------------------------------------------------------------------- Jun 30, Mar 31 Dec 31 Sep 30 Jun 30 Mar 31 1999 1998 1998 1998 1998 1998 -------- -------- -------- -------- -------- -------- Interest Coverage Ratio 3.87 3.74 3.83 3.66 3.76 3.35 Debt as % of Total Market Capitalization 41.06% 42.99% 40.31% 39.53% 40.52% 41.69% Debt (incl. Share of Co-investment debt) as % of Total Market Cap 45.53% 47.38% 44.67% 43.93% 44.73% 45.53% EBITDA as % of Total Market Capitalization 9.35% 8.99% 8.85% 9.04% 8.68% 7.63% FFO as % of Total Market Equity 11.69% 11.47% 10.88% 10.77% 10.61% 9.08% G&A as % of Total Market Capitalization 0.41% 0.47% 0.52% 0.39% 0.53% 0.39% G&A as % of Total Revenues 2.90% 3.43% 3.81% 2.78% 3.79% 3.20% Dividends as % of FFO (4) 68.9% 76.1% 74.2% 73.6% 74.1% 81.9% Dividends as % of FAD (4) 75.8% 82.2% 79.7% 81.2% 81.3% 88.3% ========== ========== ========== ========== ========== ========== Apartment Units - In Operation Wholly Owned 13,032 13,032 12,792 12,250 12,250 11,938 Co-investments 7,583 7,007 6,767 6,123 6,123 5,851 ---------- ---------- ---------- ---------- ---------- ---------- 20,615 20,039 19,559 18,373 18,373 17,789 ---------- ---------- ---------- ---------- ---------- ---------- Apartment Units - Under Development Wholly Owned 416 1,246 1,486 2,352 2,100 2,488 Co-investments 4,306 3,136 3,376 2,464 2,224 1,456 ---------- ---------- ---------- ---------- ---------- ---------- 4,722 4,382 4,862 4,816 4,324 3,944 ---------- ---------- ---------- ---------- ---------- ---------- Total Units 25,337 24,421 24,421 23,189 22,697 21,733 ========== ========== ========== ========== ========== ========== (1) At June 30, 1999, includes 3,975,000 preferred shares convertible to common shares. (2) Excluding non-recurring gain of $281 and $3,621 in 1999 and 1998, respectively. (3) Includes other income, net of G & A expenses. (4) Based on per share amounts.
AMLI RESIDENTIAL PROPERTIES TRUST PORTFOLIO INDEBTEDNESS SUMMARY June 30, 1999 (Dollars in thousands)
Weighted Avg. Percent of Interest Years to Type of Indebtedness Balance Total Interest Rate Maturity - -------------------- -------- ----------- ---------- --------- ---------- Conventional Fixed Rate $176,320 46.1% Fixed 7.63% 7.5 Tax-exempt Variable Rate (1) 50,250 13.2% Variable 5.06% 3.3 Credit Facilities (2) 150,000 39.2% Variable 6.23% 2.0 Service Companies 5,750 1.5% Fixed 9.22% 3.1 -------- ------ ----- --- Total $382,320 100.0% 6.77% 4.7 ======== ====== ===== === Weighted Balance including Avg. share of Co- Percent of Interest Years to Type of Indebtedness investment debt(3) Total Interest Rate Maturity - -------------------- ----------------- ----------- ---------- --------- ---------- Conventional Fixed Rate $252,682 55.1% Fixed 7.67% 7.2 Tax-exempt Variable Rate (1) 50,250 11.0% Variable 5.06% 3.3 Credit Facilities (2) 150,000 32.6% Variable 6.23% 2.0 Service Companies 5,750 1.3% Fixed 9.22% 3.1 -------- ------ ----- --- Total $458,682 100.0% 6.93% 5.0 ======== ====== ===== === (1) Maturity Date shown is expiration date of Credit Enhancement. Bonds mature in 2024. (2) $50,000 has been swapped to a fixed rate ($20,000 maturing in November 2002 and $30,000 maturing in February 2003). Effective interest rate includes swap costs. (3) Co-Investment debt represents Amli Residential's pro rata share of debt. Interest rate and maturity reflect average numbers based on Amli's pro rata share.
AMLI RESIDENTIAL PROPERTIES TRUST DEBT MATURITIES JUNE 30, 1999 Unaudited - dollars in thousands
There- % to 1999 2000 2001 2002 2003 after Total Total -------- -------- -------- -------- -------- -------- -------- ------- Fixed Rate Mortgages $ 1,366 3,034 3,281 3,534 65,785 99,320 176,320 46.1% Tax Exempt Bonds* 50,250 50,250 13.2% Wachovia/First Chicago Line of Credit 150,000 150,000 39.2% Other 750 5,000 5,750 1.5% -------- -------- -------- -------- -------- -------- -------- ------- Total Loans $ 2,116 3,034 153,281 53,784 70,785 99,320 382,320 100.0% ======== ======== ======== ======== ======== ======== ======== ======= Percent to Total 0.6% 0.8% 40.1% 14.1% 18.5% 25.9% 100.0% 83.4% ======== ======== ======== ======== ======== ======== ======== ======= SHARE OF CO-INVESTMENT DEBT Prudential Ins. - Park Place (25%) 3,026 0 0 0 0 0 3,026 4.0% Nationwide Life Ins. - Greenwood Forest (15%) 9 19 20 1,678 0 0 1,726 2.3% Lincoln National Ins. - Champions Park (15%) 10 22 24 1,260 0 0 1,316 1.7% Prudential Ins. - Champions Centre (15%) 6 11 12 954 0 0 983 1.3% Allstate Life Ins. - Windbrooke (15%) 10 18 20 1,657 0 0 1,705 2.2% CIGNA - Chevy Chase (33%) 90 189 202 216 8,770 0 9,467 12.4% Northwestern Mutual Life Ins. - Willowbrook (40%) 76 162 175 189 8,910 0 9,512 12.5% Phoenix Mutual - Willeo Creek (30%) 27 57 61 65 2,687 0 2,897 3.8% Northwestern Mutual Life Ins. - Pleasant Hill (40%) 40 88 96 106 116 5,586 6,032 7.9% Northwestern Mutual Life Ins. - Barrett Lakes (35%) 35 77 84 91 99 5,417 5,803 7.6% AMLI RESIDENTIAL PROPERTIES TRUST DEBT MATURITIES - CONTINUED There- % to 1999 2000 2001 2002 2003 after Total Total -------- -------- -------- -------- -------- -------- -------- ------- Erie Insurance - River Park (40%) 20 50 54 59 63 3,325 3,571 4.7% Prudential Ins. - Amli at Danada (10%) 12 25 27 29 31 2,320 2,444 3.2% Phoenix Home Life - Amli at Verandah (35%) 41 88 94 102 110 5,481 5,916 7.7% Northwestern Mutual Life Ins. - Northwinds (35%) 0 15 95 103 112 9,084 9,409 12.3% Northwestern Mutual Life Ins. - Regents Crest (25%) 33 70 76 82 3,709 0 3,970 5.2% Northwestern Mutual Life Ins. - Parkway (25%) 21 45 49 52 56 2,459 2,682 3.5% Jackson National Life Ins. - Timberglen (40%) 20 42 45 49 52 2,463 2,671 3.5% Amli Residential - Deerfield (25%) 2,244 0 0 0 0 0 2,244 2.9% AMI Capital, Inc. - Lost Mountain (55%) 0 2 28 30 32 773 865 1.1% Central Bank, Trustee - Prairie Court (1%) 73 0 0 0 0 0 73 0.1% Erie Insurance - Towne Creek (1%) 50 0 0 0 0 0 50 0.1% -------- -------- -------- -------- -------- -------- -------- ------- Total Share of Co-Investment Loans $ 5,843 980 1,162 6,722 24,747 36,908 76,362 100.0% ======== ======== ======== ======== ======== ======== ======== ======= Percent to Total 7.7% 1.3% 1.5% 8.8% 32.4% 48.3% 100.0% 16.6% ======== ======== ======== ======== ======== ======== ======== ======= Total Including Share of Co-Investment Debt $ 7,959 4,014 154,443 60,506 95,532 136,228 458,682 100.0% ======== ======== ======== ======== ======== ======== ======== ======= Percent to Total 1.7% 0.9% 33.7% 13.2% 20.8% 29.7% 100.0% 100.0% ======== ======== ======== ======== ======== ======== ======== ======= * The Spring Creek Bonds mature in October 2024, but the credit enhancement expires on October 15, 2002. * The Poplar Creek Bonds mature in February 2024, but credit enhancement expires December 18, 2002.
