UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 10-Q
Quarterly Report Pursuant to Section 13 or 15(d)
of the Securities Exchange Act of 1934
For the Quarterly Period Ended March 31, 1997
Commission File Number 1-12784
AMLI RESIDENTIAL PROPERTIES TRUST
(Exact name of registrant as specified in its charter)
Maryland 36-3925916
(State of Organization) (I.R.S. Employer Identification No.)
125 South Wacker Drive, Suite 3100,
Chicago, Illinois 60606
(Address of principal executive office) (Zip code)
Registrant's telephone number, including area code: (312) 984-5037
Indicate by check mark whether the registrant (1) has filed all reports
required to be filed by Section 13 or 15(d) of the Securities Exchange Act
of 1934 during the preceding 12 months and (2) has been subject to such
filing requirements for the past 90 days. Yes ( X ) No ( )
The number of the Registrant's Common Shares of Beneficial Interest
outstanding was 14,828,703 as of March 31, 1997.
<PAGE>
INDEX
PART I: FINANCIAL INFORMATION
Item 1: Financial Statements (Unaudited)
Consolidated Balance Sheets as of
March 31, 1997 and December 31, 1996. . . . . . . . 3
Consolidated Statements of Operations for
the three months ended March 31, 1997
and 1996. . . . . . . . . . . . . . . . . . . . . . 5
Consolidated Statements of Cash Flows for
the three months ended March 31, 1997 and
1996. . . . . . . . . . . . . . . . . . . . . . . . 7
Notes to Consolidated Financial Statements. . . . . . 9
Item 2: Management's Discussion and
Analysis of Financial Condition and
Results of Operations . . . . . . . . . . . . . . . 25
PART II: OTHER INFORMATION
Item 6. Exhibits and Reports on Form 8-K. . . . . . . . . . . 35
SIGNATURES . . . . . . . . . . . . . . . . . . . . . . . . . . . 36
<PAGE>
<TABLE>
PART I. FINANCIAL INFORMATION
ITEM 1. FINANCIAL STATEMENTS
AMLI RESIDENTIAL PROPERTIES TRUST
CONSOLIDATED BALANCE SHEETS
MARCH 31, 1997 AND DECEMBER 31, 1996
(UNAUDITED)
(Dollars in thousands, except share data)
<CAPTION>
MARCH 31, DECEMBER 31,
1997 1996
-------------- ------------
<S> <C> <C>
ASSETS:
Rental apartments:
Land . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 60,176 59,854
Depreciable property . . . . . . . . . . . . . . . . . . . . . . . . . . 376,112 373,140
---------- ----------
436,288 432,994
Less accumulated depreciation. . . . . . . . . . . . . . . . . . . . . . (53,535) (50,478)
---------- ----------
382,753 382,516
Property under development . . . . . . . . . . . . . . . . . . . . . . . . 75,663 62,525
Investments in partnerships. . . . . . . . . . . . . . . . . . . . . . . . 38,530 30,669
Cash and cash equivalents. . . . . . . . . . . . . . . . . . . . . . . . . 3,946 10,291
Security deposits. . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1,732 1,737
Deferred expenses, net . . . . . . . . . . . . . . . . . . . . . . . . . . 2,108 2,139
Other assets . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12,690 14,480
---------- ----------
Total Assets $ 517,422 504,357
========== ==========
LIABILITIES AND SHAREHOLDERS' EQUITY:
LIABILITIES:
Debt (note 5). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 220,964 202,013
Accrued interest payable . . . . . . . . . . . . . . . . . . . . . . . . . 1,204 1,161
Accrued real estate taxes payable. . . . . . . . . . . . . . . . . . . . . 4,070 6,978
Construction costs payable . . . . . . . . . . . . . . . . . . . . . . . . 1,970 2,263
Security deposits and prepaid rents. . . . . . . . . . . . . . . . . . . . 2,437 2,757
Other liabilities. . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2,173 2,292
---------- ----------
Total liabilities. . . . . . . . . . . . . . . . . . . . . . . . 232,818 217,464
---------- ----------
<PAGE>
AMLI RESIDENTIAL PROPERTIES TRUST
CONSOLIDATED BALANCE SHEETS - CONTINUED
MARCH 31, DECEMBER 31,
1997 1996
-------------- ------------
Commitments and contingencies
Minority interest. . . . . . . . . . . . . . . . . . . . . . . . . . . . . 45,605 44,871
---------- ----------
SHAREHOLDERS' EQUITY:
Preferred shares of beneficial interest, $.01 par value,
1,500,000 authorized, 1,200,000 issued and
1,100,000 outstanding. . . . . . . . . . . . . . . . . . . . . . . . . . 11 11
Shares of beneficial interest, $.01 par value, 148,500,000
authorized, 14,828,703 and 14,812,035 common shares issued
and outstanding, respectively. . . . . . . . . . . . . . . . . . . . . . 148 148
Additional paid-in capital . . . . . . . . . . . . . . . . . . . . . . . . 303,010 301,584
Employees and trustees notes . . . . . . . . . . . . . . . . . . . . . . . (3,216) (486)
Retained earnings (deficit). . . . . . . . . . . . . . . . . . . . . . . . (332) (5,455)
Dividends paid . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . (60,622) (53,780)
---------- ----------
Total shareholders' equity 238,999 242,022
---------- ----------
Total Liabilities and Shareholders' Equity $ 517,422 504,357
========== ==========
<FN>
See accompanying notes to consolidated financial statements.
</TABLE>
<PAGE>
<TABLE>
AMLI RESIDENTIAL PROPERTIES TRUST
CONSOLIDATED STATEMENTS OF OPERATIONS
THREE MONTHS ENDED MARCH 31, 1997 AND 1996
(UNAUDITED)
(Dollars in thousands, except share data)
<CAPTION>
1997 1996
-------- --------
<S> <C> <C>
Revenues:
Property:
Rental . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 18,680 17,431
Other. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 975 711
Interest and share of income from
Service Companies . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 264 111
Other interest . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 107 72
Share of income from co-investment partnerships. . . . . . . . . . . . . . . . 167 80
Fees from co-investment partnerships and other . . . . . . . . . . . . . . . . 657 293
-------- --------
Total revenues . . . . . . . . . . . . . . . . . . . . . . . . . . . . 20,850 18,698
-------- --------
Expenses:
Personnel. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1,723 1,594
Advertising and promotion. . . . . . . . . . . . . . . . . . . . . . . . . . . 507 472
Utilities. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1,025 1,066
Building repairs and maintenance and
maintenance services. . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1,156 1,115
Landscaping and grounds maintenance. . . . . . . . . . . . . . . . . . . . . . 364 331
Real estate taxes. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2,322 2,120
Insurance. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 198 234
Property management fees . . . . . . . . . . . . . . . . . . . . . . . . . . . 491 454
Other operating expenses . . . . . . . . . . . . . . . . . . . . . . . . . . . 275 305
Interest . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2,646 2,818
Amortization of deferred costs . . . . . . . . . . . . . . . . . . . . . . . . 243 451
Depreciation . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3,057 2,669
General and administrative . . . . . . . . . . . . . . . . . . . . . . . . . . 767 596
-------- --------
Total expenses . . . . . . . . . . . . . . . . . . . . . . . . . . . . 14,774 14,225
-------- --------
<PAGE>
AMLI RESIDENTIAL PROPERTIES TRUST
CONSOLIDATED STATEMENTS OF OPERATIONS - CONTINUED
1997 1996
-------- --------
Income before minority interest . . . . . . . . . . . . . . . . . . . . . . . . 6,076 4,473
Minority interest. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 953 807
-------- --------
Net income . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5,123 3,666
Less income attributable to Series A
preferred shares . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 473 327
-------- --------
Net income attributable to common shares . . . . . . . . . . . . . . . $ 4,650 3,339
======== ========
Net income per common share. . . . . . . . . . . . . . . . . . . . . . . . . . . $ .31 .29
Dividends declared and paid per common share . . . . . . . . . . . . . . . . . . $ .43 .43
======== ========
<FN>
See accompanying notes to consolidated financial statements.
</TABLE>
<PAGE>
<TABLE>
AMLI RESIDENTIAL PROPERTIES TRUST
CONSOLIDATED STATEMENTS OF CASH FLOWS
THREE MONTHS ENDED MARCH 31, 1997 AND 1996
(UNAUDITED)
(Dollars in thousands)
<CAPTION>
1997 1996
-------- --------
<S> <C> <C>
Cash flows from operating activities:
Net income . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 5,123 3,666
Adjustments to reconcile net income to net cash provided by
operating activities:
Depreciation . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3,057 2,669
Amortization of deferred costs . . . . . . . . . . . . . . . . . . . . . . . 243 451
(Income) loss from partnerships. . . . . . . . . . . . . . . . . . . . . . . (167) (80)
(Income) loss from service companies . . . . . . . . . . . . . . . . . . . . (11) --
Minority interest. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 953 807
Changes in assets and liabilities:
Increase in deferred costs . . . . . . . . . . . . . . . . . . . . . . . . . (238) (329)
Decrease in security deposits. . . . . . . . . . . . . . . . . . . . . . . . 5 6
Increase in other assets . . . . . . . . . . . . . . . . . . . . . . . . . . (586) (376)
Increase (decrease) in accrued interest payable. . . . . . . . . . . . . . . 43 (103)
Decrease in accrued real estate taxes. . . . . . . . . . . . . . . . . . . . (2,908) (2,894)
Decrease in tenant security deposits and prepaid rents . . . . . . . . . . . (320) (254)
(Decrease) increase in other liabilities . . . . . . . . . . . . . . . . . . (34) 1,362
-------- -------
Net cash provided by operating activities. . . . . . . . . . . . . . . 5,160 4,925
-------- -------
Cash flows for investing activities:
Investments in partnerships. . . . . . . . . . . . . . . . . . . . . . . . . . (6,964) (5,603)
Cash distributions from partnerships . . . . . . . . . . . . . . . . . . . . . 198 180
Payments from (advances to) affiliates . . . . . . . . . . . . . . . . . . . . 2,079 (1,850)
Earnest money deposits . . . . . . . . . . . . . . . . . . . . . . . . . . . . 275 500
Capital expenditures - existing properties . . . . . . . . . . . . . . . . . . (1,163) (333)
Acquisition properties . . . . . . . . . . . . . . . . . . . . . . . . . . . . (2,132) --
Properties under development, net of reimbursable
co-investors' costs . . . . . . . . . . . . . . . . . . . . . . . . . . . . . (12,011) (15,507)
Decrease in construction costs payable . . . . . . . . . . . . . . . . . . . . (293) --
-------- -------
Net cash used in investing activities. . . . . . . . . . . . . . . . . (20,011) (22,613)
-------- -------
<PAGE>
AMLI RESIDENTIAL PROPERTIES TRUST
CONSOLIDATED STATEMENTS OF CASH FLOWS - CONTINUED
1997 1996
-------- --------
Cash flows from financing activities:
Debt proceeds, net of financing costs. . . . . . . . . . . . . . . . . . . . . 21,000 22,059
Debt repayments, including prepayment penalties. . . . . . . . . . . . . . . . (2,049) (22,518)
Proceeds from preferred shares offering, net of issuance costs . . . . . . . . -- 23,934
Net proceeds from treasury lock contracts. . . . . . . . . . . . . . . . . . . -- 336
Net proceeds from Executive Share Purchase Plan. . . . . . . . . . . . . . . . 166 --
Employee notes for stock purchase. . . . . . . . . . . . . . . . . . . . . . . (2,500) --
Distributions to minority interest . . . . . . . . . . . . . . . . . . . . . . (1,269) (1,180)
Dividends. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . (6,842) (5,142)
-------- -------
Net cash provided by financing activities. . . . . . . . . . . . . . . 8,506 17,489
-------- -------
Net decrease in cash and cash equivalents. . . . . . . . . . . . . . . . . . . . (6,345) (199)
Cash and cash equivalents at beginning of period . . . . . . . . . . . . . . . . 10,291 2,279
-------- -------
Cash and cash equivalents at end of period . . . . . . . . . . . . . . . . . . . $ 3,946 2,080
======== =======
Supplemental disclosure of cash flow information:
Cash paid for mortgage and other interest, net of amounts capitalized. . . . . $ 2,604 2,921
======== ========
<FN>
See accompanying notes to consolidated financial statements.
</TABLE>
<PAGE>
AMLI RESIDENTIAL PROPERTIES TRUST
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
MARCH 31, 1997 AND 1996
(Unaudited)
(Dollars in thousands, except share data)
1. ORGANIZATION AND BASIS OF PRESENTATION
Organization
AMLI Residential Properties Trust (the "Company") commenced
operations upon the completion of its initial public offering on February
15, 1994. In the opinion of management, all adjustments, which include
only normal recurring adjustments necessary to present fairly the financial
position at March 31, 1997 and December 31, 1996 and the results of
operations and cash flows for the periods presented, have been made.
Certain information and note disclosures normally included in the
Company's annual financial statements prepared in accordance with generally
accepted accounting principles have been condensed or omitted. These
consolidated financial statements should be read in conjunction with the
financial statements and notes thereto included in the Company's December
31, 1996 Annual Report on Form 10-K filed with the Securities and Exchange
Commission. The results for the three months ended March 31, 1997 are not
necessarily indicative of expected results for the entire year.
The consolidated financial statements include the accounts of the
Company and AMLI Residential Properties, L. P. (the "Operating Partnership"
which holds the operating assets of the Company). The Company is the sole
general partner and owns an 84% majority interest in the Operating
Partnership. The limited partners hold Operating Partnership units ("OP
Units") which are convertible into shares of the Company on a one-for-one
basis, subject to certain limitations.
In February 1997, a total of 16,668 new common shares were issued to
certain officers and trustees pursuant to the Company's Executive Share
Purchase Plan.
In February 1997, the Company provided $2,500 recourse loans to four
Officers/Trustees, as approved by the Board of Trustees, for the purchase
on the open market, of 105,000 of the Company's common shares of beneficial
interests. These loans bear interest at 6.23% and have a term of nine
years from February 28, 1997.
On March 13, 1997, the Operating Partnership issued 45,549 OP Units
in addition to $2,520 in cash for the acquisition of 29 acres of land and
40 apartment units in South Gwinnett, Georgia.
