Apartment Income REIT Corp - Ordinary Shares (AIRC) 3 May 222022 Q1 Earnings call transcript

Good afternoon, my name is Austin and I will be your conference operator today. At this time, I would like to welcome everyone to the Apartment Income REIT's First Quarter 2022 Earnings Conference Call. All lines have been placed on mute to prevent any background noise. After the speakers remarks, there will be a question-and-answer session. [Operator Instructions] Thank you. now conference. may you Cohn, begin your Lisa

Thank Cohn, General and good day. Communities. Counsel is Lisa My name AIR I or Apartment REIT you Income and of Corp am President and

what forward-looking this projections filings. be to be found which including XXXX may certain statements During and to materially results call, we are may a management's related are based statements These SEC can uncertainties, today. in Actual make differ expectations. risks our judgment, on subject from discussed of conference description

We discuss our and our Prepared remarks. John Paul members Chairman from the comparable of of now will information present, also today also remarks Beldin, Keith McGrath, to and certain prepared us question-and-answer Considine. follow during will supplemental such session our non-GAAP Terry part turn website. in Chief President, Kimmel, most that will the our as and operations. are full come from of Financial Terry? financial earnings our Property funds charge GAAP the CEO; defined the Co-CIO to is Officer. Other Terry measures measures will release in be These call Considine, published all Investment are are Committee; that the available AIR's I reconciled and Operations; of management on of

colleagues year My off three chief an release. excellent have to Thank you, detailed will provide Lisa. in the be And thanks My to comments earnings all is I interest AIR. start of you further points. for The few. your in details. as will

outstanding results. and Keith the good. team Ops to is business deliver continue First,

risk, simple. with Second, low fixed our great balance limited leverage be repricing will interest and flexibility sheet rates,

is capital growth independent we in shareholders, a core property focus customer comparative more the and productivity by in now we focus relationship to available of on own. have its Aimco and property and commit G&A be of low our excellence low at provide is selection, each properties growth One AIR's our be Edge. growth. retention success operations, business, AIR a our established to accretion stands the the the pair what improved expenses. would on we quality to establish rent order where said point of growth meaningful leveraged the by sold operations sale neutral transparent our with to lower-rated from properties, Third, and simplify quality we our competencies the leverage, from what calls and Organic so External a efficient conversion where satisfaction of cash earnings, that by organic did operating high on and portfolio trades have is for growth advantage, do; underwritten - funded to key high cost control using is comes where Keith of

years this teammates forward look high for Board. do ahead. all thank call. good continuing by this to we've impacts achieve with certification and to to the communities want of great corporate our we We we working our do want of environmental a we'll where results work, its parties. citizen, you discussed business be to also will be and the And as seek to the the for conducting year third my will team for sensitivity will and on to place to engaged I with of set I that these independent their be quarter I engaging measure a balance the and this positively thank with first success goals business, the

shareholders. on you value You of for creating keep us are with you most range your your generous from time; experiences; wide focused contribute life

to to and results operating Keith? prospects. to Keith like Kimmel the I'd our Now turn call discuss

Thanks, Terry.

new again the business. to XXXX up fourth Rates XX.X%. to We The XXX last high exceeded from the reinforced leases year record for renewals levels, and first rates and quarter points quarter year. expectations high basis will XX.X% up the an Our signed Occupancy watermarks. result our outlook. XX.X% flat continued blended XX.X%, our first-quarter new up exceptional reached results and with be up

Our world-class the surveys stars. out consistent X.X with of scoring quarter, customer us remain XX,XXX X service nearly during

Expenses one was lower X.X% lower Our X.X% results by XX.X% personnel, in our trailing continued due the anticipate fewer the XXXX. it's of robust to operating We reached with of of Strong up choppy increased controllable timing first for expenses. XXXX. from of to year. quarter. the quarter low X.X% Net move-outs XXXX. reaching Net from were gradual quarter, XX-month XXX controllable the the for will of on into XXXX first year-over-year of up basis points offset a XX.X% internal in communities, XX% quarter was a full-year financial translated turnover record Revenue with XXX quarter income operations year ago. up expenses be operating but improvement flat debt the than last plan than operating expenses first maintenance

result, income one a stabilized ago. points outpaced XXX AIR our up growth operating year As In XX.X%, our impact of implementing acquisitions the during Edge. the to assets our the we was quarter basis portfolio, from as see first margin net continued performance and

leases XX% well. These Renewals weighted our that communities. leases average same-store above a prior up in rate Our and increased With was first of performed lease properties' class were while new exceeded acquisition lease. signed for space both the XX% of XXXX increases occupancy the XX% of increase above acquisitions quarter, XXX XX%.