AMLI RESIDENTIAL PROPERTIES L.P. - "SAME COMMUNITY COMPARISON" (WHOLLY-OWNED PROPERTIES) THREE MONTHS ENDED JUNE 30, 1999 VERSUS THREE MONTHS ENDED JUNE 30, 1998 (Excludes all properties acquired or stabilized after 1/1/98, Reflections and Timberglen)
4/1/99-6/30/99 4/1/98-6/30/98 No. of --------------------------------- % -------------------------------- Apts. Amount/% Per Unit Per Sq Ft Change Amount/% Per Unit Per Sq Ft -------- -------- -------- ---------- ------ ---------- -------- --------- WEIGHTED AVG. OCCUPANCY - ------------- Dallas 4,320 93.6% -1.4% 94.9% Atlanta 2,572 92.9% -1.0% 93.8% Austin 1,289 94.8% -0.9% 95.7% Indianapolis 1,296 91.0% -2.6% 93.4% Kansas 1,252 94.2% 2.2% 92.2% Chicago 449 93.7% -2.1% 95.7% ------ ----- ----- ----- Weighted Average 93.3% -1.0% 94.3% ===== ===== ===== Total 11,178 ====== WEIGHTED AVG. RENTAL RATE - ------------- Dallas $714 1.3% $705 Atlanta $765 3.3% $740 Austin $718 3.6% $693 Indianapolis $636 2.2% $622 Kansas $708 0.4% $705 Chicago $979 4.6% $936 ---- ---- ---- Weighted Average $727 2.2% $711 ==== ==== ==== TOTAL PROPERTY No. of REVENUES Apts. Per Month Per Month - --------------- ------ ---------- ---------- Dallas 4,320 $ 9,153,346 $ 706 $ 0.82 1.2% $ 9,045,210 $ 698 $ 0.81 Atlanta 2,572 $ 5,802,733 $ 752 $ 0.81 3.1% $ 5,628,051 $ 729 $ 0.78 Austin 1,289 $ 2,789,047 $ 721 $ 0.93 3.3% $ 2,698,669 $ 698 $ 0.90 Indianapolis 1,296 $ 2,403,391 $ 618 $ 0.70 1.1% $ 2,378,289 $ 612 $ 0.69 Kansas 1,252 $ 2,669,032 $ 711 $ 0.79 3.1% $ 2,589,346 $ 689 $ 0.76 Chicago 449 $ 1,380,865 $1,025 $ 1.17 4.7% $ 1,319,298 $ 979 $ 1.11 ----------- ------ ------ ----- ----------- ------ ------ Total ------ $24,198,415 $ 722 $ 0.82 2.3% $23,658,863 $ 706 $ 0.80 11,178 =========== ====== ===== ===== =========== ====== ====== ====== AMLI RESIDENTIAL PROPERTIES L.P. - "SAME COMMUNITY COMPARISON" (WHOLLY-OWNED PROPERTIES) - CONTINUED (Excludes all properties acquired or stabilized after 1/1/98, Reflections and Timberglen) 4/1/99-6/30/99 4/1/98-6/30/98 --------------------------------- % -------------------------------- Amount/% Per Unit Per Sq Ft Change Amount/% Per Unit Per Sq Ft -------- -------- ---------- ------ ---------- -------- --------- PROPERTY OPERATING EXPENSES (ANNUALIZED) (ANNUALIZED) - --------------------------- ------------ ------------ Dallas $ 3,855,014 $3,569 $4.13 2.6% $3,758,935 $3,480 $4.03 Atlanta $ 2,003,941 $3,117 $3.34 -1.0% $2,024,575 $3,149 $3.37 Austin $ 1,181,978 $3,668 $4.73 6.9% $1,105,318 $3,430 $4.42 Indianapolis $ 954,483 $2,946 $3.33 0.9% $ 945,792 $2,919 $3.30 Kansas $ 915,739 $2,926 $3.23 -12.9% $1,050,868 $3,357 $3.71 Chicago $ 707,576 $6,304 $7.17 1.7% $ 695,939 $6,200 $7.05 ------------ ------ ----- ----- ---------- ------ ----- Total $ 9,618,732 $3,442 $3.92 0.4% $9,581,428 $3,429 $3.91 ============ ====== ===== ===== ========== ====== ===== Operating Efficiency 39.7% 40.5% ============ ==========
PER MONTH PER MONTH --------- ---------- NOI 1999% 1998% - --- ----- ----- Dallas 57.9% 58.4% $ 5,298,333 $409 $0.47 0.2% $ 5,286,274 $408 $0.47 Atlanta 65.5% 64.0% $ 3,798,793 $492 $0.53 5.4% $ 3,603,476 $467 $0.50 Austin 57.6% 59.0% $ 1,607,069 $416 $0.54 0.9% $ 1,593,351 $412 $0.53 Indianapolis 60.3% 60.2% $ 1,448,907 $373 $0.42 1.1% $ 1,432,497 $368 $0.42 Kansas 65.7% 59.4% $ 1,753,293 $467 $0.52 14.0% $ 1,538,479 $410 $0.45 Chicago 48.8% 47.2% $ 673,290 $500 $0.57 8.0% $ 623,359 $463 $0.53 ----- ----- ------------ ---- ----- ----- ----------- ---- ----- Total 60.3% 59.5% $ 14,579,684 $435 $0.50 3.6% $14,077,435 $420 $0.48 ===== ===== ============ ==== ===== ===== =========== ==== ===== Operating Margin 60.3% 59.5% ============ =========== CAPITAL EXPENDITURES (ANNUALIZED) (ANNUALIZED) - -------------------- ------------ ------------ Dallas $ 447,032 $ 414 $0.48 20.3% $ 371,696 $344 $0.40 Atlanta $ 154,433 $ 240 $0.26 -30.9% $ 223,346 $347 $0.37 Austin $ 523,871 $1,626 $2.10 238.2% $ 154,884 $481 $0.62 Indianapolis $ 22,493 $ 69 $0.08 -72.2% $ 80,953 $250 $0.28 Kansas $ 91,497 $ 292 $0.32 -29.2% $ 129,199 $413 $0.46 Chicago $ 50,702 $ 452 $0.48 43.2% $ 35,408 $315 $0.36 ------------ ------ ----- ------ ---------- ---- ----- Total $ 1,290,028 $ 462 $0.53 29.6% $ 995,486 $356 $0.41 ============ ====== ===== ====== ========== ==== =====
AMLI RESIDENTIAL PROPERTIES L.P. - "SAME COMMUNITY COMPARISON" (WHOLLY-OWNED PROPERTIES) - CONTINUED (Excludes all properties acquired or stabilized after 1/1/98, Reflections and Timberglen)
4/1/99-6/30/99 4/1/98-6/30/98 --------------------------------- % -------------------------------- Amount/% Per Unit Per Sq Ft Change Amount/% Per Unit Per Sq Ft -------- -------- ---------- ------ ---------- -------- --------- REPAIRS AND MAINTENANCE (ANNUALIZED) (ANNUALIZED) - ----------------------- ------------ ------------ Dallas $ 511,277 $ 473 $0.55 6.3% $ 480,861 $ 445 $0.51 Atlanta $ 338,859 $ 527 $0.56 19.7% $ 283,077 $ 440 $0.47 Austin $ 176,450 $ 548 $0.71 39.0% $ 126,975 $ 394 $0.51 Indianapolis $ 138,477 $ 427 $0.48 -2.1% $ 141,474 $ 437 $0.49 Kansas $ 108,036 $ 345 $0.38 -19.5% $ 134,198 $ 429 $0.47 Chicago $ 118,971 $1,060 $1.21 6.2% $ 111,982 $ 998 $1.13 ------------ ------ ----- ------ ---------- ------ ----- Total $ 1,392,070 $ 498 $0.57 8.9% $1,278,567 $ 458 $0.52 ============ ====== ===== ====== ========== ====== ===== REAL ESTATE TAXES (ANNUALIZED) (ANNUALIZED) - ----------------- ------------ ------------ Dallas $ 1,398,711 $1,295 $1.50 3.8% $1,346,936 $1,247 $1.44 Atlanta $ 427,446 $ 665 $0.71 -4.6% $ 447,867 $ 697 $0.75 Austin $ 421,006 $1,306 $1.68 8.6% $ 387,674 $1,203 $1.55 Indianapolis $ 228,506 $ 705 $0.80 0.9% $ 226,497 $ 699 $0.79 Kansas $ 250,122 $ 799 $0.88 -5.1% $ 263,448 $ 842 $0.93 Chicago $ 279,501 $2,490 $2.83 1.5% $ 275,364 $2,453 $2.79 ------------ ------ ----- ----- ---------- ------ ----- Total $ 3,005,291 $1,075 $1.23 2.0% $2,947,786 $1,055 $1.20 ============ ====== ===== ===== ========== ====== =====
AMLI RESIDENTIAL PROPERTIES L.P. - "SAME COMMUNITY COMPARISON" (WHOLLY-OWNED PROPERTIES) SIX MONTHS ENDED JUNE 30, 1999 VERSUS SIX MONTHS ENDED JUNE 30, 1998 (Excludes all properties acquired or stabilized after 1/1/98, Reflections and Timberglen)