On March 25, 1997, the Operating Partnership issued 43,819 OP Units
in addition to the $1,915 in cash for the purchase of AMLI at Verandah, a
538-unit apartment community in Arlington, Texas. This property was
acquired through a co-investment partnership in which the Operating
Partnership owns a 35% interest.
At March 31, 1997, there were a total of 14,828,703 common shares and
1,100,000 preferred shares issued and outstanding. At March 31, 1997, the
Company owned 15,928,703 OP Units, which is approximately 84% of the total
18,968,168 OP Units outstanding.
<PAGE>
2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Real Estate Assets and Depreciation
Real estate assets are stated at cost less accumulated depreciation.
Ordinary repairs and maintenance are expensed as incurred; replacements
having an estimated useful life of at least one year and betterments are
capitalized and depreciated over their estimated useful lives.
Depreciation is computed on a straight-line basis over useful lives of the
properties (buildings and related land improvements -- 40 years; furniture,
fixtures and equipment -- 5 - 15 years). Substantially all real estate
assets are pledged to secure debt (see note 5).
In conjunction with acquisitions of stabilized properties, it is the
Company's policy to provide in its acquisition budgets adequate funds to
complete any deferred maintenance items and to otherwise make the
properties acquired competitive with comparable newly-constructed
properties. In some cases the Company will provide in its acquisition
budget additional funds to upgrade or otherwise improve new acquisitions.
Losses in carrying values of investment assets are provided by
management when the losses become apparent and the investment asset is
considered impaired. Management evaluates its investment properties at
least quarterly to assess whether any impairment indications are present,
comparing undiscounted future cash flows with the carrying amount of the
asset. If any investment asset is considered impaired, a loss is provided
to reduce the carrying value of the property to its estimated value.
Management believes that no assets are impaired; therefore, no such losses
have been required to be recognized or provided in the accompanying
consolidated financial statements.
Properties Under Development
Land being planned for development and all apartment homes in a new
community or new phase are reported as "property under development" until
the entire community or new phase is substantially complete and stabilized
(generally 95% occupancy). Upon stabilization, all apartment homes in the
community or new phase are reported as "rental apartments".
Regardless of whether or not 95% occupancy is achieved, a community
or new phase will be reported as "rental apartments" no later than six
months following substantial completion of construction.
At March 31, 1997, the Company's properties under development include
two properties which are in lease-up and are substantially complete, and
also include parcels of land in the development planning stage on which
physical construction will commence later this year or in 1998. Properties
under development are as follows:
<PAGE>
<TABLE>
<CAPTION>
NUMBER NUMBER TOTAL
OF OF EXPENDED
COMMUNITY LOCATION ACRES UNITS THRU 3/31/97
- --------- -------- ------ ------ -------------
<S> <C> <C> <C> <C>
Wholly-Owned:
Development Communities:
AMLI at Gleneagles II Dallas, TX 12 264 $ 13,354
AMLI at Regents Center III Overland Park, KS 16 124 7,722
AMLI at Crown Colony II Topeka, KS 4 64 2,864
AMLI at AutumnChase III Carrollton, TX 24 240 3,034
AMLI at Peachtree City Atlanta, GA 26 312 6,800
AMLI at Northwinds I (1) Atlanta, GA 40 400 7,236
AMLI on the Parkway Dallas, TX 10 240 1,549
AMLI at Wells Branch Austin, TX 29 576 4,175
AMLI at Oakhurst Aurora, IL 29 464 6,202
--- ----- --------
Total Development Communities 190 2,684 52,936
--- ----- --------
Land held for future development and Other:
AMLI at Fossil Creek II Ft. Worth, TX 27 520 3,189
AMLI at Northwinds II (1) Atlanta, GA 40 400 3,858
AMLI at Hedgecoxe Plano, TX 18 240 1,832
AMLI at Park Creek Gainesville, GA 20 200 1,390
AMLI at South Gwinnett Gwinnett County, GA 22 216 1,744
AMLI at Spring Creek V Atlanta, GA 20 160 1,107
AMLI at Vinings Square(2) Overland Park, KS 14 156 9,607
--- ----- --------
Total land held for future development and Other 161 1,892 22,727
--- ----- --------
Total Wholly-Owned 351 4,576 75,663
--- ----- --------
Co-Investments (Company Ownership Percentage):
AMLI at Aurora Crossing (25%) Aurora, IL 18 272 19,354
AMLI at Barrett Lakes (35%) Cobb County, GA 54 446 20,852
AMLI at Fossil Creek (25%) Ft. Worth, TX 19 384 11,859
AMLI at River Park (40%) Fulton County, GA 23 222 13,444
--- ----- --------
Total Co-Investments 114 1,324 65,509
--- ----- --------
Total 465 5,900 $141,172
=== ===== ========
<PAGE>
<FN>
(1) It is the Company's intention to develop these land parcels in partnership with one or more institutional
investors.
(2) The construction and development of this property is financed entirely by the Company. The loan is
accounted for as an acquisition, development and construction loan and all costs are included in the Company's
consolidated financial statements.
</TABLE>
<PAGE>
Interest and Real Estate Tax Capitalization
Interest and real estate taxes incurred during the construction period
are capitalized and depreciated over the lives of the constructed assets.
During the three months ended March 31, 1997 and 1996 total interest
capitalized was $1,045 and $558, respectively. Net of amounts capitalized,
total interest incurred during the three months ended March 31, 1997 and
1996 aggregated $2,646 and $2,818, respectively.
Deferred Expenses
Deferred costs consist primarily of financing costs which are amortized
using the straight-line method over the terms of the related debt.
Amortization of deferred costs relating to properties under development are
capitalized during the construction period, and depreciated over the lives
of the constructed assets. Deferred expenses at March 31, 1997 include $70
in unamortized cost of an interest rate cap contract which limits the
Company's exposure to increasing rates on $5,845 of floating rate debt
through February 15, 1998. Amounts paid totalling $4,850 for purchased
interest rate cap agreements are amortized over the terms of the related
cap contracts. Cumulative amounts received from these contracts through
March 31, 1997 were $6,689.
Interest Rate Limitation Contracts
The Company has used interest rate caps and swaps to limit its exposure
to increases in interest rates on its floating rate debt. The Company does
not use them for trading purposes.
At March 31, 1997, the Company was a party to an interest rate cap
agreement for $5,845 notional amount which entitles the Company to receive
from a counterparty on a monthly basis the amount, if any, by which the
Company's interest payments on certain floating rate debt through February
15, 1998 exceed capped amounts. At March 31, 1997, the approximate value
of this interest rate cap agreement was $106.
OTHER ASSETS
At March 31, 1997, other assets consisted primarily of $3,500 in 13%
interest-only notes receivable from the Service Companies due in 2004,
$3,304 in other current receivables from the Service Companies and
affiliates, $1,114 in development fees receivable from affiliated co-
investment partnerships, $1,088 in restricted cash, $1,044 in tax escrow
deposits and $400 in earnest money deposits. The Company believes that the
carrying amounts of its receivable from the Service Companies and other
affiliates reasonably approximate their fair values.
PER SHARE DATA
Net income per common share is computed based upon 14,819,443 and
11,752,536 weighted average common shares outstanding for the three months
ended March 31, 1997 and 1996, respectively. At March 31, 1997 there were
14,828,703 common shares and 1,100,000 preferred shares outstanding. Fully
diluted earnings per share is not presented as the impact is not material
during the three months ended March 31, 1997 and 1996, and after giving
effect to earnings allocated to the Company's preferred shares.
RECLASSIFICATIONS
Certain amounts in the consolidated 1996 financial statements of the
Company have been reclassified to conform with the current presentation.
<PAGE>
3. INVESTMENTS IN PARTNERSHIPS AND SERVICE COMPANIES
INVESTMENTS IN PARTNERSHIPS
At March 31, 1997, the Company, as general partner or manager, owned co-
investment interests in AMLI Foundation Co-Investors, L.P.
("Foundation"); AMLI Foundation Co-Investors-II, L.P. ("Foundation II");
AMLI at Champions, L.P. ("Champions"); AMLI at Windbrooke, L.P.
("Windbrooke"); AMLI at Willeo Creek, L.P. ("Willeo Creek"); Pleasant Hill
Joint Venture ("Pleasant Hill"); Barrett Lakes Limited Liability Company
("Barrett Lakes"); AMLI at Chevy Chase, L.P. ("Chevy Chase"); AMLI at
Willowbrook, L.P. ("Willowbrook"); AMLI at River Exchange, L.P. ("River
Exchange"); Acquiport/Aurora Crossing, L.P. ("Aurora Crossing");
Acquiport/Fossil Creek, L.P. ("Fossil Creek"); AMLI at Danada, L.L.C.
("Danada"); AMLI at Verandah, L.P. ("Verandah"); and a nominal interest in
the GP Properties. These co-investment interests are accounted for using
the equity method. Investments in partnerships at March 31, 1997 and the
Company's share of income or loss for the three months ended March 31, 1997
from each (excluding the GP Properties from which the Company received
distributions and recorded income of $2) are summarized as follows:
<PAGE>
<TABLE>
Investments in partnerships at March 31, 1997 and the Company's share of income or loss for the three months
ended March 31, 1997 from each are summarized as follows:
<CAPTION>
EQUITY (DEFICIT) TOTAL COMPANY'S
------------------ NET SHARE OF
PROPERTY (COMPANY'S TOTAL COMPANY'S COMPANY'S INCOME NET INCOME
PARTNERSHIP OWNERSHIP PERCENTAGE) ASSETS TOTAL SHARE INVESTMENT (LOSS) (LOSS)
- ----------- --------------------- ------- ------- --------- ---------- -------- ----------
<S> <C> <C> <C> <C> <C> <C> <C>
Foundation AMLI at Park Place (25%) $19,737 6,854 1,713 1,677 129 33
Foundation II AMLI at Greenwood Forest (15%) 17,357 5,509 826 807 (16) (2)
Champions AMLI at Champions Park (15%) 12,396 3,162 475 475 (10) (2)
Champions AMLI at Champions Centre (15%) 9,738 2,870 430 431 (38) (6)
Windbrooke AMLI at Windbrooke (15%) 17,642 5,560 834 834 (14) (2)
Willeo Creek AMLI at Willeo Creek (30%) 15,566 5,225 1,567 1,571 28 8
Chevy Chase AMLI at Chevy Chase (33%) 46,224 15,180 5,009 5,009 164 54
Pleasant Hill AMLI at Pleasant Hill (40%) 29,038 11,796 5,015 4,634 300 121
Barrett AMLI at Barrett Lakes (35%) 20,872 11,041 3,864 4,016 (57) (20)
Willowbrook AMLI at Willowbrook (40%) 38,188 12,431 4,973 4,892 50 21
River Exchange AMLI at River Park (40%) 13,461 6,097 2,439 2,412 (126) (50)
Aurora
Crossing AMLI at Aurora Crossing (25%) 19,348 16,590 4,148 4,183 (45) (11)
Fossil Creek AMLI at Fossil Creek (25%) 11,861 8,881 2,220 2,252 -- --
Danada AMLI at Danada (10%) 49,557 23,588 2,363 2,364 115 12
Verandah AMLI at Verandah (35%) 27,356 8,495 2,973 2,973 24 9
======= ====== ------- ------ ==== ---
$38,849 38,530 165
======= ======
GP Properties 2
---
167
===
</TABLE>
<PAGE>
<TABLE>
The fixed-rate debt financing which has been obtained from various insurance companies on behalf of these co-
investment partnerships is summarized below:
<CAPTION>
TOTAL OUTSTANDING INTEREST
PROPERTY COMMITMENT AT 3/31/97 RATE MATURITY
---------- ---------- ---------- ----------- ----------
<S> <C> <C> <C> <C>
AMLI at Park Place $13,000 12,578 8.21% 10/5/99
AMLI at Greenwood Forest 11,625 11,625 8.95% 5/10/02
AMLI at Champions Park 9,500 9,060 7.26% 12/5/97
AMLI at Champions Centre 6,700 6,691 8.93% 1/1/02
AMLI at Windbrooke 11,500 11,500 9.24% 2/1/02
AMLI at Willeo Creek 10,000 10,000 6.77% 5/1/03
AMLI at Chevy Chase 29,767 29,767 6.67% 4/1/03
AMLI at Pleasant Hill 15,500 14,865 9.15% 3/1/07
AMLI at Barrett Lakes 16,680 6,507 8.50% 12/1/09
AMLI at Willowbrook 24,500 24,500 7.785% 5/1/03
AMLI at River Park 9,100 6,125 7.75% 6/27/08
AMLI at Danada 24,500 24,500 7.33% 3/1/07
AMLI at Verandah 16,940 16,940 7.55% 4/1/04
<FN>
Certain of these loans provide for monthly payments of principal and interest based on a 25 or 27 year
amortization schedule and a balloon payment at maturity. Loans against newly-completed properties provide for
payments of interest only for an initial period, with principal amortization commencing generally within two years
of completion of construction and initial lease-up.
