(Mark
One)
|
|
þ
|
ANNUAL
REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF
1934
|
For
the fiscal year ended December 31, 2008
|
|
¨
|
TRANSITION
REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF
1934
|
For
the transition period from ____________________ to
____________________
|
MARYLAND
|
16-1455126
|
(State
of incorporation)
|
(I.R.S.
Employer Identification No.)
|
Title of each class
|
Name of each exchange on which
registered
|
|
Common
Stock, $.01 par value
|
New
York Stock Exchange
|
Yes
|
þ
|
No
|
¨
|
Yes
|
¨
|
No
|
þ
|
Yes
|
þ
|
No
|
¨
|
¨
|
Large
accelerated filer þ
|
Accelerated
filer ¨
|
Non-accelerated
filer ¨
|
Smaller
reporting company ¨
|
Yes
|
¨
|
No
|
þ
|
Document
|
Parts Into Which
Incorporated
|
Proxy
Statement for the Annual Meeting of Stockholders to be held on May 5,
2009
|
Part
III
|
Page
|
|||
PART
I.
|
|||
Business
|
5
|
||
Risk
Factors
|
13
|
||
Unresolved
Staff Comments
|
20
|
||
Properties
|
20
|
||
Legal
Proceedings
|
25
|
||
Submission
of Matters to a Vote of Security Holders
|
25
|
||
Executive
Officers
|
25
|
||
PART
II.
|
|||
Market
for the Registrant's Common Equity, Related Shareholder Matters, and
Issuer Purchases of Equity Securities
|
27
|
||
Selected
Financial Data
|
30
|
||
Management's
Discussion and Analysis of Financial Condition and Results of
Operations
|
32
|
||
Quantitative
and Qualitative Disclosures About Market Risk
|
56
|
||
Financial
Statements and Supplementary Data
|
57
|
||
Changes
in and Disagreements with Accountants on Accounting and Financial
Disclosure
|
57
|
||
Controls
and Procedures
|
57
|
||
Other
Information
|
58
|
||
PART
III.
|
|||
Directors,
Executive Officers and Corporate Governance
|
59
|
||
Executive
Compensation
|
62
|
||
Security
Ownership of Certain Beneficial Owners and Management and Related
Stockholders Matters
|
62
|
||
Certain
Relationships and Related Transactions, and Director
Independence
|
62
|
||
Principal
Accounting Fees and Services
|
62
|
||
PART
IV.
|
|||
Exhibits,
Financial Statement Schedules
|
63
|
Apts.
|
Apts.
Managed As
|
Apts.
|
Apt.
|
|||||||||||||
Market
Area
|
Owned
|
General
Partner
|
Fee
Managed
|
Totals
|
||||||||||||
Suburban
Washington, D.C.
|
9,333 | - | - | 9,333 | ||||||||||||
Baltimore,
MD
|
7,814 | - | 282 | 8,096 | ||||||||||||
Suburban
New York City
|
7,708 | - | - | 7,708 | ||||||||||||
Philadelphia,
PA
|
6,195 | - | - | 6,195 | ||||||||||||
Boston,
MA
|
2,382 | - | - | 2,382 | ||||||||||||
Chicago,
IL
|
2,242 | - | - | 2,242 | ||||||||||||
Southeast
Florida
|
836 | - | - | 836 | ||||||||||||
Portland,
ME
|
620 | - | - | 620 | ||||||||||||
Columbus,
OH
|
- | 868 | - | 868 | ||||||||||||
Total
Number of Units
|
37,130 | 868 | 282 | 38,280 | ||||||||||||
Total
Number of Communities
|
110 | 1 | 1 | 112 |
·
|
focus
on service and resident satisfaction, as evidenced by both The Home
Properties Pledge, which provides a money-back service guarantee and lease
flexibility, and by its resident turnover ratio which is consistently
below the industry average;
|
·
|
ability
to issue UPREIT Units in purchase transactions, which provides sellers
with the opportunity to defer taxes;
and
|
·
|
unique
repositioning strategy that differentiates the Company from its
competitors.
|
December
|
December
|
2008
|
||||||||||||||||||||||||||||||
Job
|
Job
|
Multifamily
|
||||||||||||||||||||||||||||||
Growth
|
Growth
|
2008
|
Units
as a %
|
2008
|
||||||||||||||||||||||||||||
%
of
|
2008
|
Trailing
|
Trailing
|
December
|
Median
|
of
Total
|
Multifamily
|
|||||||||||||||||||||||||
Owned
|
Number
of
|
12
Months
|
12
Months
|
Unemployment
|
Home
|
Housing
Units
|
Housing
|
|||||||||||||||||||||||||
MSA
Market Area
|
Units
|
Households
|
%
Change
|
Actual
|
Rate
|
Value
|
Stock (4)
|
Stock (5)
|
||||||||||||||||||||||||
Northern
VA/DC
|
25.1 | % | 2,023,718 | 0.4 | % | 11,800 | 4.7 | % | 408,196 | 30.9 | % | 660,243 | ||||||||||||||||||||
Baltimore,
MD
|
21.0 | % | 1,036,471 | (0.9 | %) | (12,600 | ) | 5.8 | % | 280,537 | 22.1 | % | 245,967 | |||||||||||||||||||
Suburban
New York City (1)
|
20.8 | % | 6,845,444 | (1.4 | %) | (120,300 | ) | 6.6 | % | 424,928 | 44.9 | % | 3,296,936 | |||||||||||||||||||
Eastern
PA (2)
|
16.7 | % | 2,532,134 | (1.3 | %) | (40,900 | ) | 6.6 | % | 213,940 | 19.3 | % | 523,250 | |||||||||||||||||||
Boston,
MA
|
6.4 | % | 1,720,283 | (0.8 | %) | (19,700 | ) | 5.8 | % | 385,742 | 33.3 | % | 601,730 | |||||||||||||||||||
Chicago,
IL
|
6.0 | % | 3,447,680 | (1.3 | %) | (59,100 | ) | 7.1 | % | 249,232 | 32.4 | % | 1,197,742 | |||||||||||||||||||
Southeast
Florida (3)
|
2.3 | % | 2,072,456 | (2.8 | %) | (69,500 | ) | 7.1 | % | 288,438 | 42.0 | % | 1,000,140 | |||||||||||||||||||
Portland,
ME
|
1.7 | % | 213,364 | (1.8 | %) | (3,600 | ) | 5.5 | % | 221,438 | 17.0 | % | 43,172 | |||||||||||||||||||
Home
Properties Markets
|
100.0 | % | 19,891,550 | (1.2 | %) | (313,900 | ) | 5.9 | % | 335,539 | 35.3 | % | 7,569,180 | |||||||||||||||||||
United
States
|
114,694,201 | (2.1 | %) | (2,928,000 | ) | 7.1 | % | 178,626 | 21.6 | % | 27,502,521 |
(1)
|
Suburban
New York City is defined for this report as New York-Northern New
Jersey-Long Island, NY-NJ-PA MSA.
|
(2)
|
Eastern
Pennsylvania is defined for this report as Philadelphia-Camden-Wilmington,
PA-NJ-DE-MD MSA & Allentown-Bethlehem-Easton PA-NJ
MSA.
|
(3)
|
Southeast
Florida is defined for this report as Miami-Fort Lauderdale-Miami Beach,
FL MSA.
|
(4)
|
Based
on Claritas 2008 estimates calculated from the 2000 U.S. Census
figures.
|
(5)
|
2008 Multifamily Housing
Stock is from Claritas estimates based on the 2000 U.S.
Census.
|
|
Multifamily
Supply and Demand
|
Estimated
|
Estimated
|
|||||||||||||||||||||||||||||||
Estimated
|
Net
New
|
Net
New
|
||||||||||||||||||||||||||||||
Estimated
|
Estimated
|
2008
|
Multifamily
|
Multifamily
|
||||||||||||||||||||||||||||
2008
|
Estimated
|
2008
|
New
|
Supply
as a
|
Supply
as a
|
Expected
|
||||||||||||||||||||||||||
New
|
2008
|
Net
New
|
Multifamily
|
%
of New
|
%
of
|
Expected
|
Excess
|
|||||||||||||||||||||||||
Supply
of
|
Multifamily
|
Multifamily
|
Household
|
Multifamily
|
Multifamily
|
Excess
|
Revenue
|
|||||||||||||||||||||||||
MSA
Market Area
|
Multifamily (6)
|
Obsolescence (7)
|
Supply (8)
|
Demand (9)
|
Demand
|
Stock
|
Demand (10)
|
Growth (11)
|
||||||||||||||||||||||||
Northern
VA/DC
|
4,450 | 3,301 | 1,149 | 2,432 | 47.2 | % | 0.2 | % | 1,283 | 0.2 | % | |||||||||||||||||||||
Baltimore,
MD
|
2,315 | 1,230 | 1,085 | (1,857 | ) | (58.4 | %) | 0.4 | % | (2,942 | ) | (1.2 | %) | |||||||||||||||||||
Suburban
New York City (1)
|
38,010 | 16,485 | 21,525 | (36,028 | ) | (59.7 | %) | 0.7 | % | (57,553 | ) | (1.7 | %) | |||||||||||||||||||
Eastern
PA (2)
|
3,393 | 2,616 | 777 | (5,265 | ) | (14.8 | %) | 0.1 | % | (6,042 | ) | (1.2 | %) | |||||||||||||||||||
Boston,
MA
|
3,507 | 3,009 | 498 | (4,376 | ) | (11.4 | %) | 0.1 | % | (4,874 | ) | (0.8 | %) | |||||||||||||||||||
Chicago,
IL
|
7,158 | 5,989 | 1,169 | (12,772 | ) | (9.2 | %) | 0.1 | % | (13,941 | ) | (1.2 | %) | |||||||||||||||||||
Southeast
Florida
|
3,943 | 5,001 | (1,058 | ) | (19,470 | ) | 5.4 | % | (0.1 | %) | (18,412 | ) | (1.8 | %) | ||||||||||||||||||
Portland,
ME
|
44 | 216 | (172 | ) | (408 | ) | 42.2 | % | (0.4 | %) | (236 | ) | (0.5 | %) | ||||||||||||||||||
Home
Properties Markets
|
62,820 | 37,847 | 24,973 | (77,744 | ) | (32.1 | %) | 0.3 | % | (102,717 | ) | (1.4 | %) | |||||||||||||||||||
United
States
|
276,006 | 137,513 | 138,493 | (421,843 | ) | (32.8 | %) | 0.5 | % | (560,336 | ) | (2.0 | %) |
(6)
|
Estimated 2008 New Supply of
Multifamily = Multifamily permits (2008 figures U.S. Census Bureau,
Mfg. & Constr. Div., 5+ permits only) adjusted by the average % of
permits resulting in a construction start (estimated at
95%).
|
(7)
|
Estimated 2008 Multifamily
Obsolescence = 0.5% of Estimated 2008 Multifamily Housing
Stock.
|
(8)
|
Estimated 2008 Net New Multifamily
Supply = Estimated 2008 New Supply of Multifamily - Estimated 2008
Multifamily Obsolescence.
|
(9)
|
Estimated 2008 New Multifamily Household
Demand = Trailing 12 month job growth (Nonfarm, not seasonally
adjusted payroll employment figures) (12/31/2007-12/31/2008) multiplied by
the expected % of new household formations resulting from new jobs (66.7%)
and the % of multifamily households in each market (based on Claritas
estimates).
|
(10)
|
Expected Excess Demand =
Estimated 2008 New Multifamily Household Demand - Estimated 2008 Net New
Multifamily Supply.
|
(11)
|
Expected Excess Revenue
Growth = Expected Excess Demand divided by 2008 Multifamily Housing
Stock. This percentage is expected to reflect the relative
impact that changes in the supply and demand for multifamily housing units
will have on occupancy rates and/or rental rates in each market, beyond
the impact caused by broader economic factors, such as inflation and
interest rates.
|
·
|
funds
may be expended and management's time devoted to projects that may not be
completed due to a variety of factors, including without limitation, the
inability to obtain necessary zoning or other
approvals;
|
·
|
construction
costs of a project may exceed original estimates, possibly making the
project economically unfeasible;
|
·
|
development
projects may be delayed due to delays in obtaining necessary zoning and
other approvals, adverse weather conditions, labor shortages, or other
unforeseen complications;
|
·
|
occupancy
rates and rents at a completed project may be less than anticipated;
and
|
·
|
the
operating expenses at a completed development may be higher than
anticipated.
|
2009
|
$ 18.8
million
|
2010
|
334.5
million
|
2011
|
301.5
million
|
2012
|
168.0
million
|
Thereafter
|
1,289.5
million
|
Communities Wholly Owned and
Managed by Home Properties
|
||||||||||||||||||||||||||||||||||||||
(2)
|
(3)
|
(3) | ||||||||||||||||||||||||||||||||||||
2008
|
2008
|
2007
|
2008
|
2007
|
||||||||||||||||||||||||||||||||||
#
|
Age
|
Average
|
%
|
Average
|
Average
|
Avg
Mo
|
Avg
Mo
|
12/31/2008
|
||||||||||||||||||||||||||||||
Of
|
In
|
Year
|
Apt
Size
|
Resident
|
%
|
%
|
Rent
Rate
|
Rent
Rate
|
Total
Cost
|
|||||||||||||||||||||||||||||
Regional
Area
|
Apts
|
Years
|
Acq/Dev
|
(Sq
Ft)
|
Tumover
|
Occupancy
|
Occupancy
|
per
Apt
|
per
Apt
|
(000) | ||||||||||||||||||||||||||||
Core
Communities (1)
|
||||||||||||||||||||||||||||||||||||||
FL
- Southeast
|
The
Hamptons
|
668 | 19 |
2004
|
1,052 | 46 | % | 95 | % | 95 | % | $ | 1,035 | $ | 1,035 | $ | 67,529 | |||||||||||||||||||||
FL
- Southeast
|
Vinings
at Hampton Village
|
168 | 19 |
2004
|
1,207 | 51 | % | 94 | % | 96 | % | 1,143 | 1,129 | 17,258 | ||||||||||||||||||||||||
IL
- Chicago
|
Blackhawk
Apartments
|
371 | 47 |
2000
|
793 | 51 | % | 96 | % | 96 | % | 889 | 862 | 24,410 | ||||||||||||||||||||||||
IL
- Chicago
|
Courtyards
Village
|
224 | 37 |
2001
|
674 | 49 | % | 97 | % | 98 | % | 828 | 796 | 17,424 | ||||||||||||||||||||||||
IL
- Chicago
|
Cypress
Place
|
192 | 38 |
2000
|
852 | 44 | % | 97 | % | 98 | % | 951 | 918 | 14,814 | ||||||||||||||||||||||||
IL
- Chicago
|
The
Colony
|
783 | 35 |
1999
|
704 | 49 | % | 97 | % | 98 | % | 896 | 854 | 56,304 | ||||||||||||||||||||||||
IL
- Chicago
|
The
New Colonies
|
672 | 34 |
1998
|
657 | 53 | % | 96 | % | 96 | % | 723 | 711 | 35,526 | ||||||||||||||||||||||||
MA
- Boston
|
Gardencrest
Apartments
|
696 | 60 |
2002
|
847 | 36 | % | 96 | % | 96 | % | 1,478 | 1,419 | 112,132 | ||||||||||||||||||||||||
MA
- Boston
|
Highland
House
|
172 | 39 |
2006
|
733 | 31 | % | 97 | % | 96 | % | 1,140 | 1,118 | 19,478 | ||||||||||||||||||||||||
MA
- Boston
|
Liberty
Place
|
107 | 20 |
2006
|
994 | 34 | % | 95 | % | 93 | % | 1,398 | 1,397 | 17,185 | ||||||||||||||||||||||||
MA
- Boston
|
Stone
Ends Apartments
|
280 | 29 |
2003
|
815 | 40 | % | 95 | % | 95 | % | 1,231 | 1,228 | 38,615 | ||||||||||||||||||||||||
MA
- Boston
|
The
Heights at Marlborough
|
348 | 35 |
2006
|
876 | 43 | % | 96 | % | 95 | % | 1,156 | 1,175 | 52,886 | ||||||||||||||||||||||||
MA
- Boston
|
The
Meadows at Marlborough
|
264 | 36 |
2006
|
855 | 46 | % | 97 | % | 95 | % | 1,142 | 1,144 | 37,344 | ||||||||||||||||||||||||
MA
- Boston
|
The
Village at Marshfield
|
276 | 36 |
2004
|
735 | 45 | % | 94 | % | 96 | % | 1,164 | 1,140 | 35,168 | ||||||||||||||||||||||||
MD
- Baltimore
|
Bonnie
Ridge Apartments
|
960 | 42 |
1999
|
998 | 43 | % | 93 | % | 94 | % | 1,063 | 1,032 | 83,936 | ||||||||||||||||||||||||
MD
- Baltimore
|
Canterbury
Apartments
|
618 | 30 |
1999
|
934 | 43 | % | 94 | % | 95 | % | 934 | 904 | 39,352 | ||||||||||||||||||||||||
MD
- Baltimore
|
Country
Village Apartments
|
344 | 37 |
1998
|
776 | 52 | % | 95 | % | 95 | % | 894 | 859 | 24,350 | ||||||||||||||||||||||||
MD
- Baltimore
|
Falcon
Crest Townhomes
|
396 | 39 |
1999
|
993 | 42 | % | 93 | % | 92 | % | 973 | 961 | 24,177 | ||||||||||||||||||||||||
MD
- Baltimore
|
Gateway
Village Apartments
|
132 | 19 |
1999
|
963 | 36 | % | 96 | % | 97 | % | 1,272 | 1,238 | 11,000 | ||||||||||||||||||||||||
MD
- Baltimore
|
Heritage
Woods
|
164 | 35 |
2006
|
965 | 51 | % | 96 | % | 97 | % | 1,021 | 951 | 16,362 | ||||||||||||||||||||||||
MD
- Baltimore
|
Mill
Towne Village
|
384 | 35 |
2001
|
812 | 44 | % | 94 | % | 95 | % | 862 | 841 | 30,885 | ||||||||||||||||||||||||
MD
- Baltimore
|
Morningside
Heights Apartments
|
1,050 | 43 |
1998
|
864 | 42 | % | 93 | % | 94 | % | 875 | 852 | 66,552 | ||||||||||||||||||||||||
MD
- Baltimore
|
Owings
Run Apartments
|
504 | 13 |
1999
|
1,136 | 48 | % | 96 | % | 95 | % | 1,180 | 1,143 | 46,524 | ||||||||||||||||||||||||
MD
- Baltimore
|
Ridgeview
at Wakefield Valley
|
204 | 20 |
2005
|
916 | 61 | % | 95 | % | 96 | % | 1,155 | 1,080 | 23,604 | ||||||||||||||||||||||||
MD
- Baltimore
|
Selford
Townhomes
|
102 | 21 |
1999
|
987 | 51 | % | 92 | % | 96 | % | 1,300 | 1,267 | 8,550 | ||||||||||||||||||||||||
MD
- Baltimore
|
The
Coves at Chesapeake
|
469 | 26 |
2006
|
986 | 47 | % | 91 | % | 92 | % | 1,200 | 1,153 | 72,020 | ||||||||||||||||||||||||
MD
- Baltimore
|
Timbercroft
Townhomes
|
284 | 36 |
1999
|
998 | 14 | % | 99 | % | 99 | % | 851 | 823 | 14,504 | ||||||||||||||||||||||||
MD
- Baltimore
|
Top
Field
|
156 | 35 |
2006
|
1,149 | 37 | % | 96 | % | 97 | % | 1,158 | 1,083 | 19,994 | ||||||||||||||||||||||||
MD
- Baltimore
|
Village
Square (MD)
|
370 | 40 |
1999
|
948 | 47 | % | 95 | % | 96 | % | 1,151 | 1,113 | 26,152 | ||||||||||||||||||||||||
MD
- Baltimore
|
Woodholme
Manor Apartments
|
177 | 39 |
2001
|