1/1/99-6/30/99 1/1/98-6/30/98 No. of --------------------------------- % -------------------------------- Apts. Amount/% Per Unit Per Sq Ft Change Amount/% Per Unit Per Sq Ft -------- -------- -------- ---------- ------ ---------- -------- --------- WEIGHTED AVG. OCCUPANCY - ------------- Dallas 4,320 92.9% -1.6% 94.5% Atlanta 2,572 92.9% -0.9% 93.8% Austin 1,289 93.8% -0.4% 94.2% Indianapolis 1,296 89.9% -2.4% 92.1% Kansas 1,252 94.2% 2.3% 92.1% Chicago 449 93.8% -2.0% 95.7% ------ ----- ----- ----- Weighted Average 92.9% -1.0% 93.8% ===== ===== ===== Total 11,178 ====== WEIGHTED AVG. RENTAL RATE - ------------- Dallas $714 1.6% $703 Atlanta $765 4.1% $735 Austin $714 3.4% $690 Indianapolis $641 3.6% $619 Kansas $709 1.7% $698 Chicago $967 2.2% $947 ---- ---- ---- Weighted Average $727 2.6% $708 ==== ==== ==== TOTAL PROPERTY No. of REVENUES Apts. Per Month Per Month - --------------- ------ ---------- ---------- Dallas 4,320 $18,114,625 $ 699 $ 0.81 0.7% $17,989,639 $ 694 $ 0.80 Atlanta 2,572 $11,535,757 $ 748 $ 0.80 3.6% $11,132,721 $ 721 $ 0.77 Austin 1,289 $ 5,514,262 $ 713 $ 0.92 4.4% $ 5,281,309 $ 683 $ 0.88 Indianapolis 1,296 $ 4,761,678 $ 612 $ 0.69 1.7% $ 4,679,911 $ 602 $ 0.68 Kansas 1,252 $ 5,334,579 $ 710 $ 0.78 4.7% $ 5,095,409 $ 678 $ 0.75 Chicago 449 $ 2,712,203 $1,007 $ 1.14 2.1% $ 2,655,763 $ 986 $ 1.12 ----------- ------ ------ ----- ----------- ------ ------ Total ------ $47,973,103 $ 715 $ 0.81 2.4% $46,834,752 $ 698 $ 0.80 11,178 =========== ====== ===== ===== =========== ====== ====== ====== AMLI RESIDENTIAL PROPERTIES L.P. - "SAME COMMUNITY COMPARISON" (WHOLLY-OWNED PROPERTIES) - CONTINUED (Excludes all properties acquired or stabilized after 1/1/98, Reflections and Timberglen) 1/1/99-6/30/99 1/1/98-6/30/98 --------------------------------- % -------------------------------- Amount/% Per Unit Per Sq Ft Change Amount/% Per Unit Per Sq Ft -------- -------- ---------- ------ ---------- -------- --------- PROPERTY OPERATING EXPENSES (ANNUALIZED) (ANNUALIZED) - --------------------------- ------------ ------------ Dallas $ 7,571,611 $3,510 $4.06 2.0% $ 7,420,486 $3,435 $3.97 Atlanta $ 3,923,968 $3,051 $3.27 -1.3% $ 3,977,160 $3,093 $3.31 Austin $ 2,246,241 $3,485 $4.49 -0.1% $ 2,247,632 $3,487 $4.49 Indianapolis $ 1,851,111 $2,857 $3.23 6.4% $ 1,740,282 $2,686 $3.04 Kansas $ 1,801,243 $2,877 $3.18 -6.0% $ 1,916,738 $3,062 $3.38 Chicago $ 1,389,029 $6,187 $7.04 0.5% $ 1,382,199 $6,157 $7.00 ------------ ------ ----- ----- ----------- ------ ----- Total $ 18,783,203 $3,363 $3.83 0.5% $18,684,497 $3,343 $3.81 ============ ====== ===== ===== =========== ====== ===== Operating Efficiency 39.2% 39.9% ============ ==========
PER MONTH PER MONTH --------- ---------- NOI 1999% 1998% - --- ----- ----- Dallas 58.2% 58.8% $ 10,543,014 $406 $0.47 -0.2% $10,569,153 $408 $0.47 Atlanta 66.0% 64.3% $ 7,611,789 $493 $0.53 6.4% $ 7,155,561 $464 $0.50 Austin 59.3% 57.4% $ 3,268,022 $423 $0.54 7.7% $ 3,033,677 $392 $0.51 Indianapolis 61.1% 62.8% $ 2,910,567 $374 $0.42 -1.0% $ 2,939,629 $378 $0.43 Kansas 66.2% 62.4% $ 3,533,335 $470 $0.52 11.2% $ 3,178,671 $423 $0.47 Chicago 48.8% 48.0% $ 1,323,174 $491 $0.56 3.9% $ 1,273,564 $473 $0.54 ----- ----- ------------ ---- ----- ----- ----------- ---- ----- Total 60.8% 60.1% $ 29,189,901 $435 $0.50 3.7% $28,150,255 $420 $0.48 ===== ===== ============ ==== ===== ===== =========== ==== ===== Operating Margin 60.8% 60.1% ============ =========== CAPITAL EXPENDITURES (ANNUALIZED) (ANNUALIZED) - -------------------- ------------ ------------ Dallas $ 746,009 $ 345 $0.40 -0.6% $ 750,781 $348 $0.40 Atlanta $ 266,814 $ 207 $0.22 -32.4% $ 394,972 $307 $0.33 Austin $ 822,480 $1,276 $1.64 285.1% $ 213,561 $331 $0.43 Indianapolis $ 83,867 $ 129 $0.15 -25.7% $ 112,851 $174 $0.20 Kansas $ 168,330 $ 269 $0.30 -15.8% $ 199,822 $319 $0.35 Chicago $ 135,573 $ 604 $0.69 104.1% $ 66,439 $296 $0.34 ------------ ------ ----- ------ ---------- ---- ----- Total $ 2,223,072 $ 398 $0.45 27.9% $1,738,426 $311 $0.35 ============ ====== ===== ====== ========== ==== =====
AMLI RESIDENTIAL PROPERTIES L.P. - "SAME COMMUNITY COMPARISON" (WHOLLY-OWNED PROPERTIES) - CONTINUED (Excludes all properties acquired or stabilized after 1/1/98, Reflections and Timberglen)
1/1/99-6/30/99 1/1/98-6/30/98 --------------------------------- % -------------------------------- Amount/% Per Unit Per Sq Ft Change Amount/% Per Unit Per Sq Ft -------- -------- ---------- ------ ---------- -------- --------- REPAIRS AND MAINTENANCE (ANNUALIZED) (ANNUALIZED) - ----------------------- ------------ ------------ Dallas $ 907,446 $ 422 $0.49 2.2% $ 887,810 $ 411 $0.48 Atlanta $ 595,826 $ 463 $0.50 7.6% $ 553,586 $ 430 $0.46 Austin $ 292,126 $ 453 $0.58 13.8% $ 256,756 $ 398 $0.51 Indianapolis $ 300,621 $ 464 $0.52 13.0% $ 265,968 $ 410 $0.46 Kansas $ 214,311 $ 342 $0.38 -11.2% $ 241,447 $ 386 $0.43 Chicago $ 223,143 $ 994 $1.13 1.7% $ 219,357 $ 977 $1.11 ------------ ------ ----- ------ ---------- ------ ----- Total $ 2,533,472 $ 454 $0.52 4.5% $2,424,924 $ 434 $0.49 ============ ====== ===== ====== ========== ====== ===== REAL ESTATE TAXES (ANNUALIZED) (ANNUALIZED) - ----------------- ------------ ------------ Dallas $ 2,797,427 $1,295 $1.50 4.0% $2,689,057 $1,245 $1.44 Atlanta $ 883,284 $ 687 $0.74 -1.4% $ 895,734 $ 697 $0.75 Austin $ 762,441 $1,183 $1.52 -2.4% $ 781,139 $1,212 $1.56 Indianapolis $ 447,517 $ 691 $0.78 9.0% $ 410,674 $ 634 $0.72 Kansas $ 500,244 $ 799 $0.88 -5.1% $ 526,896 $ 842 $0.93 Chicago $ 559,002 $2,490 $2.83 1.5% $ 550,728 $2,453 $2.79 ------------ ------ ----- ----- ---------- ------ ----- Total $ 5,949,914 $1,065 $1.21 1.6% $5,854,228 $1,047 $1.19 ============ ====== ===== ==== ========== ====== =====
AMLI RESIDENTIAL PROPERTIES L.P. - "SAME COMMUNITY COMPARISON" (WHOLLY-OWNED AND CO-INVESTMENT PROPERTIES) THREE MONTHS ENDED JUNE 30, 1999 VERSUS THREE MONTHS ENDED JUNE 30, 1998 (Excludes all properties acquired or stabilized after 1/1/98)