during with AIR of of this our line seen increase growth associated the we fully peak expectation XX.X% the upside strong was we've stabilized our and communities April, As of a In the class Occupancy peak results communities, demand years. than a the income vacancy these XX% month multiple momentum year every of higher We to earlier as financial our above season. was further leasing accelerating Lease seasonal aspect ever. result, leading XXXX future enter is has across space in implemented start leasing to our expectations. with frictional higher than in Edge anticipate season. with build coming is

leading the of from XX.X%. rates lease, to lease new XX.X%, growth increased prior renewals XX.X% rate our increased blended So,

Our rate year. loss and healthy increases low the in of of remainder the peak currently in is balance throughout the double digits, to we lease the expect

a to selection inflection and resident additional behavior first despite Perhaps Our large limitations the is to that income we've in historically ability a increases, $X.X customer last April. most resident at XX.X% in of may payments shift with an in ratios year down of April, the from with point reduced notably, with collect income rent to we such corresponding rent billion some the in from improving for an $XXX,XXX. our actually debt. our XX.X% rent, have affordability in and median up seen nearly recently are reached California bad residents unpaid quarter,

As is to the a our anytime In to year, there are result, we road four business and indicators is much through exceptional there bad expectations. it is normal expected done, pandemic, bad And April debt. post that back on outperforming be the while recovery yet outperforming to months debt lofty now that summary, be is towards expectations of the by work our $XXX,XXX. more we

peak fueling year, into continue to to of thanks team of strength months all AIR the for optimism ahead. the show indicators leading we as My our members. balance the Our head

now a to our Your and the the our John? of great dedication to business Committee. to that, quarter I'll call With serving made Investment John continuously this Chairman drive success. turn improve our has your residents McGrath, over

the the dispositions another Thank busy over from completed boost we that the With billion our you, of interest with pleased Keith. quarter $X.X front, low am had I above months, rates. transactions past have on prices announce GAV historically to reported eight

XXXX All the for accretive opportune first these sales sheet, quarter, timing San of Diego, We're Los the in pricing, homes apartment in Bay $XXX with located sold used million apartment proceeds strengthening for County, balance communities deleveraging and at from Area our us positioning and growth. we was for the Angeles well eight and future Chicago. and very approximately

of X.X% homes portfolio improved equity the significantly County markets with we our of a capital regulatory approximately capital cost risk XXX million lower Area. higher Diego, of IRR our with April, in allocation X.X%. NOI sales for of at rents. cost Bay and In the $XXX aggregate, quality current San with in Additionally, apartment three located raised we of sold Completion apartment communities and and increased long-term higher expected to these growth Orange

to value bringing shareholder AIR our create the properties AIR by to for growth Turning where was shareholders. drive will and incremental designed outsized platform onto growth. Edge value

focused $XXX we targeted strategy allocation Over will Encouraged them. we while properties of us which pair on the trade cost funded Edge. the of to by market in million before at total a we in past maintaining maintain volatility used results, in invest value of agnostic IRR portfolio long-term XXX accretive Pair our X% will or a We are XXX systematic look basis disciplined These trades top-rated than that allow acquisitions from for short, the and our spread pair broad of portfolio capital of cost We cost In upgrades portfolio our execute fund of X%, equity property firmly points of the benefit committed more establishing continue IRR produce approximately capital of earn trades range. to also through XX months, disciplined trades above properties, a capital. the while diversification remain utilizes our of today. more availability leverage with a or invested pair our by continued points philosophy basis to growth AIR capital. to periods these spreads our allocation. to and be to sub-markets, five enhancement

upon the a Paul? Beldin, delivering Financial of Chief predictable Our over creating track our to Paul that, shareholder value future of With turn record I'll build will above-market acquisitions performance Officer. growth. call by

our discuss we've XXXX with Thank and to sheet. two recent strong Today, conclude sheet, for balance you, improve with brief two our balance the flexible John. regarding expectations steps our comment Board actions. and Starting balance updated a significant I'll taken sheet,