817 | 31 | % | 94 | % | 95 | % | 847 | 818 | 11,098 | ||||||||||||||||||||||||
ME
- Portland
|
Liberty
Commons
|
120 | 2 |
2006
|
1,064 | 49 | % | 97 | % | 97 | % | 1,178 | 1,139 | 14,767 | ||||||||||||||||||||||||
ME
- Portland
|
Redbank
Village Apartments
|
500 | 64 |
1998
|
735 | 46 | % | 95 | % | 96 | % | 849 | 822 | 27,663 | ||||||||||||||||||||||||
NJ
- Northern
|
Barrington
Gardens
|
148 | 35 |
2005
|
922 | 39 | % | 96 | % | 95 | % | 1,068 | 957 | 11,687 | ||||||||||||||||||||||||
NJ
- Northern
|
Chatham
Hill Apartments
|
308 | 41 |
2004
|
944 | 45 | % | 95 | % | 94 | % | 1,722 | 1,639 | 60,279 | ||||||||||||||||||||||||
NJ
- Northern
|
East
Hill Gardens
|
33 | 50 |
1998
|
654 | 42 | % | 95 | % | 94 | % | 1,500 | 1,498 | 3,278 | ||||||||||||||||||||||||
NJ
- Northern
|
Hackensack
Gardens
|
198 | 60 |
2005
|
636 | 24 | % | 94 | % | 97 | % | 1,014 | 945 | 17,810 | ||||||||||||||||||||||||
NJ
- Northern
|
Lakeview
Apartments
|
106 | 59 |
1998
|
492 | 40 | % | 96 | % | 96 | % | 1,345 | 1,312 | 9,122 | ||||||||||||||||||||||||
NJ
- Northern
|
Northwood
Apartments
|
134 | 43 |
2004
|
937 | 31 | % | 95 | % | 94 | % | 1,311 | 1,257 | 18,335 | ||||||||||||||||||||||||
NJ
- Northern
|
Oak
Manor Apartments
|
77 | 52 |
1998
|
918 | 33 | % | 96 | % | 95 | % | 1,780 | 1,749 | 8,223 | ||||||||||||||||||||||||
NJ
- Northern
|
Pleasant
View Gardens
|
1,142 | 40 |
1998
|
746 | 45 | % | 94 | % | 94 | % | 1,156 | 1,125 | 81,913 | ||||||||||||||||||||||||
NJ
- Northern
|
Pleasure
Bay Apartments
|
270 | 37 |
1998
|
685 | 42 | % | 93 | % | 93 | % | 1,077 | 1,078 | 16,868 | ||||||||||||||||||||||||
NJ
- Northern
|
Regency
Club Apartments
|
372 | 34 |
2004
|
941 | 39 | % | 97 | % | 96 | % | 1,136 | 1,119 | 43,411 | ||||||||||||||||||||||||
NJ
- Northern
|
Royal
Gardens Apartments
|
550 | 40 |
1997
|
874 | 36 | % | 96 | % | 94 | % | 1,229 | 1,192 | 36,740 |
Communities Wholly Owned and
Managed by Home Properties
|
||||||||||||||||||||||||||||||||||||||
(2)
|
(3)
|
(3) | ||||||||||||||||||||||||||||||||||||
2008
|
2008
|
2007
|
2008
|
2007
|
||||||||||||||||||||||||||||||||||
#
|
Age
|
Average
|
%
|
Average
|
Average
|
Avg
Mo
|
Avg
Mo
|
12/31/2008
|
||||||||||||||||||||||||||||||
Of
|
In
|
Year
|
Apt
Size
|
Resident
|
%
|
%
|
Rent
Rate
|
Rent
Rate
|
Total
Cost
|
|||||||||||||||||||||||||||||
Regional
Area
|
Apts
|
Years
|
Acq/Dev
|
(Sq
Ft)
|
Tumover
|
Occupancy
|
Occupancy
|
per
Apt
|
per
Apt
|
(000) | ||||||||||||||||||||||||||||
Core
Communities (1)
|
NJ
- Northern
|
Wayne
Village
|
275 | 43 |
1998
|
760 | 23 | % | 96 | % | 96 | % | 1,383 | 1,339 | 23,936 | ||||||||||||||||||||||||
NJ
- Northern
|
Windsor
Realty Company
|
67 | 55 |
1998
|
628 | 48 | % | 96 | % | 96 | % | 1,194 | 1,153 | 6,077 | ||||||||||||||||||||||||
NY
- Hudson Valley
|
Lakeshore
Villa Apartments
|
152 | 33 |
1996
|
952 | 52 | % | 95 | % | 96 | % | 1,054 | 1,042 | 10,464 | ||||||||||||||||||||||||
NY
- Hudson Valley
|
Sunset
Garden Apartments
|
217 | 37 |
1996
|
840 | 51 | % | 93 | % | 97 | % | 940 | 911 | 11,262 | ||||||||||||||||||||||||
NY
- Long Island
|
Bayview
& Colonial
|
160 | 41 |
2000
|
884 | 38 | % | 95 | % | 95 | % | 1,190 | 1,202 | 15,517 | ||||||||||||||||||||||||
NY
- Long Island
|
Cambridge
Village Associates
|
82 | 41 |
2002
|
747 | 31 | % | 98 | % | 96 | % | 1,643 | 1,604 | 8,395 | ||||||||||||||||||||||||
NY
- Long Island
|
Devonshire
Hills
|
297 | 40 |
2001
|
803 | 38 | % | 97 | % | 96 | % | 1,697 | 1,713 | 57,768 | ||||||||||||||||||||||||
NY
- Long Island
|
Hawthorne
Court
|
434 | 40 |
2002
|
678 | 43 | % | 96 | % | 94 | % | 1,393 | 1,374 | 51,019 | ||||||||||||||||||||||||
NY
- Long Island
|
Heritage
Square
|
80 | 59 |
2002
|
718 | 33 | % | 97 | % | 97 | % | 1,661 | 1,601 | 9,736 | ||||||||||||||||||||||||
NY
- Long Island
|
Holiday
Square
|
144 | 29 |
2002
|
570 | 18 | % | 97 | % | 96 | % | 1,160 | 1,131 | 12,011 | ||||||||||||||||||||||||
NY
- Long Island
|
Lake
Grove Apartments
|
368 | 38 |
1997
|
836 | 41 | % | 96 | % | 95 | % | 1,397 | 1,384 | 36,339 | ||||||||||||||||||||||||
NY
- Long Island
|
Mid-Island
Apartments
|
232 | 43 |
1997
|
546 | 32 | % | 96 | % | 96 | % | 1,313 | 1,299 | 17,577 | ||||||||||||||||||||||||
NY
- Long Island
|
Sayville
Commons
|
342 | 7 |
2005
|
1,106 | 17 | % | 95 | % | 98 | % | 1,509 | 1,464 | 65,780 | ||||||||||||||||||||||||
NY
- Long Island
|
South
Bay Manor
|
61 | 48 |
2000
|
849 | 49 | % | 94 | % | 95 | % | 1,630 | 1,573 | 8,379 | ||||||||||||||||||||||||
NY
- Long Island
|
Southern
Meadows
|
452 | 37 |
2001
|
845 | 33 | % | 95 | % | 95 | % | 1,358 | 1,337 | 51,888 | ||||||||||||||||||||||||
NY
- Long Island
|
Stratford
Greens Associates
|
359 | 34 |
2002
|
725 | 47 | % | 96 | % | 96 | % | 1,446 | 1,414 | 58,224 | ||||||||||||||||||||||||
NY
- Long Island
|
Westwood
Village Apartments
|
242 | 39 |
2002
|
829 | 36 | % | 97 | % | 96 | % | 2,316 | 2,227 | 42,755 | ||||||||||||||||||||||||
NY
- Long Island
|
Woodmont
Village Apartments
|
96 | 40 |
2002
|
704 | 46 | % | 94 | % | 95 | % | 1,332 | 1,311 | 11,668 | ||||||||||||||||||||||||
NY
- Long Island
|
Yorkshire
Village Apartments
|
40 | 39 |
2002
|
779 | 33 | % | 98 | % | 97 | % | 1,724 | 1,630 | 4,586 | ||||||||||||||||||||||||
PA
- Philadelphia
|
Beechwood
Gardens
|
160 | 41 |
1998
|
875 | 29 | % | 95 | % | 95 | % | 826 | 830 | 9,062 | ||||||||||||||||||||||||
PA
- Philadelphia
|
Castle
Club Apartments
|
158 | 41 |
2000
|
878 | 39 | % | 94 | % | 93 | % | 947 | 929 | 14,995 | ||||||||||||||||||||||||
PA
- Philadelphia
|
Chesterfield
Apartments
|
247 | 35 |
1997
|
812 | 39 | % | 95 | % | 95 | % | 923 | 903 | 17,061 | ||||||||||||||||||||||||
PA
- Philadelphia
|
Curren
Terrace
|
318 | 37 |
1997
|
782 | 43 | % | 94 | % | 94 | % | 902 | 914 | 21,446 | ||||||||||||||||||||||||
PA
- Philadelphia
|
Glen
Brook Apartments
|
174 | 45 |
1999
|
707 | 38 | % | 93 | % | 93 | % | 824 | 817 | 10,156 | ||||||||||||||||||||||||
PA
- Philadelphia
|
Glen
Manor Apartments
|
174 | 32 |
1997
|
667 | 40 | % | 95 | % | 96 | % | 801 | 788 | 8,905 | ||||||||||||||||||||||||
PA
- Philadelphia
|
Golf
Club Apartments
|
399 | 39 |
2000
|
857 | 53 | % | 95 | % | 95 | % | 1,061 | 1,015 | 39,716 | ||||||||||||||||||||||||
PA
- Philadelphia
|
Hill
Brook Place Apartments
|
274 | 40 |
1999
|
699 | 44 | % | 96 | % | 94 | % | 872 | 881 | 18,305 | ||||||||||||||||||||||||
PA
- Philadelphia
|
Home
Properties of Bryn Mawr
|
316 | 57 |
2000
|
822 | 55 | % | 94 | % | 93 | % | 1,062 | 1,037 | 32,950 | ||||||||||||||||||||||||
PA
- Philadelphia
|
Home
Properties of Devon
|
631 | 45 |
2000
|
917 | 53 | % | 93 | % | 95 | % | 1,112 | 1,088 | 69,218 | ||||||||||||||||||||||||
PA
- Philadelphia
|
Home
Properties of Newark
|
432 | 40 |
1999
|
860 | 46 | % | 94 | % | 94 | % | 876 | 858 | 30,386 | ||||||||||||||||||||||||
PA
- Philadelphia
|
New
Orleans Park
|
442 | 37 |
1997
|
685 | 43 | % | 95 | % | 94 | % | 862 | 849 | 27,688 | ||||||||||||||||||||||||
PA
- Philadelphia
|
Racquet
Club East Apartments
|
466 | 37 |
1998
|
911 | 43 | % | 96 | % | 96 | % | 1,033 | 1,014 | 36,167 | ||||||||||||||||||||||||
PA
- Philadelphia
|
Racquet
Club South
|
103 | 39 |
1999
|
816 | 36 | % | 95 | % | 95 | % | 899 | 867 | 6,719 | ||||||||||||||||||||||||
PA
- Philadelphia
|
Ridley
Brook Apartments
|
244 | 46 |
1999
|
925 | 30 | % | 95 | % | 94 | % | 907 | 888 | 14,357 | ||||||||||||||||||||||||
PA
- Philadelphia
|
Sherry
Lake Apartments
|
298 | 43 |
1998
|
812 | 46 | % | 95 | % | 92 | % | 1,187 | 1,164 | 29,274 | ||||||||||||||||||||||||
PA
- Philadelphia
|
The
Brooke at Peachtree Village
|
146 | 22 |
2005
|
1,261 | 26 | % | 96 | % | 97 | % | 1,106 | 1,065 | 18,515 | ||||||||||||||||||||||||
PA
- Philadelphia
|
The
Landings
|
384 | 35 |
1996
|
912 | 41 | % | 96 | % | 96 | % | 993 | 964 | 30,194 | ||||||||||||||||||||||||
PA
- Philadelphia
|
Trexler
Park Apartments
|
250 | 34 |
2000
|
921 | 43 | % | 94 | % | 92 | % | 1,059 | 1,038 | 24,004 | ||||||||||||||||||||||||
PA
- Philadelphia
|
William
Henry Apartments
|
363 | 37 |
2000
|
938 | 51 | % | 95 | % | 95 | % | 1,123 | 1,081 | 40,438 | ||||||||||||||||||||||||
VA
- Suburban DC
|
Braddock
Lee Apartments
|
255 | 53 |
1998
|
757 | 34 | % | 96 | % | 96 | % | 1,265 | 1,231 | 21,025 | ||||||||||||||||||||||||
VA
- Suburban DC
|
Cider
Mill
|
864 | 30 |
2002
|
834 | 42 | % | 95 | % | 95 | % | 1,095 | 1,065 | 96,984 | ||||||||||||||||||||||||
VA
- Suburban DC
|
Cinnamon
Run
|
511 | 48 |
2005
|
1,006 | 34 | % | 96 | % | 97 | % | 1,176 | 1,143 | 73,434 | ||||||||||||||||||||||||
VA
- Suburban DC
|
East
Meadow Apartments
|
150 | 37 |
2000
|
1,034 | 47 | % | 96 | % | 95 | % | 1,307 | 1,315 | 16,286 | ||||||||||||||||||||||||
VA
- Suburban DC
|
Elmwood
Terrace
|
504 | 35 |
2000
|
946 | 46 | % | 94 | % | 93 | % | 912 | 880 | 32,401 |
Communities Wholly Owned and
Managed by Home Properties
|
||||||||||||||||||||||||||||||||||||||
(2)
|
(3)
|
(3) | ||||||||||||||||||||||||||||||||||||
2008
|
2008
|
2007
|
2008
|
2007
|
||||||||||||||||||||||||||||||||||
#
|
Age
|
Average
|
%
|
Average
|
Average
|
Avg
Mo
|
Avg
Mo
|
12/31/2008
|
||||||||||||||||||||||||||||||
Of
|
In
|
Year
|
Apt
Size
|
Resident
|
%
|
%
|
Rent
Rate
|
Rent
Rate
|
Total
Cost
|
|||||||||||||||||||||||||||||
Regional
Area
|
Apts
|
Years
|
Acq/Dev
|
(Sq
Ft)
|
Tumover
|
Occupancy
|
Occupancy
|
per
Apt
|
per
Apt
|
(000) | ||||||||||||||||||||||||||||
Core
Communities (1)
|
VA
- Suburban DC
|
Falkland
Chase Apartments
|
450 | 71 |
2003
|
759 | 39 | % | 93 | % | 94 | % | 1,359 | 1,294 | 66,665 | ||||||||||||||||||||||||
VA
- Suburban DC
|
Mount
Vernon Square
|
1,387 | 34 |
2006
|
868 | 43 | % | 95 | % | 95 | % | 1,174 | 1,131 | 150,324 | ||||||||||||||||||||||||
VA
- Suburban DC
|
Orleans
Village
|
851 | 40 |
2000
|
1,015 | 39 | % | 96 | % | 93 | % | 1,303 | 1,277 | 92,631 | ||||||||||||||||||||||||
VA
- Suburban DC
|
Park
Shirlington Apartments
|
294 | 53 |
1998
|
858 | 31 | % | 96 | % | 96 | % | 1,264 | 1,206 | 24,314 | ||||||||||||||||||||||||
VA
- Suburban DC
|
Peppertree
Farm
|
879 | 54 |
2005
|
1,051 | 32 | % | 94 | % | 90 | % | 1,148 | 1,108 | 108,043 | ||||||||||||||||||||||||
VA
- Suburban DC
|
Seminary
Hill Apartments
|
296 | 48 |
1999
|
888 | 46 | % | 97 | % | 93 | % | 1,235 | 1,200 | 24,009 | ||||||||||||||||||||||||
VA
- Suburban DC
|
Seminary
Towers Apartments
|
541 | 44 |
1999
|
879 | 38 | % | 95 | % | 94 | % | 1,284 | 1,242 | 45,964 | ||||||||||||||||||||||||
VA
- Suburban DC
|
Tamarron
Apartments
|
132 | 21 |
1999
|
1,075 | 39 | % | 95 | % | 95 | % | 1,453 | 1,397 | 13,043 | ||||||||||||||||||||||||
VA
- Suburban DC
|
The
Apartments at Wellington Trace
|
240 | 6 |
2004
|
1,106 | 53 | % | 92 | % | 94 | % | 1,279 | 1,247 | 31,392 | ||||||||||||||||||||||||
VA
- Suburban DC
|
The
Manor Apartments (MD)
|
435 | 39 |
2001
|
1,004 | 38 | % | 92 | % | 93 | % | 1,183 | 1,125 | 48,772 | ||||||||||||||||||||||||
VA
- Suburban DC
|
The
Manor Apartments (VA)
|
198 | 34 |
1999
|
845 | 38 | % | 96 | % | 94 | % | 1,040 | 989 | 12,537 | ||||||||||||||||||||||||
VA
- Suburban DC
|
The
Sycamores
|
185 | 30 |
2002
|
876 | 49 | % | 96 | % | 96 | % | 1,356 | 1,353 | 24,227 | ||||||||||||||||||||||||
VA
- Suburban DC
|
Virginia
Village
|
344 | 41 |
2001
|
1,010 | 42 | % | 97 | % | 95 | % | 1,235 | 1,218 | 38,940 | ||||||||||||||||||||||||
VA
- Suburban DC
|
West
Springfield Terrace
|
244 | 30 |
2002
|
1,019 | 42 | % | 97 | % | 96 | % | 1,432 | 1,388 | 38,941 | ||||||||||||||||||||||||
VA
- Suburban DC
|
Woodleaf
Apartments
|
228 | 23 |
2004
|
709 | 31 | % | 93 | % | 95 | % | 1,156 | 1,096 | 23,799 | ||||||||||||||||||||||||
Core
Total/Weighted Average
|
34,560 | 38 | 872 | 42 | % | 95 | % | 95 | % | $ | 1,135 | $ | 1,104 | $ | 3,401,897 | |||||||||||||||||||||||
2007
Acquisition Communities (4)
|
||||||||||||||||||||||||||||||||||||||
MA
- Boston
|
The
Townhomes of Beverly
|
204 | 38 |
2007
|
1,103 | 45 | % | 94 | % | 93 | % | $ | 1,444 | $ | 1,423 | $ | 38,892 | |||||||||||||||||||||
MA
- Boston
|
Westwoods
|
35 | 18 |
2007
|
904 | 37 | % | 97 | % | 93 | % | 1,245 | 1,189 | 4,135 | ||||||||||||||||||||||||
MD
- Baltimore
|
Dunfield
Townhouses
|
312 | 21 |
2007
|
916 | 46 | % | 94 | % | 94 | % | 1,057 | 1,029 | 34,036 | ||||||||||||||||||||||||
MD
- Baltimore
|
Fox
Hall Apartments
|
720 | 32 |
2007
|
946 | 43 | % | 93 | % | 95 | % | 840 | 827 | 67,236 | ||||||||||||||||||||||||
NJ
- Northern
|
Jacob
Ford Village
|
270 | 60 |
2007
|
842 | 23 | % | 95 | % | 92 | % | 1,094 | 1,025 | 30,106 | ||||||||||||||||||||||||
2007
Total/Weighted Average
|
1,541 | 34 | 941 | 40 | % | 94 | % | 94 | % | $ | 1,018 | $ | 993 | $ | 174,405 | |||||||||||||||||||||||
2008
Acquisition Communities (4)
|
||||||||||||||||||||||||||||||||||||||
MD
- Baltimore
|
Saddle
Brooke
|
468 | 35 |
2008
|
889 | 53 | % | 93 | % | N/A | $ | 1,041 | N/A | $ | 51,765 | |||||||||||||||||||||||
VA
- Suburban DC
|
Westchester
West
|
345 | 36 |
2008
|
1,005 | 49 | % | 94 | % | N/A | 1,334 | N/A | 48,716 | |||||||||||||||||||||||||
2008
Total/Weighted Average
|
813 | 36 | 938 | 51 | % | 93 | % | N/A | $ | 1,048 | N/A | $ | 100,481 | |||||||||||||||||||||||||
2008
Construction Communities (5)
|
||||||||||||||||||||||||||||||||||||||
PA
- Philadelphia
|
Trexler
Park West
|
216 | - |
2008
|
1,049 | 41 | % | 92 | % | 85 | % | $ | 1,234 | $ | 1,255 | $ | 25,795 | |||||||||||||||||||||
Owned
Portfolio Total/Weighted Average
|
37,130 | 37 | 877 | 42 | % | 95 | % | 95 | % | $ | 1,130 | $ | 1,106 | $ | 3,702,578 |
(1)
|
"Core
Communities" represents the 34,560 apartment units owned consistently
throughout 2008 and 2007.
|
(2)
|
"Resident
Turnover" reflects, on an annual basis, the number of moveouts, divided by
the total number of apartment
units.
|
(3)
|
"Average
% Occupancy" is the average physical occupancy for the years ended
December 31, 2008 and 2007.
|
(4)
|
For
communities acquired during 2008 and 2007, this is the average occupancy
from the date of acquisition.
|
(5)
|
Trexler
Park West construction was completed in
2008.
|
·
|
Ripley
Street, a 314-unit high rise, is located in Silver Spring,
Maryland. Construction is expected to begin in 2010, with
completion in 2012, at a total cost of $113 million. The
pre-construction costs for this project were $17.0 million as of December
31, 2008.
|
·
|
Cobblestone
Square, a 314-unit garden apartment community, is located in
Fredericksburg, Virginia. Construction is expected to begin in
2010, with a completion in 2011, at a total cost of $50
million. The pre-construction costs, consisting mostly of land
value, were $12.5 million at December 31,
2008.