</TABLE>
<PAGE>
<TABLE>
Investments in partnerships at December 31, 1996 and the Company's 1996 share of income or loss from each are
summarized as follows:
<CAPTION>
EQUITY (DEFICIT) TOTAL COMPANY'S
------------------ NET SHARE OF
PROPERTY (COMPANY'S TOTAL COMPANY'S COMPANY'S INCOME NET INCOME
PARTNERSHIP OWNERSHIP PERCENTAGE) ASSETS TOTAL SHARE INVESTMENT (LOSS) (LOSS)
- ----------- --------------------- ------- ------- --------- ---------- -------- ----------
<S> <C> <C> <C> <C> <C> <C> <C>
Foundation AMLI at Park Place (25%) $20,142 6,724 1,681 1,645 568 143
Foundation II AMLI at Greenwood Forest (15%) 17,731 5,525 829 809 (181) (27)
Champions AMLI at Champions Park (15%) 12,695 3,172 477 477 (183) (27)
Champions AMLI at Champions Centre (15%) 10,020 2,908 436 436 (101) (15)
Windbrooke AMLI at Windbrooke (15%) 17,600 5,574 836 836 (116) (17)
Willeo Creek AMLI at Willeo Creek (30%) 15,556 5,197 1,559 1,562 66 20
Pleasant Hill AMLI at Pleasant Hill (40%) 27,128 11,987 5,091 4,709 824 320
Barrett AMLI at Barrett Lakes (35%) 15,454 11,098 3,884 4,007 (22) (8)
Chevy Chase AMLI at Chevy Chase (33%) 45,928 15,017 4,955 4,955 170 56
Willowbrook AMLI at Willowbrook (40%) 38,125 12,382 4,953 4,876 262 105
River Exchange AMLI at River Park (40%) 10,877 6,224 2,489 2,479 51 (21)
Aurora
Crossing AMLI at Aurora Crossing (25%) 15,032 11,559 2,890 2,868 -- --
Fossil Creek AMLI at Fossil Creek (25%) 6,394 3,995 999 1,010 -- --
======= ====== ------- ------ ==== ----
$31,079 30,669 529
======= ======
GP Properties 2
----
531
====
</TABLE>
<PAGE>
Investments in Service Companies
In connection with the formation of the Company (and in June 1994 in
the case of Amli Residential Construction, Inc. ("Amrescon"), the Company
obtained 5% of the voting common stock and 100% of the nonvoting preferred
stock in the Service Companies, which provide property management,
construction, landscaping, investment advisory and asset management
services to the Company and to certain other parties. The nonvoting
preferred stock entitles the Company to approximately 95% of all cash
distributions from the Service Companies. The Company accounts for its
investments in the Service Companies using the equity method of accounting.
Summarized combined financial information of the Service Companies at
and for the three months ended March 31, 1997 and 1996 follows:
1997 1996
------- -------
Income (1) $ 1,867 1,229
General and adminis-
trative expenses (1,456) (1,104)
------- -------
411 125
Interest (253) (167)
Depreciation (58) (27)
Income taxes (40) 39
------- -------
Net income (loss)(2) $ 60 (30)
======= =======
Total assets $12,873 8,334
======= =======
(1) Net of construction and landscaping costs.
(2) The Company's proportionate share of the net income (loss)
of the Service Companies ($11 and $(56) for the three months ended March
31, 1997 and 1996, respectively), includes an elimination of intercompany
profit related to construction services provided by Amrescon. Including
interest income of $253 and $167 for the three months ended March 31, 1997
and 1996, respectively, total income from the Service Companies was $264
and $111, respectively.
Interest expense of the Service Companies relates primarily to the 13%
notes payable by Amli Management Company ("AMC") and Amli Institutional
Advisors, Inc. ("AIA") to the Company and to working capital advances made
to Amrescon.
4. RELATED PARTY TRANSACTIONS
General and administrative expenses as included in the accompanying
consolidated statements of operations include allocations of costs to the
Company from ARC and its affiliates. Such allocations are not in excess of
ARC's cost of providing services to the Company, including personnel,
occupancy and other corporate overhead. The Company and the Service
Companies have agreed to pay for a share of ARC's total occupancy cost.
During the three months ended March 31, 1997 and 1996 the Company
accrued or paid to the Service Companies fees and other costs and expenses
as follows:
1997 1996
---- ----
Management fees $491 454
General contractor fees 88 105
Interest expense 8 7
Landscaping and ground maintenance 154 155
==== ===
<PAGE>
During the three months ended March 31, 1997 and 1996 the Company
earned or received from the Service Companies other income as follows:
1997 1996
---- ----
Interest on notes receivable $114 114
Interest on advances 139 53
==== ===
During the three months ended March 31, 1997 and 1996 the Company earned
or received from co-investment partnerships other income as follows:
1997 1996
---- ----
Development fees $330 32
Acquisition fees 49 92
Disposition fees -- 66
Asset management fees 153 77
Debt placement fee 88 --
Accounting and administrative fees 1 2
Interest on advances -- 13
==== ====
The development and acquisition fees earned from co-investment
partnerships as shown above include only the venture partners' shares of
such fees, as the Company's share of the partnership's cost is eliminated.
5. DEBT
Bond financing
AMLI at Spring Creek, an 1,180-unit apartment community in Atlanta,
Georgia secures a total of $40,750 of tax-exempt bonds. The terms of the
bonds require that a portion of the apartment units be leased to
individuals who qualify based on income levels specified by the U.S.
Government. The bonds bear interest at a variable rate; however, $31,250
of the total $40,750 had an interest rate cap contract in place against
increases in a tax-exempt index rate above 3% through February 14, 1997.
The variable rate is adjusted weekly based upon the remarketing rate for
these bonds (4.7% at April 30, 1997; 3.37% average for the three months
ended March 31, 1997). The credit enhancement for the bonds was provided
by a $41,297 five-year letter of credit from Wachovia Bank which expires on
October 15, 1999.
Mortgage notes payable
At March 31, 1997, the Company owed a total of $152,464 pursuant to
eleven fixed rate mortgage notes payable to eight financial institutions.
Each loan is secured by a first mortgage on the respective residential
apartment community and is non-recourse to the partners, except for a
$1,500 portion of one of the mortgage notes payable and $13,701 of another
mortgage note payable. The loans bear interest at fixed rates between 7.0%
and 9.9%, with maturities extending through May 1, 2006.
On April 29, 1996, the Company closed on a $43,907 ten-year, 7.79% loan
provided by FNMA. The loan is secured by mortgages on three communities in
Dallas, Texas. On June 11, 1996, two seven-year loans provided by CIGNA in
the aggregate amount of $42,000 at an average interest rate of 7.31% were
funded. The net proceeds of these loans were used primarily to repay the
Lehman Whole loan and the Lehman Line of Credit. The Company incurred an
extraordinary charge of $1,365 which consists of the related unamortized
deferred costs on these repaid loans plus prepayment penalties.
<PAGE>
Other notes payable
Other notes payable are comprised of three floating rate loans due to
financial institutions aggregating $27,000 and $750 in another note
payable. These loans bear interest at rates of 135 to 165 basis points
over LIBOR (7.1% - 7.3% at March 31, 1997). Of the total, $12,400 was the
subject of an interest rate swap fixing the interest rate at 6.32% through
February 15, 1997 and $14,000 was subject to an interest rate swap fixing
the rate at 6.50% through February 24, 1997. In addition, $5,845 is
covered by interest rate cap for protection against increases in LIBOR
above 3.875% through February 15, 1998.
On June 16, 1996, the Wachovia Line of credit was modified to increase
the commitment amount to $60,000 and to lower the interest rate to LIBOR
plus 1.35% (LIBOR plus 1.65% on construction loans until stabilized
operations are achieved).
In April 1996, First Chicago purchased the $27,000 revolving credit and
loan facility with Citicorp Real Estate Inc. The loan was modified to
increase the commitment amount to $29,500 and to reduce the interest rate
to LIBOR plus 1.65%. In April 1997, the interest rate on stabilized
communities was reduced to LIBOR plus 1.35%.
Of the aggregate $98,250 of other note payable, $7,500 is outstanding on
the $60,000 Wachovia Line of credit, $19,500 is outstanding on the $29,500
First Chicago facility and $6,772 in letters of credit are outstanding on
an $8,000 Line of credit from Harris Trust and Savings Bank. The total
$63,728 (net of $6,772 letters of credit) of unused credit is available to
fund future development, acquisition and working capital needs. The line
of credit agreements provide for customary borrower covenants, including
among other things, minimum debt service coverage ratios and maximum loan
to value ratios.
<PAGE>
<TABLE>
The table below sets forth certain information relating to the indebtedness of the Company.
<CAPTION>
ORIGINAL BALANCE INTEREST MATURITY BALANCE
ENCUMBERED PROPERTIES AMOUNT AT 3/31/97 RATE DATE AT 12/31/96
- --------------------- ---------- ---------- ---------- --------- -----------
<S> <C> <C> <C> <C> <C>
BOND FINANCING:
AMLI at Spring Creek $ 40,750 40,750 Tax-exempt 10/1/24 40,750
-------- ------- rate + 1.23%
MORTGAGE NOTES PAYABLE:
AMLI at the Arboretum 4,800 4,406 9.90% 9/28/97 4,427
AMLI at Gleneagles 8,500 8,127 7.70% 10/31/97 8,152
AMLI at Martha's Vineyard 7,060 6,641 7.42% 11/1/97 6,669
AMLI at Reflections 4,800 4,506 7.05% 6/30/98 4,528
AMLI on Rosemeade 7,050 6,649 7.02% 10/5/98 6,682
AMLI at Sherwood 7,320 6,947 7.75% 7/1/03 6,992
AMLI at Riverbend 31,000 30,702 7.30% 7/1/03 30,815
AMLI in Great Hills 11,000 10,895 7.34% 7/1/03 10,935
AMLI at Valley Ranch 11,500 10,850 7.625% 7/10/03 10,900
AMLI at Regents Center 20,100 19,937 (1) 9/1/05 19,975
AMLI at Beekman Place
AMLI on the Green
AMLI of North Dallas (2) 43,234 42,804 7.789% 5/1/06 42,938
-------- ------- -------
Total Mortgage Notes Payable 156,364 152,464 153,013
-------- ------- -------
OTHER NOTES PAYABLE:
AMLI at Vinings
AMLI at Sope Creek 60,000 7,500 L+1.35%(3) 5/31/98 7,500
-------- ------- -------
AMLI at Autumn Chase I & II
AMLI at Chase Oaks
AMLI at Gleneagles Phase II 29,500 19,500 L+1.35% 2/28/98 -
-------- ------- -------
AMLI at Park Sheridan 8,000 -- L+1.65% 8/30/98 -
Unsecured 750 750 4.00% Demand 750
-------- ------- -------
Total Other Notes Payable 98,250 27,750 8,250
-------- ------- -------
Total $295,364 220,964 202,013
======== ======= =======
<PAGE>
<FN>
(1) $13,800 at 8.73% and $6,300 at 9.23%.
(2) Sold at a discount of $673. At March 31, 1997, the unamortized discount amount is $611.
(3) The Company has used interest rate derivative contracts to fix the interest rate at 6.32% through February
15, 1997 on $12,400, to fix the interest rate at 6.50% through February 24, 1997 on $14,000 , and to limit
the interest rate to 5.23% through February 15, 1998 on $5,845. The rate is LIBOR + 1.35% on construction loans.
</TABLE>
<PAGE>
<TABLE>
As of March 31, 1997, the scheduled maturities of the Company's debt are as follows:
<CAPTION>
FIXED RATE OTHER
BOND MORTGAGE NOTES
FINANCINGS NOTES PAYABLE PAYABLE TOTAL
----------- ------------ ------- -------
<S> <C> <C> <C> <C>
1997 . . . . . . . . . . . . . . . $ -- 20,652 750 21,402
1998 . . . . . . . . . . . . . . . -- 12,853 27,000 39,853
1999 . . . . . . . . . . . . . . . -- 2,025 -- 2,025
2000 . . . . . . . . . . . . . . . -- 2,176 -- 2,176
2001 . . . . . . . . . . . . . . . -- 2,372 -- 2,372
Thereafter . . . . . . . . . . . . 40,750 112,386 -- 153,136
------- ------- ------- -------
$40,750 152,464 27,750 220,964
======= ======= ======= =======
</TABLE>
<PAGE>
6. COMMITMENTS AND CONTINGENCIES
In connection with the formation of Acquiport/Aurora Crossing, L.P.
and Acquiport/Fossil Creek, L.P., the Company has provided letters of
credit in the amounts of $1,223 and $1,187, respectively, as security for
its guarantee to fund all cost overruns (as defined), except for the cost
overruns that are required to be paid from additional capital commitments.
The letters of credit will expire on September 27, 1998.
The limited partnership agreement of AMLI at Verandah L.P. provides
for the redemption (at an amount determined by formula) by the partnership
of the limited partner's entire interest, in its sole discretion, at any
time after March 25, 2002, or at any time that there is a designated event
of default on related indebtedness of the partnership, which event of
default remains uncured and unwaived to the time of notice of redemption
election. The redemption amount may be paid in cash or Company shares of
beneficial interest, or any combination thereof, in the sole discretion of
the Company. The original capital contribution made by the limited partner
was $5,525,000.
<PAGE>
ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION
AND RESULTS OF OPERATIONS (DOLLARS IN THOUSANDS,
EXCEPT SHARE DATA)
The following discussion is based primarily on the consolidated financial
statements of Amli Residential Properties Trust (the "Company") as of March
31, 1997 and December 31, 1996 and for the three months ended March 31,
1997 and 1996.
This information should be read in conjunction with the accompanying
unaudited consolidated financial statements and notes thereto. These
financial statements include all adjustments which are, in the opinion of
management, necessary to reflect a fair statement of the results for the
interim periods presented, and all such adjustments are of a normal
recurring nature.
On January 30, 1996, the Company issued 1,200,000 convertible preferred
shares for $20 per share, or $24,000, directly to four institutional
investors and Amli Realty Co. ("ARC") in a registered offering. During the
fourth quarter, the Company completed a public offering (the "Second
Offering") of 2,976,900 common shares. The net proceeds of the issuance of
the preferred shares and the public offering were used to reduce the
Company's debt and fund development costs. As of March 31, 1997, the
Company owned an 84% general partnership interest in the Operating
Partnership, which holds the operating assets of the Company. The limited
partners hold Operating Partnership units ("OP Units") that are convertible
into shares of the Company on a one-for-one basis, subject to certain
limitations. At March 31, 1997, the Company owned 15,928,703 OP Units and
the limited partners owned 3,039,465 OP Units. The Company has qualified,
and anticipates continuing to qualify, as a real estate investment trust
("REIT") for Federal income tax purposes.
RESULTS OF OPERATIONS
During the period from January 1, 1996 through March 31, 1997, growth in
property revenues and property operating expenses resulted from increases
at communities owned as of January 1, 1996, and from the newly-constructed
communities.
During the same period, the Company has invested in four co-investment
partnerships, which own the 600-unit AMLI at Danada in Wheaton, Illinois,
the 538-unit AMLI at Verandah in Arlington, Texas, the 592-unit AMLI at
Chevy Chase in Buffalo Grove, Illinois, and the 488-unit AMLI at
Willowbrook in Willowbrook, Illinois.
For the three months ended March 31, 1997, net income attributable to
common shares was $4,650, or $.31 per share, on total revenues of $20,850.