$XXX the quarter the Aimco together First, of million X.X penalty. penalty leverage within million The that with proceeds million leverage repayments, by $XXX $XX.X with will treasury to leverage be after year-to-date our $XXX last and and collection rates prepayment second from another March these is between by the to April, million. on forma XX reduce with year targeted June's notes. prepayment plan exact we six time with and of leverage varies our short-term in through total Pro one. reducing the note anticipated approximately EBITDA estimate interest prepayment well times, five to the prepayment We penalty

second on debt. quarter weighted And so, average second, refunding a $XXX and loans of XX-year XXX to pricing duration cost amount I is we duration all-in points reduction a $XXX into unhedged XX floating Next, we from in debenture X.XX% previously a anticipation fixed outstanding of lock a an rates and floating-rate XX-year of interest private with forma currently below are of whose treasury entered rate proceeds of entered floating at basis years. just $XXX treasury that Pro million million, term of points we million into over X.X rate XX around swaps first million the exposure. fixed terms of expected of To do placement closing a rate. $XXX expected described, expected locked basis debt yesterday's no have now at X.XX%, of of there years

Additionally, of almost our average increase years, with maturity two an X.X weighted years.

with are result, a reduced X.X we or our now that months XX IPO, XX% balance to complete such same gross ahead is and Since the leverage billion by leverage gross plan. times. the $X.X transformation of EBITDA As at and have will leverage net sheet

We properties $X.X to pool $X.X billion, of almost tripling billion. have increased from will unencumbered our

increased have and refunding and will will ladders. facility re-pricing liquidity our we credit under cash We to $XXX have billion balance risk $X for million over maturity and by on reduced over hand and available re-pricing

or will of through of fact, XXXX. end $XXX In debt million approximately reprice only the our X%

or floating-rate seek our of XX% Today, Moody's interest future this million, limit an bolster total Additionally, we revenues, which gross asset from rates. from year. of around value. characteristics apartment indirect later less investment-grade intend to any debt, when limit hedge rating is XX% of that our consider we to be debt $XXX to BBB investment we our and flat rating grade an S&P X% and than strengthen case of will These about less

the public doing access well sense. makes are to positioned and so market bond We

our the Now turning XXXX. balance to expectations for of

the and of due the results of items that share, was $X.XX $X.XX of stronger-than-anticipated may year. $X.XX to per midpoint of reverse operating ahead the FFO of guidance one penny during balance First-quarter

for offset The the expense $X.XX, For by early penny XX.X%, interest adding interest in between increase in our for $X.XX expect the borrowings NOI FFO. the interest a XXXX, to second share. lower basis loan the of now prepayment expect increase of of same-store adds FFO a ago, quarter per in collection we second by net in expense full share. share a $X.XX $X.XX loss per reduce net We up growth expectations year, higher one Aimco and on $X.XX half XXXX points cost XX And interest income of per of from penalty, quarter $X.XX the by rates $X.XX while per share. $X.XX a increase income

expenses. guidance of of Accordingly, the prepayment and path XXXX result the Our We will administrative same-store the same-store that we anticipate be debt repayment bad the outperformance, revenue potential income from rental also midpoint, driven is is FFO $X.XX general our expense penalty lower range see these per Aimco second it. continued of the between by and of including incremental $X.XX the inclusive items. $X.XX share interest the lower There for rate before contemplates quarter lower note. of offset estimated consideration the property and early the $X.XX income higher FFO expenses. potential operating one-time At NOI $X.XX expense $X.XX and for is of achievement, where and by a

half does between million with second of and contribution year, associated the $XXX we FFO no $X.XX reflects higher expense per anticipate from and note interest of which the share. For debt, $X.XX Aimco fixing reflect

open been common To now to questions. per to Austin, of the at-the-market has for offering also to queue. over Finally, the With first stock and $XXX up I $XXX two in will to repurchase authorized Board you limit million. million used. both neither program call recently program will an turn that, Please the the date, questions up your it question. we the up time for