|
·
|
Falkland
Chase, located in Silver Spring, Maryland, currently has 450 garden
apartments constructed between 1936 and 1939. The Company is
planning on redeveloping the North parcel, which will be renamed Falkland
North. The Company has submitted plans to redevelop this parcel
into 1,059 units in four high-rise buildings with a community center,
exercise room, swimming pool, convenience retail shops and a major
supermarket. If approved, construction is expected to start in
2010, with completion anticipated in 2014 at a total cost of
$318 million. The pre-construction costs associated with this project
were $1.7 million as of
December 31, 2008.
|
Name
|
Age
|
Position
|
Edward
J. Pettinella
|
57
|
President
and Chief Executive Officer of Home Properties and
HPRS
|
David
P. Gardner
|
53
|
Executive
Vice President and Chief Financial Officer of
Home Properties and HPRS
|
Ann
M. McCormick
|
52
|
Executive
Vice President, General Counsel and Secretary of Home Properties and
HPRS
|
Lisa
M. Critchley
|
47
|
Senior
Vice President, Human Resources of Home Properties
|
Scott
A. Doyle
|
47
|
Senior
Vice President, Property Management of Home Properties and
HPRS
|
Donald
R. Hague
|
57
|
Senior
Vice President, Development of Home Properties
|
Robert
J. Luken
|
44
|
Senior
Vice President, Chief Accounting Officer and Treasurer of
Home Properties and HPRS
|
John
E. Smith
|
58
|
Senior
Vice President and Chief Investment Officer of Home Properties and
HPRS
|
|
PART
II
|
Item
5.
|
Market for the
Registrant's Common Stock and Related Stockholder Matters and Issuer
Purchases of Equity
Securities
|
High
|
Low
|
Dividends
|
||||||||||
2008
|
||||||||||||
First
Quarter
|
$ | 52.22 | $ | 39.17 | $ | 0.66 | ||||||
Second
Quarter
|
$ | 54.21 | $ | 47.11 | $ | 0.66 | ||||||
Third
Quarter
|
$ | 60.39 | $ | 46.81 | $ | 0.66 | ||||||
Fourth
Quarter
|
$ | 57.76 | $ | 24.93 | $ | 0.67 | ||||||
2007
|
||||||||||||
First
Quarter
|
$ | 64.97 | $ | 51.59 | $ | 0.65 | ||||||
Second
Quarter
|
$ | 58.49 | $ | 50.55 | $ | 0.65 | ||||||
Third
Quarter
|
$ | 56.90 | $ | 45.01 | $ | 0.65 | ||||||
Fourth
Quarter
|
$ | 56.65 | $ | 41.10 | $ | 0.66 |
Plan
Category
|
Number of Securities to be Issued Upon Exercise
of Outstanding Options
|
Weighted Average Exercise Price of Outstanding
Options
|
Number of Securities Remaining Available for
Future Issuance(2)(3)
|
|||||||||
Options:
|
||||||||||||
Equity
compensation plans approved by security holders
|
2,691,789 | $ | 46.01 | 1,877,049 | ||||||||
Equity
compensation plans not approved by security holders (1)
|
163,339 | 32.62 | - | |||||||||
Total
Options (2)
|
2,855,128 | $ | 45.25 | 1,877,049 | ||||||||
Restricted
Stock Awards:
|
||||||||||||
Equity
compensation plans approved by security holders
|
118,713 | N/A | 664,745 | |||||||||
Equity
compensation plans not approved by security holders (1)
|
50,600 | N/A | - | |||||||||
Total
Restricted Stock Awards (3)
|
169,313 | N/A | 664,745 |
(1)
|
These
options and restricted stock awards were made under Company's 2000 Stock
Benefit Plan, the material features of which are described in Note 9 of
the accompanying Consolidated Financial Statements. The 2000
Stock Benefit Plan was approved by the stockholders in 2000 and was
amended in 2001 to increase the options available for issuance by 500,000
and to increase the number of restricted shares available by
55,000. This increase was not required to be approved by the
stockholders.
|
(2)
|
This
assumes that all 1,877,049 equity awards that are available under the 2008
Stock Benefit Plan are issued in the form of options. In that
case, there would be no awards available for the issuance of restricted
stock.
|
(3)
|
This
assumes that all 1,887,049 equity awards that are available under the 2008
Stock Benefit Plan are issued in the form of restricted
stock. In that case, there would be no awards available for the
issuance of options. Under the Plan, awards of restricted stock
reduce the number of shares available for award by one share for every one
share awarded, up to 250,000 shares. Beyond that restricted stock reduces
the shares available for award by 3.5 shares for every one share
awarded.
|
12/31/2003
|
12/31/2004
|
12/31/2005
|
12/31/2006
|
12/31/2007
|
12/31/2008
|
|||||||||||||||||||
HME
|
$ | 100.00 | $ | 113.32 | $ | 114.30 | $ | 174.19 | $ | 138.65 | $ | 132.86 | ||||||||||||
NAREIT
Equity
|
$ | 100.00 | $ | 131.58 | $ | 147.59 | $ | 199.33 | $ | 168.05 | $ | 104.65 | ||||||||||||
S&P
500
|
$ | 100.00 | $ | 110.87 | $ | 116.32 | $ | 134.69 | $ | 142.09 | $ | 89.52 |
Total
|
Board
|
|||||||||||||||||||
shares/units
|
approved
|
Maximum
|
||||||||||||||||||
Purchased
|
increase
|
shares/units
|
||||||||||||||||||
Total
|
Average
|
under
|
under
|
available
under
|
||||||||||||||||
shares/units
|
price
per
|
Company
|
Company
|
the
Company
|
||||||||||||||||
Period
|
purchased
(1)
|
share/unit
|
Program
|
Program
|
Program
|
|||||||||||||||
Balance
January 1, 2008:
|
1,362,748 | |||||||||||||||||||
January,
2008
|
1,453 | $ | 44.25 | - | - | 1,362,748 | ||||||||||||||
February,
2008
|
12,570 | 46.88 | - | - | 1,362,748 | |||||||||||||||
March,
2008
|
1,073,507 | 46.66 | 1,071,588 | - | 291,160 | |||||||||||||||
April,
2008
|
382 | 51.04 | - | - | 291,160 | |||||||||||||||
May,
2008
|
10,104 | 50.62 | - | 2,000,000 | 2,291,160 | |||||||||||||||
June,
2008
|
561 | 51.60 | - | - | 2,291,160 | |||||||||||||||
July,
2008
|
2,071 | 52.56 | - | - | 2,291,160 | |||||||||||||||
August,
2008
|
20,446 | 54.20 | - | - | 2,291,160 | |||||||||||||||
September,
2008
|
571 | 53.42 | - | - | 2,291,160 | |||||||||||||||
October,
2008
|
2,816 | 40.40 | - | - | 2,291,160 | |||||||||||||||
November,
2008
|
13,717 | 36.66 | - | - | 2,291,160 | |||||||||||||||
December,
2008
|
2,137 | 39.18 | - | - | 2,291,160 | |||||||||||||||
Balance
December 31, 2008:
|
1,140,335 | $ | 46.70 | 1,071,588 | 2,000,000 | 2,291,160 |
(1)
|
During
2008, and as permitted by the Company's stock option plans, 9,874 shares
of common stock already owned by option holders were used by those holders
to pay the exercise price associated with their option
exercise. These shares were returned to the status of
authorized but unissued shares. In addition, the Company
repurchased 58,873 shares of common stock through share repurchase by the
transfer agent in the open market in connection with the Company's
Dividend Reinvestment and Direct Stock Purchase
Plan.
|
2008
|
2007
|
2006
|
2005
|
2004
|
||||||||||||||||
Revenues:
|
||||||||||||||||||||
Rental
income
|
$ | 466,620 | $ | 448,919 | $ | 392,892 | $ | 351,047 | $ | 322,261 | ||||||||||
Other
income (1)
|
43,330 | 39,711 | 31,169 | 20,747 | 17,077 | |||||||||||||||
Total
revenues
|
509,950 | 488,630 | 424,061 | 371,794 | 339,338 | |||||||||||||||
Expenses:
|
||||||||||||||||||||
Operating
and maintenance
|
214,485 | 203,106 | 177,339 | 161,486 | 145,489 | |||||||||||||||
General
and administrative
|
25,491 | 23,413 | 22,626 | 19,652 | 23,978 | |||||||||||||||
Interest
|
118,959 | 117,958 | 103,270 | 88,644 | 73,827 | |||||||||||||||
Depreciation
and amortization
|
115,020 | 107,037 | 89,819 | 75,338 | 65,751 | |||||||||||||||
Impairment
of assets held as general partner
|
4,000 | - | - | 400 | 1,116 | |||||||||||||||
Total
expenses
|
477,955 | 451,514 | 393,054 | 345,520 | 310,161 | |||||||||||||||
Income
from operations before gain on early extinguishment of debt and equity in
losses of unconsolidated affiliates
|
31,995 | 37,116 | 31,007 | 26,274 | 29,177 | |||||||||||||||
Gain
on early extinguishment of debt
|
13,884 | - | - | - | - | |||||||||||||||
Equity
in losses of unconsolidated affiliates
|
- | - | - | - | (538 | ) | ||||||||||||||
Income
before minority interest, discontinued operations, loss on disposition of
property and business and cumulative effect of change in accounting
principle
|
45,879 | 37,116 | 31,007 | 26,274 | 28,639 | |||||||||||||||
Minority
interest in limited partnership
|
- | - | - | - | 441 | |||||||||||||||
Minority
interest in operating partnerships
|
(13,361 | ) | (9,729 | ) | (7,585 | ) | (6,592 | ) | (6,871 | ) | ||||||||||
Income
from continuing operations
|
32,518 | 27,387 | 23,422 | 19,682 | 22,209 | |||||||||||||||
Discontinued
operations, net of minority interest
|
37,148 | 34,157 | 87,063 | 61,830 | 25,201 | |||||||||||||||
Income
before loss on disposition of property and business and cumulative effect
of change in accounting principle
|
69,666 | 61,544 | 110,485 | 81,512 | 47,410 | |||||||||||||||
Loss
on disposition of property and business, net of minority
interest
|
- | - | - | - | (67 | ) | ||||||||||||||
Income
before cumulative effect of change in accounting principle
|
69,666 | 61,544 | 110,485 | 81,512 | 47,343 | |||||||||||||||
Cumulative
effect of change in accounting principle, net of minority
interest
|
- | - | - | - | (321 | ) | ||||||||||||||
Net
income
|
69,666 | 61,544 | 110,485 | 81,512 | 47,022 | |||||||||||||||
Preferred
dividends
|
- | (1,290 | ) | (5,400 | ) | (6,279 | ) | (7,593 | ) | |||||||||||
Preferred
stock issuance costs write-off
|
- | (1,902 | ) | - | - | - | ||||||||||||||
Net
income available to common shareholders
|
$ | 69,666 | $ | 58,352 | $ | 105,085 | $ | 75,233 | $ | 39,429 | ||||||||||
Basic
earnings per share data:
|
||||||||||||||||||||
Income from continuing
operations
|
$ | 1.02 | $ | 0.73 | $ | 0.55 | $ | 0.42 | $ | 0.44 | ||||||||||
Discontinued
operations
|
1.16 | 1.03 | 2.66 | 1.93 | 0.77 | |||||||||||||||
Cumulative effect of change in
accounting principle
|
- | - | - | - | (0.01 | ) | ||||||||||||||
Net
income available to common shareholders
|
$ | 2.18 | $ | 1.76 | $ | 3.21 | $ | 2.35 | $ | 1.20 | ||||||||||
Diluted
earnings per share data:
|
||||||||||||||||||||
Income from continuing
operations
|
$ | 1.00 | $ | 0.72 | $ | 0.54 | $ | 0.42 | $ | 0.44 | ||||||||||
Discontinued
operations
|
1.15 | 1.01 | 2.61 | 1.91 | 0.75 | |||||||||||||||
Cumulative effect of change in
accounting principle
|
- | - | - | - | (0.01 | ) | ||||||||||||||
Net
income available to common shareholders
|
$ | 2.15 | $ | 1.73 | $ | 3.15 | $ | 2.33 | $ | 1.18 | ||||||||||
Cash
dividends declared per common share
|
$ | 2.65 | $ | 2.61 | $ | 2.57 | $ | 2.53 | $ | 2.49 | ||||||||||
Balance
Sheet Data:
|
||||||||||||||||||||
Real
estate, before accumulated depreciation
|
$ | 3,872,390 | $ | 3,680,155 | $ | 3,451,762 | $ | 3,330,710 | $ | 3,123,901 | ||||||||||
Total
assets
|
3,317,207 | 3,216,423 | 3,240,418 | 2,977,870 | 2,816,796 | |||||||||||||||
Total
debt (including held for sale)
|
2,323,331 | 2,189,289 | 2,124,313 | 1,924,086 | 1,702,722 | |||||||||||||||
Redeemable/convertible
preferred stock (2)
|
- | - | 60,000 | 60,000 | 85,000 | |||||||||||||||
Stockholders'
equity
|
646,678 | 668,061 | 755,617 | 656,812 | 720,422 | |||||||||||||||
Other
Data:
|
||||||||||||||||||||
Net
cash provided by operating activities
|
$ | 160,081 | $ | 162,558 | $ | 162,996 | $ | 136,466 | $ | 159,342 | ||||||||||
Net
cash provided by (used in) investing activities
|
(80,584 | ) | (87,553 | ) | 159,653 | (179,944 | ) | (160,654 | ) | |||||||||||
Net
cash provided by (used in) financing activities
|
(79,039 | ) | (187,108 | ) | (209,828 | ) | 40,944 | 3,284 | ||||||||||||
Funds
From Operations – Diluted, as adjusted by the Company (3)
|
162,361 | 151,067 | 147,089 | 137,606 | 126,953 | |||||||||||||||
Weighted
average number of shares/units outstanding:
|
||||||||||||||||||||
Shares – Basic
|
31,991,817 | 33,130,067 | 32,697,794 | 31,962,082 | 32,911,945 | |||||||||||||||
Shares – Diluted
|
32,332,688 | 33,794,526 | 33,337,557 | 32,328,105 | 33,314,038 | |||||||||||||||
Shares/units –
Basic
|
45,200,405 | 46,520,695 | 47,262,678 | 47,714,251 | 48,675,038 | |||||||||||||||
Shares/units –
Diluted
|
45,541,276 | 47,185,154 | 47,902,441 | 48,411,325 | 49,910,464 | |||||||||||||||
Total
communities owned at end of period
|
110 | 123 | 123 | 153 | 150 | |||||||||||||||
Total
apartment units owned at end of period
|
37,130 | 37,496 | 36,954 | 43,432 | 41,776 |
(1)
|
Other
income includes property other income, interest income and other
income.
|
(2)
|
Redeemable
preferred stock was redeemable solely at the option of the
Company.
|
(3)
|
Pursuant
to the revised definition of Funds From Operations ("FFO") adopted by the
Board of Governors of the National Association of Real Estate Investment
Trusts ("NAREIT"), FFO is defined as net income (computed in accordance
with accounting principles generally accepted in the United States of
America ("GAAP")) excluding gains or losses from sales of property,
minority interest and extraordinary items plus depreciation from real
property including adjustments for unconsolidated partnerships and joint
ventures less dividends from non-convertible preferred
shares. In 2008, 2007 and 2006, the Company added back debt
extinguishment costs which were incurred as a result of repaying property
specific debt triggered upon sale as a gain or loss on sale of the
property. Because of the limitations of the FFO definition as
published by NAREIT as set forth above, the Company has made certain
interpretations in applying the definition. The Company
believes all adjustments not specifically provided for are consistent with
the definition.
|
|
FFO
falls within the definition of "non-GAAP financial measure" set forth in
Regulation S-K and as a result the Company is required to include in this
report a statement disclosing the reasons why management believes that
presentation of this measure provides useful information to
investors. Management believes that in order to facilitate a
clear understanding of the combined historical operating results of the
Company, FFO should be considered in conjunction with net income as
presented in the consolidated financial statements included elsewhere
herein. Management believes that by excluding gains or losses
related to dispositions of property and excluding real estate depreciation
(which can vary among owners of similar assets in similar condition based
on historical cost accounting and useful life estimates), FFO can help one
compare the operating performance of a company's real estate between
periods or as compared to different companies. The Company also
uses this measure to compare its performance to that of its peer
group. FFO does not represent cash generated from operating
activities in accordance with generally accepted accounting principles and
is not necessarily indicative of cash available to fund cash
needs. FFO should not be considered as an alternative to net
income as an indication of the Company's performance or to cash flow as a
measure of liquidity.
|
(3)
|
(continued)
|
|
The
following table sets forth the calculation of FFO for the previous five
years, beginning with "net income available to common shareholders" from
the Company's audited financial statements prepared in accordance with
GAAP:
|
2008
|
2007
|
2006
|
2005
|
2004
|
||||||||||||||||
Net
income available to common shareholders
|
$ | 69,666 | $ | 58,352 | $ | 105,085 | $ | 75,233 | $ | 39,429 | ||||||||||
Convertible
preferred dividends(a)
|
- | - | - | 880 | 2,194 | |||||||||||||||
Depreciation
from real property(b)
|
114,260 | 110,536 | 99,421 | 97,686 | 91,564 | |||||||||||||||
Impairment
on general partner investment
|
- | - | - | - | 945 | |||||||||||||||
Loss
from sale of property
|
- | - | - | - | 50 | |||||||||||||||
Minority
interest
|
13,361 | 9,729 | 7,585 | 6,592 | 6,871 | |||||||||||||||
Minority
interest – discontinued operations
|
233 | 1,637 | 3,976 | 3,865 | 6,686 | |||||||||||||||
Gain
from sale of discontinued operations
|
(36,572 | ) | (30,077 | ) | (78,748 | ) | (46,650 | ) | (21,107 | ) | ||||||||||
Cumulative
effect of change in accounting principle
|
- | - | - | - | 321 | |||||||||||||||
FFO
– Diluted, as defined by NAREIT
|
160,948 | 150,177 | 137,319 | 137,606 | 126,953 | |||||||||||||||
Loss
from early extinguishment of debt in connection with sale of real
estate
|
1,413 | 890 | 9,770 | - | - | |||||||||||||||
FFO
– Diluted, as adjusted by the Company
|
$ | 162,361 | $ | 151,067 | $ | 147,089 | $ | 137,606 | $ | 126,953 | ||||||||||
Weighted
average common shares/units outstanding
(in thousands):
|
||||||||||||||||||||
Basic
|
45,200.4 | 46,520.7 | 47,262.7 | 47,714.3 | 48,675.0 | |||||||||||||||
Diluted(a)
|
45,541.3 | 47,185.2 | 47,902.4 | 48,411.3 | 49,910.5 | |||||||||||||||
FFO
as adjusted by the Company per share diluted (a)
|
$ | 3.57 | $ | 3.20 | $ | 3.07 | $ | 2.84 | $ | 2.54 |
|
(a)
|
The
calculation of FFO and FFO per share assumes the conversion of dilutive
common stock equivalents and convertible preferred
stock. Therefore, the convertible preferred dividends are added
to FFO, and the common stock equivalent is included in both the basic and
diluted weighted average common shares/units outstanding. The
convertible preferred stock had an anti-dilutive effect in 2004 on the
per-share calculation; therefore, the convertible preferred dividends of
$2,194 are not included in FFO for the 2004 diluted
calculation. The weighted average common shares/units
outstanding assumes conversion of all UPREIT Units to common
shares. The diluted shares/units for the year ended
December 31, 2004 used for Diluted FFO are 49,910.5 instead of the
regular diluted shares/units of
49,077.1.
|
(b)
|
Includes
amounts passed through from unconsolidated
investments.
|
|
All
REITs may not be using the same definition for
FFO. Accordingly, the above presentation may not be comparable
to other similarly titled measures of FFO of other
REITs.