For the three months ended March 31, 1996, net income was $3,339 or $.29
per share on total revenues of $18,698.
On a "same community" basis, weighted average occupancy of the apartment
homes owned wholly by the Company decreased slightly to 93.5% for the three
months ended March 31, 1997 from 94% in the prior year. Weighted average
collected rental rates increased by .8% to $659 from $654 per unit per
month for the three months ended March 31, 1997 and 1996, respectively.
Including Co-Investment Communities, weighted average occupancy of the
Company's apartment homes decreased to 93.7% for the three months ended
March 31, 1997 from 93.8% in the prior year, and weighted average collected
rental rates increased by 1.9% to $668 from $656 per unit per month for the
three months ended March 31, 1997 and 1996, respectively.
<PAGE>
SAFE HARBOR STATEMENT UNDER THE PRIVATE SECURITIES
LITIGATION REFORM ACT OF 1995
Certain statements set forth herein or incorporated by reference herein
from the Company's filings under the Securities Exchange Act of 1934, as
amended, contain forward-looking statements, including, without limitation,
statements relating to the timing and anticipated capital expenditures of
the Company's development programs. Although the Company believes that the
expectations reflected in such forward-looking statements are based on
reasonable assumptions, the actual results may differ materially from that
set forth in the forward-looking statements. Certain factors that might
cause such differences include general economic conditions, local real
estate conditions, construction delays due to the unavailability of
construction materials, weather conditions or other delays beyond the
control of the Company. Consequently, such forward-looking statements
should be regarded solely as reflections of the Company's current operating
and development plans and estimates. These plans and estimates are subject
to revision from time to time as additional information becomes available,
and actual results may differ from those indicated in the referenced
statements.
COMPARISON OF THREE MONTHS ENDED MARCH 31, 1997 TO THREE MONTHS ENDED
MARCH 31, 1996.
Income before minority interest increased to $6,076 for the three months
ended March 31, 1997 from $4,473 for the three months ended March 31, 1996.
This increase was primarily attributable to a $2,152 increase in total
revenues, reduced by a $370 increase in property operating expenses. Net
income for the three months ended March 31, 1997 and 1996 was $5,123 and
$3,666, respectively.
Total property revenues increased by $1,513, or 8.3%. On the same
community basis total property revenues increased by $423, or 2.4%.
The $964 increase in other revenue includes a $411 increase in share of
income from co-investment ventures, a $298 increase in development fees, a
$76 increase in asset management fees, and a $86 increase in interest
income from Service Companies.
Property operating expenses increased by $370, or 4.8%. On the same
community basis, property operating expenses decreased by $105 or 1.4%.
Interest expense, net of the amounts capitalized, decreased from $2,818 to
$2,646, or 6.5%.
General and administrative expenses increased from $596 for the three
months ended March 31, 1996 to $767 for the three months ended March 31,
1997. The increase is primarily attributable to increased compensation and
compensation-related costs.
LIQUIDITY AND CAPITAL RESOURCES
At March 31, 1997, the Company had $3,946 in cash and cash equivalents and
$62,500 in availability under its two primary bank lines of credit, the
Wachovia Line, a $60,000 line of credit, and the First Chicago Line, a
$29,500 line of credit.
At March 31, 1997, the Company had outstanding borrowings of approximately
$7,500 on the Wachovia Line which is secured by mortgages on two wholly-
owned communities in Georgia. The rate on the total amount outstanding was
fixed at 6.32% per annum through February 15, 1997. The Wachovia Line
bears interest at an annual rate of LIBOR plus 1.65% for borrowings secured
by communities under development and LIBOR plus 1.35% for borrowings
secured by stabilized communities. The remaining credit availability of
$52,500 is anticipated to be used to fund future working capital needs and
acquisition and development activities.
<PAGE>
At March 31, 1997, the Company had outstanding borrowings of approximately
$19,500 on the First Chicago Line which bears interest at an annual rate of
LIBOR plus 1.35% (LIBOR plus 1.65% on communities under development). The
remaining credit availability of $10,000 is expected to be used by the
Company to fund construction of AMLI at Autumn Chase Phase III, future
working capital needs and acquisition and development activities.
On April 29, 1996, the Company closed on a $43,907 ten-year, 7.79% loan
provided by FNMA. This loan is secured by mortgages on two properties in
Dallas, Texas. The loan proceeds, net of a .75% financing fee and original
issue discount of $673, were used to retire the Company's then existing
balance on its line of credit with Lehman Brothers Holdings, Inc.
("Lehman") and to reduce the balance on the First Chicago Line.
On June 11, 1996, the Company closed with CIGNA on two seven-year loans
aggregating $42,000 with an average interest rate of 7.31% per annum.
Concurrently, the Company repaid the then existing balance on the Company's
$54,835 whole loan with Lehman, which beginning in August 1997 would have
carried interest at a fixed rate of 8.35%.
For the three months ended March 31, 1997, net cash provided by operating
activities was $5,160 For the three months ended March 31, 1996, cash
provided by operating activities was $4,925. The increase was primarily
attributable to the $2,152 increase in total revenues, net of $571 increase
in operating expenses and the $1,396 reduction of other liabilities.
Cash flows used for investing activities were $20,011 for the three months
ended March 31, 1997, and net cash flows used for investing activities were
$22,613 for the three months ended March 31, 1996.
Net cash flows provided by financing activities were $8,506 for the three
months ended March 31, 1997. Net cash flows provided by financing
activities were $17,489 for the three months ended March 31, 1996 which
reflect net proceeds of $23,934 from preferred shares offering in January
1996.
Funds from operations is defined as income (loss) before minority interest
of the holders of OP Units and extraordinary items (computed in accordance
with generally accepted accounting principles), excluding gains (losses)
from debt restructuring and sales of property, plus certain non-cash items,
primarily depreciation. Adjustments for unconsolidated partnerships and
joint ventures are calculated to reflect funds from operations on the same
basis. Funds from operations is widely accepted in measuring the
performance of equity REITs. An understanding of the Company's funds from
operations will enhance the reader's comprehension of the Company's results
of operations and cash flows as presented in the financial statements and
data included elsewhere herein. Funds from operations should not be
considered an alternative to net income or any other GAAP measurement as a
measure of the results of the Company's operations, the Company's cash
flows or liquidity.
Funds from operations for the three months ended March 31, 1997 and 1996
1995 are summarized as follows:
MARCH 31,
------------------------
1997 1996
------- -------
Income before minority
interest $ 6,076 4,473
Depreciation 3,057 2,669
Other, net (1) 500 175
------- ------
Funds from operations $ 9,633 7,317
======= ======
Total shares - weighted average,
including shares issuable upon
conversion of preferred
shares and units 18,882 15,254
======= ======
<PAGE>
(1) Share of co-investment partnerships' depreciation.
Funds from operations as shown above is net of start-up losses at newly-
constructed communities. At some communities (such as AMLI at Pleasant
Hill and Phase IV of the AMLI at Sope Creek Crossing Apartments), the
initial lease-up has been such that there were no start-up losses.
In the typical situation, start-up losses will be recorded between the time
the first apartment homes are delivered from construction until occupancy
levels are adequate to recover all costs and expenses (including interest
but excluding depreciation). The amounts shown above for the three months
ended March 31, 1997 and 1996 are shown net of $249 and $0, respectively,
of start-up losses which, for the three months ended March 31, 1997 are
attributable to the initial lease-up of Phase III of AMLI at Regents
Center, Vinings Square, Phase II of AMLI at Crown Colony, AMLI at River
Park, AMLI at Barrett Lakes, and AMLI at Aurora Crossing. Comparable
amounts may be recorded in future quarters of 1997 and in 1998 as initial
lease-up is completed at these and other communities currently under
development.
The Company expects to pay quarterly dividends from cash available for
distribution. Until distributed, funds available for distribution will be
invested in short-term investment-grade securities or used to temporarily
reduce outstanding balances on the Company's revolving lines of credit.
The Company expects to meet its short-term liquidity requirements by using
its working capital and any portion of net cash flow from operations not
distributed currently. The Company is of the opinion that its future net
cash flows will be adequate to meet operating requirements in both the
short and the long term and provide for payment of dividends by the Company
in accordance with REIT requirements. In order to qualify as a REIT, the
Company is required to make distributions to its shareholders equal to 95%
of its REIT taxable income. The Company's 1997 estimated dividend payment
level equals an annual rate of $1.72 per share. The Company estimates that
approximately 20% of the total dividends to be paid in 1997 will be treated
as a return of capital.
The Company expects to meet certain long-term liquidity requirements such
as scheduled debt maturities, repayment of loans for construction,
development, and acquisition activities through the issuance of long-term
secured and unsecured debt and additional equity securities of the Company
(or OP Units). On July 20, 1995, the Company's shelf registration became
effective. The registration statement provided for up to an aggregate of
$200,000 of preferred shares, common shares and security warrants which the
Company may issue from time to time. During 1996 and the three months
ended March 31, 1997, the Company issued preferred shares, common shares
and OP Units that total $95,406, leaving a balance of $104,594 that the
Company may issue in the future under the shelf registration statement.
<PAGE>
<TABLE>
COMPANY INDEBTEDNESS
The Company's debt as of March 31, 1997, substantially all of which is secured by first mortgages on nineteen of
the wholly-owned communities, is summarized as follows:
<CAPTION>
SUMMARY DEBT TABLE
------------------
WEIGHTED AVERAGE PERCENT
TYPE OF INDEBTEDNESS INTEREST RATE BALANCE OF TOTAL
- -------------------- ---------------------- --------- --------
<S> <C> <C> <C>
Fixed Rate Mortgages 7.77% $152,464 69.0%
Tax-Exempt Bonds (1) Tax Exempt Rate + 1.23% 40,750 18.5%
Lines of Credit (2) LIBOR + 1.35% 27,000 12.2%
Other Various 750 .3%
-------- ---
Total: $220,964 100%
======== ===
<FN>
- --------------------
(1) The tax exempt bonds bear interest at a variable tax exempt rate and mature on October 1, 2024. The
related credit enhancement expires in 1999.
(2) Amounts borrowed under lines of credit are due in 1998.
</TABLE>
<PAGE>
DEVELOPMENT ACTIVITIES
In February 1996, the Company acquired an 80 acre land parcel in Atlanta,
Georgia for $6,000. The parcel was acquired for cash and a note that was
paid off in May 1996. The Company has begun development of a 400 apartment
home community on the Atlanta site and expects to commence development of a
second 400 apartment home community in one or more additional phases on
adjacent land either for its own account or in partnership with an
institutional investor.
During the fourth quarter of 1996, AMLI at Barrett Lakes, a 446-unit
apartment community in Atlanta, Georgia, being developed through a co-
investment partnership, began rental operations. Of the total estimated
development costs of $27,800, the co-venturer has provided $16,680 of
construction and permanent financing for this development, and the
remaining costs are being funded from the Company's and the co-investor's
equity contributions.
In December 1996, the Company commenced leasing and rental operations of
AMLI at River Park, a 222 apartment home community in Atlanta, Georgia. In
June 1996, this community was contributed to a co-investment joint venture.
Of the $15,400 estimated development costs, the co-venturer provided $9,100
in the form of a loan and the remaining costs are being funded from equity
contributions from the Company and its co-investment partner.
On February 27, 1996, the Company committed to make a $12,955 construction
loan to a third party to fund the development of a 156 apartment home
community in Overland Park, Kansas. This community commenced rental
operations in February 1997, was approximately 77% complete at March 31,
1997 and is anticipated to be completed in May 1997. The construction and
development of this community is accounted for as an acquisition,
development and construction loan.
At September 30, 1996, the Company entered into a joint venture with a
large public pension fund and formed Acquiport/Aurora Crossing, L.P.
Concurrent with the formation of the partnership, AMLI contributed the 18
acre Aurora land parcel and all the improvements in place for a 272
apartment home development. The total development cost of approximately
$24,500 will be funded by equity contributions of which $7,400 was funded
on September 30, 1996. The Company owns a 25% general partnership interest
in this joint venture and received $5,545 as reimbursement of costs
incurred by the Company prior to contributing the land to the joint
venture.
On September 30, 1996, the Company, as general partner, and for a 25%
partnership interest, entered into a co-investment partnership with a large
public pension plan and formed Acquiport/Fossil Creek, L.P. Upon formation
of the partnership, the Company contributed its 19 acre land parcel in
Forth Worth, Texas. The development of a 384 apartment home community on
this site is currently in progress. The total development costs of
approximately $23,700 will be funded from capital contributions from the
partners. At September 30, 1996, total costs incurred of $2,670 were
funded. The Company received $1,998 as reimbursement of costs incurred by
the Company prior to contributing the land to the partnership.
On October 9, 1996, the Company acquired 28.6 acres of land located in
Aurora, Illinois. The $5,014 purchase price of this parcel was paid
partially in cash ($3,429 of which has been paid by the Company and $485 of
which is payable when construction is completed) and through the issuance
of 53,140 OP Units. The Company intends to develop a 464 apartment home
community on this site. Total development costs are projected to be
approximately $45,000 and construction has commenced in the first quarter
of 1997.
<PAGE>
CAPITAL EXPENDITURES
Capital expenditures are those made for assets having a useful life in
excess of one year and include replacements (including carpeting and
appliances) and betterments, such as unit upgrades, enclosed parking
facilities and similar items.
In conjunction with acquisitions of existing properties, it is the
Company's policy to provide in its acquisition budgets adequate funds to
complete any deferred maintenance items and to otherwise make the
properties acquired competitive with comparable newly-constructed
properties. In some cases, the Company will provide in its acquisition
budget additional funds to upgrade or otherwise improve new acquisitions.
INFLATION
Virtually all apartment leases at the communities and co-investment
communities are for six or twelve months' duration. This enables the
Company to pass along inflationary increases in its operating expenses on a
timely basis. Because the Company's property operating expenses (exclusive
of depreciation and amortization) are approximately 41% of rental and other
revenue, increased inflation typically results in comparable increases in
income before interest and general and administrative expenses, so long as
rental market conditions allow increases in rental rates while maintaining
stable occupancy.
An increase in general price levels may immediately precede, or accompany,
an increase in interest rates. The Company's exposure to rising interest
rates is mitigated by the existing debt level of approximately 38% of the
Company's current total market capitalization and the high percentage (69%)
of intermediate term fixed rate debt. As a result, for the foreseeable
future, increases in interest expense resulting from increasing inflation
are anticipated to be less than future increases in income before interest
and general and administrative expenses.