4/1/99-6/30/99 4/1/98-6/30/98 No. of --------------------------------- % -------------------------------- Apts. Amount/% Per Unit Per Sq Ft Change Amount/% Per Unit Per Sq Ft -------- -------- -------- ---------- ------ ---------- -------- --------- WEIGHTED AVG. OCCUPANCY - ------------- Dallas 5,118 93.8% -1.2% 94.9% Atlanta 4,134 93.1% -1.0% 94.0% Austin 1,877 95.0% -0.2% 95.2% Houston 754 92.0% -4.1% 96.0% Indianapolis 1,296 91.0% -2.6% 93.4% Kansas 1,620 94.3% 2.2% 92.3% Chicago 2,490 95.4% -0.5% 95.9% ------ ------ ----- ----- Weighted Average 93.8% -0.9% 94.6% Total 17,289 ===== ===== ===== ====== WEIGHTED AVG. RENTAL RATE - ------------- Dallas $710 1.2% $701 Atlanta $786 2.9% $764 Austin $684 3.9% $658 Houston $756 0.8% $750 Indianapolis $636 2.2% $622 Kansas $719 1.3% $709 Chicago $987 4.8% $942 ---- ---- ---- Weighted Average $763 2.6% $744 ==== ==== ==== TOTAL PROPERTY REVENUES PER MONTH PER MONTH - --------------- --------- --------- Dallas $10,260,445 $ 704 $0.83 1.1% $10,147,865 $696 $0.82 Atlanta $ 9,652,358 $ 778 $0.80 2.7% $ 9,398,960 $758 $0.78 Austin $ 3,877,332 $ 689 $0.92 4.2% $ 3,719,889 $661 $0.89 Houston $ 1,677,196 $ 741 $0.80 -2.5% $ 1,720,970 $761 $0.82 Indianapolis $ 2,403,391 $ 618 $0.70 1.1% $ 2,378,289 $612 $0.69 Kansas $ 3,518,592 $ 724 $0.79 4.8% $ 3,358,804 $691 $0.76 Chicago $ 7,648,183 $1,024 $1.19 6.1% $ 7,209,321 $965 $1.13 ----------- ------ ----- ----- ----------- ---- ----- Total $39,037,496 $ 764 $0.87 2.9% $37,934,098 $743 $0.84 =========== ====== ===== ===== =========== ==== ===== AMLI RESIDENTIAL PROPERTIES L.P. - "SAME COMMUNITY COMPARISON" (WHOLLY-OWNED AND CO-INVESTMENT PROPERTIES) THREE MONTHS ENDED JUNE 30, 1999 VERSUS THREE MONTHS ENDED JUNE 30, 1998 (Excludes all properties acquired, sold or stabilized after 1/1/98) 4/1/99-6/30/99 4/1/98-6/30/98 --------------------------------- % -------------------------------- Amount/% Per Unit Per Sq Ft Change Amount/% Per Unit Per Sq Ft -------- -------- ---------- ------ ---------- -------- --------- PROPERTY OPERATING EXPENSES (ANNUALIZED) (ANNUALIZED) - ------------------- ------------ ----------- Dallas $ 4,382,389 $3,608 $4.24 2.2% $ 4,289,993 $3,532 $4.15 Atlanta $ 3,380,405 $3,271 $3.37 -1.2% $ 3,419,875 $3,309 $3.41 Austin $ 1,648,805 $3,514 $4.72 2.1% $ 1,614,484 $3,441 $4.62 Houston $ 723,374 $3,838 $4.15 6.9% $ 676,952 $3,591 $3.88 Indianapolis $ 954,483 $2,946 $3.33 0.9% $ 945,792 $2,919 $3.30 Kansas $ 1,223,712 $3,022 $3.31 -8.6% $ 1,338,564 $3,305 $3.62 Chicago $ 2,978,336 $4,784 $5.58 3.7% $ 2,873,189 $4,616 $5.39 ------------ ------ ----- ----- ----------- ------ ----- Total $ 15,291,504 $3,592 $4.08 0.9% $15,158,850 $3,561 $4.04 ============ ====== ===== ===== =========== ====== ===== Operating Efficiency 39.2% 40.0% ===== =====
PER MONTH PER MONTH 1999 1998 --------- ---------- NOI % % - --- ----- ----- Dallas 57.3% 57.7% $ 5,878,056 $403 $0.47 0.3% $ 5,857,871 $402 $0.47 Atlanta 65.0% 63.6% $ 6,271,954 $506 $0.52 4.9% $ 5,979,084 $482 $0.50 Austin 57.5% 56.6% $ 2,228,527 $396 $0.53 5.8% $ 2,105,405 $374 $0.50 Houston 56.9% 60.7% $ 953,822 $422 $0.46 -8.6% $ 1,044,018 $462 $0.50 Indianapolis 60.3% 60.2% $ 1,448,907 $373 $0.42 1.1% $ 1,432,497 $368 $0.42 Kansas 65.2% 60.1% $ 2,294,880 $472 $0.52 13.6% $ 2,020,240 $416 $0.46 Chicago 61.1% 60.1% $ 4,669,846 $625 $0.73 7.7% $ 4,336,132 $580 $0.68 ----- ----- ------------ ---- ----- ----- ----------- ---- ----- Total 60.8% 60.0% $ 23,745,991 $465 $0.53 4.3% $22,775,248 $446 $0.51 ===== ===== ============ ==== ===== ===== =========== ==== ===== Operating Margin 60.8% 60.0% ===== ===== AMLI RESIDENTIAL PROPERTIES L.P. - "SAME COMMUNITY COMPARISON" (WHOLLY-OWNED AND CO-INVESTMENT PROPERTIES) THREE MONTHS ENDED JUNE 30, 1999 VERSUS THREE MONTHS ENDED JUNE 30, 1998 (Excludes all properties acquired, sold or stabilized after 1/1/98) 4/1/99-6/30/99 4/1/98-6/30/98 --------------------------------- % -------------------------------- Amount/% Per Unit Per Sq Ft Change Amount/% Per Unit Per Sq Ft -------- -------- ---------- ------ ---------- -------- --------- CAPITAL EXPENDITURES (ANNUALIZED) (ANNUALIZED) - -------------------- ------------- ------------ Dallas $ 534,278 $ 440 $0.52 33.0% $ 401,652 $331 $0.39 Atlanta $ 197,754 $ 191 $0.20 -23.8% $ 259,665 $251 $0.26 Austin $ 554,938 $1,183 $1.59 134.0% $ 237,172 $505 $0.68 Houston $ 40,162 $ 213 $0.23 22.9% $ 32,668 $173 $0.19 Indianapolis $ 22,493 $ 69 $0.08 -72.2% $ 80,953 $250 $0.28 Kansas $ 96,423 $ 238 $0.26 -28.8% $ 135,429 $334 $0.37 Chicago $ 251,475 $ 404 $0.47 14.5% $ 219,689 $353 $0.41 ------------ ------ ----- ------ ---------- ---- ----- Total $ 1,697,523 $ 399 $0.45 24.2% $1,367,228 $321 $0.36 ============ ====== ===== ====== ========== ==== ===== REPAIRS AND MAINTENANCE (ANNUALIZED) (ANNUALIZED) - ----------------------- ------------ ------------ Dallas $ 606,978 $ 500 $0.59 7.1% $ 566,701 $ 467 $0.55 Atlanta $ 514,285 $ 498 $0.51 12.5% $ 457,006 $ 442 $0.46 Austin $ 243,148 $ 518 $0.70 13.1% $ 214,893 $ 458 $0.61 Houston $ 48,281 $ 256 $0.28 15.1% $ 41,959 $ 223 $0.24 Indianapolis $ 138,477 $ 427 $0.48 -2.1% $ 141,474 $ 437 $0.49 Kansas $ 133,320 $ 329 $0.36 -19.7% $ 166,007 $ 410 $0.45 Chicago $ 434,999 $ 699 $0.82 9.3% $ 397,818 $ 639 $0.75 ------------ ------ ----- ----- ---------- ------ ----- Total $ 2,119,489 $ 498 $0.57 6.7% $1,985,858 $ 466 $0.53 ============ ====== ===== ===== ========== ====== ===== REAL ESTATE TAXES (ANNUALIZED) (ANNUALIZED) - ----------------- ------------ ------------ Dallas $ 1,575,912 $1,298 $1.53 4.1% $1,514,102 $1,247 $1.47 Atlanta $ 731,863 $ 708 $0.73 -8.0% $ 795,114 $ 769 $0.79 Austin $ 542,797 $1,157 $1.55 1.4% $ 535,235 $1,141 $1.53 Houston $ 300,230 $1,593 $1.72 10.1% $ 272,580 $1,446 $1.56 Indianapolis $ 228,506 $ 705 $0.80 0.9% $ 226,497 $ 699 $0.79 Kansas $ 335,880 $ 829 $0.91 2.2% $ 328,761 $ 812 $0.89 Chicago $ 1,051,500 $1,689 $1.97 3.2% $1,019,310 $1,637 $1.91 ------------ ------ ----- ----- ---------- ------ ----- Total $ 4,766,688 $1,120 $1.27 1.6% $4,691,599 $1,102 $1.25 ============ ====== ===== ===== ========== ====== =====
AMLI RESIDENTIAL PROPERTIES L.P. - "SAME COMMUNITY COMPARISON" (WHOLLY-OWNED AND CO-INVESTMENT PROPERTIES) SIX MONTHS ENDED JUNE 30, 1999 VERSUS SIX MONTHS ENDED JUNE 30, 1998 (Excludes all properties acquired or stabilized after 1/1/98)