|
2008
|
2007
|
$ Change
|
% Change
|
|||||||||||||
Rent
|
$ | 441,266 | $ | 430,377 | $ | 10,889 | 2.5 | % | ||||||||
Utility
recovery revenue
|
20,197 | 17,360 | 2,837 | 16.3 | % | |||||||||||
Rent
including recoveries
|
461,463 | 447,737 | 13,726 | 3.1 | % | |||||||||||
Other
income
|
20,477 | 18,332 | 2,145 | 11.7 | % | |||||||||||
Total
revenue
|
481,940 | 466,069 | 15,871 | 3.4 | % | |||||||||||
Operating
and maintenance
|
(200,684 | ) | (193,779 | ) | (6,905 | ) | (3.6 | %) | ||||||||
Net
operating income
|
$ | 281,256 | $ | 272,290 | $ | 8,966 | 3.3 | % |
2008
|
2007
|
$ Change
|
% Change
|
|||||||||||||
Rent
|
$ | 466,620 | $ | 448,919 | $ | 17,701 | 3.9 | % | ||||||||
Utility
recovery revenue
|
20,703 | 17,563 | 3,140 | 17.9 | % | |||||||||||
Rent
including recoveries
|
487,323 | 466,482 | 20,841 | 4.5 | % | |||||||||||
Other
income
|
22,061 | 19,061 | 3,000 | 15.7 | % | |||||||||||
Total
revenue
|
509,384 | 485,543 | 23,841 | 4.9 | % | |||||||||||
Operating
and maintenance
|
(214,485 | ) | (203,106 | ) | (11,379 | ) | (5.6 | %) | ||||||||
Net
operating income
|
$ | 294,899 | $ | 282,437 | $ | 12,462 | 4.4 | % |
2008
|
2007
|
$
Variance
|
%
Variance
|
|||||||||||||
Electricity
|
$ | 8,427 | $ | 7,988 | $ | (439 | ) | (5.5 | %) | |||||||
Gas
|
19,115 | 20,059 | 944 | 4.7 | % | |||||||||||
Water
& sewer
|
13,372 | 12,956 | (416 | ) | (3.2 | %) | ||||||||||
Repairs
& maintenance
|
29,367 | 27,304 | (2,063 | ) | (7.6 | %) | ||||||||||
Personnel
expense
|
43,935 | 43,059 | (876 | ) | (2.0 | %) | ||||||||||
Advertising
|
4,319 | 4,545 | 226 | 5.0 | % | |||||||||||
Legal
& professional
|
1,763 | 1,378 | (385 | ) | (27.9 | %) | ||||||||||
Office
& telephone
|
5,434 | 5,518 | 84 | 1.5 | % | |||||||||||
Property
insurance
|
12,007 | 10,143 | (1,864 | ) | (18.4 | %) | ||||||||||
Real
estate taxes
|
44,482 | 42,283 | (2,199 | ) | (5.2 | %) | ||||||||||
Snow
|
724 | 1,101 | 377 | 34.2 | % | |||||||||||
Trash
|
3,380 | 2,907 | (473 | ) | (16.3 | %) | ||||||||||
Property
management G&A
|
14,359 | 14,538 | 179 | 1.2 | % | |||||||||||
Total
|
$ | 200,684 | $ | 193,779 | $ | (6,905 | ) | (3.6 | %) |
2007
|
2006
|
$ Change
|
% Change
|
|||||||||||||
Rent
|
$ | 389,188 | $ | 379,913 | $ | 9,275 | 2.4 | % | ||||||||
Utility
recovery revenue
|
16,163 | 8,405 | 7,758 | 92.3 | % | |||||||||||
Rent
including recoveries
|
405,351 | 388,318 | 17,033 | 4.4 | % | |||||||||||
Other
income
|
16,810 | 17,187 | (377 | ) | (2.2 | %) | ||||||||||
Total
revenue
|
422,161 | 405,505 | 16,656 | 4.1 | % | |||||||||||
Operating
and maintenance
|
(175,669 | ) | (171,240 | ) | (4,429 | ) | (2.6 | %) | ||||||||
Net
operating income
|
$ | 246,492 | $ | 234,265 | $ | 12,227 | 5.2 | % |
2007
|
2006
|
$ Change
|
% Change
|
|||||||||||||
Rent
|
$ | 448,919 | $ | 392,892 | $ | 56,027 | 14.3 | % | ||||||||
Utility
recovery revenue
|
17,563 | 8,463 | 9,100 | 107.5 | % | |||||||||||
Rent
including recoveries
|
466,482 | 401,355 | 65,127 | 16.2 | % | |||||||||||
Other
income
|
19,061 | 17,477 | 1,584 | 9.1 | % | |||||||||||
Total
revenue
|
485,543 | 418,832 | 66,711 | 15.9 | % | |||||||||||
Operating
and maintenance
|
(203,106 | ) | (177,339 | ) | (25,767 | ) | (14.5 | %) | ||||||||
Net
operating income
|
$ | 282,437 | $ | 241,493 | $ | 40,944 | 17.0 | % |
2007
|
2006
|
$
Variance
|
%
Variance
|
|||||||||||||
Electricity
|
$ | 7,150 | $ | 6,869 | $ | (281 | ) | (4.1 | %) | |||||||
Gas
|
18,744 | 19,212 | 468 | 2.4 | % | |||||||||||
Water
& sewer
|
11,698 | 11,190 | (508 | ) | (4.5 | %) | ||||||||||
Repairs
& maintenance
|
24,424 | 26,141 | 1,717 | 6.6 | % | |||||||||||
Personnel
expense
|
38,548 | 35,423 | (3,125 | ) | (8.8 | %) | ||||||||||
Advertising
|
4,066 | 3,980 | (86 | ) | (2.2 | %) | ||||||||||
Legal
& professional
|
1,330 | 1,203 | (127 | ) | (10.6 | %) | ||||||||||
Office
& telephone
|
5,055 | 5,212 | 157 | 3.0 | % | |||||||||||
Property
insurance
|
8,604 | 6,848 | (1,756 | ) | (25.6 | %) | ||||||||||
Real
estate taxes
|
39,311 | 38,301 | (1,010 | ) | (2.6 | %) | ||||||||||
Snow
|
896 | 529 | (367 | ) | (69.4 | %) | ||||||||||
Trash
|
2,659 | 2,432 | (227 | ) | (9.3 | %) | ||||||||||
Property
management G&A
|
13,184 | 13,900 | 716 | 5.2 | % | |||||||||||
Total
|
$ | 175,669 | $ | 171,240 | $ | (4,429 | ) | (2.6 | %) |
Payments Due by Period (in
thousands)
|
||||||||||||||||||||||||||||
Contractual
Obligations
|
Total
|
2009
|
2010
|
2011
|
2012
|
2013
|
Thereafter
|
|||||||||||||||||||||
Long-term
debt (1)
|
$ | 2,112,331 | $ | 46,088 | $ | 396,381 | $ | 316,773 | $ | 174,881 | $ | 217,093 | $ | 961,115 | ||||||||||||||
Exchangeable
senior notes (1)
|
140,000 | - | - | 140,000 | - | - | - | |||||||||||||||||||||
Line
of credit (1)
|
71,000 | 71,000 | - | - | - | - | - | |||||||||||||||||||||
Operating
leases
|
3,181 | 2,241 | 482 | 266 | 192 | - | - | |||||||||||||||||||||
Purchase
obligations
|
7,180 | 5,565 | 788 | 457 | 370 | - | - | |||||||||||||||||||||
Total
(2)
|
$ | 2,333,692 | $ | 124,894 | $ | 397,651 | $ | 457,496 | $ | 175,443 | $ | 217,093 | $ | 961,115 |
(1)
|
Amounts
include principal payments only. The Company will pay interest
on outstanding indebtedness based on the rates and terms summarized in
Notes 4, 5 and 6 to the Consolidated Financial
Statements.
|
(2)
|
The
contractual obligations and other commitments in the table are set forth
as required by Item 303(a)(5) of Regulation S-K promulgated by the SEC in
January of 2003 and are not prepared in accordance with generally-accepted
accounting principles.
|
Maintenance
|
||||||||||||||||||||
Capitalized
|
Expense
|
Total
|
||||||||||||||||||
Capitalized
|
Expenditure
|
Cost
per
|
Cost
per
|
|||||||||||||||||
Cost
per
|
Useful
|
Per
Unit
|
Unit
|
Unit
|
||||||||||||||||
Category
|
Unit
|
Life(1)
|
Per Year(2)
|
Per Year(3)
|
Per
Year
|
|||||||||||||||
Appliances
|
$ | 1,368 | 10 | $ | 137 | $ | 5 | $ | 142 | |||||||||||
Blinds/shades
|
135 | 3 | 45 | 6 | 51 | |||||||||||||||
Carpets/cleaning
|
840 | 4 | 210 | 97 | 307 | |||||||||||||||
Computers,
equipment, misc.(4)
|
120 | 5 | 44 | 29 | 73 | |||||||||||||||
Contract
repairs
|
- | - | - | 102 | 102 | |||||||||||||||
Exterior
painting (5)
|
84 | 3 | 28 | 1 | 29 | |||||||||||||||
Flooring
|
250 | 7 | 36 | - | 36 | |||||||||||||||
Furnace/air
(HVAC)
|
765 | 24 | 32 | 43 | 75 | |||||||||||||||
Hot
water heater
|
260 | 7 | 37 | - | 37 | |||||||||||||||
Interior
painting
|
- | - | - | 138 | 138 | |||||||||||||||
Kitchen/bath
cabinets
|
1,100 | 25 | 44 | - | 44 | |||||||||||||||
Landscaping
|
- | - | - | 106 | 106 | |||||||||||||||
New
roof
|
800 | 24 | 33 | - | 33 | |||||||||||||||
Parking
lot
|
540 | 15 | 36 | - | 36 | |||||||||||||||
Pool/exercise
facility
|
105 | 16 | 7 | 23 | 30 | |||||||||||||||
Windows
|
1,505 | 28 | 54 | - | 54 | |||||||||||||||
Miscellaneous
(6)
|
555 | 15 | 37 | 40 | 77 | |||||||||||||||
Total
|
$ | 8,427 | $ | 780 | $ | 590 | $ | 1,370 |
(1)
|
Estimated
weighted average actual physical useful life of the expenditure
capitalized.
|
(2)
|
This
amount is not necessarily incurred each and every year. Some
years will be higher, or lower depending on the timing of certain longer
life expenditures.
|
(3)
|
These
expenses are included in the Operating and maintenance line item of the
Consolidated Statement of Operations. Maintenance labor costs
are not included in the $590 per unit estimate. All personnel
costs for site supervision, leasing agents, and maintenance staff are
combined and disclosed in the Company's Core Properties expense detail
schedule.
|
(4)
|
Includes
computers, office equipment/furniture, and maintenance
vehicles.
|
(5)
|
The
level of exterior painting may be lower than other similar titled
presentations as the Company's portfolio has a significant amount of brick
exteriors. In addition, the other exposed surfaces are most
often covered in aluminum or vinyl.
|
(6)
|
Includes
items such as balconies, siding, and
concrete/sidewalks.
|
For
the year ended December 31,
|
||||||||||||||||||||||||||||||||
2008
|
2007
|
|||||||||||||||||||||||||||||||
Recurring
|
(a)
|
Non-recurring
|
(a)
|
Total
Capital
|
(a)
|
Total
Capital
|
(a)
|
|||||||||||||||||||||||||
Cap
Ex
|
Per
Unit
|
Cap
Ex
|
Per
Unit
|
Improvements
|
Per
Unit
|
Improvements
|
Per
Unit
|
|||||||||||||||||||||||||
New
buildings
|
$ | - | $ | - | $ | 2,968 | $ | 82 | $ | 2,968 | $ | 82 | $ | 2,043 | $ | 57 | ||||||||||||||||
Major
bldg improvements
|
4,306 | 119 | 13,889 | 384 | 18,195 | 503 | 17,122 | 481 | ||||||||||||||||||||||||
Roof
replacements
|
1,194 | 33 | 3,417 | 94 | 4,611 | 127 | 4,017 | 113 | ||||||||||||||||||||||||
Site
improvements
|
1,556 | 43 | 9,173 | 253 | 10,729 | 296 | 9,768 | 274 | ||||||||||||||||||||||||
Apartment
upgrades
|
3,221 | 89 | 31,544 | 872 | 34,765 | 961 | 20,053 | 563 | ||||||||||||||||||||||||
Appliances
|
4,957 | 137 | 848 | 23 | 5,805 | 160 | 3,861 | 108 | ||||||||||||||||||||||||
Carpeting/flooring
|
8,902 | 246 | 4,202 | 116 | 13,104 | 362 | 11,307 | 317 | ||||||||||||||||||||||||
HVAC/mechanicals
|
2,497 | 69 | 8,753 | 242 | 11,250 | 311 | 11,786 | 331 | ||||||||||||||||||||||||
Miscellaneous
|
1,592 | 44 | 1,312 | 36 | 2,904 | 80 | 2,986 | 84 | ||||||||||||||||||||||||
Totals
|
$ | 28,225 | $ | 780 | $ | 76,106 | $ | 2,102 | $ | 104,331 | $ | 2,882 | $ | 82,943 | $ | 2,328 |
(a)
|
Calculated
using the weighted average number of units owned, including 34,560 core
units, 2007 acquisition units of 1,541, and 2008 acquisition units of 85
for the year ended December 31, 2008 and 34,560 core units and 2007
acquisition units of 1,054 for the year ended December 31,
2007.
|
For
the year ended December 31,
|
||||||||||||||||||||||||||||||||
2008
|
2007
|
|||||||||||||||||||||||||||||||
Recurring
|
(a)
|
Non-recurring
|
(a)
|
Total
Capital
|
(a)
|
Total
Capital
|
(a)
|
|||||||||||||||||||||||||
Cap Ex
|
Per Unit
|
Cap Ex
|
Per Unit
|
Improvements
|
Per Unit
|
Improvements
|
Per Unit
|
|||||||||||||||||||||||||
Core
Communities
|
$ | 26,957 | $ | 780 | $ | 67,046 | $ | 1,940 | $ | 94,003 | $ | 2,720 | $ | 79,593 | $ | 2,303 | ||||||||||||||||
2008
Acquisition Communities
|
66 | 780 | 31 | 361 | 97 | 1,141 | - | - | ||||||||||||||||||||||||
2007
Acquisition Communities
|
1,202 | 780 | 9,029 | 5,859 | 10,231 | 6,639 | 3,350 | 3,178 | ||||||||||||||||||||||||
Subtotal
|
28,225 | 780 | 76,106 | 2,102 | 104,331 | 2,882 | 82,943 | 2,328 | ||||||||||||||||||||||||
2008
Disposed Communities
|
510 | 780 | 640 | 979 | 1,150 | 1,759 | 2,228 | 1,816 | ||||||||||||||||||||||||
2007
Disposed Communities
|
- | - | - | - | - | - | 1,879 | 2,542 | ||||||||||||||||||||||||
Corporate
office expenditures (1)
|
- | - | - | - | 3,656 | - | 3,280 | - | ||||||||||||||||||||||||
Totals
|
$ | 28,735 | $ | 780 | $ | 76,746 | $ | 2,083 | $ | 109,137 | $ | 2,863 | $ | 90,330 | $ | 2,316 |
(1)
|
No
distinction is made between recurring and non-recurring expenditures for
corporate office. Corporate office expenditures include
principally computer hardware, software and office furniture and
fixtures.
|
Year
ended
December
31
|
Increased
Interest expense
|
Decrease
to gain
on
early
extinguishment
of debt
|
Decrease
to income available to
common
shareholders
(net of minority
interest)
|
Decrease to EPS
–
diluted
|
||||||||||||
2006
|
$ | 425 | $ | 300 | $ | 0.01 | ||||||||||
2007
|
2,400 | 1,700 | 0.05 | |||||||||||||
2008
|
2,300 | $ | 14,500 | 11,900 | 0.37 | |||||||||||
2009
|
1,800 | N/A | N/A | |||||||||||||
2010
|
1,900 | N/A | N/A | |||||||||||||
2011
|
1,700 | N/A | N/A |
Year
First
|
||
Name of
Director
|
Age
|
Elected
Director
|
Stephen
R. Blank
|
63
|
2009
|
Josh
E. Fidler
|
53
|
2004
|
Alan
L. Gosule
|
68
|
1996
|
Leonard
F. Helbig, III
|
63
|
1994
|
Roger
W. Kober
|
75
|
1994
|
Nelson
B. Leenhouts
|
73
|
1993
|
Norman
Leenhouts
|
73
|
1993
|
Edward
J. Pettinella
|
57
|
2001
|
Clifford
W. Smith, Jr.
|
62
|
1994
|
Paul
L. Smith
|
73
|
1994
|
Amy
L. Tait
|
50
|
1993
|
|
PART
IV
|
|
The
financial statements and schedules listed below are filed as part of this
annual report on the pages
indicated.
|
Page
|
|
65
|
|
as of December 31, 2008 and
2007
|
66
|
for the Years Ended December 31,
2008, 2007 and 2006
|
67
|
for the Years Ended December 31,
2008, 2007 and 2006
|
68
|
for the Years Ended December 31,
2008, 2007 and 2006
|
69
|
70
|
|
Valuation and Qualifying
Accounts
|
98
|
Real Estate and Accumulated
Depreciation
|
99
|
See
Exhibit Index.