<PAGE>
<TABLE>
OCCUPANCY
The following is a listing of approximate physical occupancy levels by quarter for the Company's wholly-owned
properties:
<CAPTION>
1997 1996
NUMBER ------------------------------------- ------------------------------
OF At At At At At At At At
LOCATION/PROPERTY UNITS 12/31 9/30 6/30 3/31 12/31 9/30 6/30 3/31
- ----------------- ------ ---- ---- ---- ----- ---- ---- ----- -----
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C>
WHOLLY-OWNED COMMUNITIES:
- ------------------------
DALLAS/FT. WORTH, TEXAS
AMLI at Autumn Chase 450 97% 95% 95% 96% 94%
AMLI at Bear Creek 350 95% 92% 93% 95% 95%
AMLI at Chase Oaks 250 96% 96% 96% 95% 98%
AMLI at Gleneagles 326 96% 95% 98% 97% 95%
AMLI on the Green 424 91% 89% 96% 98% 97%
AMLI at Nantucket 312 99% 98% 97% 95% 98%
AMLI of North Dallas 1,032 94% 94% 95% 97% 97%
AMLI at Reflections 212 96% 99% 97% 88% 95%
AMLI on Rosemeade 236 97% 98% 97% 98% 98%
AMLI on Timberglen 260 97% 99% 97% 96% 97%
AMLI at Valley Ranch 460 95% 92% 93% 95% 95%
----- --- --- --- --- --- --- --- ---
4,312 95% 94% 96% 96% 96%
----- --- --- --- --- --- --- --- ---
AUSTIN, TEXAS
AMLI at the Arboretum 231 97% 95% 96% 97% 96%
AMLI in Great Hills 344 95% 94% 97% 97% 96%
AMLI at Martha's Vineyard 360 97% 95% 95% 95% 95%
----- --- --- --- --- --- --- --- ---
935 96% 95% 96% 96% 96%
----- --- --- --- --- --- --- --- ---
ATLANTA, GEORGIA
AMLI at Sope Creek 695 96% 93% 92% 96% 95%
AMLI at Spring Creek 1,180 97% 93% 97% 96% 96%
AMLI at Vinings 208 93% 95% 95% 99% 99%
AMLI at West Paces 337 98% 98% 95% 97% 92%
----- --- --- --- --- --- --- --- ---
2,420 96% 94% 95% 96% 95%
----- --- --- --- --- --- --- --- ---
<PAGE>
1997 1996
NUMBER ------------------------------------- ------------------------------
OF At At At At At At At At
LOCATION/PROPERTY UNITS 12/31 9/30 6/30 3/31 12/31 9/30 6/30 3/31
- ----------------- ------ ---- ---- ---- ----- ---- ---- ----- -----
EASTERN KANSAS
AMLI at Alvamar 152 98% 99% 98% 96% 95%
AMLI at Crown Colony 156 97% 95% 96% 96% 86%
AMLI at Regents Center 300 91% 90% 95% 94% 98%
AMLI at Sherwood 300 98% 96% 97% 97% 89%
----- --- --- --- --- --- --- --- ---
908 96% 94% 97% 96% 93%
----- --- --- --- --- --- --- --- ---
INDIANAPOLIS, INDIANA
AMLI at Riverbend 996 92% 93% 96% 94% 94%
----- --- --- --- --- --- --- --- ---
CHICAGO, ILLINOIS
AMLI at Park Sheridan 253 93% 90% 92% 907% 96%
----- ----- ----- ----- ----- ----- ----- ----- -----
Total Wholly-Owned
Communities 9,824 95.2% 94.0% 95.6% 95.8% 95.4%
----- ----- ----- ----- ----- ----- ----- ----- -----
CO-INVESTMENT COMMUNITIES:
- -------------------------
ATLANTA, GA
AMLI at Pleasant Hill lease lease lease
(40%) (1) 502 97% 95% up up up
AMLI at Towne Creek (1%) 150 93% 93% 97% 97% 97%
AMLI at Willeo Creek
(30%) 242 98% 95% 97% N/A N/A
----- ----- ----- ----- ----- ----- ----- ----- -----
894 96% 95% 97% 97% 97%
----- ----- ----- ----- ----- ----- ----- ----- -----
CHICAGO, IL
AMLI at Chevy Chase
(33%) 592 97% 93% 96% N/A N/A
AMLI at Prairie
Court (1%) 125 97% 96% 97% 97% 97%
AMLI at Willowbrook (40%) 488 96% 92% 94% N/A N/A
AMLI at Windbrooke (15%) 236 96% 92% 97% 96% 96%
AMLI at Danada (10%) 600 92% N/A N/A N/A N/A
----- ----- ----- ----- ----- ----- ----- ----- -----
2,041 95% 93% 96% 96% 96%
----- ----- ----- ----- ----- ----- ----- ----- -----
DALLAS, TX
AMLI at Verandah (35%) 538 94% N/A N/A N/A N/A
----- ----- ----- ----- ----- ----- ----- ----- -----
<PAGE>
1997 1996
NUMBER ------------------------------------- ------------------------------
OF At At At At At At At At
LOCATION/PROPERTY UNITS 12/31 9/30 6/30 3/31 12/31 9/30 6/30 3/31
- ----------------- ------ ---- ---- ---- ----- ---- ---- ----- -----
AUSTIN, TX
AMLI at Park Place
(25%) 588 96% 97% 95% 97% 97%
----- ----- ----- ----- ----- ----- ----- ----- -----
HOUSTON, TX
AMLI at Champions
Centre (15%) 192 95% 92% 98% 95% 95%
AMLI at Champions
Park (15%) 246 97% 92% 95% 89% 89%
AMLI at Greenwood
Forest (15%) 316 96% 93% 90% N/A N/A
----- ----- ----- ----- ----- ----- ----- ----- -----
754 96% 92% 94% 92% 92%
----- ----- ----- ----- ----- ----- ----- ----- -----
Total Co-Investment
Communities 4,815 95.5% 93.8% 95.4% 95.3% 95.3%
----- ----- ----- ----- ----- ----- ----- ----- -----
TOTAL 14,639 95.3% 93.9% 97.2% 95.7% 91.6%
====== ===== ===== ===== ===== ===== ===== ===== =====
</TABLE>
<PAGE>
PART II. OTHER INFORMATION
ITEM 6. EXHIBITS AND REPORTS ON FORM 8-K
No reports on Form 8-K have been filed during the quarter ended March 31,
1997. The Exhibits filed as part of this report are listed below.
EXHIBIT NO. DOCUMENT DESCRIPTION
27. Financial Data Schedule
99. Financial and Operating Data
furnished to Shareholders and Analysts
<PAGE>
SIGNATURES
Pursuant to the requirements of Section 13 or 15(d) of the Securities
Exchange Act of 1934, the Registrant has duly caused this report to be
signed on its behalf by the undersigned, thereunto duly authorized.
AMLI RESIDENTIAL PROPERTIES TRUST
Date: May 14, 1997 By: /s/ CHARLES C. KRAFT
-----------------------------------
Charles C. Kraft
Principal Accounting Officer
Principal Financial Officer
Pursuant to the requirements of the Securities Exchange Act of 1934, this
report has been signed below by the following persons on behalf of the
Registrant and in the capacities and on the dates indicated.
Date: May 14, 1997 By: /s/ GREGORY T. MUTZ
-----------------------------------
Gregory T. Mutz
Chairman of the Board of Trustees
Date: May 14, 1997 By: /s/ ALLAN J. SWEET
-----------------------------------
Allan J. Sweet
President and Trustee
Date: May 14, 1997 By: /s/ CHARLES C. KRAFT
-----------------------------------
Charles C. Kraft
Principal Accounting Officer
Principal Financial Officer
<TABLE> <S> <C>
<ARTICLE> 5
<LEGEND>
THIS SCHEDULE CONTAINS SUMMARY FINANCIAL INFORMATION EXTRACTED FROM THE
REGISTRANT'S FORM 10-Q FOR THE THREE MONTHS ENDED MARCH 31, 1997 AND IS
QUALIFIED IN ITS ENTIRETY BY REFERENCE TO SUCH FINANCIAL STATEMENTS
INCLUDED IN SUCH REPORT.
</LEGEND>
<S> <C>
<PERIOD-TYPE> 3-MOS
<FISCAL-YEAR-END> DEC-31-1997
<PERIOD-END> MAR-31-1997
<CASH> 3,946
<SECURITIES> 0
<RECEIVABLES> 0
<ALLOWANCES> 0
<INVENTORY> 0
<CURRENT-ASSETS> 0
<PP&E> 511,951
<DEPRECIATION> 53,535
<TOTAL-ASSETS> 517,422
<CURRENT-LIABILITIES> 0
<BONDS> 220,964
0
11
<COMMON> 148
<OTHER-SE> 238,848
<TOTAL-LIABILITY-AND-EQUITY> 517,422
<SALES> 0
<TOTAL-REVENUES> 20,850
<CGS> 0
<TOTAL-COSTS> 14,774
<OTHER-EXPENSES> 0
<LOSS-PROVISION> 0
<INTEREST-EXPENSE> 2,646
<INCOME-PRETAX> 5,123
<INCOME-TAX> 0
<INCOME-CONTINUING> 5,123
<DISCONTINUED> 0
<EXTRAORDINARY> 0
<CHANGES> 0
<NET-INCOME> 5,123
<EPS-PRIMARY> .31
<EPS-DILUTED> .31
</TABLE>
EXHIBIT 99
- ----------
AMLI RESIDENTIAL PROPERTIES TRUST
FINANCIAL AND OPERATING DATA
March 31, 1997
1. Funds from Operations
2. Statements of Operations
3. Balance Sheets
4. Selected Financial Information
5. Debt
6. Debt Maturities
7. Same Community Comparison - Wholly-Owned - three months
ended March 31, 1997 and 1996
8. Same Community Comparison - Wholly-Owned & Co-
Investments - three months ended March 31, 1997 and 1996
9. Property Information
10. Development Activities
<PAGE>
<TABLE>
AMLI RESIDENTIAL PROPERTIES TRUST
FUNDS FROM OPERATIONS
Unaudited - Dollars in thousands except per share data
<CAPTION>
1997 1996 1996 1995
-------- -------- ------------------------------------------- --------
Three
Months Year Three Months Ended Year
Ended Ended ------------------------------------------- Ended
Mar. 31, Dec. 31, Dec. 31, Sep. 30, Jun. 30, Mar. 31, Dec. 31,
-------- -------- -------- -------- -------- -------- --------
<S> <C> <C> <C> <C> <C> <C> <C>
REVENUES
- --------
Property revenues:
Rental . . . . . . . . . . . $ 18,680 $ 71,863 $ 18,443 $ 18,223 $ 17,766 $ 17,431 $ 69,341
Other. . . . . . . . . . . . 975 3,269 842 902 814 711 2,797
-------- -------- -------- -------- -------- -------- --------
Total Property Revenues. . 19,655 75,132 19,285 19,125 18,580 18,142 72,138
-------- -------- -------- -------- -------- -------- --------
Property operating expenses. . (7,570) (30,068) (7,339) (7,858) (7,634) (7,237) (28,451)
Property management fees . . . (491) (1,878) (482) (478) (464) (454) (1,803)
-------- -------- -------- -------- -------- -------- --------
Property expenses. . . . . (8,061) (31,946) (7,821) (8,336) (8,098) (7,691) (30,254)
Operating expense ratio. . . . 41.0% 42.5% 40.6% 43.6% 43.6% 42.4% 41.9%
-------- -------- -------- -------- -------- -------- --------
Net operating income . . . 11,594 43,186 11,464 10,789 10,482 10,451 41,884
-------- -------- -------- -------- -------- -------- --------
Other Income
- ------------
Share of income (loss)
from Service Companies. . . 11 (238) (79) (8) (95) (56) 3
Interest from Service
Companies (1) . . . . . . . 253 870 286 216 201 167 493
Other interest. . . . . . . . 107 224 75 24 53 72 369
Share of partnerships
cash flow (2) . . . . . . . 667 1,892 557 593 486 256 466
Fee income - acquisitions
and dispositions. . . . . . 137 250 0 0 92 158 220
Fee income - developments . . 330 819 325 363 99 32 206
Fee income - asset manage-
ment. . . . . . . . . . . . 153 507 144 143 143 77 224
Other . . . . . . . . . . . . 37 138 33 35 45 25 189
-------- -------- -------- -------- -------- -------- --------
Total other income . . . . 1,695 4,462 1,341 1,366 1,024 731 2,170
<PAGE>
AMLI RESIDENTIAL PROPERTIES TRUST
FUNDS FROM OPERATIONS - CONTINUED
Unaudited - Dollars in thousands except per share data
1997 1996 1996 1995
-------- -------- ------------------------------------------- --------
Three
Months Year Three Months Ended Year
Ended Ended ------------------------------------------- Ended
Mar. 31, Dec. 31, Dec. 31, Sep. 30, Jun. 30, Mar. 31, Dec. 31,
-------- -------- -------- -------- -------- -------- --------
General and administrative . . (767) (2,353) (650) (575) (532) (596) (1,932)
-------- -------- -------- -------- -------- -------- --------
EBITDA . . . . . . . . . . . . 12,522 45,295 12,155 11,580 10,974 10,586 42,122
-------- -------- -------- -------- -------- -------- --------
Interest expenses. . . . . . . (2,646) (11,916) (2,935) (3,167) (2,996) (2,818) (12,926)
Amortization of deferred
costs . . . . . . . . . . . . (243) (1,370) (266) (253) (400) (451) (1,792)
-------- -------- -------- -------- -------- -------- --------
Funds from operations (FFO). . 9,633 32,009 8,954 8,160 7,578 7,317 27,404
-------- -------- -------- -------- -------- -------- --------
Capital expenditures paid
from FFO. . . . . . . . . . . (1,131) (1,936) (755) (454) (394) (333) (1,714)
Other - share of Co-invest-
ment Cap exp. . . . . . . . . (34) (57) (24) (12) (12) (9) (29)
-------- -------- -------- -------- -------- -------- --------
Funds available for
distribution (FAD). . . . . . $ 8,468 $ 30,016 $ 8,175 $ 7,694 $ 7,172 $ 6,975 $ 25,661
======== ======== ======== ======== ======== ======== ========
FFO per share. . . . . . . . . $ 0.51 $ 2.01 $ 0.53 $ 0.52 $ 0.48 $ 0.48 $ 1.90
FAD per share. . . . . . . . . $ 0.45 $ 1.88 $ 0.48 $ 0.49 $ 0.46 $ 0.46 $ 1.78
Dividend per share . . . . . . $ 0.43 $ 1.72 $ 0.43 $ 0.43 $ 0.43 $ 0.43 $ 1.72
======== ======== ======== ======== ======== ======== ========
Dividend as a % of FFO . . . . 84.3% 85.6% 81.4% 83.2% 89.3% 89.6% 90.5%
Dividend as a % of FAD . . . . 95.9% 91.3% 89.1% 88.3% 94.4% 94.0% 96.7%
======== ======== ======== ======== ======== ======== ========
<FN>
Notes:
(1) Includes $114 in quarterly interest on 13% notes receivable and interest on working capital advances.