Janney. is [Operator Our question Instructions] your open. line Rob Stevenson first is Rob, from from

current and running you increases? much per month, guys. Good of fees are you average addition the guys rent Keith, what terms do unit in fees how afternoon, in per increasing to

we When Rob, we thanks there about. - to the for things is couple think fees, question. a probably think about of

those actual We rents, The first total that we similar types of storage, will try it one commensurate is maybe about XX% how when we're just impacts, and a you of follow raising those and revenue. but see like look of the parking the fees, to so, increase fees. represents at

So it's not a big impact.

talked not the terms else is G&A what's the elaborate replacing that that bit Can of targeted of Okay. you going headcount, that doing? remainder something to is to any savings in realize drive just on about remainder that And year, other you Paul, guys little relative guidance, the guidance? year that people could previous then savings are the the and the of of technology, because you over the the expense of that you a is over

expenses you and our achieving will up that anticipated some also basis for not AIR You to bet, $XX is - are but our point the equal of well first at is as might some part do our In part of on know, and of our and we million, GAV line to the original quarter, I very would provide just coming XX Rob, G&A basis year variable for out we revenue maintaining our that you efficiency that. only benchmark, question. ongoing of flow projects benefit have program have compensation bottom but call efficient the in this to we year, range, updated that the we points efficiency results. or be the incentive less under spin thank And that of more XX through guidance and current designed and that shareholders so our basis that

G&A maybe budgeted achieve that might fully there for range that the so allowance performance target not is a And levels. the in

could the I minus G&A to hit you Is paid property or impact guys And basis. et going to that mean bonuses, savings operation this revenue cancel - that is wind the guys of upper going are the doing property year growth this cetera, if your of any out range? people, you up XX% to that end staff, same-store plus on the

wants anything. and I'll Keith add to turn then he Rob, if to over start

bonus their because property are performance those our cost our revenues. teams upon property We separate and incentivized based of that corporate properties for relative have would and so budgets run will the from the teams, so, teams to performance incremental operating any on-site than our programs their higher on-site more through by be results offset

by are And our by Rob, is on-site associated that add and they I with handled actually are position would just that the way community. incentives community individually

So one an outperform. each has to and goal individual achieve

Our Kim John, next Markets. question John Capital is from your line from BMO open. is

leases is your signed, is - of a I'm morning. difference versus XXXX how big wondering There XX Thank new California much given in that you, related, good renewal. exposure?

Keith. Hey, John. It's

relatively You're it seeing correctly.

see is what we focus what we So what we results. that in between are high that market will could and see we increase you you maybe you XX%. X% they you then restrictions would see be in I'd teens go you the in Denver and would when really as to for the XXXX about will be send they varying of point out Florida and increases increases go on out where that that go out have out renewals, where not rents when see some might in just and California as periods future think degrees XX%, so see but could increases today, the will

those you things, So numbers. between how get of to those the that's combination

that expand what's you been or Miami? rent in market, And are very to of controls appetite a Keith, how strong ability you has in presence conversely, market mentioned your your Southeast Florida, concerned Miami and

into let a how on push lot a inclinations in Miami. of moment seen you add we any rents, I'll control it there Shwayder Patti, anything recently about of that. comes is that give in concerns of course, scenarios. are - to was around we've an recognize will can with what particular and to certainly talk more time hasn't most start - to rent in much how much about a But, we increase extension of the like I'll the But in up of when Patti been place go there limitations would that Well, lots chime is that there but about that?

there of level, is vote Sure. to John. at rent enacted at level if things; has there a if a is prohibited state of people. the Hi, be is is two if state it two, control a local Florida requires and emergency and one

is hard and there. to of [indiscernible] sort we that cross, So now, barriers for have

we And John for this a looking question to AIR give on of your than Edge McGrath, where we increasing presence, market we're an is comparative our if capital. advantage in cost greater anomalies about we XXX opportunity to deals basis are pursue our and can where us Southeast from deals find have invest our or spreads in Florida, them. those IRR certainly will points And

are Resident One final the I of if you'll as that the the remainder Relief question be your may, year? as Funds for what far expectations receiving