|
104
|
2008
|
2007
|
|||||||
ASSETS
|
||||||||
Real
estate:
|
||||||||
Land
|
$ | 515,610 | $ | 510,120 | ||||
Construction
in progress
|
111,039 | 54,069 | ||||||
Buildings,
improvements and equipment
|
3,245,741 | 3,115,966 | ||||||
3,872,390 | 3,680,155 | |||||||
Less: accumulated
depreciation
|
(636,970 | ) | (543,917 | ) | ||||
Real estate, net
|
3,235,420 | 3,136,238 | ||||||
Cash
and cash equivalents
|
6,567 | 6,109 | ||||||
Cash
in escrows
|
27,904 | 31,005 | ||||||
Accounts
receivable
|
14,078 | 11,109 | ||||||
Prepaid
expenses
|
16,277 | 15,560 | ||||||
Deferred
charges
|
11,473 | 12,371 | ||||||
Other
assets
|
5,488 | 4,031 | ||||||
Total assets
|
$ | 3,317,207 | $ | 3,216,423 | ||||
LIABILITIES
AND STOCKHOLDERS' EQUITY
|
||||||||
Mortgage
notes payable
|
$ | 2,112,331 | $ | 1,986,789 | ||||
Exchangeable
senior notes
|
140,000 | 200,000 | ||||||
Line
of credit
|
71,000 | 2,500 | ||||||
Accounts
payable
|
23,731 | 18,616 | ||||||
Accrued
interest payable
|
10,845 | 10,984 | ||||||
Accrued
expenses and other liabilities
|
32,043 | 27,586 | ||||||
Security
deposits
|
21,443 | 22,826 | ||||||
Total liabilities
|
2,411,393 | 2,269,301 | ||||||
Commitments
and contingencies
|
||||||||
Minority
interest
|
259,136 | 279,061 | ||||||
Stockholders'
equity:
|
||||||||
Common
stock, $.01 par value; 80,000,000 shares authorized; 32,431,304
and 32,600,614 shares issued and outstanding at
December 31, 2008 and 2007, respectively
|
324 | 326 | ||||||
Excess
stock, $.01 par value; 10,000,000 shares authorized; no shares issued or
outstanding
|
- | - | ||||||
Additional
paid-in capital
|
847,576 | 853,358 | ||||||
Distributions
in excess of accumulated earnings
|
(201,222 | ) | (185,623 | ) | ||||
Total stockholders'
equity
|
646,678 | 668,061 | ||||||
Total liabilities and
stockholders' equity
|
$ | 3,317,207 | $ | 3,216,423 |
2008
|
2007
|
2006
|
||||||||||
Revenues:
|
||||||||||||
Rental
income
|
$ | 466,620 | $ | 448,919 | $ | 392,892 | ||||||
Property
other income
|
42,764 | 36,624 | 25,940 | |||||||||
Interest
income
|
166 | 1,963 | 1,761 | |||||||||
Other
income
|
400 | 1,124 | 3,468 | |||||||||
Total
revenues
|
509,950 | 488,630 | 424,061 | |||||||||
Expenses:
|
||||||||||||
Operating
and maintenance
|
214,485 | 203,106 | 177,339 | |||||||||
General
and administrative
|
25,491 | 23,413 | 22,626 | |||||||||
Interest
|
118,959 | 117,958 | 103,270 | |||||||||
Depreciation
and amortization
|
115,020 | 107,037 | 89,819 | |||||||||
Impairment
of assets held as general partner
|
4,000 | - | - | |||||||||
Total
expenses
|
477,955 | 451,514 | 393,054 | |||||||||
Income
from operations before gain on early extinguishment of
debt
|
31,995 | 37,116 | 31,007 | |||||||||
Gain
on early extinguishment of debt
|
13,884 | - | - | |||||||||
Income
from operations
|
45,879 | 37,116 | 31,007 | |||||||||
Minority
interest in operating partnership
|
(13,361 | ) | (9,729 | ) | (7,585 | ) | ||||||
Income
from continuing operations
|
32,518 | 27,387 | 23,422 | |||||||||
Discontinued
operations:
|
||||||||||||
Income
from operations, net of $233, $1,637 and $3,976, in 2008, 2007 and 2006
allocated to minority interest, respectively
|
576 | 4,080 | 8,315 | |||||||||
Gain
on disposition of property, net of $14,987, $12,049 and $31,766 in 2008,
2007 and 2006 allocated to minority interest, respectively
|
36,572 | 30,077 | 78,748 | |||||||||
Discontinued
operations
|
37,148 | 34,157 | 87,063 | |||||||||
Net
income
|
69,666 | 61,544 | 110,485 | |||||||||
Preferred
dividends
|
- | (1,290 | ) | (5,400 | ) | |||||||
Preferred
stock issuance costs write-off
|
- | (1,902 | ) | - | ||||||||
Net
income available to common shareholders
|
$ | 69,666 | $ | 58,352 | $ | 105,085 | ||||||
Basic
earnings per share data:
|
||||||||||||
Income
from continuing operations
|
$ | 1.02 | $ | 0.73 | $ | 0.55 | ||||||
Discontinued
operations
|
1.16 | 1.03 | 2.66 | |||||||||
Net
income available to common shareholders
|
$ | 2.18 | $ | 1.76 | $ | 3.21 | ||||||
Diluted
earnings per share data:
|
||||||||||||
Income
from continuing operations
|
$ | 1.00 | $ | 0.72 | $ | 0.54 | ||||||
Discontinued
operations
|
1.15 | 1.01 | 2.61 | |||||||||
Net
income available to common shareholders
|
$ | 2.15 | $ | 1.73 | $ | 3.15 | ||||||
Weighted
average number of shares outstanding:
|
||||||||||||
Basic
|
31,991,817 | 33,130,067 | 32,697,794 | |||||||||
Diluted
|
32,332,688 | 33,794,526 | 33,337,557 | |||||||||
Dividends
declared per share
|
$ | 2.65 | $ | 2.61 | $ | 2.57 |
Preferred
|
Distributions
|
Accumulated
|
||||||||||||||||||||||||||
Stock
at
|
Additional
|
in
Excess of
|
Other
|
|||||||||||||||||||||||||
Liquidation
|
Common
Stock
|
Paid-In
|
Accumulated
|
Comprehensive
|
||||||||||||||||||||||||
Preference
|
Shares
|
Amount
|
Capital
|
Earnings
|
Income
|
Totals
|
||||||||||||||||||||||
Balance,
January 1, 2006
|
$ | 60,000 | 31,184,256 | $ | 312 | $ | 773,396 | $ | (177,102 | ) | $ | 206 | $ | 656,812 | ||||||||||||||
Comprehensive
income:
|
||||||||||||||||||||||||||||
Net
income
|
- | - | - | - | 110,485 | - | 110,485 | |||||||||||||||||||||
Change
in fair value of hedge
instruments, net of minority
interest
|
- | - | - | - | - | (35 | ) | (35 | ) | |||||||||||||||||||
Comprehensive
income
|
- | - | - | - | - | - | 110,450 | |||||||||||||||||||||
Issuance
of common stock, net
|
- | 832,687 | 8 | 31,674 | - | - | 31,682 | |||||||||||||||||||||
Repurchase
of common stock
|
- | (2,683,429 | ) | (26 | ) | (146,273 | ) | - | - | (146,299 | ) | |||||||||||||||||
Conversion
of UPREIT Units for stock
|
- | 3,769,733 | 37 | 195,750 | - | - | 195,787 | |||||||||||||||||||||
Adjustment
of minority interest
|
- | - | - | (2,511 | ) | - | - | (2,511 | ) | |||||||||||||||||||
Preferred
dividends
|
- | - | - | - | (5,400 | ) | - | (5,400 | ) | |||||||||||||||||||
Dividends
paid ($2.57 per share)
|
- | - | - | - | (84,904 | ) | - | (84,904 | ) | |||||||||||||||||||
Balance,
December 31, 2006
|
60,000 | 33,103,247 | 331 | 852,036 | (156,921 | ) | 171 | 755,617 | ||||||||||||||||||||
Comprehensive
income:
|
||||||||||||||||||||||||||||
Net
income
|
- | - | - | - | 61,544 | - | 61,544 | |||||||||||||||||||||
Change
in fair value of hedge
instruments, net of minority
interest
|
- | - | - | - | - | (171 | ) | (171 | ) | |||||||||||||||||||
Comprehensive
income
|
- | - | - | - | - | - | 61,373 | |||||||||||||||||||||
Issuance
of common stock, net
|
- | 318,318 | 3 | 15,553 | - | - | 15,556 | |||||||||||||||||||||
Repurchase
of common stock
|
- | (1,299,269 | ) | (13 | ) | (61,217 | ) | - | - | (61,230 | ) | |||||||||||||||||
Redemption
of preferred stock
|
(60,000 | ) | - | - | 1,902 | (1,902 | ) | - | (60,000 | ) | ||||||||||||||||||
Conversion
of UPREIT Units for stock
|
- | 478,318 | 5 | 26,495 | - | - | 26,500 | |||||||||||||||||||||
Adjustment
of minority interest
|
- | - | - | 18,589 | - | - | 18,589 | |||||||||||||||||||||
Preferred
dividends
|
- | - | - | - | (1,290 | ) | - | (1,290 | ) | |||||||||||||||||||
Dividends
paid ($2.61 per share)
|
- | - | - | - | (87,054 | ) | - | (87,054 | ) | |||||||||||||||||||
Balance,
December 31, 2007
|
- | 32,600,614 | 326 | 853,358 | (185,623 | ) | - | 668,061 | ||||||||||||||||||||
Net
income
|
- | - | - | - | 69,666 | - | 69,666 | |||||||||||||||||||||
Issuance
of common stock, net
|
- | 370,714 | 3 | 16,824 | - | - | 16,827 | |||||||||||||||||||||
Repurchase
of common stock
|
- | (1,165,783 | ) | (11 | ) | (53,919 | ) | - | - | (53,930 | ) | |||||||||||||||||
Conversion
of UPREIT Units for stock
|
- | 625,759 | 6 | 30,222 | - | - | 30,228 | |||||||||||||||||||||
Adjustment
of minority interest
|
- | - | - | 1,091 | - | - | 1,091 | |||||||||||||||||||||
Dividends
paid ($2.65 per share)
|
- | - | - | - | (85,265 | ) | - | (85,265 | ) | |||||||||||||||||||
Balance,
December 31, 2008
|
$ | - | 32,431,304 | $ | 324 | $ | 847,576 | $ | (201,222 | ) | $ | - | $ | 646,678 |
2008
|
2007
|
2006
|
||||||||||
Cash
flows from operating activities:
|
||||||||||||
Net
income
|
$ | 69,666 | $ | 61,544 | $ | 110,485 | ||||||
Adjustments
to reconcile net income to net cash provided by operating
activities:
|
||||||||||||
Income allocated to minority
interest
|
28,581 | 23,415 | 43,327 | |||||||||
Depreciation and
amortization
|
115,617 | 113,448 | 103,333 | |||||||||
Impairment of assets held as
general partner
|
4,000 | - | - | |||||||||
Gain on disposition of
property and business
|
(51,559 | ) | (42,126 | ) | (110,514 | ) | ||||||
Gain on early extinguishment
of debt
|
(13,884 | ) | - | - | ||||||||
Issuance of restricted stock,
compensation cost of stock options
and deferred
compensation
|
5,990 | 5,869 | 4,961 | |||||||||
Changes in assets and
liabilities:
|
||||||||||||
Cash held in
escrows
|
2,086 | 993 | 1,863 | |||||||||
Other assets
|
(6,307 | ) | 1,154 | 4,969 | ||||||||
Accounts payable and accrued
liabilities
|
5,891 | (1,739 | ) | 4,572 | ||||||||
Total
adjustments
|
90,415 | 101,014 | 52,511 | |||||||||
Net
cash provided by operating activities
|
160,081 | 162,558 | 162,996 | |||||||||
Cash
flows from investing activities:
|
||||||||||||
Purchase
of properties and other assets, net of mortgage notes assumed and UPREIT
Units issued
|
(34,866 | ) | (107,656 | ) | (188,004 | ) | ||||||
Purchase
of land for development
|
(28,320 | ) | (46,540 | ) | - | |||||||
Additions
to properties
|
(107,430 | ) | (86,537 | ) | (87,338 | ) | ||||||
Additions
to construction in progress
|
(33,019 | ) | (15,151 | ) | (14,501 | ) | ||||||
Proceeds
from sale of properties and business, net
|
121,975 | 126,557 | 488,457 | |||||||||
Withdrawals
from (additions to) funds held in escrow, net
|
1,076 | 41,774 | (38,961 | ) | ||||||||
Net
cash provided by (used in) investing activities
|
(80,584 | ) | (87,553 | ) | 159,653 | |||||||
Cash
flows from financing activities:
|
||||||||||||
Proceeds from sale of
exchangeable senior notes, net
|
- | - | 195,779 | |||||||||
Payments for early
extinguishment of exchangeable senior notes
|
(45,360 | ) | - | - | ||||||||
Proceeds from sale of common
stock, net
|
10,837 | 9,687 | 26,721 | |||||||||
Repurchase of Series F
preferred stock
|
- | (60,000 | ) | - | ||||||||
Repurchase of common
stock
|
(53,930 | ) | (61,230 | ) | (146,299 | ) | ||||||
Proceeds from mortgage notes
payable
|
242,862 | 244,797 | 202,894 | |||||||||
Payments of mortgage notes
payable
|
(178,621 | ) | (198,405 | ) | (279,135 | ) | ||||||
Proceeds from line of
credit
|
490,500 | 248,000 | 379,800 | |||||||||
Payments on line of
credit
|
(422,000 | ) | (245,500 | ) | (461,800 | ) | ||||||
Payments of deferred loan
costs
|
(3,021 | ) | (1,908 | ) | (1,842 | ) | ||||||
Withdrawals from (additions
to) cash escrows, net
|
(61 | ) | 332 | 137 | ||||||||
Dividends and distributions
paid
|
(120,245 | ) | (122,881 | ) | (126,083 | ) | ||||||
Net cash used in financing
activities
|
(79,039 | ) | (187,108 | ) | (209,828 | ) | ||||||
Net
increase (decrease) in cash and cash equivalents
|
458 | (112,103 | ) | 112,821 | ||||||||
Cash
and cash equivalents:
|
||||||||||||
Beginning of
year
|
6,109 | 118,212 | 5,391 | |||||||||
End of year
|
$ | 6,567 | $ | 6,109 | $ | 118,212 |
2
|
SUMMARY
OF SIGNIFICANT ACCOUNTING POLICIES
(Continued)
|
Land
improvements
|
3-20
years
|
Buildings
and improvements
|
3-40
years
|
Furniture,
fixtures and equipment
|
5-10
years
|
Computer
software
|
5
years
|
2008
|
2007
|
2006
|
||||||||||
Net
income
|
$ | 69,666 | $ | 61,544 | $ | 110,485 | ||||||
Add
back: Net loss of taxable REIT Subsidiaries included in net
income above
|
52 | 122 | 243 | |||||||||
Add
back: Net loss of taxable VIE, including impairment of real
property
|
3,897 | 756 | 574 | |||||||||
Deduct:
Net income of taxable REIT subsidiaries included in net income
above
|
- | - | (39 | ) | ||||||||
Net
income from REIT operations
|
73,615 | 62,422 | 111,263 | |||||||||
Add:
Book depreciation and amortization
|
81,835 | 78,369 | 75,151 | |||||||||
Less:
Tax depreciation and amortization
|
(82,562 | ) | (79,880 | ) | (68,874 | ) | ||||||
Book/tax
difference on gains/losses from capital transactions
|
(6,176 | ) | 12,579 | (49,691 | ) | |||||||
Book/tax
difference on carrying value of mortgages
|
(4,291 | ) | (2,283 | ) | (3,157 | ) | ||||||
Book/tax
difference on equity compensation
|
(2,295 | ) | (3,343 | ) | (8,232 | ) | ||||||
Other
book/tax differences, net
|
54 | (2,422 | ) | (3,279 | ) | |||||||
Adjusted
taxable income subject to 90% REIT
dividend requirement
|
$ | 60,180 | $ | 65,442 | $ | 53,181 |
2008
|
2007
|
2006
|
||||||||||
Income
from continuing operations
|
$ | 32,518 | $ | 27,387 | $ | 23,422 | ||||||
Less:
Preferred dividends
|
- | (1,290 | ) | (5,400 | ) | |||||||
Less:
Preferred stock issuance costs write-off
|
- | (1,902 | ) | - | ||||||||
Basic
and Diluted – Income from continuing operations applicable
to common shareholders |
32,518 | 24,195 | 18,022 | |||||||||
Discontinued
operations
|
37,148 | 34,157 | 87,063 | |||||||||
Net
income available to common shareholders
|
$ | 69,666 | $ | 58,352 | $ | 105,085 | ||||||
Basic
weighted average number of shares outstanding
|
31,991,817 | 33,130,067 | 32,697,794 | |||||||||
Effect
of dilutive stock options
|
325,473 | 537,703 | 593,308 | |||||||||
Effect
of phantom and restricted shares
|
15,398 | 126,756 | 46,455 | |||||||||
Diluted
weighted average number of shares outstanding
|
32,332,688 | 33,794,526 | 33,337,557 | |||||||||
Basic
earnings per share data:
|
||||||||||||
Income
from continuing operations
|
$ | 1.02 | $ | 0.73 | $ | 0.55 | ||||||
Discontinued
operations
|
1.16 | 1.03 | 2.66 | |||||||||
Net
income available to common shareholders
|
$ | 2.18 | $ | 1.76 | $ | 3.21 | ||||||
Diluted
earnings per share data:
|
||||||||||||
Income
from continuing operations
|
$ | 1.00 | $ | 0.72 | $ | 0.54 | ||||||
Discontinued
operations
|
1.15 | 1.01 | 2.61 | |||||||||
Net
income available to common shareholders
|
$ | 2.15 | $ | 1.73 | $ | 3.15 |
Year
ended
December
31
|
Increased
Interest expense
|
Decrease
to gain
on
early
extinguishment
of debt
|
Decrease
to income available to
common
shareholders
(net of minority
interest)
|
Decrease to EPS
–
diluted
|
||||||||||||
2006
|
$ | 425 | $ | 300 | $ | 0.01 | ||||||||||
2007
|
2,400 | 1,700 | 0.05 | |||||||||||||
2008
|
2,300 | $ | 14,500 | 11,900 | 0.37 | |||||||||||
2009
|
1,800 | N/A | N/A | |||||||||||||
2010
|
1,900 | N/A | N/A | |||||||||||||
2011
|
1,700 | N/A | N/A |
2008
|
2007
|
|||||||
Fixed
rate mortgage notes payable
|
$ | 2,056,176 | $ | 1,958,104 | ||||
Variable
rate mortgage notes payable
|
56,155 | 28,685 | ||||||
Mortgage notes
payable
|
$ | 2,112,331 | $ | 1,986,789 |
2009
|
$ | 46,088 | ||
2010
|
396,381 | |||
2011
|
316,773 | |||
2012
|
174,881 | |||
2013
|
217,093 | |||
Thereafter
|
961,115 | |||
$ | 2,112,331 |
2008
|
2007
|
2006
|
||||||||||
Balance,
beginning of year
|
$ | 279,061 | $ | 282,542 | $ | 323,269 | ||||||
Net
income
|
28,581 | 23,415 | 43,327 | |||||||||
Accumulated
other comprehensive income (loss)
|
- | (35 | ) | (2 | ) | |||||||
Issuance
of UPREIT Units associated with property acquisitions
|
- | 36,290 | 20,397 | |||||||||
Exchange
of UPREIT Units for Common Shares
|
(12,435 | ) | (10,025 | ) | (71,157 | ) | ||||||
Adjustment
between minority interest and stockholders' equity
|
(1,091 | ) | (18,589 | ) | 2,511 | |||||||
Distributions
|
(34,980 | ) | (34,537 | ) | (35,779 | ) | ||||||
Effect
of consolidating affordable limited partnerships under FIN
46R
|
- | - | (24 | ) | ||||||||
Balance,
end of year
|
$ | 259,136 | $ | 279,061 | $ | 282,542 | ||||||
Number
of UPREIT units outstanding at December 31:
|
12,821,170 | 13,446,929 | 13,290,384 |
Common
|
Distribution
Type
|
|||||||||||||||||||||||||
Declaration
Dates
|
Record
Dates
|
Payable
Dates
|
Distributions
Per
Share
|
Ordinary
Taxable
Dividend
|
Qualified
Dividend
|
Return
of
Capital
|
Long-Term
Capital
Gain
|
Unrecaptured
Sec.
1250
Gain
|
||||||||||||||||||
2/11/2008
|
2/22/2008
|
2/29/2008
|
$ | 0.66 | 51.12 | % | 0.00 | % | 12.68 | % | 22.51 | % | 13.69 | % | ||||||||||||
5/1/2008
|
5/14/2008
|
5/23/2008
|
0.66 | 51.12 | % | 0.00 | % | 12.68 | % | 22.51 | % | 13.69 | % | |||||||||||||
7/30/2008
|
8/13/2008
|
8/22/2008
|
0.66 | 51.12 | % | 0.00 | % | 12.68 | % | 22.51 | % | 13.69 | % | |||||||||||||
10/30/2008
|
11/14/2008
|
11/25/2008
|
0.67 | 51.12 | % | 0.00 | % | 12.68 | % | 22.51 | % | 13.69 | % | |||||||||||||
TOTALS
|
$ | 2.65 | 51.12 | % | 0.00 | % | 12.68 | % | 22.51 | % | 13.69 | % |
Distribution
Type
|
||||||||||||||||||||||||
Year
|
Distributions
Per
Share
|
Ordinary
Taxable
Dividend
|
Qualified
Dividend
|
Return
of
Capital
|
Long-Term
Capital
Gain
|
Unrecaptured
Sec.
1250
Gain
|
||||||||||||||||||
2007
|
$ | 2.61 | 33.94 | % | 0.00 | % | 18.14 | % | 30.55 | % | 17.37 | % | ||||||||||||
2006
|
2.57 | 29.79 | % | 0.04 | % | 32.86 | % | 0.00 | % | 37.31 | % |
Series F Cumulative
Preferred
|
Distribution
Type
|
|||||||||||||||||||||||||
Declaration
Dates
|
Record
Dates
|
Payable
Dates
|
Distributions
Per
Share
|
Ordinary
Taxable
Dividend
|
Qualified
Dividend
|
Return
of
Capital
|
Long-Term
Capital
Gain
|
Unrecaptured
Sec.
1250
Gain
|
||||||||||||||||||
2/7/2007
|
2/16/2007
|
2/28/2007
|
$ | 0.5625 | 41.46 | % | 0.00 | % | 0.00 | % | 37.32 | % | 21.22 | % | ||||||||||||
Redemption
|
Redemption
|
3/26/2007
|
0.1625 | 41.46 | % | 0.00 | % | 0.00 | % | 37.32 | % | 21.22 | % | |||||||||||||
TOTALS
|
$ | 0.7250 | 41.46 | % | 0.00 | % | 0.00 | % | 37.32 | % | 21.22 | % |
Distribution
Type
|
||||||||
Year
|
Distributions
Per
Share
|
Ordinary
Taxable
Dividend
|
Qualified
Dividend
|
Return
of
Capital
|
Long-Term
Capital
Gain
|
Unrecaptured
Sec.