1/1/99-6/30/99 1/1/98-6/30/98 No. of --------------------------------- % -------------------------------- Apts. Amount/% Per Unit Per Sq Ft Change Amount/% Per Unit Per Sq Ft -------- -------- -------- ---------- ------ ---------- -------- --------- WEIGHTED AVG. OCCUPANCY - ------------- Dallas 5,118 93.1% -1.4% 94.5% Atlanta 4,134 92.4% -1.2% 93.5% Austin 1,877 93.9% -0.8% 94.6% Houston 754 91.7% -4.1% 95.6% Indianapolis 1,296 89.9% -2.4% 92.1% Kansas 1,620 94.3% 2.1% 92.4% Chicago 2,490 95.5% -0.2% 95.7% ------ ----- ----- ----- Weighted Average 93.2% -1.0% 94.1% ===== ===== ===== Total 17,289 ====== WEIGHTED AVG. RENTAL RATE - ------------- Dallas $709 1.5% $699 Atlanta $786 3.5% $759 Austin $680 3.7% $655 Houston $761 2.4% $743 Indianapolis $641 3.6% $619 Kansas $720 2.1% $705 Chicago $980 4.4% $938 ---- ---- ---- Weighted Average $762 3.0% $740 ==== ==== ==== TOTAL PROPERTY REVENUES Per Month Per Month - --------------- ---------- ---------- Dallas $20,298,550 $ 696 $ 0.82 0.7% $20,163,466 $ 692 $ 0.81 Atlanta $19,042,654 $ 768 $ 0.79 3.1% $18,472,222 $ 745 $ 0.77 Austin $ 7,654,814 $ 680 $ 0.91 4.4% $ 7,329,148 $ 651 $ 0.87 Houston $ 3,341,366 $ 739 $ 0.80 -1.1% $ 3,378,093 $ 747 $ 0.81 Indianapolis $ 4,761,678 $ 612 $ 0.69 1.7% $ 4,679,911 $ 602 $ 0.68 Kansas $ 7,032,143 $ 723 $ 0.79 5.8% $ 6,648,309 $ 684 $ 0.75 Chicago $15,072,452 $1,009 $ 1.18 5.9% $14,237,293 $ 953 $ 1.11 ----------- ------ ------ ----- ----------- ------ ------ Total $77,203,657 $ 756 $ 0.86 3.1% $74,908,442 $ 733 $ 0.83 =========== ====== ====== ===== =========== ====== ====== AMLI RESIDENTIAL PROPERTIES L.P.-"SAME COMMUNITY COMPARISON" (WHOLLY-OWNED AND CO-INVESTMENT PROPERTIES)-CONTINUED (Excludes all properties acquired or stabilized after 1/1/98) 1/1/99-6/30/99 1/1/98-6/30/98 --------------------------------- % -------------------------------- Amount/% Per Unit Per Sq Ft Change Amount/% Per Unit Per Sq Ft -------- -------- ---------- ------ ---------- -------- --------- PROPERTY OPERATING EXPENSES (ANNUALIZED) (ANNUALIZED) - --------------------------- ------------ ------------ Dallas $ 8,611,162 $3,545 $4.17 1.5% $ 8,484,993 $3,493 $4.11 Atlanta $ 6,640,300 $3,213 $3.31 -2.2% $ 6,792,899 $3,286 $3.39 Austin $ 3,179,442 $3,388 $4.55 -1.3% $ 3,222,609 $3,434 $4.61 Houston $ 1,468,002 $3,894 $4.21 6.1% $ 1,383,978 $3,671 $3.97 Indianapolis $ 1,851,111 $2,857 $3.23 6.4% $ 1,740,282 $2,686 $3.04 Kansas $ 2,397,875 $2,960 $3.24 -2.8% $ 2,467,571 $3,046 $3.34 Chicago $ 5,733,437 $4,605 $5.37 1.2% $ 5,667,656 $4,552 $5.31 ------------ ------ ----- ----- ----------- ------ ----- Total $ 29,881,329 $3,509 $3.99 0.4% $29,759,987 $3,495 $3.97 ============ ====== ===== ===== =========== ====== ===== Operating Efficiency 38.7% 39.7% ============ ==========
PER MONTH PER MONTH --------- ---------- NOI 1999% 1998% - --- ----- ----- Dallas 57.6% 57.9% $ 11,687,388 $401 $0.47 0.1% $11,678,473 $401 $0.47 Atlanta 65.1% 63.2% $ 12,402,354 $500 $0.52 6.2% $11,679,324 $471 $0.49 Austin 58.5% 56.0% $ 4,475,372 $397 $0.53 9.0% $ 4,106,538 $365 $0.49 Houston 56.1% 59.0% $ 1,873,364 $414 $0.45 -6.1% $ 1,994,115 $441 $0.48 Indianapolis 61.1% 62.8% $ 2,910,567 $374 $0.42 -1.0% $ 2,939,629 $378 $0.43 Kansas 65.9% 62.9% $ 4,634,268 $477 $0.52 10.8% $ 4,180,738 $430 $0.47 Chicago 62.0% 60.2% $ 9,339,015 $625 $0.73 9.0% $ 8,569,637 $574 $0.67 ----- ----- ------------ ---- ----- ----- ----------- ---- ----- Total 61.3% 60.3% $ 47,322,328 $463 $0.53 4.8% $45,148,455 $442 $0.50 ===== ===== ============ ==== ===== ===== =========== ==== ===== Operating Margin 61.3% 60.3% ============ ==========
AMLI RESIDENTIAL PROPERTIES L.P.-"SAME COMMUNITY COMPARISON" (WHOLLY-OWNED AND CO-INVESTMENT PROPERTIES)-CONTINUED (Excludes all properties acquired or stabilized after 1/1/98)
1/1/99-6/30/99 1/1/98-6/30/98 --------------------------------- % -------------------------------- Amount/% Per Unit Per Sq Ft Change Amount/% Per Unit Per Sq Ft -------- -------- ---------- ------ ---------- -------- --------- CAPITAL EXPENDITURES (ANNUALIZED) (ANNUALIZED) - -------------------- ------------ ------------ Dallas $ 885,229 $ 364 $0.43 9.4% $ 809,106 $333 $0.39 Atlanta $ 347,062 $ 168 $0.17 -23.9% $ 455,895 $221 $0.23 Austin $ 895,614 $ 954 $1.28 187.2% $ 311,807 $332 $0.45 Houston $ 80,400 $ 213 $0.23 21.4% $ 66,200 $176 $0.19 Indianapolis $ 83,867 $ 129 $0.15 -25.7% $ 112,851 $174 $0.20 Kansas $ 179,524 $ 222 $0.24 -14.8% $ 210,828 $260 $0.28 Chicago $ 499,794 $ 401 $0.47 52.2% $ 328,390 $264 $0.31 ------------ ------ ----- ------ ---------- ---- ----- Total $ 2,971,489 $ 349 $0.40 29.5% $2,295,077 $270 $0.31 ============ ====== ===== ====== ========== ==== ===== REPAIRS AND MAINTENANCE (ANNUALIZED) (ANNUALIZED) - ----------------------- ------------ ------------ Dallas $ 1,076,203 $ 443 $0.52 3.0% $1,045,046 $ 430 $0.51 Atlanta $ 915,620 $ 443 $0.46 2.8% $ 890,717 $ 431 $0.44 Austin $ 421,004 $ 449 $0.60 1.9% $ 413,352 $ 440 $0.59 Houston $ 86,223 $ 229 $0.25 0.4% $ 85,875 $ 228 $0.25 Indianapolis $ 300,621 $ 464 $0.52 13.0% $ 265,968 $ 410 $0.46 Kansas $ 261,316 $ 323 $0.35 -10.7% $ 292,627 $ 361 $0.40 Chicago $ 803,945 $ 646 $0.75 1.7% $ 790,451 $ 635 $0.74 ------------ ------ ----- ------ ---------- ------ ----- Total $ 3,864,932 $ 454 $0.52 2.1% $3,784,037 $ 444 $0.50 ============ ====== ===== ====== ========== ====== ===== REAL ESTATE TAXES (ANNUALIZED) (ANNUALIZED) - ----------------- ------------ ------------ Dallas $ 3,151,829 $1,298 $1.53 4.2% $3,023,389 $1,245 $1.46 Atlanta $ 1,550,848 $ 750 $0.77 -2.5% $1,590,228 $ 769 $0.79 Austin $ 1,032,147 $1,100 $1.48 -4.1% $1,076,261 $1,147 $1.54 Houston $ 641,715 $1,702 $1.84 17.7% $ 545,160 $1,446 $1.56 Indianapolis $ 447,517 $ 691 $0.78 9.0% $ 410,674 $ 634 $0.72 Kansas $ 671,760 $ 829 $0.91 2.2% $ 657,522 $ 812 $0.89 Chicago $ 2,103,000 $1,689 $1.97 4.5% $2,011,986 $1,616 $1.89 ------------ ------ ----- ----- ---------- ------ ----- Total $ 9,598,816 $1,127 $1.28 3.0% $9,315,220 $1,094 $1.24 ============ ====== ===== ===== ========== ====== =====
AMLI RESIDENTIAL PROPERTIES TRUST PROPERTY INFORMATION As of June 30, 1999