(2) Share of income plus share of depreciation; share of depreciation for the three months ended March 31, 1997
and December 31, 1996 and 1995 were $500, $1,323 and $431, respectively.
</TABLE>
<PAGE>
<TABLE>
AMLI RESIDENTIAL PROPERTIES TRUST
STATEMENTS OF OPERATIONS
Unaudited - Dollars in thousands except per share data
<CAPTION>
1997 1996 1996 1995
-------- -------- ------------------------------------------- --------
Three
Months Year Three Months Ended Year
Ended Ended ------------------------------------------- Ended
Mar. 31, Dec. 31, Dec. 31, Sep. 30, Jun. 30, Mar. 31, Dec. 31,
-------- -------- -------- -------- -------- -------- --------
<S> <C> <C> <C> <C> <C> <C> <C>
REVENUES
- --------
Property Revenue:
Rental. . . . . . . . . . . . $ 18,680 $ 71,863 $ 18,443 $ 18,223 $ 17,766 $ 17,431 $ 69,341
Other . . . . . . . . . . . . 975 3,269 842 902 814 711 2,797
Interest and share of
income (loss) from Service
Companies' . . . . . . . . . 264 632 207 208 106 111 496
Other interest . . . . . . . . 107 224 75 24 53 72 369
Other. . . . . . . . . . . . . 824 2,283 687 715 508 373 874
-------- -------- -------- -------- -------- -------- --------
Total Revenues . . . . . . 20,850 78,271 20,254 20,072 19,247 18,698 73,877
-------- -------- -------- -------- -------- -------- --------
EXPENSES
- --------
Personnel. . . . . . . . . . . 1,723 6,714 1,689 1,704 1,727 1,594 6,287
Advertising and promotion. . . 507 1,917 448 519 478 472 1,702
Utilities. . . . . . . . . . . 1,025 4,161 929 1,165 1,001 1,066 4,125
Building repairs and
maintenance . . . . . . . . . 1,156 4,933 1,292 1,344 1,182 1,115 4,554
Landscaping and
grounds maintenance . . . . . 364 1,736 445 436 524 331 1,811
Real estate taxes. . . . . . . 2,322 8,465 2,036 2,136 2,173 2,120 7,947
Insurance. . . . . . . . . . . 198 977 239 251 253 234 914
Other operating expenses . . . 275 1,165 261 303 296 305 1,111
Property management fees . . . 491 1,878 482 478 464 454 1,803
Interest, net of capitalized . 2,646 11,916 2,935 3,167 2,996 2,818 12,926
Amortization of deferred
costs . . . . . . . . . . . . 243 1,370 266 253 400 451 1,792
Depreciation of real
property. . . . . . . . . . . 2,316 8,793 2,280 2,259 2,133 2,121 8,704
Depreciation of
personal property . . . . . . 741 2,528 687 700 593 548 2,081
General and administrative . . 767 2,353 650 575 532 596 1,932
-------- -------- -------- -------- -------- -------- --------
Total expenses . . . . . . 14,774 58,906 14,639 15,290 14,752 14,225 57,689
-------- -------- -------- -------- -------- -------- --------
<PAGE>
AMLI RESIDENTIAL PROPERTIES TRUST
STATEMENTS OF OPERATIONS - CONTINUED
Unaudited - Dollars in thousands except per share data
1997 1996 1996 1995
-------- -------- ------------------------------------------- --------
Three
Months Year Three Months Ended Year
Ended Ended ------------------------------------------- Ended
Mar. 31, Dec. 31, Dec. 31, Sep. 30, Jun. 30, Mar. 31, Dec. 31,
-------- -------- -------- -------- -------- -------- --------
Non-recurring item -
gain on sale of properties. . -- 584 -- -- 584 -- 818
-------- -------- -------- -------- -------- -------- --------
Income before taxes,
minority interest and
extraordinary item. . . . . . 6,076 19,949 5,615 4,782 5,079 4,473 17,006
Income taxes . . . . . . . . . -- -- -- -- -- -- --
-------- -------- -------- -------- -------- -------- --------
Income before minority
interest/extraordinary
items . . . . . . . . . . . . 6,076 19,949 5,615 4,782 5,079 4,473 17,006
Minority interest. . . . . . . 953 3,581 976 878 920 807 3,287
-------- -------- -------- -------- -------- -------- --------
Income before and extra-
ordinary items. . . . . . . . 5,123 16,368 4,639 3,904 4,159 3,666 13,719
Extraordinary items, net
of minority interest. . . . . -- (1,118) -- -- (1,118) -- --
-------- -------- -------- -------- -------- -------- --------
Net income . . . . . . . . . . $ 5,123 $ 15,250 $ 4,639 $ 3,904 $ 3,041 $ 3,666 $ 13,719
======== ======== ======== ======== ======== ======== ========
Net income allocable to
preferred shares. . . . . . . $ 473 $ 1,746 $ 473 $ 473 $ 473 $ 327 $ --
Net income allocable to
common shares . . . . . . . . $ 4,650 $ 13,504 $ 4,166 $ 3,431 $ 2,568 $ 3,339 $ 13,719
======== ======== ======== ======== ======== ======== ========
Income per common share:
- -----------------------
Before extraordinary items . . $ 0.31 $ 1.20 $ 0.32 $ 0.28 $ 0.31 $ 0.29 $ 1.18
Extraordinary item . . . . . . $ 0.00 $ (0.09) $ 0.00 $ 0.00 $ (0.09) $ 0.00 $ 0.00
Income per common share. . . . $ 0.31 $ 1.11 $ 0.32 $ 0.28 $ 0.22 $ 0.29 $ 1.18
======== ======== ======== ======== ======== ======== ========
<PAGE>
AMLI RESIDENTIAL PROPERTIES TRUST
STATEMENTS OF OPERATIONS - CONTINUED
Unaudited - Dollars in thousands except per share data
1997 1996 1996 1995
-------- -------- ------------------------------------------- --------
Three
Months Year Three Months Ended Year
Ended Ended ------------------------------------------- Ended
Mar. 31, Dec. 31, Dec. 31, Sep. 30, Jun. 30, Mar. 31, Dec. 31,
-------- -------- -------- -------- -------- -------- --------
FUNDS FROM OPERATIONS
- ---------------------
Income before taxes,
minority interest and
extraordinary item. . . . . . $ 6,076 $ 19,949 $ 5,615 $ 4,782 $ 5,079 $ 4,473 $ 17,006
Depreciation of real property. 2,316 8,793 2,280 2,259 2,133 2,121 8,704
Depreciation of
personal property . . . . . . 741 2,528 687 700 593 548 2,081
Non-recurring items. . . . . . -- (584) -- -- (584) -- (818)
Other - share of Co-invest-
ments depreciation. . . . . . 500 1,323 372 419 357 175 431
-------- -------- -------- -------- -------- -------- --------
Funds from operations (FFO). . $ 9,633 $ 32,009 $ 8,954 $ 8,160 $ 7,578 $ 7,317 $ 27,404
FFO per share. . . . . . . . . $ 0.51 $ 2.01 $ 0.53 $ 0.52 $ 0.48 $ 0.48 $ 1.90
======== ======== ======== ======== ======== ======== ========
Capital expenditures paid
from FFO. . . . . . . . . . . $ (1,131) $ (1,936) $ (755) $ (454) $ (394) $ (333) $ (1,714)
Other - Share Co-invest-
ments Cap exp . . . . . . . . (34) (57) (24) (12) (12) (9) (29)
-------- -------- -------- -------- -------- -------- --------
Funds available for
distribution (FAD). . . . . . $ 8,468 $ 30,016 $ 8,175 $ 7,694 $ 7,172 $ 6,975 $ 25,661
FAD per share. . . . . . . . . $ 0.45 $ 1.88 $ 0.48 $ 0.49 $ 0.46 $ 0.46 $ 1.78
Dividends per share. . . . . . $ 0.43 $ 1.72 $ 0.43 $ 0.43 $ 0.43 $ 0.43 $ 1.72
======== ======== ======== ======== ======== ======== ========
Dividends as a % of FFO. . . . 84.3% 85.6% 81.4% 83.2% 89.3% 89.6% 90.5%
Dividends as a % of FAD. . . . 95.9% 91.3% 89.1% 88.3% 94.4% 94.0% 96.7%
======== ======== ======== ======== ======== ======== ========
</TABLE>
<PAGE>
<TABLE>
AMLI RESIDENTIAL PROPERTIES TRUST
CONDENSED BALANCE SHEETS
Unaudited - Dollars in thousands except per share data
<CAPTION>
Mar. 31, Dec. 31, Sep. 30, Jun. 30, Mar. 31, Dec. 31,
1997 1996 1996 1996 1996 1995
-------- -------- -------- -------- -------- --------
<S> <C> <C> <C> <C> <C> <C>
ASSETS
- ------
Rental apartments
Land. . . . . . . . . . . . . . . . . . $ 60,176 $ 59,854 $ 59,854 $ 58,643 $ 58,643 $ 58,643
Depreciable property . . . . . . . . . 376,112 373,140 372,317 361,879 361,330 361,011
-------- -------- -------- -------- -------- --------
436,288 432,994 432,171 420,522 419,973 419,654
Less accumulated depreciation . . . . . (53,535) (50,478) (47,511) (44,552) (41,826) (39,157)
-------- -------- -------- -------- -------- --------
382,753 382,516 384,660 375,970 378,147 380,497
Properties under development . . . . . . 75,663 62,525 43,344 50,597 42,763 23,211
Investments in partnerships. . . . . . . 38,530 30,669 28,438 24,351 17,758 12,255
Cash and cash equivalents. . . . . . . . 3,946 10,291 3,643 4,459 2,080 2,829
Security deposits. . . . . . . . . . . . 1,732 1,737 1,775 1,881 1,874 1,880
Deferred costs, net. . . . . . . . . . . 2,108 2,139 2,339 2,509 4,922 5,415
Other assets . . . . . . . . . . . . . . 12,690 14,480 9,949 10,573 9,419 7,140
-------- -------- -------- -------- -------- --------
Total assets . . . . . . . . . . . . . . $517,422 $504,357 $474,148 $470,340 $456,963 $433,227
======== ======== ======== ======== ======== ========
LIABILITIES AND SHAREHOLDERS' EQUITY
- ------------------------------------
Debt . . . . . . . . . . . . . . . . . . $220,964 $202,013 $233,567 $230,888 $218,267 $215,255
Accrued interest payable . . . . . . . . 1,204 1,161 1,273 992 1,127 1,230
Accrued real estate taxes. . . . . . . . 4,070 6,978 6,974 5,057 3,577 6,471
Construction costs payable . . . . . . . 1,970 2,263 2,432 1,821 2,213 1,369
Security deposits and prepaid rents. . . 2,437 2,757 2,369 2,191 2,185 2,439
Other liabilities. . . . . . . . . . . . 2,173 2,292 1,836 1,701 1,741 1,223
-------- -------- -------- -------- -------- --------
Total liabilities. . . . . . . . . . . . 232,818 217,464 248,451 242,650 229,110 227,987
-------- -------- -------- -------- -------- --------
<PAGE>
AMLI RESIDENTIAL PROPERTIES TRUST
CONDENSED BALANCE SHEETS - CONTINUED
Unaudited - Dollars in thousands except per share data
Mar. 31, Dec. 31, Sep. 30, Jun. 30, Mar. 31, Dec. 31,
1997 1996 1996 1996 1996 1995
-------- -------- -------- -------- -------- --------
Minority interests . . . . . . . . . . . 45,605 44,871 41,409 41,814 40,249 39,077
-------- -------- -------- -------- -------- --------
Shareholders' equity
Preferred shares, $.01 par value. . . . 11 11 11 11 11 --
Shares of beneficial interest, $.01
par value. . . . . . . . . . . . . . . 148 148 118 118 118 117
Additional paid-in capital. . . . . . . 299,794 301,098 242,487 242,433 241,657 218,752
Retained earnings . . . . . . . . . . . (332) (5,455) (10,094) (13,998) (17,039) (20,705)
Dividends paid. . . . . . . . . . . . . (60,622) (53,780) (48,234) (42,688) (37,143) (32,001)
-------- -------- -------- -------- -------- --------
Total shareholders' equity . . . . . . . 238,999 242,022 184,288 185,876 187,604 166,163
-------- -------- -------- -------- -------- --------
Total liabilities and
shareholders' equity. . . . . . . . . . $517,422 $504,357 $474,148 $470,340 $456,963 $433,227
======== ======== ======== ======== ======== ========
</TABLE>
<PAGE>
<TABLE>
Amli Residential Properties Trust
Selected Quarterly Financial Information
March 31, 1997
(dollars in thousands except for per share data)
<CAPTION>
Quarter Ending
----------------------------------------------------------------------
Mar. 31, Dec. 31, Sep. 30, Jun. 30, Mar. 31,
1997 1996 1996 1996 1996
-------- -------- -------- -------- --------
<S> <C> <C> <C> <C> <C>
Total Debt $220,964 $202,013 $233,567 $230,888 $218,267
Total Debt (1) 271,738 240,593 270,374 267,348 244,149
Total Shares and
Units Outstanding (2) 18,968,168 18,862,132 15,798,892 15,796,392 15,652,892
Value per Common Share
- end of quarter $ 23.000 $23.375 $20.875 $20.750 $20.125
Total Equity (Market
Value) - end of quarter $436,268 $440,902 $329,802 $327,775 $315,014
Total Market Capitalization 657,232 642,915 563,369 558,663 533,281
Total Market Capitalization (1) 708,006 681,495 600,176 595,123 559,163
======== ======== ======== ======== ========
Total Revenues (3) $ 20,850 $ 20,254 $ 20,072 $ 19,247 $ 18,698
EBITDA (4) 12,522 12,155 11,580 10,974 10,586
FFO 9,633 8,954 8,160 7,578 7,317
FAD 8,468 8,175 7,694 7,172 6,975
Dividends Paid 8,111 6,794 6,792 6,731 6,322
Debt service (net of
capitalized interest) 3,195 3,462 3,645 3,279 3,060
Interest Expense 2,646 2,935 3,167 2,996 2,818
G & A Expense 767 650 575 532 596
Total Shares and
Units Outstanding
- Wtd. Avg. 18,882,000 16,948,000 15,798,000 15,746,000 15,254,000
========== ========== ========== ========== ==========
<PAGE>
Amli Residential Properties Trust
Selected Quarterly Financial Information - CONTINUED
March 31, 1997
(dollars in thousands except for per share data)
Quarter Ending
----------------------------------------------------------------------
Mar. 31, Dec. 31, Sep. 30, Jun. 30, Mar. 31,
1997 1996 1996 1996 1996
-------- -------- -------- -------- --------
Debt Service Coverage Ratio 3.92 3.51 3.18 3.35 3.46
Interest Coverage Ratio 4.73 4.14 3.66 3.66 3.76
Debt as % of Total
Market Capitalization 33.62% 31.42% 41.46% 41.33% 40.93%
Debt as % of Total
Market Capitalization (1) 38.38% 35.30% 45.05% 44.92% 43.66%
EBITDA as % of Total
Market Capitalization 7.62% 7.56% 8.22% 7.86% 7.94%
FFO as % of Total
Market Equity 8.83% 8.12% 9.90% 9.25% 9.29%
G&A as % of Total
Market Capitalization 0.47% 0.40% 0.41% 0.38% 0.45%
G&A as % of Total Revenues 3.68% 3.21% 2.86% 2.76% 3.19%
Dividends as % of FFO (5) 84.3% 81.4% 83.2% 89.3% 89.6%
Dividends as % of FAD (5) 95.9% 89.1% 88.3% 94.4% 94.0%
======== ======== ======== ======== ========
Apartment Units - Wholly Owned
In Operation 9,824 9,824 9,824 9,600 9,600
Under Development 2,444 1,404 1,404 884 612
Apartment Units - Co-Investments
In Operation 4,815 3,677 3,677 3,175 2,687
Under Development 1,324 1,324 1,324 1,170 948
-------- -------- -------- -------- --------
Total Units 18,407 16,229 16,229 14,829 13,847
======== ======== ======== ======== ========
<FN>
(1) Including proportionate share of debt of Co-investment partnerships accounted for using the equity
method.