1250
Gain
|
||
2006
|
$2.25
|
44.37%
|
0.06%
|
0.00%
|
0.00%
|
55.57%
|
Number of
Options
|
Weighted
Average Exercise Price
Per
Option
|
Weighted
Average Remaining Contractual
Term in
Years
|
Aggregate Intrinsic
Value
|
|||||||||||||
Options
outstanding at December 31, 2007
|
2,651,522 | $ | 43.33 | |||||||||||||
Granted
|
498,983 | 52.56 | ||||||||||||||
Exercised
|
(213,370 | ) | 37.18 | |||||||||||||
Cancelled
|
(82,007 | ) | 48.72 | |||||||||||||
Options
outstanding at December 31, 2008
|
2,855,128 | $ | 45.25 | 6.6 | $ | - | ||||||||||
Options
exercisable at December 31, 2008
|
1,432,649 | $ | 39.54 | 5.1 | $ | 1,519 |
Number of
Options
|
Weighted
Average
Exercise
Price
Per
Option
|
|||||||
Unvested
stock options at December 31, 2007
|
1,453,033 | $ | 48.69 | |||||
Granted
|
498,983 | 52.56 | ||||||
Vested
|
(447,530 | ) | 45.67 | |||||
Cancelled
|
(82,007 | ) | 48.72 | |||||
Unvested
stock options at December 31, 2008
|
1,422,479 | $ | 51.00 |
Assumption
|
2008
|
2007
|
2006
|
|||||||||
Expected
dividend yields
|
5.48 | % | 5.27 | % | 5.26 | % | ||||||
Expected
volatility
|
20.97 | % | 19.25 | % | 18.73 | % | ||||||
Expected
lives of the options with a lifetime of ten years
|
5.7
Years
|
5.7
Years
|
6.5
Years
|
|||||||||
Expected
lives of the options with a lifetime of five years
|
4.6
Years
|
4.6
Years
|
5.0
Years
|
|||||||||
Risk
free interest rate
|
3.35 | % | 4.59 | % | 5.09 | % |
Number of
Shares
|
Weighted
Average
Grant
Date Fair Value
Per
Share
|
|||||||
Restricted
stock outstanding and unvested at December 31, 2007
|
215,899 | $ | 44.34 | |||||
Granted
|
76,585 | 50.09 | ||||||
Vested
and issued
|
(118,341 | ) | 39.04 | |||||
Cancelled
|
(4,830 | ) | 51.17 | |||||
Restricted
stock outstanding and unvested at December 31, 2008
|
169,313 | $ | 50.44 |
2008
|
2007
|
2006
|
||||||||||
Revenues
|
||||||||||||
Apartments
owned
|
||||||||||||
Core
properties
|
$ | 481,940 | $ | 466,069 | $ | 418,832 | ||||||
Non-core
properties
|
27,444 | 19,474 | - | |||||||||
Reconciling
items
|
566 | 3,087 | 5,229 | |||||||||
Total
revenues
|
$ | 509,950 | $ | 488,630 | $ | 424,061 | ||||||
Net operating income
|
||||||||||||
Apartments
owned
|
||||||||||||
Core
properties
|
$ | 281,256 | $ | 272,290 | $ | 241,493 | ||||||
Non-core
properties
|
13,643 | 10,147 | - | |||||||||
Reconciling
items
|
566 | 3,087 | 5,229 | |||||||||
Net
operating income
|
295,465 | 285,524 | 246,722 | |||||||||
General
& administrative expenses
|
(25,491 | ) | (23,413 | ) | (22,626 | ) | ||||||
Interest
expense
|
(118,959 | ) | (117,958 | ) | (103,270 | ) | ||||||
Depreciation
and amortization
|
(115,020 | ) | (107,037 | ) | (89,819 | ) | ||||||
Impairment
of assets held as general partner
|
(4,000 | ) | - | - | ||||||||
Gain
on early extinguishment of debt
|
13,884 | - | - | |||||||||
Minority
interest in operating partnership
|
(13,361 | ) | (9,729 | ) | (7,585 | ) | ||||||
Income
from continuing operations
|
$ | 32,518 | $ | 27,387 | $ | 23,422 | ||||||
The
assets for each of the reportable segments are summarized as follows as of
December 31, 2008 and 2007:
|
||||||||||||
Assets
|
2008
|
2007
|
||||||||||
Apartments
owned
|
||||||||||||
Core
properties
|
$ | 2,809,065 | $ | 2,802,685 | ||||||||
Non-core
properties
|
426,355 | 333,553 | ||||||||||
Reconciling
items
|
81,787 | 80,185 | ||||||||||
Total
assets
|
$ | 3,317,207 | $ | 3,216,423 |
Original
Notional
Amount
|
Fixed Interest
Rate
|
Variable Interest
Rate
|
Scheduled
Maturity
Date
|
||||||
$ | 16,384,396 | 5.35 | % |
LIBOR
+ 1.50%
|
June
25, 2007
|
||||
10,000,000 | 5.39 | % |
LIBOR
+ 1.50%
|
June
25, 2007
|
|||||
3,000,000 | 8.22 | % |
LIBOR
+ 1.40%
|
June
25, 2007
|
|||||
4,625,000 | 8.40 | % |
LIBOR
+ 1.40%
|
June
25, 2007
|
|
HOME
PROPERTIES, INC.
|
Cost
of
|
||||||||||||||||||
Market
|
Date
|
Year
|
Number
|
Cost
of
|
Acquisition
|
|||||||||||||
Apartment
Community
|
Area
|
Acquired
|
Constructed
|
of Units
|
Acquisition
|
Per Unit
|
||||||||||||
Highland
House
|
Boston
|
5/31/06
|
1965-1969 | 172 | $ | 17,889 | $ | 104 | ||||||||||
Liberty
Place
|
Boston
|
6/6/06
|
1988
|
107 | 14,892 | 139 | ||||||||||||
The
Heights at Marlborough
|
Boston
|
9/7/06
|
1973
|
348 | 48,914 | 141 | ||||||||||||
The
Meadows at Marlborough
|
Boston
|
9/7/06
|
1969-1972 | 264 | 34,162 | 129 | ||||||||||||
Heritage
Woods
|
Baltimore
|
10/4/06
|
1972-1973 | 164 | 14,042 | 86 | ||||||||||||
Top
Field
|
Baltimore
|
10/4/06
|
1973
|
156 | 18,391 | 118 | ||||||||||||
The
Coves at Chesapeake
|
Baltimore
|
11/20/06
|
1976&1982
|
469 | 67,043 | 143 | ||||||||||||
Mount
Vernon Square (1)
|
Northern
VA
|
12/27/06
|
1968-1974 | 1,387 | 144,768 | 104 | ||||||||||||
The
Townhomes of Beverly
|
Boston
|
2/15/07
|
1974
|
204 | 36,434 | 179 | ||||||||||||
Jacob
Ford Village
|
New
Jersey
|
2/15/07
|
1948
|
270 | 26,680 | 99 | ||||||||||||
Fox
Hall Apartments (1)
|
Baltimore
|
3/28/07
|
1976-1982 | 720 | 62,234 | 86 | ||||||||||||
Westwoods
|
Boston
|
4/30/07
|
1988
|
35 | 3,995 | 114 | ||||||||||||
Dunfield
Townhomes (1)
|
Baltimore
|
11/1/07
|
1986
|
312 | 32,155 | 103 | ||||||||||||
Saddle
Brooke
|
Baltimore
|
10/29/08
|
1973
|
468 | 51,459 | 110 | ||||||||||||
Westchester
West
|
Northern
VA
|
12/30/08
|
1972
|
345 | 48,969 | 142 |
Year
|
Number of Disposed Communities
|
Number of Disposed Units
|
Number of Transactions
|
Total Sales Price
|
Sales Price Per
Unit
|
Total Gain On Sale (before minority interest)
|
||||||||||||||||||
2008
|
15 | 1,227 | 6 | $ | 124,500 | $ | 101 | $ | 51,559 | |||||||||||||||
2007
|
5 | 1,084 | 5 | 129,500 | 119 | 42,126 | ||||||||||||||||||
2006
|
39 | 9,705 | 3 | 495,300 | 51 | 110,514 |
2008
|
2007
|
2006
|
||||||||||
Revenues:
|
||||||||||||
Rental income
|
$ | 8,344 | $ | 24,547 | $ | 84,238 | ||||||
Property other
income
|
865 | 1,774 | 8,333 | |||||||||
Total
revenues
|
9,209 | 26,321 | 92,571 | |||||||||
Expenses:
|
||||||||||||
Operating and
maintenance
|
4,672 | 11,927 | 47,823 | |||||||||
Interest expense
|
2,028 | 3,129 | 20,581 | |||||||||
Depreciation and
amortization
|
1,700 | 5,548 | 11,876 | |||||||||
Total
expenses
|
8,400 | 20,604 | 80,280 | |||||||||
Income
from discontinued operations before minority interest and gain on
disposition of property
|
809 | 5,717 | 12,291 | |||||||||
Minority
interest in operating partnership
|
(233 | ) | (1,637 | ) | (3,976 | ) | ||||||
Income
from discontinued operations
|
$ | 576 | $ | 4,080 | $ | 8,315 |
|
HOME
PROPERTIES, INC.
|
2008
|
2007
|
2006
|
||||||||||
Supplemental
disclosures:
|
||||||||||||
Cash
paid for interest
|
$ | 118,137 | $ | 117,648 | $ | 119,694 | ||||||
Interest
capitalized
|
5,472 | 3,441 | 1,087 | |||||||||
Non-cash
investing and financing activities:
|
||||||||||||
Mortgage
loans assumed associated with property acquisitions
|
65,517 | 16,878 | 159,782 | |||||||||
Issuance
of UPREIT Units associated with property and other
acquisitions
|
- | 36,290 | 20,397 | |||||||||
Increase
in real estate associated with the purchase of UPREIT
Units
|
17,793 | 16,475 | 124,631 | |||||||||
Exchange
of UPREIT Units for common shares
|
12,435 | 10,025 | 71,157 | |||||||||
Additions
to properties included in accounts payable
|
5,764 | 3,684 | - | |||||||||
Fair
value of hedge instruments
|
- | (206 | ) | (35 | ) | |||||||
Preferred
stock issuance costs written off
|
- | 1,902 | - | |||||||||
Exchangeable
senior notes issuance cost written off in connection with early
extinguishment
|
1,260 | - | - | |||||||||
Mortgage
note premium written off
|
4,218 | 792 | 1,316 |
|
HOME
PROPERTIES, INC.
|
2008
|
||||||||||||||||
First
|
Second
|
Third
|
Fourth
|
|||||||||||||
Total
revenue
|
$ | 127,349 | $ | 126,489 | $ | 126,262 | $ | 129,850 | ||||||||
Net
income available to common shareholders
|
26,099 | 8,906 | 7,301 | 27,360 | ||||||||||||
Basic
earnings per share data:
|
||||||||||||||||
Net
income available to common shareholders
|
0.81 | 0.28 | 0.23 | 0.85 | ||||||||||||
Diluted
earnings per share data:
|
||||||||||||||||
Net
income available to common shareholders
|
0.80 | 0.28 | 0.23 | 0.85 | ||||||||||||
2007
|
||||||||||||||||
First
|
Second
|
Third
|
Fourth
|
|||||||||||||
Total
revenue
|
$ | 120,979 | $ | 122,287 | $ | 121,569 | $ | 123,795 | ||||||||
Net
income available to common shareholders
|
5,078 | 8,702 | 28,615 | 15,957 | ||||||||||||
Basic
earnings per share data:
|
||||||||||||||||
Net
income available to common shareholders
|
0.15 | 0.26 | 0.86 | 0.49 | ||||||||||||
Diluted
earnings per share data:
|
||||||||||||||||
Net
income available to common shareholders
|
0.15 | 0.26 | 0.84 | 0.48 |
The
sum of the quarterly earnings per common share amounts may not equal the
annual earnings per common share amounts due primarily to changes in the
number of common shares outstanding quarter to quarter. The
quarterly reports for the years ended December 31, 2008 and 2007 have
been reclassified to reflect discontinued operations in accordance with
SFAS 144.
|
Balance
at
|
Charged
to
|
Adjustments/
|
||||||||||||||
Beginning
|
Costs
and
|
Amounts
|
Balance
at
|
|||||||||||||
of Year
|
Expenses
|
Written Off
|
End of Year
|
|||||||||||||
Allowance for Doubtful
Receivables
|
||||||||||||||||
2008:
|
$ | 1,699 | $ | 6,378 | $ | (5,152 | ) | $ | 2,925 | |||||||
2007:
|
984 | 4,063 | (3,348 | ) | 1,699 | |||||||||||
2006:
|
513 | 4,289 | (3,818 | ) | 984 | |||||||||||
Deferred Tax Asset Valuation
Allowance
|
||||||||||||||||
2008:
|
10,149 | - | 27 | 10,176 | ||||||||||||
2007:
|
10,078 | - | 71 | 10,149 | ||||||||||||
2006:
|
8,421 | - | 1,657 | 10,078 |
SCHEDULE III
HOME
PROPERTIES, INC.
REAL ESTATE AND ACCUMULATED DEPRECIATION
DECEMBER
31, 2008
(Dollars
in thousands)
|
|
Costs
|
|
|||||||||||||||||||||||||||||||||||||||||||
OP
|
Initial
Cost
|
OP | Capitalized | Total Cost | Total Cost, | ||||||||||||||||||||||||||||||||||||||||
Unit
|
Buildings,
|
Unit
|
Subse-
|
Buildings,
|
Net
of
|
Year of | |||||||||||||||||||||||||||||||||||||||
Encum-
|
Alloc.
|
Improvements
|
Alloc.
|
quent
to
|
Improvements
|
Accumulated
|
Accumulated
|
Acqui-
|
|||||||||||||||||||||||||||||||||||||
Community
|
brances
|
Land
|
Land(a)
|
&
Equipment
|
Bldg.(a)
|
Acquisition
|
Land
|
&
Equipment
|
Total(b)
|
Depreciation
|
Depreciation
|
sition
|
|||||||||||||||||||||||||||||||||
Barrington
Gardens
|
11,357 | 888 | 35 | 6,556 | 296 | 3,912 | 923 | 10,764 | 11,687 | 1,290 | 10,397 |
2005
|
|||||||||||||||||||||||||||||||||
Bayview
& Colonial
|
11,094 | 1,600 | 71 | 8,471 | 709 | 4,666 | 1,671 | 13,846 | 15,517 | 3,496 | 12,021 |
2000
|
|||||||||||||||||||||||||||||||||
Beechwood
Gardens
|
- | 560 | 43 | 3,442 | 437 | 4,580 | 603 | 8,459 | 9,062 | 2,427 | 6,635 |
1998
|
|||||||||||||||||||||||||||||||||
Blackhawk
Apartments
|
12,748 | 2,968 | 83 | 14,568 | 858 | 5,933 | 3,051 | 21,359 | 24,410 | 5,527 | 18,883 |
2000
|
|||||||||||||||||||||||||||||||||
Bonnie
Ridge Apartments
|
57,213 | 4,830 | 411 | 42,769 | 4,147 | 31,779 | 5,241 | 78,695 | 83,936 | 21,863 | 62,073 |
1999
|
|||||||||||||||||||||||||||||||||
Braddock
Lee Apartments
|
20,453 | 3,810 | 152 | 8,842 | 1,488 | 6,733 | 3,962 | 17,063 | 21,025 | 5,733 | 15,292 |
1998
|
|||||||||||||||||||||||||||||||||
Cambridge
Village Associates
|
- | 2,460 | 54 | 3,188 | 520 | 2,173 | 2,514 | 5,881 | 8,395 | 1,234 | 7,161 |
2002
|
|||||||||||||||||||||||||||||||||
Canterbury
Apartments
|
44,989 | 4,944 | 235 | 21,384 | 2,353 | 10,436 | 5,179 | 34,173 | 39,352 | 8,479 | 30,873 |
1999
|
|||||||||||||||||||||||||||||||||
Castle
Club Apartments
|
6,429 | 948 | 57 | 8,909 | 566 | 4,515 | 1,005 | 13,990 | 14,995 | 3,384 | 11,611 |
2000
|
|||||||||||||||||||||||||||||||||
Chatham
Hill Apartments
|
45,000 | 1,848 | 286 | 46,150 | 2,434 | 9,561 | 2,134 | 58,145 | 60,279 | 7,516 | 52,763 |
2004
|
|||||||||||||||||||||||||||||||||
Chesterfield
Apartments
|
10,042 | 1,482 | 89 | 8,206 | 869 | 6,415 | 1,571 | 15,490 | 17,061 | 5,066 | 11,995 |
1997
|
|||||||||||||||||||||||||||||||||
Cider
Mill
|
66,346 | 15,552 | 464 | 65,938 | 4,549 | 10,481 | 16,016 | 80,968 | 96,984 | 14,000 | 82,984 |
2002
|
|||||||||||||||||||||||||||||||||
Cinnamon
Run Apartments
|
56,969 | 7,731 | 231 | 59,646 | 1,934 | 3,892 | 7,962 | 65,472 | 73,434 | 5,402 | 68,032 |
2005
|
|||||||||||||||||||||||||||||||||
Country
Village Apartments
|
19,317 | 2,236 | 113 | 11,149 | 1,120 | 9,732 | 2,349 | 22,001 | 24,350 | 6,843 | 17,507 |
1998
|
|||||||||||||||||||||||||||||||||
Courtyards
Village
|
- | 3,360 | 53 | 9,824 | 525 | 3,662 | 3,413 | 14,011 | 17,424 | 3,072 | 14,352 |
2001
|
|||||||||||||||||||||||||||||||||
Curren
Terrace
|
24,138 | 1,908 | 109 | 10,957 | 1,082 | 7,390 | 2,017 | 19,429 | 21,446 | 6,645 | 14,801 |
1997
|
|||||||||||||||||||||||||||||||||
Cypress
Place
|
10,441 | 2,304 | 45 | 7,861 | 479 | 4,125 | 2,349 | 12,465 | 14,814 | 3,174 | 11,640 |
2000
|
|||||||||||||||||||||||||||||||||
Devonshire
Hills
|
47,024 | 14,850 | 317 | 32,934 | 3,172 | 6,495 | 15,167 | 42,601 | 57,768 | 8,339 | 49,429 |
2001
|
|||||||||||||||||||||||||||||||||
Dunfield
Townhomes
|
12,703 | 1,683 | - | 30,302 | - | 2,051 | 1,683 | 32,353 | 34,036 | 1,024 | 33,012 |
2007
|
|||||||||||||||||||||||||||||||||
East
Hill Gardens
|
- | 231 | 24 | 1,560 | 241 | 1,222 | 255 | 3,023 | 3,278 | 943 | 2,335 |
1998
|
|||||||||||||||||||||||||||||||||
East
Meadow Apartments
|
13,155 | 2,250 | 89 | 10,803 | 863 | 2,281 | 2,339 | 13,947 | 16,286 | 2,964 | 13,322 |
2000
|
|||||||||||||||||||||||||||||||||
Elmwood
Terrace
|
20,260 | 6,048 | 155 | 14,680 | 1,561 | 9,957 | 6,203 | 26,198 | 32,401 | 6,146 | 26,255 |
2000
|
|||||||||||||||||||||||||||||||||
Falcon
Crest Townhomes
|
16,845 | 2,772 | 160 | 11,116 | 1,590 | 8,539 | 2,932 | 21,245 | 24,177 | 5,818 | 18,359 |
1999
|
|||||||||||||||||||||||||||||||||
Falkland
Chase Apartments
|
37,627 | 9,000 | 327 | 49,705 | 3,008 | 4,625 | 9,327 | 57,338 | 66,665 | 7,948 | 58,717 |
2003
|
|||||||||||||||||||||||||||||||||
Fox
Hall Apartments
|
47,000 | 9,959 | - | 51,874 | - | 5,403 | 9,959 | 57,277 | 67,236 | 2,868 | 64,368 |
2007
|
|||||||||||||||||||||||||||||||||
Gardencrest
Apartments
|
- | 24,674 | 507 | 61,525 | 4,974 | 20,452 | 25,181 | 86,951 | 112,132 | 15,905 | 96,227 |
2002
|
|||||||||||||||||||||||||||||||||
Gateway
Village Apartments
|
6,639 | 1,320 | 71 | 6,621 | 695 | 2,293 | 1,391 | 9,609 | 11,000 | 2,532 | 8,468 |
1999
|
|||||||||||||||||||||||||||||||||
Glen
Brook Apartments
|
- | 1,414 | 45 | 4,816 | 452 | 3,429 | 1,459 | 8,697 | 10,156 | 2,352 | 7,804 |
1999
|
|||||||||||||||||||||||||||||||||
Glen
Manor Apartments
|
5,571 | 1,044 | 44 | 4,564 | 440 | 2,813 | 1,088 | 7,817 | 8,905 | 2,398 | 6,507 |
1997
|
|||||||||||||||||||||||||||||||||
Golf
Club Apartments
|
33,694 | 3,990 | 187 | 21,236 | 1,840 | 12,463 | 4,177 | 35,539 | 39,716 | 9,533 | 30,183 |
2000
|
|||||||||||||||||||||||||||||||||
Hackensack
Gardens
|
8,985 | 2,376 | 50 | 10,916 | 423 | 4,045 | 2,426 | 15,384 | 17,810 | 1,803 | 16,007 |
2005
|
|||||||||||||||||||||||||||||||||
Hawthorne
Court
|
35,934 | 8,940 | 260 | 23,447 | 2,521 | 15,851 | 9,200 | 41,819 | 51,019 | 8,640 | 42,379 |
2002
|
|||||||||||||||||||||||||||||||||
Heritage
Square
|