Qtr ended June 30, 1999 Approx- Average Qtr ended imate Rental Rates June 30, Number Rentable Average ------------- 1999 Year Year of Area Unit Size Per Per Average PROPERTIES Location Acquired Completed Units (Sq Ft) (Sq Ft) Unit Sq Ft Occupancy - ---------- -------- -------- --------- ------ --------- --------- ---- ----- ----------- WHOLLY OWNED PROPERTIES - ------------ DALLAS/FT. WORTH, TX - ---------- Amli: at Autumn Chase Carrollton, TX 1991 87/96/99 690 596,448 864 737 $0.85 91.4% at Bent Tree Dallas, TX 1997 1996 300 282,303 941 826 0.88 93.0% at Bishop's Gate West Plano, TX 1997 1997 266 292,094 1,098 1,009 0.92 92.4% at Chase Oaks Plano, TX 1994 1986 250 193,736 775 682 0.88 92.9% at Gleneagles Dallas, TX 1988 87/97 590 521,302 884 711 0.80 96.1% on the Green Ft. Worth, TX 1994 90/93 424 358,560 846 690 0.82 94.6% at Nantucket Dallas, TX 1988 1986 312 222,208 712 569 0.80 94.9% of North Dallas Dallas, TX 89/90 85/86 1,032 905,590 878 677 0.77 92.3% on Rosemeade Dallas, TX 1990 1987 236 205,334 870 684 0.79 94.6% at Valley Ranch Irving, TX 1990 1985 460 389,940 848 712 0.84 93.6% ----- --------- --- ---- ----- ------ Subtotal-Dallas/ Ft. Worth, TX 4,560 3,967,515 870 718 $0.82 93.4% ----- --------- --- ---- ----- ------ ATLANTA, GA - ----------- Amli: at Sope Creek Marietta, GA 82/83/95 695 632,425 910 705 $0.77 93.0% at Spring Creek Dunwoody, GA 85/86/87/89 1,180 1,080,568 916 748 0.82 91.4% at Vinings Atlanta, GA 92/97 1985 360 374,768 1,041 807 0.78 96.1% at West Paces Atlanta, GA 1993 1992 337 314,470 933 905 0.97 94.6% at Peachtree City Fayette County, GA 1998 312 305,756 980 898 0.92 94.9% at Park Creek Gainesville, GA 1998 200 195,146 976 736 0.75 88.2% at Clairmont Atlanta, GA 1998 1988 288 229,938 798 759 1.00 95.1% ------ --------- ----- ---- ----- ------ Subtotal- Atlanta, GA 3,372 3,133,071 929 778 $0.84 93.0% ------ --------- ----- ---- ----- ------ Qtr ended June 30, 1999 Approx- Average Qtr ended imate Rental Rates June 30, Number Rentable Average ------------- 1999 Year Year of Area Unit Size Per Per Average PROPERTIES Location Acquired Completed Units (Sq Ft) (Sq Ft) Unit Sq Ft Occupancy - ---------- -------- -------- --------- ------ --------- --------- ---- ----- ----------- AUSTIN, TEXAS - ------------- Amli: at the Arboretum Austin, TX 1986 1983 231 178,116 771 691 $0.90 97.1% in Great Hills Austin, TX 1991 1985 344 257,984 750 707 0.94 95.8% at Lantana Ridge Austin, TX 1997 1997 354 311,857 881 831 0.94 92.0% at Martha's Vineyard Austin, TX 1992 1986 360 260,380 723 633 0.88 95.2% ----- --------- --- ---- ----- ----- Subtotal- Austin, TX 1,289 1,008,337 782 718 $0.92 94.8% ----- --------- --- ---- ----- ----- EASTERN KANSAS - -------------- Amli: at Alvamar Lawrence, KS 1994 1989 152 125,800 828 674 $0.81 96.1% at Centennial Overland Park, KS 1998 1998 170 204,858 1,205 957 0.79 90.4% at Crown Colony Topeka, KS 1994 86/97 220 172,284 783 603 0.77 92.6% at Lexington Farms Overland Park, KS 1998 1998 404 392,693 972 784 0.81 93.6% at Regents Center Overland Park, KS 1994 91/95/97 424 398,674 940 740 0.79 96.7% at Sherwood Topeka, KS 1994 1993 300 260,340 868 631 0.73 91.2% at Town Center Overland Park, KS 1997 1997 156 176,914 1,134 952 0.84 94.0% ----- --------- ----- ----- ----- ----- Subtotal -Eastern KS 1,826 1,731,563 948 748 $0.79 93.7% ----- --------- ----- ----- ----- ----- INDIANAPOLIS, IN - ---------------- Amli: at Riverbend Indianapolis, IN 92/93 83/85 996 820,712 824 583 $0.71 89.5% at Conner Farms Indianapolis, IN 1997 1993 300 327,396 1,091 813 0.75 96.2% at Eagle Creek Indianapolis, IN 1998 1998 240 233,432 973 757 0.78 94.3% ----- --------- ----- ---- ----- ----- Subtotal -Indianapolis, IN 1,536 1,381,540 899 655 $0.73 91.5% ----- --------- ----- ---- ----- ----- Qtr ended June 30, 1999 Approx- Average Qtr ended imate Rental Rates June 30, Number Rentable Average ------------- 1999 Year Year of Area Unit Size Per Per Average PROPERTIES Location Acquired Completed Units (Sq Ft) (Sq Ft) Unit Sq Ft Occupancy - ---------- -------- -------- --------- ------ --------- --------- ---- ----- ----------- CHICAGO, IL - ------------ Amli: at Park Sheridan Chicago, IL 1989 1986 253 216,315 855 976 $1.14 94.9% at Poplar Creek Schaumburg, IL 1997 1985 196 177,630 906 983 1.08 92.2% ----- ---------- ----- ----- ----- ----- Subtotal -Chicago, IL 449 393,945 877 979 $1.12 93.7% ------ ---------- ----- ----- ----- ----- TOTAL WHOLLY OWNED PROPERTIES 13,032 11,615,971 891 739 $0.83 93.3% ====== ========== ==== ==== ===== ===== Qtr ended June 30, 1999 Approx- Average Qtr ended imate Rental Rates June 30, Number Rentable Average ------------- 1999 Year Year of Area Unit Size Per Per Average PROPERTIES Location Acquired Completed Units (Sq Ft) (Sq Ft) Unit Sq Ft Occupancy - ---------- -------- -------- --------- ------ --------- --------- ---- ----- ----------- CO-INVESTMENT PROPERTIES - -------------- ATLANTA, GA Amli: at Pleasant Hill Gwinnett County, GA 1996 502 501,816 1,000 797 $0.80 91.0% at Barrett Lakes Cobb County, GA 1997 446 462,368 1,037 856 0.83 94.6% at River Park Norcross, GA 1997 222 226,632 1,021 895 0.88 94.0% at Towne Creek Gainesville, GA 1989 150 121,722 811 628 0.77 91.6% at Willeo Creek Rosewell, GA 1995 1989 242 297,302 1,229 847 0.69 93.8% ----- --------- ----- ---- ----- ------ Subtotal- Atlanta, GA 1,562 1,609,840 1,031 819 $0.79 92.9% ----- --------- ----- ---- ----- ------ CHICAGO, IL - ----------- Amli: at Prairie Court Oak Park, IL 1987 125 105,578 845 1,126 $1.33 95.2% at Windbrooke Buffalo Grove, IL 1995 1987 236 213,160 903 1,011 1.12 97.7% at Chevy Chase Buffalo Grove, IL 1996 1988 592 480,820 812 1,003 1.24 95.1% at Danada Wheaton, IL 1997 89/91 600 521,499 869 947 1.09 95.9% at Fox Valley Aurora, IL 1998 272 269,237 990 979 0.99 92.5% at Willowbrook Willowbrook, IL 1996 1987 488 418,404 857 976 1.14 95.8% ----- --------- --- ---- ----- ----- Subtotal- Chicago, IL 2,313 2,008,698 868 988 $1.14 95.4% ----- --------- --- ---- ----- ----- EASTERN KANSAS - -------------- AMLI: at Regents Crest Overland Park, KS 1997 1997 368 346,632 942 754 $0.80 94.4% ----- --------- --- ---- ----- ----- Qtr ended June 30, 1999 Approx- Average Qtr ended imate Rental Rates June 03, Number Rentable Average ------------- 1999 Year Year of Area Unit Size Per Per Average PROPERTIES Location Acquired Completed Units (Sq Ft) (Sq Ft) Unit Sq Ft Occupancy - ---------- -------- -------- --------- ------ --------- --------- ---- ----- ----------- DALLAS/FT. WORTH - ---------------- AMLI: at Fossil Creek Ft. Worth, TX 1998 384 384,358 1,001 810 $0.81 93.1% on the Parkway Dallas, TX 1999 240 225,248 939 871 0.93 93.6% on Timberglen Dallas, TX 1990 1985 260 201,198 774 622 0.80 93.7% at Varandah Arlington, TX 1997 86/91 538 394,444 733 672 0.92 95.5% ----- --------- --- ---- ----- ----- Subtotal - Dallas/ Ft. Worth, TX 1,422 1,205,248 848 734 $0.87 94.2% ----- --------- --- ---- ----- ----- AUSTIN, TX - ---------- AMLI: at Wells Branch Austin, TX 1999 576 554,582 963 785 $0.82 82.8% at Park Place Austin, TX 1994 1985 588 397,968 677 609 0.90 95.4% ----- --------- --- ---- ----- ----- Subtotal - Austin, TX 1,164 952,550 818 696 $0.85 89.2% ----- --------- --- ---- ----- ----- HOUSTON, TX - ----------- Amli: at Champions Centre Houston, TX 1994 1994 192 164,480 857 754 $0.88 92.9% at Champions Park Houston, TX 1994 1991 246 221,986 902 735 0.81 90.1% at Greenwood Forest Houston, TX 1995 1995 316 310,844 984 774 0.79 92.9% ------ --------- --- ---- ----- ----- Subtotal- Houston, TX 754 697,310 925 756 $0.82 92.0% ------ --------- ---- ---- ----- ----- TOTAL CO-INVESTMENT PROPERTIES 7,583 6,820,278 899 $826 $0.92 93.3% ====== ========= === ==== ===== ===== TOTAL WHOLLY OWNED AND CO-INVESTMENT PROPERTIES 20,615 18,436,249 894 $771 $0.86 93.3% ====== ========== === ==== ===== =====