(2) End of the quarter - includes 1,100,000 preferred shares convertible to common shares.
(3) Excluding non-recurring gain of $960 in the third quarter of 1994 and $1,564 in the third quarter of 1995
and $751 in the second quarter of 1996.
(4) Includes other income, net of G & A expenses.
(5) Based on per share amounts.
</TABLE>
<PAGE>
<TABLE>
AMLI RESIDENTIAL PROPERTIES TRUST
DEVELOPMENT ACTIVITIES
First Quarter 1997
UNDER CONSTRUCTION AND/OR IN INITIAL LEASE UP
- ---------------------------------------------
<CAPTION>
Construc- Percent Percent
Number tion First Comple- Stabil- Construc- Leased
of Costs Percent Start Units tion izaition tion as of
Community Name Units (millions) Ownership Date Occupied Date Date Complete 4/28/97
- -------------- ------- ---------- --------- --------- -------- -------- -------- --------- --------
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C>
ATLANTA, GEORGIA
AMLI at:
Barrett Lakes 446 $27.8 35% 3Q/95 4Q/96 4Q/97 2Q/98 77% 46%
River Park 222 $15.4 40% 4Q/95 4Q/96 2Q/97 4Q/97 90% 63%
Peachtree City 312 $22.2 100% 3Q/96 3Q/97 2Q/98 4Q/98 20% N/A
Northwinds I 400 $26.8 100% 3Q/96 4Q/97 3Q/98 1Q/99 2% N/A
DALLAS, TEXAS
AMLI at:
Gleneagles II 264 $13.5 100% 3Q/95 2Q/96 4Q/96 2Q/97 100% 96%
Fossil Creek 384 $23.7 25% 3Q/96 2Q/97 1Q/98 3Q/98 47% 4%
Autumn Chase III 240 $14.3 100% 3Q/96 4Q/97 2Q/98 4Q/98 10% N/A
AUSTIN, TEXAS
AMLI at:
Wells Branch 576 $36.5 100% 1Q/97 4Q/97 3Q/99 1Q/00 1% N/A
AURORA, ILLINOIS
AMLI at:
Aurora Crossing 272 $24.5 25% 2Q/96 1Q/97 4Q/97 2Q/98 75% 10%
Oakhurst North 464 $42.4 100% 1Q/97 1Q/98 2Q/99 4Q/99 0% N/A
OVERLAND PARK,
KANSAS
AMLI at:
Regents Center III 124 $7.7 100% 3Q/95 3Q/96 4Q/96 2Q/97 100% 97%
Crown Colony II 64 $3.6 100% 2Q/96 1Q/97 2Q/97 3Q/97 80% 44%
------ ------
TOTAL/AVERAGE 3,768 $258.4
====== ======
<PAGE>
AMLI RESIDENTIAL PROPERTIES TRUST
DEVELOPMENT ACTIVITIES - CONTINUED
PLANNING STAGES
- ---------------
Number
of
Community Name Units
- -------------- ------
ATLANTA, GEORGIA
AMLI at:
Northwinds
II & III 400
South Gwinnett 216
Spring Creek V 160
GAINESVILLE,
GEORGIA
AMLI at:
Park Creek 200
DALLAS/FORTH WORTH,
TEXAS
AMLI:
on the Parkway 240
at Hedgecoxe 240
at Fossil Creek II 520
<FN>
The following is a "Safe Harbor" Statement under the Private Securities Litigation Reform Act of 1995 and Section
21E of the Securities Exchange Act of 1934. The projections contained in the table above that are not historical
facts are forward-looking statements. Risks associated with the Company's development, construction and lease-up
activities, which could impact the forward-looking statements may include: development opportunities may be
abandoned; construction costs of a community may exceed original estimates, possibly making the community
uneconomical; construction and lease-up may not be completed on schedule, resulting in increased debt service and
construction costs; estimates of the costs of improvements to bring an acquired property up to the standards
established for the market position intended for that property may prove inaccurate.
</TABLE>
<PAGE>
<TABLE>
AMLI RESIDENTIAL PROPERTIES TRUST
PORTFOLIO INDEBTEDNESS SUMMARY
March 31, 1997
(Dollars in thousands)
<CAPTION>
<S> <C> <C>
RATE ASSUMPTIONS
LIBOR 5.67%
LIBOR Cap 3.88%
Tax Exempt 3.35% F = Fixed Rate
Tax Exempt Cap 3.00% V = Variable Rate
</TABLE>
<TABLE>
<CAPTION>
Maturity
Original Outstand- (years)
/Max ing Interest Maturity from
Borrower Lender Amount Balance Rate Rate Date 3/31/97
- ---------- ---------- -------- --------- --------- ---------- -------- --------
<S> <C> <C> <C> <C> <C> <C> <C>
F ARP, L.P. Lincoln National $ 4,800 4,406 9.90% 9/28/97 0.5
F ARP, L.P. Prudential 8,500 8,127 7.70% 10/31/97 0.6
F ARP, L.P. Allstate 7,060 6,641 7.42% 11/1/97 0.6
F ARP, L.P. Prudential 4,800 4,505 7.05% 6/30/98 1.2
F ARP, L.P. Prudential 7,050 6,649 7.02% 10/5/98 1.5
F ARP, L.P. CIGNA 31,000 30,702 7.30% 7/1/03 6.3
F ARP, L.P. CIGNA 11,000 10,895 7.34% 7/1/03 6.3
F ARP, L.P. Fleet 7,320 6,947 7.75% 7/1/03 6.3
F ARP, L.P. Nationwide 11,500 10,850 7.63% 7/10/03 6.3
F ARP, L.P. TIAA 20,100 19,937 8.73% 9/1/05 8.4
F ARP, L.P. (1) FNMA 43,907 42,803 7.79% 5/1/06 9.1
- ------------------------------------------------------------------------------------------------------------------
V ARP, L.P. Harris Trust & Savings 8,000 LIBOR + 1.65% 8/30/98 1.4
V ARP, L.P. First Chicago NBD 29,500 19,500 7.32% LIBOR + 1.65% 2/28/98 0.9
V ARP, L.P. (2) Wachovia Bank 60,000 7,500 6.47% LIBOR + 1.35% 5/31/98 1.2
V ARP, L.P. Wachovia Bank -- -- 6.65% LIBOR + 1.35% 5/31/98 1.2
V ARP, L.P. Wachovia Bank -- -- 5.23% LIBOR + 1.35% 5/31/98 1.2
V ARP, L.P. Wachovia Bank -- -- 6.65% LIBOR + 1.35% 5/31/98 1.2
V ARP, L.P. Wachovia Bank -- -- 6.65% LIBOR + 1.35% 5/31/98 1.2
- ------------------------------------------------------------------------------------------------------------------
<PAGE>
AMLI RESIDENTIAL PROPERTIES TRUST
PORTFOLIO INDEBTEDNESS SUMMARY - CONTINUED
Maturity
Original Outstand- (years)
/Max ing Interest Maturity from
Borrower Lender Amount Balance Rate Rate Date 3/31/97
- ---------- ---------- -------- --------- --------- ---------- -------- --------
V ARP, L.P. (3) Tax-Exempt Bonds 31,250 31,250 4.23% Tax Ex + 1.23% 9/30/99 2.5
V ARP, L.P. Tax-Exempt Bonds 9,500 9,500 4.58% Tax Ex + 1.23% 9/30/99 2.5
- ------------------------------------------------------------------------------------------------------------------
F ARP, L.P. AIA 750 750 4.00% Demand -
- ------------------------------------------------------------------------------------------------------------------
TOTAL $296,037 220,964 7.02% 4.9
==================================================================================================================
Co-Investments (4) Various -- 50,774 7.78% Various 6.9
- ------------------------------------------------------------------------------------------------------------------
TOTAL including Co-Investment $296,037 $271,738 7.16% 5.3
==================================================================================================================
</TABLE>
<PAGE>
<TABLE>
<CAPTION>
Weighted
Ave.
Percent of Interest Years to
Type of Indebtedness Balance Total Interest Rate Maturity
- -------------------- -------- ----------- ---------- --------- ----------
<S> <C> <C> <C> <C>
Conventional Fixed Rate $152,464 69.0% Fixed 7.77% 6.3
Tax-exempt Variable Rate 40,750 18.4% Variable 4.31% 2.5
Credit Facilities 27,000 12.2% Variable 7.04% 0.7
Other 750 0.3% Fixed 4.00% -
-------- ------ ----- ---
Total $220,964 100.0% 7.02% 4.9
======== ====== ===== ===
</TABLE>
<TABLE>
<CAPTION>
Avg.
Avg. Rate Maturity
Outstanding % of (Weighted (Weighted
Averages Balance Total by $) by $)
- -------- ------------ ------- ---------- ----------
<S> <C> <C> <C> <C>
Variable $ 67,750 30.66% 5.40% 1.9
Fixed 153,214 69.34% 7.73% 6.2
-------- ------- ------ ----
Total $220,964 100.00% 7.02% 4.9
======== ======= ====== ====
<FN>
(1) The outstanding balance is net of $611 representing the unamortized discount from the sale of the FNMA
certificates.
(2) $5,845 has been capped based on LIBOR = 3.875% through February 15, 1998. All in rate reflects LIBOR + 135.
(3) Maturity Date shown is expiration date of Credit Enhancement. Bonds mature in 2024.
(4) Co-Investment debt represents Amli Residential's pro rata share of debt. Interest rate and maturity reflect
average numbers based on Amli's pro rata share.