Can on that it or you on about clear not what I'm question. I'm looking is you - rents John, you're your sure Are it's talking assistance government there? Keith. for

pace I program. quarter, was California the think of wondering just mean, the had you just that to rent I do rest I relief first $X.X the million improvement you bad debt, in continue XXXX? for expect in from

got I Okay. you.

the notices had that here's seen month month paid were we well, - recently of describe the I April. giving how that for April, rent actually start for What would to not is So, allowed folks in paid it. we've the

So protection, able to unless serving we start for COVID non-payment. notices they were had

we it They it's that or back I rent and what is had to have are at of seeing that, XX,XXX, is, sort we're have combination can for guess, we're but only me Los not so paying As they've pay really Angeles pay a average do good and April, what of let have I residents incomes getting just, of for XXX. they come high be pay payments, their - - the all early of score that me along going can our dollar. to said up a let seeing well, what thing up, a good we've I'm that for plan? result in coming but that I've resident is we're is I if with a So, will payment believe some FICO results we whole days,

a but us, continue lot more become, we in there's of So will to believe of we improve. work to front know do it

from open. line question is Nick, next Your Joseph Citi. from Nick comes your

it the conversations Thanks. then you XXXX note the Keith, prepayment for mature January the could letting the AIR and through decisions of walk the of Aimco now? around purchase, it doing benefits in just and

risk You guess multiple spread me to first shareholders and losing was thought and sooner market number interest the we years And was that a refunding credit interest the borrowings two to way also the the Aimco about loan would spread see rates and Aimco's and at the that least end loan fund thought in between bet. the one the even our the narrowed a at higher as we've income times, rates interest profitability low spoke loan. of I increase analysts AIR that income exposure. price we the it therefore could higher on on and who knowing interest would even expense

a said GAV. to against our little we to billion do a would most it. leverage a AIR bet from we able on just now more bit low - billion than We were that's moving what has seemed and And just AIR waiting not important, all we do business rates a $XX now. and interest $X year by So

what it is timeliness balance combination to keep us of that good bulletproof, I our said motivated the So think way. feel which we're and so and about doing we we sheet, committed

the obviously after of then And AID? the with relationship repayment what's the note, Thanks. remaining

we will contract that relationship and cordial, remaining get be The collaborative will independent,

…on the contractual side.

it's said think and a third historic good we'll take with and think they we do parties work we've contract is when ours our advantage but their with our will on, we'd able do parties so development and we them relationship that too, without to to market that at to good activities do work. Aimco our not the will with we third will that won't see at risk, we to Yes, because pricing pricing vis-a-vis people do be know

Your from Haendel next St. question is

line is Juste open. from Haendel, Mizuho. your

my first rate. guess leasing The I'm down push is is XXX points about season. basis I as occupancy Keith, into rates here, operating thinking how on further you're occupancy I versus strategy January, the, have I guess, the while guess question we peak versus blended accelerated. curious

I assumptions curious might you to what's here how [indiscernible] occupancy rates, this guess turnover as the So I'm be year? underlying far let willing and flex you

for question. This Haendel. Thanks the is by design and planned. not

do of have we've XX's, with much become we greatest to we want when call moved it's and anticipate is to have then that during we and think what we it when into the greatest to to and back going the the be go tell the turnover, peak, grown that something it, So low we in of we're expect we like you into up season. would as have to if I from continue quicker as that do like so peak rates, recover will churn the we from frictional we can pricing July-August, feel to about we push you've turnover, build occurring peak vacancy to demand accustomed - we the backfill there. and the market we a XX's, And have get could then from XX July, and the into opportunities result

which which the issuing the ATM, I consider under Okay, fair enough. million just ATM, one $XXX curious may you guess, scenarios on it. get new equity. I the get are on Maybe I it.

flows term, consider issuing You scenarios could would have like debt here, you maybe forward? under don't guys Thanks. deleverage plan about match guide funding I near I'm capital or real you any curious lowered going equity? the maturity still talk you So be what that sounds maybe that guess