AMLI RESIDENTIAL PROPERTIES TRUST COMPONENTS OF PROPERTY EBITDA
WHOLLY-OWNED CO-INVESTMENTS AT 100% COMBINED AT 100% ---------------------------- -------------------------- -------------------------- THREE MONTHS ENDED THREE MONTHS ENDED THREE MONTHS ENDED JUNE 30, JUNE 30, JUNE 30, ---------------------------- -------------------------- -------------------------- % % % 1999 1998 Change 1999 1998 Change 1999 1998 Change ------- ------- ------ ------- ------- ------ ------- ------- ------- PROPERTY REVENUES - ----------------- Rental Income - ------------- Same Store Communities (1). . . . $22,760 22,413 1.5% 13,889 13,482 3.0% 36,649 35,895 2.1% New Communities (2) . . 1,688 1,003 68.3% 1,606 1,119 43.5% 3,294 2,122 55.2% Development and/ or Lease-up Communities (3). . . . 304 77 296.1% 4,021 524 667.5% 4,325 601 620.1% Acquisition Communities (4). . . . 2,529 643 293.5% -- -- 2,529 643 293.5% Communities Sold/ Contributed to Ventures (5) . . . . . 1,069 452 -- 452 1,069 ------- ------- ------- ------- ------- ------- ------- ------- ------- Total. . . . . . . . $27,281 25,204 8.2% 19,969 15,125 32.0% 47,249 40,329 17.2% ======= ======= ======= ======= ======= ======= ======= ======= ======= Other Revenues - -------------- Same Store Communities. . . . . . $ 1,438 1,246 15.4% 950 793 19.8% 2,389 2,039 17.1% New Communities . . . . 141 85 65.9% 124 121 2.6% 264 206 28.7% Development and/ or Lease-up Communities. . . . . . 24 3 640.9% 291 55 427.5% 315 58 439.4% Acquisition Communities. . . . . . 154 30 411.9% -- -- 154 30 411.9% Communities Sold/ Contributed to Ventures . . . . . . . -- 92 23 -- 23 92 ------- ------- ------- ------- ------- ------- ------- ------- ------- Total. . . . . . . . $ 1,757 1,456 20.7% 1,388 969 43.3% 3,146 2,425 29.7% ======= ======= ======= ======= ======= ======= ======= ======= ======= AMLI RESIDENTIAL PROPERTIES TRUST COMPONENTS OF PROPERTY EBITDA - CONTINUED WHOLLY-OWNED CO-INVESTMENTS AT 100% COMBINED AT 100% ---------------------------- ---------------------------- ---------------------------- THREE MONTHS ENDED THREE MONTHS ENDED THREE MONTHS ENDED JUNE 30, JUNE 30, JUNE 30, ---------------------------- ---------------------------- ---------------------------- % % % 1999 1998 Change 1999 1998 Change 1999 1998 Change ------- ------- ------ ------- ------- ------ ------- ------- ------- Total Property Revenues - --------------- Same Store Communities. . . . . . $24,198 23,659 2.3% 14,839 14,275 3.9% 39,037 37,934 2.9% New Communities . . . . 1,829 1,088 68.2% 1,730 1,240 39.5% 3,559 2,327 52.9% Development and/ or Lease-up Communities. . . . . . 328 80 310.1% 4,313 579 644.6% 4,641 659 604.0% Acquisition Communities. . . . . . 2,683 673 298.8% -- -- 2,683 673 298.8% Communities Sold/ Contributed to Ventures . . . . . . . -- 1,161 475 -- 475 1,161 ------- ------- ------- ------- ------- ------- ------- ------- ------- Total. . . . . . . . $29,038 26,660 8.9% 21,357 16,094 32.7% 50,395 42,754 17.9% ======= ======= ======= ======= ======= ======= ======= ======= ======= Total Operating Expenses - --------------- Same Store Communities. . . . . . $ 9,618 9,581 0.4% 5,673 5,577 1.7% 15,291 15,159 0.9% New Communities . . . . 566 439 29.0% 682 607 12.4% 1,249 1,046 19.4% Development and/ or Lease-up Communities. . . . . . 182 42 336.1% 1,824 288 533.5% 2,006 330 508.5% Acquisition Communities. . . . . . 927 255 263.7% -- -- 927 255 263.7% Communities Sold/ Contributed to Ventures . . . . . . . 784 230 -- 230 784 ------- ------- ------- ------- ------- ------- ------- ------- ------- Total. . . . . . . . $11,294 11,101 1.7% 8,409 6,472 29.9% 19,703 17,573 12.1% ======= ======= ======= ======= ======= ======= ======= ======= ======= AMLI RESIDENTIAL PROPERTIES TRUST COMPONENTS OF PROPERTY EBITDA - CONTINUED WHOLLY-OWNED CO-INVESTMENTS AT 100% COMBINED AT 100% ---------------------------- ---------------------------- ---------------------------- THREE MONTHS ENDED THREE MONTHS ENDED THREE MONTHS ENDED JUNE 30, JUNE 30, JUNE 30, ---------------------------- ---------------------------- ---------------------------- % % % 1999 1998 Change 1999 1998 Change 1999 1998 Change ------- ------- ------ ------- ------- ------ ------- ------- ------- Property EBITDA - --------------- Same Store Communities. . . . . . $14,580 14,077 3.6% 9,166 8,698 5.4% 23,746 22,775 4.3% New Communities . . . . 1,262 649 94.6% 1,047 633 65.5% 2,310 1,281 80.3% Development and/ or Lease-up Communities. . . . . . 146 38 281.8% 2,488 291 754.5% 2,635 329 699.6% Acquisition Communities. . . . . . 1,756 418 320.3% -- -- 1,756 418 320.3% Communities Sold/ Contributed to Ventures . . . . . . . -- 377 245 -- 245 377 ------- ------- ------- ------- ------- ------- ------- ------- ------- Total. . . . . . . . $17,744 15,559 14.0% 12,947 9,622 34.6% 30,692 25,181 21.9% ======= ======= ======= ======= ======= ======= ======= ======= ======= Company's share of Co-investment EBITDA (incl. share of cash flow in excess of ownership %). . . . . . 3,624 2,603 39.2% 3,624 2,603 39.2% ======= ======= ======= ======= ======= ======= Percent of Co-investment EBITDA. . . . . . . . . 28% 27% 12% 10% ======= ======= ======= ======= (1) Stabilized Communities at 1/1/98. (2) Development Communities stabilized after 1/1/98 but before 1/1/99. (3) Development Communities not yet stabilized. (4) Stabilized Communities acquired after 1/1/98. (5) Communities sold or contributed to co-investment ventures.