6,068 | 2,000 | 58 | 4,805 | 566 | 2,307 | 2,058 | 7,678 | 9,736 | 1,473 | 8,263 |
2002
|
|||||||||||||||||||||||||||||||||
Heritage
Woods Apartments
|
4,949 | 1,640 | - | 12,455 | - | 2,267 | 1,640 | 14,722 | 16,362 | 883 | 15,479 |
2006
|
|||||||||||||||||||||||||||||||||
Highland
House
|
6,252 | 3,414 | - | 14,761 | - | 1,303 | 3,414 | 16,064 | 19,478 | 1,117 | 18,361 |
2006
|
|||||||||||||||||||||||||||||||||
Hill
Brook Place Apartments
|
10,759 | 2,192 | 85 | 9,118 | 848 | 6,062 | 2,277 | 16,028 | 18,305 | 4,140 | 14,165 |
1999
|
|||||||||||||||||||||||||||||||||
Holiday
Square
|
- | 3,575 | 77 | 6,109 | 722 | 1,528 | 3,652 | 8,359 | 12,011 | 1,513 | 10,498 |
2002
|
|||||||||||||||||||||||||||||||||
Home
Properties of Bryn Mawr
|
17,027 | 3,160 | 154 | 17,907 | 1,537 | 10,192 | 3,314 | 29,636 | 32,950 | 7,636 | 25,314 |
2000
|
|||||||||||||||||||||||||||||||||
Home
Properties of Devon
|
28,892 | 6,280 | 332 | 35,545 | 3,280 | 23,781 | 6,612 | 62,606 | 69,218 | 16,011 | 53,207 |
2000
|
|||||||||||||||||||||||||||||||||
Home
Properties of Newark
|
3,000 | 2,592 | 140 | 12,713 | 1,370 | 13,571 | 2,732 | 27,654 | 30,386 | 8,044 | 22,342 |
1999
|
|||||||||||||||||||||||||||||||||
Jacob
Ford Village
|
- | 6,750 | - | 20,022 | - | 3,334 | 6,750 | 23,356 | 30,106 | 1,283 | 28,823 |
2007
|
|||||||||||||||||||||||||||||||||
Lake
Grove Apartments
|
35,842 | 7,360 | 254 | 11,952 | 2,557 | 14,216 | 7,614 | 28,725 | 36,339 | 10,216 | 26,123 |
1997
|
|||||||||||||||||||||||||||||||||
Lakeshore
Villa Apartments
|
4,763 | 573 | 55 | 3,849 | 554 | 5,433 | 628 | 9,836 | 10,464 | 3,399 | 7,065 |
1996
|
|||||||||||||||||||||||||||||||||
Lakeview
Apartments
|
8,322 | 636 | 59 | 4,552 | 590 | 3,285 | 695 | 8,427 | 9,122 | 2,645 | 6,477 |
1998
|
|||||||||||||||||||||||||||||||||
Liberty
Commons
|
- | 1,330 | 15 | - | 125 | 13,297 | 1,345 | 13,422 | 14,767 | 2,113 | 12,654 |
2005
|
|||||||||||||||||||||||||||||||||
Liberty
Place Apartments
|
6,194 | 2,033 | - | 13,125 | - | 2,027 | 2,033 | 15,152 | 17,185 | 1,008 | 16,177 |
2006
|
|||||||||||||||||||||||||||||||||
Mid-Island
Apartments
|
19,913 | 4,160 | 128 | 6,567 | 1,268 | 5,454 | 4,288 | 13,289 | 17,577 | 4,823 | 12,754 |
1997
|
|||||||||||||||||||||||||||||||||
Mill
Towne Village
|
24,239 | 3,840 | 154 | 13,747 | 1,486 | 11,658 | 3,994 | 26,891 | 30,885 | 6,176 | 24,709 |
2001
|
|||||||||||||||||||||||||||||||||
Morningside
Heights Apartments
|
- | 6,147 | 406 | 28,699 | 4,000 | 27,300 | 6,553 | 59,999 | 66,552 | 19,310 | 47,242 |
1998
|
|||||||||||||||||||||||||||||||||
Mount
Vernon Square Apartments
|
87,101 | 55,810 | - | 86,923 | - | 7,591 | 55,810 | 94,514 | 150,324 | 5,522 | 144,802 |
2006
|
|||||||||||||||||||||||||||||||||
New
Orleans Park Apartments
|
18,504 | 2,920 | 124 | 13,215 | 1,227 | 10,202 | 3,044 | 24,644 | 27,688 | 7,781 | 19,907 |
1997&1999
|
|||||||||||||||||||||||||||||||||
Northwood
Apartments
|
10,675 | 804 | 71 | 14,286 | 602 | 2,572 | 875 | 17,460 | 18,335 | 2,181 | 16,154 |
2004
|
|||||||||||||||||||||||||||||||||
Oak
Manor Apartments
|
7,589 | 616 | 70 | 4,111 | 690 | 2,736 | 686 | 7,537 | 8,223 | 2,430 | 5,793 |
1998
|
|||||||||||||||||||||||||||||||||
Orleans
Village
|
65,993 | 8,510 | 429 | 58,912 | 4,286 | 20,494 | 8,939 | 83,692 | 92,631 | 19,591 | 73,040 |
2000
|
|||||||||||||||||||||||||||||||||
Owings
Run Consolidation
|
43,081 | 5,537 | 255 | 32,622 | 2,538 | 5,572 | 5,792 | 40,732 | 46,524 | 10,114 | 36,410 |
1999
|
|||||||||||||||||||||||||||||||||
Park
Shirlington Apartments
|
21,082 | 4,410 | 157 | 10,180 | 1,581 | 7,986 | 4,567 | 19,747 | 24,314 | 6,919 | 17,395 |
1998
|
|||||||||||||||||||||||||||||||||
Peppertree
Farm Apartments
|
81,405 | 12,571 | 317 | 83,751 | 2,654 | 8,750 | 12,888 | 95,155 | 108,043 | 8,231 | 99,812 |
2005
|
|||||||||||||||||||||||||||||||||
Pleasant
View Gardens
|
60,937 | 5,710 | 499 | 47,816 | 5,021 | 22,867 | 6,209 | 75,704 | 81,913 | 22,637 | 59,276 |
1998
|
|||||||||||||||||||||||||||||||||
Pleasure
Bay Apartments
|
14,468 | 1,620 | 124 | 6,234 | 1,210 | 7,680 | 1,744 | 15,124 | 16,868 | 4,435 | 12,433 |
1998
|
|||||||||||||||||||||||||||||||||
Racquet
Club East Apartments
|
30,648 | 1,868 | 218 | 23,107 | 2,137 | 8,837 | 2,086 | 34,081 | 36,167 | 9,697 | 26,470 |
1998
|
|||||||||||||||||||||||||||||||||
Racquet
Club South
|
- | 309 | 35 | 3,891 | 353 | 2,131 | 344 | 6,375 | 6,719 | 2,004 | 4,715 |
1999
|
|||||||||||||||||||||||||||||||||
Redbank
Village Apartments
|
15,528 | 2,000 | 164 | 14,030 | 1,686 | 9,783 | 2,164 | 25,499 | 27,663 | 7,380 | 20,283 |
1998
|
|||||||||||||||||||||||||||||||||
Regency
Club Apartments
|
24,946 | 2,604 | 199 | 34,825 | 1,707 | 4,076 | 2,803 | 40,608 | 43,411 | 4,790 | 38,621 |
2004
|
|||||||||||||||||||||||||||||||||
Ridgeview
at Wakefield Valley
|
18,780 | 2,300 | 72 | 17,107 | 635 | 3,490 | 2,372 | 21,232 | 23,604 | 2,518 | 21,086 |
2005
|
|||||||||||||||||||||||||||||||||
Ridley
Brook Apartments
|
9,275 | 1,952 | 74 | 7,719 | 748 | 3,864 | 2,026 | 12,331 | 14,357 | 3,377 | 10,980 |
1999
|
|||||||||||||||||||||||||||||||||
Royal
Gardens Apartment
|
47,000 | 5,500 | 258 | 14,067 | 2,603 | 14,312 | 5,758 | 30,982 | 36,740 | 11,036 | 25,704 |
1997
|
|||||||||||||||||||||||||||||||||
Saddle
Brooke Apartments
|
30,734 | 7,609 | 0 | 44,060 | - | 96 | 7,609 | 44,156 | 51,765 | 198 | 51,567 |
2008
|
|||||||||||||||||||||||||||||||||
Sayville
Commons
|
41,325 | 8,005 | 187 | 55,379 | 1,599 | 610 | 8,192 | 57,588 | 65,780 | 5,145 | 60,635 |
2005
|
|||||||||||||||||||||||||||||||||
Selford
Townhomes
|
8,559 | 1,224 | 57 | 4,200 | 565 | 2,504 | 1,281 | 7,269 | 8,550 | 2,030 | 6,520 |
1999
|
|||||||||||||||||||||||||||||||||
Seminary
Hill Apartments
|
20,282 | 2,960 | 135 | 10,194 | 1,344 | 9,376 | 3,095 | 20,914 | 24,009 | 5,570 | 18,439 |
1999
|
|||||||||||||||||||||||||||||||||
Seminary
Towers Apartments
|
53,515 | 5,480 | 292 | 19,348 | 2,868 | 17,976 | 5,772 | 40,192 | 45,964 | 10,520 | 35,444 |
1999
|
|||||||||||||||||||||||||||||||||
Sherry
Lake Apartments
|
18,706 | 2,428 | 165 | 15,618 | 1,617 | 9,446 | 2,593 | 26,681 | 29,274 | 7,666 | 21,608 |
1998
|
|||||||||||||||||||||||||||||||||
South
Bay Manor
|
13,706 | 1,098 | 45 | 1,958 | 440 | 4,838 | 1,143 | 7,236 | 8,379 | 1,808 | 6,571 |
2000
|
|||||||||||||||||||||||||||||||||
Southern
Meadows
|
- | 9,040 | 343 | 31,874 | 3,397 | 7,234 | 9,383 | 42,505 | 51,888 | 8,639 | 43,249 |
2001
|
|||||||||||||||||||||||||||||||||
Stone
Ends Apartments
|
- | 5,600 | 166 | 28,428 | 1,554 | 2,867 | 5,766 | 32,849 | 38,615 | 5,149 | 33,466 |
2003
|
|||||||||||||||||||||||||||||||||
Stratford
Greens Associates
|
32,110 | 12,565 | 255 | 33,779 | 2,555 | 9,070 | 12,820 | 45,404 | 58,224 | 7,984 | 50,240 |
2002
|
|||||||||||||||||||||||||||||||||
Sunset
Gardens Apartments
|
8,288 | 696 | 76 | 4,663 | 755 | 5,072 | 772 | 10,490 | 11,262 | 3,717 | 7,545 |
1996
|
|||||||||||||||||||||||||||||||||
Tamarron
Apartments
|
12,889 | 1,320 | 92 | 8,474 | 896 | 2,261 | 1,412 | 11,631 | 13,043 | 2,876 | 10,167 |
1999
|
|||||||||||||||||||||||||||||||||
The
Apts at Wellington Trace
|
24,810 | 3,060 | 167 | 23,904 | 1,418 | 2,843 | 3,227 | 28,165 | 31,392 | 3,469 | 27,923 |
2004
|
|||||||||||||||||||||||||||||||||
The
Brooke at Peachtree
|
- | 992 | 51 | 15,145 | 437 | 1,890 | 1,043 | 17,472 | 18,515 | 1,628 | 16,887 |
2005
|
|||||||||||||||||||||||||||||||||
The
Colony
|
- | 7,830 | 197 | 34,121 | 2,025 | 12,131 | 8,027 | 48,277 | 56,304 | 12,713 | 43,591 |
1999
|
|||||||||||||||||||||||||||||||||
The
Coves at Chesapeake
|
- | 8,915 | - | 57,953 | - | 5,152 | 8,915 | 63,105 | 72,020 | 3,704 | 68,316 |
2006
|
|||||||||||||||||||||||||||||||||
The
Hamptons
|
52,629 | 5,749 | 303 | 50,647 | 2,599 | 8,231 | 6,052 | 61,477 | 67,529 | 7,704 | 59,825 |
2004
|
|||||||||||||||||||||||||||||||||
The
Heights at Marlborough
|
27,291 | 6,253 | - | 44,264 | - | 2,369 | 6,253 | 46,633 | 52,886 | 2,846 | 50,040 |
2006
|
|||||||||||||||||||||||||||||||||
The
Landings
|
- | 2,459 | 162 | 16,753 | 1,595 | 9,225 | 2,621 | 27,573 | 30,194 | 8,977 | 21,217 |
1996
|
|||||||||||||||||||||||||||||||||
The
Manor Apartments (MD)
|
25,044 | 8,700 | 257 | 27,703 | 2,513 | 9,599 | 8,957 | 39,815 | 48,772 | 8,286 | 40,486 |
2001
|
|||||||||||||||||||||||||||||||||
The
Manor Apartments (VA)
|
12,328 | 1,386 | 85 | 5,738 | 832 | 4,496 | 1,471 | 11,066 | 12,537 | 3,562 | 8,975 |
1999
|
|||||||||||||||||||||||||||||||||
The
Meadows at Marlborough
|
20,452 | 6,598 | - | 28,736 | - | 2,010 | 6,598 | 30,746 | 37,344 | 1,928 | 35,416 |
2006
|
|||||||||||||||||||||||||||||||||
The
New Colonies
|
19,314 | 1,680 | 151 | 21,350 | 1,545 | 10,800 | 1,831 | 33,695 | 35,526 | 11,530 | 23,996 |
1998
|
|||||||||||||||||||||||||||||||||
The
Sycamores
|
21,900 | 4,625 | 136 | 15,725 | 1,283 | 2,458 | 4,761 | 19,466 | 24,227 | 3,240 | 20,987 |
2002
|
|||||||||||||||||||||||||||||||||
The
Townhomes of Beverly
|
- | 5,820 | - | 30,465 | - | 2,607 | 5,820 | 33,072 | 38,892 | 1,660 | 37,232 |
2007
|
|||||||||||||||||||||||||||||||||
The
Village at Marshfield
|
- | 3,158 | 134 | 28,351 | 1,158 | 2,367 | 3,292 | 31,876 | 35,168 | 4,158 | 31,010 |
2004
|
|||||||||||||||||||||||||||||||||
Timbercroft
Consolidation
|
4,981 | 1,704 | 87 | 6,826 | 842 | 5,045 | 1,791 | 12,713 | 14,504 | 3,233 | 11,271 |
1999
|
|||||||||||||||||||||||||||||||||
Top
Field
|
6,132 | 1,635 | - | 16,684 | - | 1,675 | 1,635 | 18,359 | 19,994 | 1,105 | 18,889 |
2006
|
|||||||||||||||||||||||||||||||||
Trexler
Park Apartments
|
10,140 | 2,490 | 114 | 13,802 | 1,129 | 6,469 | 2,604 | 21,400 | 24,004 | 5,436 | 18,568 |
2000
|
|||||||||||||||||||||||||||||||||
Trexler
Park West
|
- | 2,684 | - | - | - | 23,111 | 2,684 | 23,111 | 25,795 | 2,305 | 23,490 |
2006
|
|||||||||||||||||||||||||||||||||
Village
Square Townhomes Apts.
|
39,285 | 2,590 | 191 | 13,306 | 1,900 | 8,165 | 2,781 | 23,371 | 26,152 | 5,859 | 20,293 |
1999
|
|||||||||||||||||||||||||||||||||
Vinings
at Hampton Village
|
- | 1,772 | 77 | 12,214 | 657 | 2,538 | 1,849 | 15,409 | 17,258 | 1,956 | 15,302 |
2004
|
|||||||||||||||||||||||||||||||||
Virginia
Village
|
31,460 | 5,160 | 207 | 21,918 | 2,027 | 9,628 | 5,367 | 33,573 | 38,940 | 7,335 | 31,605 |
2001
|
|||||||||||||||||||||||||||||||||
Wayne
Village
|
- | 1,925 | 177 | 12,895 | 1,744 | 7,195 | 2,102 | 21,834 | 23,936 | 6,667 | 17,269 |
1998
|
|||||||||||||||||||||||||||||||||
West
Springfield Terrace
|
22,906 | 2,440 | 194 | 31,758 | 1,845 | 2,704 | 2,634 | 36,307 | 38,941 | 5,957 | 32,984 |
2002
|
|||||||||||||||||||||||||||||||||
Westchester
West Apartments
|
34,737 | 6,978 | - | 41,738 | - | - | 6,978 | 41,738 | 48,716 | 92 | 48,624 |
2008
|
|||||||||||||||||||||||||||||||||
Westwood
Village Apts
|
47,995 | 7,260 | 270 | 22,757 | 2,629 | 9,839 | 7,530 | 35,225 | 42,755 | 6,882 | 35,873 |
2002
|
|||||||||||||||||||||||||||||||||
Westwoods
|
3,653 | 1,260 | - | 2,694 | - | 181 | 1,260 | 2,875 | 4,135 | 139 | 3,996 |
2007
|
|||||||||||||||||||||||||||||||||
William
Henry Apartments
|
21,698 | 4,666 | 187 | 22,220 | 1,839 | 11,526 | 4,853 | 35,585 | 40,438 | 8,438 | 32,000 |
2000
|
|||||||||||||||||||||||||||||||||
Windsor
Realty Company
|
4,480 | 402 | 34 | 3,300 | 337 | 2,004 | 436 | 5,641 | 6,077 | 1,804 | 4,273 |
1998
|
|||||||||||||||||||||||||||||||||
Woodholme
Manor Apartments
|
3,579 | 1,232 | 59 | 4,599 | 576 | 4,632 | 1,291 | 9,807 | 11,098 | 2,414 | 8,684 |
2001
|
|||||||||||||||||||||||||||||||||
Woodleaf
Apartments
|
- | 2,862 | 122 | 17,716 | 1,028 | 2,071 | 2,984 | 20,815 | 23,799 | 2,787 | 21,012 |
2004
|
|||||||||||||||||||||||||||||||||
Woodmont
Village Apartments
|
- | 2,880 | 63 | 5,699 | 622 | 2,404 | 2,943 | 8,725 | 11,668 | 1,706 | 9,962 |
2002
|
|||||||||||||||||||||||||||||||||
Yorkshire
Village Apartments
|
- | 1,200 | 27 | 2,016 | 260 | 1,083 | 1,227 | 3,359 | 4,586 | 655 | 3,931 |
2002
|
|||||||||||||||||||||||||||||||||
Other
Assets (c)
|
5,929 | 296 | 3 | 5,915 | (1 | ) | 136,507 | 299 | 142,421 | 142,720 | 16,982 | 125,738 |
Various
|
||||||||||||||||||||||||||||||||
VIE
|
16,269 | 1,203 | - | 9,963 | - | 15,926 | 1,203 | 25,889 | 27,092 | 11,714 | 15,378 |
1995
|
|||||||||||||||||||||||||||||||||
$ | 2,112,331 | $ | 500,592 | $ | 15,018 | $ | 2,289,531 | $ | 145,156 | $ | 922,093 | $ | 515,610 | $ | 3,356,780 | $ | 3,872,390 | $ | 636,970 | $ | 3,235,420 |
(a)
|
See
discussion in Note 2 Real Estate concerning
exchange of minority interests (OP Units) for
shares
|
(b)
|
The
aggregate cost for Federal Income Tax purposes was approximately
$3,302,953.
|
(c)
|
Includes
construction in progress of $111,039 and corporate office assets of
$31,681.
|
Land
improvements
|
3-20
years
|
Buildings
and improvements
|
3-40
years
|
Furniture,
fixtures and equipment
|
5-10
years
|
Computer
software
|
5
years
|
2008
|
2007
|
2006
|
||||||||||
Balance,
beginning of year
|
$ | 3,680,155 | $ | 3,451,762 | $ | 3,385,143 | ||||||
New
property acquisition
|
128,704 | 207,366 | 368,301 | |||||||||
Additions
|
142,529 | 105,450 | 101,723 | |||||||||
Increase
in real estate associated with the conversion of UPREIT
Units
|
17,793 | 16,475 | 124,292 | |||||||||
Disposals,
retirements and impairments
|
(96,791 | ) | (100,898 | ) | (527,697 | ) | ||||||
Balance,
end of year
|
$ | 3,872,390 | $ | 3,680,155 | $ | 3,451,762 | ||||||
The
changes in accumulated depreciation are as follows:
|
||||||||||||
2008
|
2007
|
2006
|
||||||||||
Balance,
beginning of year
|
$ | 543,917 | $ | 450,129 | $ | 500,592 | ||||||
Depreciation
for the year
|
115,794 | 110,200 | 99,694 | |||||||||
Disposals
and retirements
|
(22,741 | ) | (16,412 | ) | (150,157 | ) | ||||||
Balance,
end of year
|
$ | 636,970 | $ | 543,917 | $ | 450,129 |
HOME PROPERTIES, INC.
|
||
By:
|
/s/ Edward J. Pettinella
|
|
Edward
J. Pettinella
|
||
President
and Chief Executive Officer
|
||
Date:
|
February 27,
2009
|
Signature
|
Title
|
Date
|
/s/ Edward J.
Pettinella
|
Director,
President and Chief Executive Officer
|
February
27, 2009
|
Edward
J. Pettinella
|
||
/s/ David P.
Gardner
|
Executive
Vice President, Chief Financial Officer
|
February
27, 2009
|
David
P. Gardner
|
(Principal
Financial Officer)
|
|
/s/ Robert J.
Luken
|
Senior
Vice President, Chief Accounting Officer
|
February
27, 2009
|
Robert
J. Luken
|
and
Treasurer (Principal Accounting Officer)
|
|
/s/ Kenneth O.
Hall
|
Vice
President and Controller
|
February
27, 2009
|
Kenneth
O. Hall
|
||
/s/ Norman P.
Leenhouts
|
Director,
Co-Chairman of the Board of Directors
|
February
27, 2009
|
Norman
P. Leenhouts
|
||
/s/ Nelson B.
Leenhouts
|
Director,
Co-Chairman of the Board of Directors
|
February
27, 2009
|
Nelson
B. Leenhouts
|
||
/s/ Stephen R.
Blank
|
Director
|
February
27, 2009
|
Stephen
R. Blank
|
||
/s/ Josh E.
Fidler
|
Director
|
February
27, 2009
|
Josh
E. Fidler
|
||
/s/ Alan L.
Gosule
|
Director
|
February
27, 2009
|
Alan
L. Gosule
|
||
/s/ Leonard F. Helbig,
III
|
Director
|
February
27, 2009
|
Leonard
F. Helbig, III
|
||
/s/ Roger W.
Kober
|
Director
|
February
27, 2009
|
Roger
W. Kober
|
||
/s/ Clifford W. Smith,
Jr.
|
Director
|
February
27, 2009
|
Clifford
W. Smith, Jr.
|
||
/s/ Paul L.
