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UNITED DOMINION REALTY TRUST REPORTS FOURTH QUARTER AND FULL YEAR 1991 RESULTS

 UNITED DOMINION REALTY TRUST REPORTS
 FOURTH QUARTER AND FULL YEAR 1991 RESULTS
 RICHMOND, Va., Feb. 13 /PRNewswire/ -- United Dominion Realty Trust, Inc. (NYSE: UDR), a Richmond based real estate investment trust, today reported fourth quarter 1991 funds from operations of $5,080,000 or $.39 per share, an increase of 15 percent per share from $3,912,000 or $.34 per share last year.
 For the fourth quarter, the Trust had rental income of $14,056,000, income from property operations of $8,356,000 and net income of $999,000 or $.08 per share. For the fourth quarter last year, the Trust had rental income of $11,530,000, income from property operations of $6,966,000 and net income of $990,000, or $.09 per share.
 John P. McCann, President and Chief Executive Officer, commenting on the fourth quarter, stated that high vacancy rates and additional property expenses associated with soft markets continue to depress property results. However, lower property results were more than offset by initial high returns from the 1991 acquisitions and property management savings. He noted that approximately $.03 per share of the increase in funds from operations for the quarter came from the interest savings from the forced conversion of the outstanding convertible debentures into common stock.
 For all of 1991, the Trust reported funds from operations of $17,158,000 or $1.39 per share representing an increase of approximately 6 percent per share from $15,231,000 or $1.31 per share last year. For 1991, the Trust had rental income of $51,250,000, income from property operations of $30,294,000 and net income of $3,569,000 or $.29 per share. For 1990, the Trust had rental income of $44,042,000, income from property operations of $26,073,000 and net income of $4,870,000 or $.42 per share. The decline in net income in 1991 results principally from an increase in real estate depreciation expense of $2,381,000.
 A comparison of property results between the fourth quarters of 1991 and 1990 shows the following:
 MATURE APARTMENTS (7,011 units) - Average occupancy declined 2.3 percent to 89.9 percent, average rents increased only 2.5 percent and rental expenses increased 9.5 percent. This resulted in net operating income declining 7.0 percent.
 NON-MATURE APARTMENTS (3,913 units) - Average occupancy was 89.1 percent, and the average expense ratio was 45.0 percent versus 75.9 percent and 50.2 percent, respectively, for the quarter last year. Of the eight communities acquired during 1991, only one is classified as a renovation property.
 ALL APARTMENTS - Average occupancy increased .4 percent to 89.6 percent because of the favorable impact of the new acquisitions while the average operating expense ratio increased 2.5 percent to 45.4 percent.
 COMMERCIAL PROPERTIES - Average occupancy declined 6 percent to 84 percent with more than half of the decline attributable to one shopping center. Net operating income increased 1.9 percent as a result of a new addition to one shopping center.
 A comparison of property results between 1991 and 1990 shows the following:
 MATURE APARTMENTS (7,011 units) - Average occupancy declined 2.3 percent to 90.2 percent, average rents increased 3.1 percent and rental expenses increased 4.8 percent. This resulted in net operating income declining 2.9 percent.
 NON-MATURE APARTMENTS (3,913 units) - Average occupancy was 84.3 percent, and the average expense ratio was 47.7 percent versus 70.9 percent and 53.4 percent, respectively, for last year.
 ALL APARTMENTS - Average occupancy declined .6 percent to 88.6 percent, and the average operating expense ratio increased 1.3 percent to 45.9 percent.
 COMMERCIAL PROPERTIES - For those owned throughout both years, occupancy declined 6 percent to 85 percent. Net operating income increased 1.3 percent as a result of a new addition to one shopping center completed early in the year.
 United Dominion Realty Trust currently owns 10,924 apartments and approximately 2 million square feet of shopping centers and other commercial properties in the South Atlantic region. The trust began a major acquisition program in the first half of 1991 and expects to acquire more than $75 million of additional properties in 1992 after acquiring more than $50 million of additional apartments in 1991. The Trust's common stock is traded on the New York Stock Exchange under the symbol "UDR."
 FINANCIAL HIGHLIGHTS
 (in thousands, except per share data)
 3 Months Ended Year Ended
 December 31, December 31,
 Operating Results 1991 1990 1991 1990
 Rental income $14,056 $11,530 $51,250 $44,042
 Income from property
 operations before
 depreciation 8,356 6,966 30,294 26,073
 Income before gains
 on sales of investments
 and extraordinary items 1,034 1,030 3,578 4,556
 Gains on sales of investments - - 26 417
 Extraordinary items (35) (40) (35) (103)
 Net income 999 990 3,569 4,870
 Funds from operations (A) 5,080 3,912 17,158 15,231
 Distributions declared 4,341 3,592 15,872 14,402
 Per Share:
 Net income $.08 $.09 $.29 $.42
 Funds from operations (A) .39 .34 1.39 1.31
 Distribution declared .32 .31 1.26 1.24
 At December 31,
 Balance Sheet Data 1991 1990
 Real Estate owned, at cost $361,503 $294,205
 Mortgage and other
 notes payable 168,346 117,703
 Convertible subordinated
 debentures -- 14,987
 Shareholders' equity 136,152 118,154
 Shares outstanding 13,566 11,588
 (A) Funds from operations is defined as income before gains on sales of investments and extraordinary items adjusted for certain non-cash items, primarily real estate depreciation. Industry analysts generally consider funds from operations, as defined, to be an appropriate measure of the performance of an equity REIT.
 -0- 2/13/92
 /CONTACT: James Dolphin, Senior Vice President, or Jerry A. Davis, Corporate Controller, both of United Dominion Realty Trust, Inc., 804-780-2691/
 (UDR) CO: United Dominion Realty Trust, Inc. ST: Virginia IN: SU: ERN


CM-DF -- CH003 -- 9922 02/13/92 16:23 EST
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Date:Feb 13, 1992
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