AMLI RESIDENTIAL PROPERTIES TRUST COMPONENTS OF PROPERTY EBITDA
WHOLLY-OWNED CO-INVESTMENTS AT 100% COMBINED AT 100% ---------------------------- -------------------------- -------------------------- SIX MONTHS ENDED SIX MONTHS ENDED SIX MONTHS ENDED JUNE 30, JUNE 30, JUNE 30, ---------------------------- -------------------------- -------------------------- % % % 1999 1998 Change 1999 1998 Change 1999 1998 Change ------- ------- ------ ------- ------- ------ ------- ------- ------- PROPERTY REVENUES - ----------------- Rental Income - ------------- Same Store Communities (1). . . . $45,245 44,429 1.8% 27,460 26,648 3.0% 72,704 71,076 2.3% New Communities (2) . . 3,331 1,597 108.5% 3,170 1,976 60.4% 6,500 3,573 81.9% Development and/ or Lease-up Communities (3). . . . 477 149 219.2% 7,177 730 883.8% 7,654 879 770.9% Acquisition Communities (4). . . . 4,922 1,135 333.7% -- -- 4,922 1,135 333.7% Communities Sold/ Contributed to Ventures (5) . . . . . 1 1,975 897 -- 899 1,975 ------- ------- ------- ------- ------- ------- ------- ------- ------- Total. . . . . . . . $53,976 49,285 9.5% 38,704 29,353 31.9% 92,679 78,639 17.9% ======= ======= ======= ======= ======= ======= ======= ======= ======= Other Revenues - -------------- Same Store Communities. . . . . . $ 2,728 2,406 13.4% 1,771 1,426 24.2% 4,499 3,832 17.4% New Communities . . . . 266 143 85.5% 248 208 19.1% 514 352 46.2% Development and/ or Lease-up Communities. . . . . . 40 4 923.1% 515 85 509.2% 554 88 527.3% Acquisition Communities. . . . . . 292 41 618.1% -- -- 292 41 618.1% Communities Sold/ Contributed to Ventures . . . . . . . -- 154 41 -- 41 154 ------- ------- ------- ------- ------- ------- ------- ------- ------- Total. . . . . . . . $ 3,326 2,748 21.0% 2,575 1,719 49.8% 5,901 4,467 32.1% ======= ======= ======= ======= ======= ======= ======= ======= ======= AMLI RESIDENTIAL PROPERTIES TRUST COMPONENTS OF PROPERTY EBITDA - CONTINUED WHOLLY-OWNED CO-INVESTMENTS AT 100% COMBINED AT 100% ---------------------------- ---------------------------- ---------------------------- SIX MONTHS ENDED SIX MONTHS ENDED SIX MONTHS ENDED JUNE 30, JUNE 30, JUNE 30, ---------------------------- ---------------------------- ---------------------------- % % % 1999 1998 Change 1999 1998 Change 1999 1998 Change ------- ------- ------ ------- ------- ------ ------- ------- ------- Total Property Revenues - --------------- Same Store Communities. . . . . . $47,973 46,835 2.4% 29,231 28,074 4.1% 77,204 74,908 3.1% New Communities . . . . 3,597 1,741 106.6% 3,418 2,184 56.5% 7,015 3,925 78.7% Development and/ or Lease-up Communities. . . . . . 516 153 237.0% 7,692 814 844.9% 8,208 967 748.7% Acquisition Communities. . . . . . 5,214 1,176 343.5% -- -- 5,214 1,176 343.5% Communities Sold/ Contributed to Ventures . . . . . . . 1 2,129 938 -- 940 2,129 ------- ------- ------- ------- ------- ------- ------- ------- ------- Total. . . . . . . . $57,302 52,033 10.1% 41,279 31,072 32.8% 98,580 83,105 18.6% ======= ======= ======= ======= ======= ======= ======= ======= ======= Total Operating Expenses - --------------- Same Store Communities. . . . . . $18,783 18,684 0.5% 11,098 11,075 0.2% 29,881 29,760 0.4% New Communities . . . . 1,110 762 45.7% 1,346 1,228 9.6% 2,456 1,990 23.4% Development and/ or Lease-up Communities. . . . . . 328 92 255.9% 3,249 460 606.2% 3,577 552 547.8% Acquisition Communities. . . . . . 1,825 425 329.9% -- -- 1,825 425 329.9% Communities Sold/ Contributed to Ventures . . . . . . . 10 1,328 455 -- 465 1,328 ------- ------- ------- ------- ------- ------- ------- ------- ------- Total. . . . . . . . $22,057 21,291 3.6% 16,149 12,764 26.5% 38,206 34,054 12.2% ======= ======= ======= ======= ======= ======= ======= ======= ======= AMLI RESIDENTIAL PROPERTIES TRUST COMPONENTS OF PROPERTY EBITDA - CONTINUED WHOLLY-OWNED CO-INVESTMENTS AT 100% COMBINED AT 100% ---------------------------- ---------------------------- ---------------------------- SIX MONTHS ENDED SIX MONTHS ENDED SIX MONTHS ENDED JUNE 30, JUNE 30, JUNE 30, ---------------------------- ---------------------------- ---------------------------- % % % 1999 1998 Change 1999 1998 Change 1999 1998 Change ------- ------- ------ ------- ------- ------ ------- ------- ------- Property EBITDA - --------------- Same Store Communities. . . . . . $29,190 28,150 3.7% 18,132 16,998 6.7% 47,322 45,148 4.8% New Communities . . . . 2,487 979 154.0% 2,072 956 116.7% 4,559 1,935 135.6% Development and/ or Lease-up Communities. . . . . . 188 61 208.5% 4,442 354 1155.2% 4,631 415 1015.9% Acquisition Communities. . . . . . 3,388 751 351.3% -- -- 3,388 751 351.3% Communities Sold/ Contributed to Ventures . . . . . . . (9) 802 483 -- 474 802 ------- ------- ------- ------- ------- ------- ------- ------- ------- Total. . . . . . . . $35,245 30,743 14.6% 25,130 18,308 37.3% 60,375 49,051 23.1% ======= ======= ======= ======= ======= ======= ======= ======= ======= Company's share of Co-investment EBITDA (incl. share of cash flow in excess of ownership %). . . . . . 7,013 4,926 42.4% 7,013 4,926 42.4% ======= ======= ======= ======= ======= ======= Percent of Co-investment EBITDA. . . . . . . . . 28% 27% 12% 10% ======= ======= ======= ======= (1) Stabilized Communities at 1/1/98. (2) Development Communities stabilized after 1/1/98 but before 1/1/99. (3) Development Communities not yet stabilized. (4) Stabilized Communities acquired after 1/1/98. (5) Communities sold or contributed to co-investment ventures.
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