Haendel to this to at difficult buy or sell plans infrastructure - corporate these just options any to place the prices, of have do have current putting sort in either to issue we is don't equity. we're Terry, our issue equity

going no. I given a new in the have Listen, funding a we funding your the be play was I could to be curious no, could that curious see? in would could role, if just in Terry, understand match that perhaps there something past. just forward, change if future perhaps if approach, strategy would change could the Okay, equity that

I use that decisions always of like turn on proceeds. the think

ATM hypothetical that's current so, in a place give optionality, and the of does thought therefore little general and And having us not application. but a

then one here, transaction last seeing and you on maybe perceive maybe rate Thanks. demand, how market fair active one. the you by tightened credit been some commentary cap you change maybe has are fairly Maybe market, change a the as have guys impacted buyer in Okay, pause, discuss the it, enough rates? interest in

Haendel, this for is Thanks John. your question.

the and First all, changes expansion that strong, is of still of cap is not market in there's I what fundamentals of in At end very and day, rate apartment out outpaced say we've values. I the of by the still can seen can't estimates. the historically end But future. trading lot predict being a our growth. capital remain the are NOI significant at the best assets high markets to The high any

about opportunistic which the becomes executing, is are in the for I advantage particularly basis going have true AIR have in time market we by levered very we're but transactions, who still, are which out We From above we I becoming comparative be because allows to our of highly what million-plus. buyer capital. cost this pools shallower, are larger mentioned which we're trade that own buyers spreads, a we're Edge earlier, a their we and the cost having that a fact a looking acquisitions, earn of pair harder say capital, pencil. seeing to am the going we a ones are XXX to are making philosophy, And points looking can seeing be little or the where to competitive as they invest $XXX perspective, deals more in us of comforted lock

to So the putting expected like this [indiscernible]? seeing underwriting perhaps as so the that capital today, that's margin churn? but that say demand any lower into of Or value less going in it that still the yet, foreseeing there's is translating take is underwriters to not much sounds that returns them not you're change in and

will Again, we always holding now. are the our our to so. ball ours what way I underwriting to underwriting, values and platform opportunity don't do right the advantage have to have operating a the seeing are I have future on crystal we're will speak through say to we be, other we based people's can't continue

Your open. next Luthra from question Goldman is line Chandni, your Chandni from is Sachs.

Hi, thank my you question. for taking

mean there still now up on that that is go right be, in it building just potential how of to you trade kind be is question. for you it? I - that way pair would would more and would the last XXXX So you be would want you acquisitions leverage about where

you question, Thank much is John. this for very your

The of includes accretive It's I'd amount we have our an acquisitions. guidance of under which say, some already agreement. as form $XXX million first

We that will provide but close, they beyond more acquisitions. information we no guidance, on those for further have fixed when goal transactions

that create we trades, capital always best capital funded trades question are enhancement lock gives about could portfolio pair best accretive at we look also in pair most the systematic to able continuing To be, mentioned the your what those that which mentioned. we I to will growth are and cost to equity shareholder trades obviously we today, the so make investments our will As an of be through but look opportunity pair value. at of through our us the

of follow-up of a to capital. as speaking And cost that,

could get you soon, down what get you as to Moody's of capital talk about, cost advantages to you'd go to expect line, the kind you of So IG?

has S&P, BBB so, financing what Yes, possible investment-grade rating look we a this for broadest and our currently and have the metric ratings from mid-tier undepreciated Chandni, is on Paul. focused methodology, of is value compared as when are - comes they options focused a it is to to was the a one we Moody's flat. to activities very for of use their very that basis. percentage debt non-recourse different that book

so. we've value. And book it's now, the months improve so than focused on XX% and during past And metric, that we has of one to done been XX undepreciated our very less thing, been have

the tap we the very public great and So us to get that's from bond market, we're ratings that important something and me. we'll it optionality those ratings, but that's shape CFO, in gives greater doesn't definitely as mean a once it perspective