Smith
|
Director
|
February
27, 2009
|
Paul
L. Smith
|
||
/s/ Amy L.
Tait
|
Director
|
February
27, 2009
|
Amy
L. Tait
|
Exhibit
|
||
Number
|
Exhibit
|
Location
|
2.1
|
Agreement
among Home Properties of New York, Inc. and Philip J. Solondz, Daniel
Solondz and Julia Weinstein Relating to Royal Gardens I, together with
Amendment No. 1
|
Incorporated
by reference to the Form 8- K filed by Home Properties of New York, Inc.
dated 6/6/97 (the "6/6/97 8-K")
|
2.2
|
Agreement
among Home Properties of New York, Inc and Philip Solondz and Daniel
Solondz relating to Royal Gardens II, together with Amendment No.
1
|
Incorporated
by reference to the 6/6/97 8-K
|
2.3
|
Contribution
Agreement dated March 2, 1998 among Home Properties of New York, L.P.,
Braddock Lee Limited Partnership and Tower Construction Group,
LLC
|
Incorporated
by reference to the Form 8-K filed by Home Properties of New York, Inc.,
dated 3/24/98 (the "3/24/98 8-K")
|
2.4
|
Contribution
Agreement dated March 2, 1998 among Home Properties of New York, L.P.,
Park Shirlington Limited Partnership and Tower Construction Group,
LLC
|
Incorporated
by reference to the 3/24/98 8-K
|
2.5
|
Form
of Contribution Agreement among Home Properties of New York, L.P. and
Strawberry Hill Apartment Company LLLP, Country Village Limited
Partnership, Morningside Six, LLLP, Morningside North Limited Partnership
and Morningside Heights Apartment Company Limited Partnership with
schedule setting forth material details in which documents differ from
form
|
Incorporated
by reference to the Form 8-K filed by Home Properties of New York, Inc. on
5/22/98
|
2.6
|
Form
of Contribution Agreement dated June 7, 1999, relating to the CRC
Portfolio with schedule setting forth material details in which documents
differ from form
|
Incorporated
by reference to the Form 8-K filed by Home Properties of New York, Inc. on
7/2/99 (the "7/2/99 8-K")
|
2.7
|
Form
of Contribution Agreement relating to the Mid-Atlantic Portfolio with
schedule setting forth material details in which documents differ from
form
|
Incorporated
by reference to the Form 8-K filed by Home Properties of New York, Inc. on
7/30/99
|
2.8
|
Contribution
Agreement among Home Properties of New York, L.P., Leonard Klorfine,
Ridley Brook Associates and the Greenacres Associates
|
Incorporated
by reference to the Form 8-K filed by Home Properties of New York, Inc. on
10/5/99
|
2.9
|
Contribution
Agreement among Home Properties of New York, L.P., Gateside-Bryn Mawr
Company, L.P., Willgold Company, Gateside-Trexler Company, Gateside-Five
Points Company, Stafford Arms, Gateside-Queensgate Company, Gateside
Malvern Company, King Road Associates and Cottonwood
Associates
|
Incorporated
by reference to the Form 8-K filed by Home Properties of New York, Inc. on
4/5/00
|
2.10
|
Contribution
Agreement between Deerfield Woods Venture Limited Partnership and Home
Properties of New York, L.P.
|
Incorporated
by reference to the Form 8-K/A filed by Home Properties of New York, Inc.
on 12/5/00 (the "12/5/00 8-K/A")
|
2.11
|
Contribution
Agreement between Macomb Apartments Limited Partnership and Home
Properties of New York, L.P.
|
Incorporated
by reference to the 12/5/00 8-K/A
|
2.12
|
Contribution
Agreement between Home Properties of New York, L.P. and Elmwood Venture
Limited Partnership
|
Incorporated
by reference to the 12/5/00 8-K/A
|
2.13
|
Contribution
Agreement between Home Properties of New York, L.P., Home Properties of
New York, Inc. and S&S Realty, a New York General Partnership (South
Bay)
|
Incorporated
by reference to the 12/5/00 8-K/A
|
2.14
|
Contribution
Agreement between Hampton Glen Apartments Limited Partnership and Home
Properties of New York, L.P.
|
Incorporated
by reference to the 12/5/00 8-K/A
|
2.15
|
Contribution
Agreement between Home Properties of New York, L.P. and Axtell Road
Limited Partnership
|
Incorporated
by reference to the 12/5/00 8-K/A
|
2.16
|
Contribution
Agreement between Elk Grove Terrace II and III, L.P., Elk Grove Terrace,
L.P. and Home Properties of New York, L.P.
|
Incorporated
by reference to the Form 8-K filed by Home Properties of New York, Inc. on
1/10/01
|
2.17
|
Agreement
for Purchase and Sale of Interests Southeast Michigan Portfolio, dated
April 26, 2006, together with Second Amendment thereto (First Amendment
superseded)
|
Incorporated
by reference to the Form 8-K filed by Home Properties, Inc. on
6/30/06
|
3.1
|
Articles
of Amendment and Restatement of Articles of Incorporation of Home
Properties of New York, Inc.
|
Incorporated
by reference to Home Properties of New York, Registration Statement on
Form S-11, File No. 33-78862 (the "S-11 Registration
Statement")
|
3.2
|
Articles
of Amendment of the Articles of Incorporation of Home Properties of New
York, Inc.
|
Incorporated
by reference to the Home Properties of New York, Inc. Registration
Statement on Form S-3 File No. 333-52601 filed 5/14/98
|
3.3
|
Articles
of Amendment of the Articles of Incorporation of Home Properties of New
York, Inc.
|
Incorporated
by reference to 7/2/99 8-K
|
3.4
|
Articles
of Amendment of the Articles of Incorporation of Home Properties of New
York, Inc.
|
Incorporated
by reference to the Form 10-Q filed by Home Properties, Inc. for the
quarter ended 3/31/04
|
3.5
|
Second
Amended and Restated By-laws of Home Properties, Inc.
|
Incorporated
by reference to the Form 8-K filed by Home Properties, Inc. dated
11/2/07
|
3.6
|
Series
F Cumulative Redeemable Preferred Stock Articles Supplementary to the
Amended and Restated Articles of Incorporation of
Home Properties of New York, Inc.
|
Incorporated
by reference to the Form 8-A12B filed by Home Properties of New York, Inc.
on 3/20/02
|
3.7
|
Articles
of Incorporation of Home Properties Management, Inc.
|
Incorporated
by reference to the S-11 Registration Statement
|
3.8
|
By-Laws
of Home Properties Management, Inc.
|
Incorporated
by reference to S-11 Registration Statement
|
3.9
|
Articles
of Incorporation of Conifer Realty Corporation
|
Incorporated
by reference to Form 10-K filed by Home Properties of New York, Inc. for
the period ended 12/31/95 (the "12/31/95 10-K")
|
3.10
|
Articles
of Amendment to the Articles of Incorporation of Conifer Realty
Corporation Changing the name to Home Properties Resident Services,
Inc.
|
Incorporated
by reference to the Form 10-K filed by Home Properties of New York, Inc.
for the annual period ended 12/31/00
|
3.11
|
By-Laws
of Conifer Realty Corporation (now Home Properties Resident Services,
Inc.)
|
Incorporated
by reference to the 12/31/95 10-K
|
3.12
|
Home
Properties Trust Declaration of Trust, dated September 19,
1997
|
Incorporated
by reference to the Form 8-K filed by Home Properties of New York, Inc.
dated 9/26/97 (the "9/26/97 8-K")
|
4.1
|
Form
of certificate representing Shares of Common Stock
|
Incorporated
by reference to the Form 10- K filed by Home Properties of New York, Inc.
for the period ended 12/31/94 (the "12/31/94 10-K")
|
4.2
|
Agreement
of Home Properties of New York, Inc. to file instruments defining the
rights of holders of long-term debt of it or its subsidiaries with the
Commission upon request
|
Incorporated
by reference to the 12/31/94 10-K
|
4.3
|
Indenture,
dated October 24, 2006 between Home Properties, Inc., Home Properties,
L.P. and Wells Fargo Bank, N.A., as trustee including the form of 4.125%
Exchangeable Senior Notes due 2026 of Home Properties, L.P. and the
Guarantee of Home Properties, Inc. with respect thereto
|
Incorporated
by reference to the Form 8-K filed by Home Properties, Inc. on 10/25/06
(the "10/25/06 8-K")
|
4.4
|
Registration
Rights Agreement, dated October 24, 2006, between Home Properties, Inc.,
Home Properties, L.P. and Merrill Lynch & Co., Merrill Lynch, Pierce,
Fenner & Smith Incorporated and Bear Stearns & co.,
Inc.
|
Incorporated
by reference to the 10/25/06 8-K
|
10.1
|
Second
Amended and Restated Agreement Limited Partnership of Home Properties of
New York, L.P.
|
Incorporated
by reference to the 9/26/97 8-K
|
10.2
|
Amendment
No. Four to the Second Amended and Restated Agreement of Limited
Partnership of Home Properties of New York, L.P.
|
Incorporated
by reference to Form 10-K filed by Home Properties of New York, Inc. for
the annual period ended 12/31/97
|
10.3
|
Amendment
No. Sixty-Two to the Second Amended and Restated
Limited Partnership Agreement
|
Incorporated
by reference to Form 10-K filed by Home Properties of New York, Inc. for
the annual period ended 12/31/03
|
10.4
|
Indemnification
Agreement between Home Properties of New York, Inc. and certain officers
and directors*
|
Incorporated
by reference to the Form 10-Q filed by Home Properties of New York, Inc.
for the quarter ended 6/30/94
|
10.5
|
Indemnification
Agreement between Home Properties of New York, Inc. and Alan L.
Gosule*
|
Incorporated
by reference to the Form 10-K filed by Home Properties of New York, Inc.
for the annual period ended 12/31/96
|
10.6
|
Master
Credit Facility Agreement by and among Home Properties of New York, Inc.,
Home Properties of New York, L.P., Home Properties WMF I LLC and Home
Properties of New York, L.P. and P-K Partnership doing business as
Patricia Court and Karen Court and WMF Washington Mortgage Corp., dated as
of August 28, 1998
|
Incorporated
by reference to Form 10-Q filed by the Home Properties of New York, Inc.
for the quarter ended 9/30/98
|
10.7
|
First
Amendment to Master Credit Facility Agreement, dated as of December 11,
1998 among Home Properties of New York, Inc., Home Properties of New York,
L.P., Home Properties WMF I LLC and Home Properties of New York, L.P. and
P-K Partnership doing business as Patricia Court and Karen Court and WMF
Washington Mortgage Corp. and Fannie Mae
|
Incorporated
by reference to the Form 10-K filed by Home Properties of New York, Inc.
for the annual period ended 12/31/98
|
10.8
|
Second
Amendment to Master Credit Facility Agreement, dated as of August 30, 1999
among Home Properties of New York, Inc., Home Properties of New York,
L.P., Home Properties WMF I LLC and Home Properties of New York, L.P. and
P-K Partnership doing business as Patricia Court and Karen Court and WMF
Washington Mortgage Corp. and Fannie Mae
|
Incorporated
by reference to Form 10-K filed by Home Properties of New York, Inc. for
the annual period ended 12/31/99 (the "12/31/99 10-K")
|
10.9
|
Credit
Agreement, dated 8/23/99 between Home Properties of New York, L.P.,
certain Lenders and Manufacturers and Traders Trust Company as
Administrative Agent
|
Incorporated
by reference to the Form 10-Q filed by Home Properties of New York, Inc.
for the quarter ended 9/30/99
|
10.10
|
Amendment
No. Two to Credit Agreement
|
Incorporated
by reference to the Form 10-Q filed by Home Properties of New York, Inc.
for the quarter ended 9/30/02
|
10.11
|
Amendment
No. Three to Credit Agreement, dated April 1, 2004, between Home
Properties, L.P., certain Lenders, and Manufacturers and Traders Trust
Company as Administrative Agent
|
Incorporated
by reference to the Form 10-K filed by Home Properties, Inc. for the
annual period ended 12/31/04 (the "12/31/04 10-K")
|
10.12
|
LIBOR
Grid Note, dated November 23, 2004 from Home Properties, L.P. to
Manufacturers and Traders Trust Company
|
Incorporated
by reference to the 12/31/04 10-K
|
10.13
|
Amendment
No. Four to Credit Agreement, dated September 8, 2005 between Home
Properties, L.P., certain Lenders, and Manufacturers and Traders Trust
Company, as Administrative Agent
|
Incorporated
by reference to Form 10-Q filed by Home Properties, Inc. for the quarter
ended 9/30/05
|
10.14
|
Development
Agreement, dated March 27, 2006 between Nelson B. Leenhouts and Home
Properties, Inc.*
|
Incorporated
by reference to the Form 8-K filed by Home Properties, Inc. on
3/27/06
|
10.15
|
Amended
and Restated Employment Agreement, dated November 20, 2006 between Edward
J. Pettinella and Home Properties, Inc.*
|
Incorporated
by reference to the Form 8-K filed by Home Properties, Inc. on
11/21/06
|
10.16
|
Employment
Agreement between Nelson B. Leenhouts and Home Properties,
Inc.*
|
Incorporated
by reference to the Form 8-K filed by Home Properties, Inc. on 2/16/07
(the "2/16/07 8-K")
|
10.17
|
Employment
Agreement, dated as of May 17, 2004, between Home Properties, L.P., Home
Properties, Inc. and Edward J. Pettinella*
|
Incorporated
by reference to the Form 10-K filed by Home Properties, Inc. for the
annual period ended 12/31/05
|
10.18
|
Amendment
No. One to Employment Agreement between Edward J. Pettinella and Home
Properties, Inc.*
|
Incorporated
by reference to the Form 10-Q filed by Home Properties, Inc. for the
period ended 9/30/2008 (the "9/30/2008 10-Q")
|
10.19
|
Articles
of Merger of Home Properties Management, Inc. into Home Properties
Resident Services, Inc.
|
Incorporated
by reference to the Form 10-K filed by Home Properties, Inc. for the
annual period ended 12/31/06
|
10.20
|
Purchase
Agreement, dated October 18, 2006 between Home Properties, Inc., Home
Properties, L.P. and Merrill Lynch & Co., Merrill Lynch, Pierce Fenner
& Smith and Bear Stearns & Co., Inc.
|
Incorporated
by reference to the Form 8-K filed by Home Properties, Inc. on
10/19/06
|
10.21
|
Directors'
Stock Grant Plan*
|
Incorporated
by reference to the Form 8-K filed by Home Properties of New York, Inc. on
5/22/98
|
10.22
|
Amended
and Restated Stock Benefit Plan of Home Properties of New York,
Inc.*
|
Incorporated
by reference to the Form 8-K filed by Home Properties of New York, Inc. on
6/6/97
|
10.23
|
Home
Properties of New York, Inc. Amendment Number One to the Amended and
Restated Stock Benefit Plan*
|
Incorporated
by reference to the Form 10-Q of Home Properties of New York, Inc. for the
quarter ended 3/31/00 (the "3/31/00 10-Q")
|
10.24
|
Home
Properties of New York, Inc. Amendment Number Two to the Amended and
Restated Stock Benefit Plan*
|
Incorporated
by reference to the Form 10-K filed by Home Properties of New York, Inc.
for the annual period ended 12/31/01
|
10.25
|
Amendment
No. Three to Home Properties, Inc. Amended and Restated Stock Benefit
Plan*
|
Incorporated
by reference to the 9/30/08 10-Q
|
10.26
|
2000
Stock Benefit Plan*
|
Incorporated
by reference to the 12/31/99 10-K
|
10.27
|
Home
Properties of New York, Inc. Amendment No. One to 2000 Stock Benefit
Plan*
|
Incorporated
by reference to the Form 10-K filed by Home Properties of New York, Inc.
for the annual period ended 12/31/01 (the "12/31/01
10-K")
|
10.28
|
Home
Properties of New York, Inc. Amendment No. Two to 2000 Stock Benefit
Plan*
|
Incorporated
by reference to the 12/31/01 10-K
|
10.29
|
Home
Properties of New York, Inc. Amendment No. Three to 2000 Stock Benefit
Plan*
|
Incorporated
by reference to the Form 10-K filed by Home Properties of New York, Inc.
for the annual period ended 12/31/03
|
10.30
|
Amendment
No. Four to Home Properties, Inc. 2000 Stock Benefit Plan*
|
Incorporated
by reference to the 9/30/08 10-Q
|
10.31
|
Amended
and Restated 2003 Stock Benefit Plan*
|
Incorporated
by reference to the Form 8-K filed by Home Properties, Inc. dated
5/6/05
|
10.32
|
Amendment
No. One to Amended and Restated Home Properties, Inc. 2003 Stock Benefit
Plan*
|
Incorporated
by reference to the 9/30/08 10-Q
|
10.33
|
Home
Properties, Inc. 2008 Stock Benefit Plan*
|
Incorporated
by reference to the Schedule 14A filed on 3/24/08
|
10.34
|
Amendment
No. One to Home Properties, Inc. 2008 Stock Benefit Plan*
|
Incorporated
by reference to the 9/30/08 10-Q
|
10.35
|
Seventh
Amended and Restated Dividend Reinvestment and Direct Stock Purchase
Plan
|
Incorporated
by reference to the Form 8-K filed by Home Properties, Inc. on
9/28/06
|
10.36
|
Home
Properties of New York, Inc., Home Properties of New York, L.P. Executive
Retention Plan*
|
Incorporated
by reference to the 7/2/99 8-K
|
10.37
|
Home
Properties of New York, L.P. Amendment Number One to Executive Retention
Plan*
|
Incorporated
by reference to the 3/31/00 10-Q
|
10.38
|
Amendment
Number Two to Home Properties of New York, Inc. and Home
Properties of New York, L.P. Executive Retention Plan*
|
Incorporated
by reference to the Form 10-K filed by Home Properties, Inc. for the
period ended 12/31/03 (the "12/31/03 10-K")
|
10.39
|
Amendment
No. Three to Home Properties, Inc. and Home Properties, L.P. Executive
Retention Plan*
|
Incorporated
by reference to the 9/30/08 10-Q
|
10.40
|
Purchase
and Sale Agreement, dated as of January 1, 2004 among Home
Properties of New York, L.P., Home Properties Management,
Inc. and Home Leasing, LLC, dated January 1,
2004*
|
Incorporated
by reference to 12/31/03 10-K
|
10.41
|
Second
Amended and Restated Incentive Compensation Plan*
|
Incorporated
by reference to the 2/16/07 8-K
|
10.42
|
Amendment
No. One to Home Properties, Inc. Second Amended and Restated Incentive
Compensation Plan*
|
Incorporated
by reference to the 9/30/08 10-Q
|
10.43
|
Deferred
Bonus Plan (Amended and Restated as of January 1, 2008)*
|
Incorporated
by reference to the Form 10-K filed by Home Properties, Inc. for the
period ended 12/31/07 (the "12/31/07 10-K")
|
10.44
|
Director
Deferred Compensation Plan (Amended and Restated as of January 1,
2008)*
|
Incorporated
by reference to the 12/31/07 10-K
|
10.45
|
Amendment
No. One to Home Properties, Inc. Deferred Bonus Plan (Amended and Restated
January 1, 2008)*
|
Filed
herewith
|
10.46
|
Amendment
No. Five to Credit Agreement, dated September 25, 2007 between Home
Properties, L.P. and certain Lenders and Manufacturers and Traders Trust
Company, as Administrative Agent
|
Filed
herewith
|
10.47
|
Indemnification
Agreement between Home Properties, Inc. and Stephen R.
Blank*
|
Filed
herewith
|
10.48
|
Indemnification
Agreement between Home Properties, Inc. and Josh E.
Fidler*
|
Filed
herewith
|
10.49
|
Amendment
No. One Hundred to the Second Amended and Restated Limited Partnership
Agreement
|
Filed
herewith
|
11
|
Computation
of Per Share Earnings Schedule
|
Filed
herewith
|
21
|
List
of Subsidiaries of Home Properties, Inc.
|
Filed
herewith
|
23
|
Consent
of PricewaterhouseCoopers LLP
|
Filed
herewith
|
31.1
|
Section
302 Certification of Chief Executive Officer
|
Filed
herewith
|
31.2
|
Section
302 Certification of Chief Financial Officer
|
Filed
herewith
|
32.1
|
Section
906 Certification of Chief Executive Officer**
|
Furnished
herewith
|
32.2
|
Section
906 Certification of Chief Financial Officer**
|
Furnished
herewith
|
99
|
Additional
Exhibits - Debt Summary Schedule
|
Filed
herewith
|
*
|
Management
contract or compensatory plan or arrangement required to be filed as an
exhibit to this Form 10-K pursuant to Item 15(b) of Form
10-K.
|
**
|
These
exhibits are not incorporated by reference in any registration statement
or report which incorporates this Annual Report on Form 10-K for the year
ended December 31, 2008.
|