And Paul, agreement Know There kind in from that Aimco, the to master payment one lease redevelopment are housekeeping properties is cash changes no of, one. that correct? lease from

that leases no Aimco, and lease a from to own to payments. continue there as from as to sense it they long a with are been the legal arrangements, under continue or receive Yes, lease sense has properties those those will accounting effective changes those

thank you Perfect,

SMBC. from question next Rich, line open. Rich Your from your is is Anderson

morning Thanks, out there. good

for $X.XX-ish a reduced - as it run seems forma earlier juxtaposing not I looking take So though and make that but you it know the the prepayment though starting the give guidance, about talked you're I look as penalty rate going income little and when year. cents - pro the at you're to you're you to bit was also and this, full understood as behind this interest I that full I seems guidance of we you say at to 'XX but provided as allotment income specifically point it it, when the remove sure

off logically growth impact chunky grow two terms XXXX. in about profile of correct to next you're things year, or how I missing am in XXX chunky of So, will your two because thinking that things

- just you think for how when of forma starting from you are delta up blocks to your to stack with not this have sales, but Now $X.XX from rate dilution from formulating pro XXXX run in might building view wondering sales start about I'm mind? the

to many very very same-store probably or the should are appropriate AIR business next fixed-rate activity we - it's limited, exposure operations set XXXX. that not three the and in in there's don't that and nitty-gritty years, parts. that simple I'd Yes, for over maturities our out place is get debt point order, a our is think what that part now most significant around details moving many as leasing in is is balance a you our Rich, sheet time point too But us I into good out floating-rate up XXXX The moving and XXXX.

next of As our Aimco try to the to we we that have though bottom far I a to confusion this point page note and of to try avoid potential just would year that on will won't the do in be our supplemental. not what's there our do from nine for any in numbers year. year our earning benefit next as numbers 'XX, best out out that and recur lay

a of run our why $XXX year, will of run in also million fixed numbers through but rate earning higher so have majority from the cost next me, rate. we the We run we bit year, will interest or this excuse little debt XXX that provided will - that's those of have cost our

that current that And was was so note on Aimco our our a in XXXX in which and that forma, place XXXX if the sheet X/X/XX, take off is that you paid would be FFO. assuming fully pro XXX, balance structure

expectations you a to in from NOI there have Same-Store about could and And think really XXXX. grow starting good point so your

And Okay, I do fair added enough. appreciate disclosure there. the

in you things supply. the about from tense fact could from from is forgetting sometimes, tense in regulated of less from into and this someday in into the soon consequences lot question present regulated I've that me moving not area and country, things negative often second this be and perfect to non-regulated heard others future away the areas world regulated elevated aren't the obvious walking of too. you The have a areas do they that There's become case, a could or in

the this me it proactive regulated reason country I do ledge off today? to thing So little for make Why not that talk reactive to me the know if a don't the of step right and of escape on areas that some one. sort seems from and is to

hear capital of in or is there have district of last - rather where California, in around say first, good your is And a the capital Maryland for example question are the regulation benefits, outweigh like life, markets that Terry we've plenty reactive It's whether the current we things and got years. of I'd where we've nothing pursued under District. of second got felt in there number Florida and the plenty burdens invested today. invested to Richard. course that it's This circumstances, all but voice. is Virginia in of Well, some there it's we've balance it's of in

to regulation expected discipline between as balance is competitive the discipline just in exposed of government. point portfolio, find the trying you our there right to supply of we're out, we're and where So the

for from a to balance. decade, For a find try there been competitive having look landowner but example, right for exited because we we'll spot have burdensome, previously large Texas a the suppliers is so and

guess of regulated country and appealing I also cut tenants. are would I to areas the say

sight I get want but that, appreciate lose don't I the to And So, balance commentary. it. yes, of

So, thanks I quarter. leave I'll much. And guess it Great that. at very

you. Thank

this are turn There no further over the to you. I Mr. time. at questions Considine, call back

thank all and for Thank your for in call Austin, - in you, your interest AIR. this you

Keith you Paul just any who've have or you forward NAREIT look and hopefully questions, or month. or please John we If spoken many next to or anyone at me call seeing of

So thanks again.

call. today's concludes This conference

may You now disconnect.