</TABLE>
<PAGE>
<TABLE>
AMLI RESIDENTIAL PROPERTIES TRUST
PORTFOLIO INDEBTEDNESS SUMMARY
March 31, 1997
(Dollars in thousands)
CO-INVESTMENT DETAIL
<CAPTION>
Original/ Outstand-
Max ing Interest Maturity
Property Lender Amount Balance Rate Date 3/31/97 AMLI % AMLI $
- -------- ------ --------- ---------- -------- -------- -------- ------ -------
<S> <C> <C> <C> <C> <C> <C> <C> <C>
AMLI AT:
Champions Park Lincoln National 9,500 9,060 7.26% 12/5/97 0.7 15% $ 1,359
Park Place Prudential 13,000 12,578 8.21% 10/5/99 2.5 25% 3,144
Champions Centre Prudential 6,700 6,691 8.93% 1/1/02 4.8 15% 1,004
Windbrooke Allstate 11,500 11,500 9.24% 2/1/02 4.8 15% 1,725
Greenwood Forest Nationwide 11,625 11,625 8.95% 5/10/02 5.1 15% 1,744
Chevy Chase CIGNA 29,767 29,767 6.67% 4/1/03 6.0 33% 9,823
Willowbrook NML 24,500 24,500 7.79% 5/1/03 6.1 40% 9,800
Willeo Creek Phoenix Home Life 10,000 10,000 6.77% 5/1/03 6.1 30% 3,000
Verandah Phoenix Home Life 16,940 16,940 7.55% 4/1/04 7.0 35% 5,929
Pleasant Hill NML 15,500 14,865 9.15% 3/1/07 9.9 40% 5,946
Danada Prudential 24,500 24,500 7.33% 3/1/07 9.9 10% 2,450
River Exchange Erie Insurance 9,100 6,125 7.75% 6/27/08 11.2 40% 2,450
Barrett Lakes NML 16,680 6,507 8.50% 12/1/09 12.7 35% 2,277
Prairie Court Bonds 7,250 7,250 8.00% 12/1/99 2.7 1% 73
Towne Creek Erie Insurance 5,000 5,000 9.50% 11/30/99 2.7 1% 50
------- ------- ----- ---- ----- -------
211,562 196,908 7.78% 6.9 25.8% $50,774
======= ======= ===== ==== ===== =======
</TABLE>
<PAGE>
<TABLE>
AMLI RESIDENTIAL PROPERTIES TRUST
DEBT MATURITIES
MARCH 31, 1997
Unaudited - dollars in thousands
<CAPTION>
There- % to
1997 1998 1999 2000 2001 after Total Total
------- ------- ------- ------- ------- -------- -------- ------
<S> <C> <C> <C> <C> <C> <C> <C> <C>
Fixed Rate Mortgages $20,652 $12,853 $ 2,025 $ 2,176 $ 2,372 $112,386 $152,464 69.1%
Tax Exempt Bonds* 40,750 40,750 18.4%
Wachovia Line of Credit 7,500 7,500 3.4%
First Chicago/NBD Line
of Credit 19,500 19,500 8.8%
Harris Line of Credit -- 0.0%
Other 750 750 0.3%
------- ------- ------- ------- ------- -------- -------- ------
Total Loans $21,402 $32,353 $ 9,525 $2,176 $2,372 $153,136 $220,964 100.0%
======= ======= ======= ====== ====== ======== ======== ======
Percent to Total 9.7% 14.6% 4.3% 1.0% 1.1% 69.3% 100.0% 81.3%
======= ======= ======= ====== ====== ======== ======== ======
SHARE OF CO-INVESTMENT DEBT
Prudential Ins. -
Park Place (25%) 37 53 3,054 3,144 6.2%
Nationwide Life Ins. -
Greenwood Forest (15%) 3 5 5 6 1,725 1,744 3.4%
Lincoln National Ins. -
Champions Park (15%) 1,359 1,359 2.7%
Prudential Ins. -
Champions Centre (15%) 6 9 10 11 12 956 1,004 2.0%
Allstate Life Ins. -
Windbrooke (15%) 14 16 18 20 1,657 1,725 3.4%
CIGNA -
Chevy Chase (33%) 104 165 177 189 202 8,987 9,824 19.4%
Northwestern Mutual Life Ins. -
Willowbrook (40%) 76 139 150 162 175 9,098 9,800 19.3%
Phoenix Mutual -
Willeo Creek (30%) 23 49 53 56 60 2,758 2,999 5.9%
Northwestern Mutual Life Ins. -
Pleasant Hill (40%) 27 44 49 53 58 5,715 5,946 11.7%
Northwestern Mutual Life Ins. -
Barrett Lakes (35%) 71 77 84 2,046 2,278 4.5%
<PAGE>
AMLI RESIDENTIAL PROPERTIES TRUST
DEBT MATURITIES - CONTINUED
There- % to
1997 1998 1999 2000 2001 after Total Total
------- ------- ------- ------- ------- -------- -------- ------
Erie Insurance -
River Park (40%) 20 51 55 2,323 2,449 4.8%
Prudential Ins. -
Amli at Danada (10%) 17 25 27 2,381 2,450 4.8%
Phoenix Home Life -
Amli at Verandah (35%) 55 88 94 5,692 5,929 11.7%
Central Bank, Trustee -
Prairie Court (1%) 73 73 0.1%
Erie Insurance -
Towne Creek (1%) 50 50 0.1%
------- ------- ------- ------- ------- -------- -------- ------
Total Share of
Co-Investment Loans $ 1,632 $ 476 $ 3,800 $ 735 $ 793 $ 43,338 $ 50,774 100.0%
======= ======= ======= ====== ====== ======== ======== ======
Percent to Total 3.2% 0.9% 7.5% 1.4% 1.6% 85.4% 100.0% 18.7%
======= ======= ======= ====== ====== ======== ======== ======
Total Including Share
of Co-Investment Debt $23,034 $32,829 $13,325 $2,911 $3,165 $196,474 $271,738 100.0%
======= ======= ======= ====== ====== ======== ======== ======
Percent to Total 8.5% 12.1% 4.9% 1.1% 1.2% 72.2% 100.0% 100.0%
====== ======= ======= ====== ====== ======== ======== ======
<FN>
* The Bonds mature in October 2024 but the credit enhancement expires on October 15, 1999.
</TABLE>
<PAGE>
<TABLE>
AMLI RESIDENTIAL PROPERTIES L.P. - "SAME COMMUNITY COMPARISON" (WHOLLY-OWNED PROPERTIES)
THREE MONTHS ENDED MARCH 31, 1997 VERSUS THREE MONTHS ENDED MARCH 31, 1996
Excluding Autumn Chase II, Gleneagles II, Crown Colony II, Regents III & Timberglenn
<CAPTION>
1/1/97-3/31/97 1/1/96-3/31/96
--------------------------------- % --------------------------------
Amount/% Per Unit Per Sq Ft Change Amount/% Per Unit Per Sq Ft
-------- -------- ---------- ------ ---------- -------- ---------
<S> <C> <C> <C> <C> <C> <C> <C>
WEIGHTED AVG. OCCUPANCY
- -----------------------
Dallas 94.1% -0.8% 94.9%
Atlanta 93.6% -0.4% 94.0%
Austin 93.5% -0.2% 93.7%
Indianapolis 91.9% -1.8% 93.5%
Eastern Kansas 93.0% 1.9% 91.2%
Chicago 91.3% -1.6% 92.8%
----- ----- -----
Weighted Average 93.5% -0.5% 94.0%
===== ===== =====
WEIGHTED AVG. RENTAL RATE
- -------------------------
Dallas $627 -0.1% $628
Atlanta $727 2.2% $711
Austin $648 -0.5% $651
Indianapolis $572 1.1% $566
Eastern Kansas $645 1.1% $637
Chicago $928 4.4% $889
---- ---- ----
Weighted Average $659 0.8% $654
==== ==== ====
TOTAL PROPERTY REVENUES Per Month Per Month
- ----------------------- ---------- ----------
Dallas $ 7,079,651 $616 $0.74 1.5% $ 6,974,811 $607 $0.79
Atlanta $ 5,175,813 $713 $0.76 4.0% $ 4,977,361 $686 $0.74
Austin $ 1,785,294 $636 $0.86 1.8% $ 1,753,170 $625 $0.85
Indianapolis $ 1,653,208 $553 $0.67 0.4% $ 1,647,187 $551 $0.67
Eastern Kansas $ 1,704,151 $626 $0.73 4.4% $ 1,632,328 $599 $0.70
Chicago $ 699,050 $921 $1.08 1.4% $ 689,158 $908 $1.06
------------ ---- ----- ----- ----------- ---- -----
Total $ 18,097,166 $646 $0.76 2.4% $17,674,014 $631 $0.76
============ ==== ===== ===== =========== ==== =====
<PAGE>
AMLI RESIDENTIAL PROPERTIES L.P. - "SAME COMMUNITY COMPARISON" (WHOLLY-OWNED PROPERTIES) - CONTINUED
Excluding Autumn Chase II, Gleneagles II, Crown Colony II, Regents III & Timberglenn
1/1/97-3/31/97 1/1/96-3/31/96
--------------------------------- % --------------------------------
Amount/% Per Unit Per Sq Ft Change Amount/% Per Unit Per Sq Ft
-------- -------- ---------- ------ ---------- -------- ---------
PROPERTY OPERATING EXPENSES (ANNUALIZED) (ANNUALIZED)
- --------------------------- ------------ ------------
Dallas $ 3,039,134 $3,176 $3.82 -3.0% $3,133,248 $3,274 $4.24
Atlanta $ 1,905,351 $3,149 $3.38 3.6% $1,839,931 $3,041 $3.26
Austin $ 790,612 $3,382 $4.59 1.5% $ 779,309 $3,334 $4.53
Indianapolis $ 586,636 $2,356 $2.86 -4.9% $ 616,755 $2,477 $3.01
Eastern Kansas $ 592,439 $2,610 $3.03 -2.7% $ 608,711 $2,682 $3.12
Chicago $ 437,955 $6,924 $8.10 -8.5% $ 478,678 $7,568 $8.85
------------ ------ ----- ----- ---------- ------ -----
Total $ 7,352,127 $3,149 $3.70 -1.4% $7,456,631 $3,193 $3.97
============ ====== ===== ===== ========== ====== =====
Operating Efficiency 40.6% 42.2%
============ ==========
NET OPERATING INCOME PER MONTH PER MONTH
- -------------------- --------- ----------
Dallas $ 4,040,517 $352 $0.42 5.2% $ 3,841,563 $335 $0.43
Atlanta $ 3,270,462 $450 $0.48 4.2% $ 3,137,430 $432 $0.46
Austin $ 994,682 $355 $0.48 2.1% $ 973,861 $347 $0.47
Indianapolis $ 1,066,571 $357 $0.43 3.5% $ 1,030,432 $345 $0.42
Eastern Kansas $ 1,111,712 $408 $0.47 8.6% $ 1,023,618 $376 $0.44
Chicago $ 261,095 $344 $0.40 24.0% $ 210,481 $277 $0.32
------------ ---- ----- ----- ----------- ---- -----
Total $ 10,745,039 $383 $0.45 5.2% $10,217,384 $365 $0.44
============ ==== ===== ===== =========== ==== =====
Operating Margin 59.4% 57.8%
============ ==========
CAPITAL EXPENDITURES (ANNUALIZED) (ANNUALIZED)
- -------------------- ------------ ------------
Dallas $ 772,539 $807 $0.97 578.2% $113,913 $119 $0.15
Atlanta $ 143,072 $236 $0.25 17.1% $122,183 $202 $0.22
Austin $ 64,058 $274 $0.37 161.9% $ 24,458 $105 $0.14
Indianapolis $ 43,185 $173 $0.21 93.9% $ 22,274 $ 89 $0.11
Eastern Kansas $ 26,257 $116 $0.13 61.8% $ 16,225 $ 71 $0.08
Chicago $ 58,527 $925 $1.08 174.4% $ 21,329 $337 $0.39
------------ ---- ----- ------ -------- ---- -----
Total $ 1,107,637 $474 $0.56 245.7% $320,382 $137 $0.17
============ ==== ===== ====== ======== ==== =====
<PAGE>
AMLI RESIDENTIAL PROPERTIES L.P. - "SAME COMMUNITY COMPARISON" (WHOLLY-OWNED PROPERTIES) - CONTINUED
Excluding Autumn Chase II, Gleneagles II, Crown Colony II, Regents III & Timberglenn
1/1/97-3/31/97 1/1/96-3/31/96
--------------------------------- % --------------------------------
Amount/% Per Unit Per Sq Ft Change Amount/% Per Unit Per Sq Ft
-------- -------- ---------- ------ ---------- -------- ---------
REPAIRS AND MAINTENANCE (ANNUALIZED) (ANNUALIZED)
- ----------------------- ------------ ------------
Dallas $ 417,303 $ 436 $0.52 -4.4% $ 436,463 $ 456 $0.59
Atlanta $ 247,629 $ 409 $0.44 11.1% $ 222,844 $ 368 $0.39
Austin $ 110,104 $ 471 $0.64 -4.1% $ 114,850 $ 491 $0.67
Indianapolis $ 115,570 $ 464 $0.56 -3.9% $ 120,237 $ 483 $0.59
Eastern Kansas $ 83,811 $ 369 $0.43 -8.4% $ 91,540 $ 403 $0.47
Chicago $ 81,665 $1,291 $1.51 -19.0% $ 100,862 $1,595 $1.87
------------ ------ ----- ------ ---------- ------ -----
Total $ 1,056,081 $ 452 $0.53 -2.8% $1,086,796 $ 465 $0.56
============ ====== ===== ====== ========== ====== =====
REAL ESTATE TAXES (ANNUALIZED) (ANNUALIZED)
- ----------------- ------------ ------------
Dallas $ 967,742 $1,011 $1.22 4.8% $ 923,165 $ 965 $1.25
Atlanta $ 438,161 $ 724 $0.78 6.4% $ 411,945 $ 681 $0.73
Austin $ 215,406 $ 922 $1.25 3.9% $ 207,297 $ 887 $1.20
Indianapolis $ 171,447 $ 689 $0.84 -4.2% $ 179,025 $ 719 $0.87
Eastern Kansas $ 212,667 $ 937 $1.09 9.2% $ 194,712 $ 858 $1.00
Chicago $ 149,376 $2,362 $2.76 3.5% $ 144,375 $2,283 $2.67
------------ ------ ----- ---- ---------- ------ -----
Total $ 2,154,799 $ 923 $1.09 4.6% $2,060,519 $ 882 $1.10
============ ====== ===== ==== ========== ====== =====
</TABLE>
<PAGE>
<TABLE>
AMLI RESIDENTIAL PROPERTIES L.P. - "SAME COMMUNITY COMPARISON" (WHOLLY-OWNED PROPERTIES)
THREE MONTHS ENDED MARCH 31, 1997 VERSUS THREE MONTHS ENDED MARCH 31, 1996
Excluding Autumn Chase II, Gleneagles II, Crown Colony II, Regents Center II, Chevy Chase, Willowbrook,
Pleasant Hill, Barrett Lakes, River Exchange & Aurora Crossing
<CAPTION>
1/1/97-3/31/97 1/1/96-3/31/96
--------------------------------- % --------------------------------
Amount/% Per Unit Per Sq Ft Change Amount/% Per Unit Per Sq Ft
-------- -------- ---------- ------ ---------- -------- ---------
<S> <C> <C> <C> <C> <C> <C> <C>
WEIGHTED AVG. OCCUPANCY
- -----------------------
Dallas 94.3% -0.8% 95.0%
Atlanta 93.6% -0.5% 94.1%
Austin 94.6% 0.2% 94.4%
Houston 93.0% 6.6% 87.2%
Indianapolis 91.9% -1.8% 93.5%
Eastern Kansas 93.0% 1.9% 91.2%
Chicago 92.6% -3.1% 95.5%
----- ----- -----
Weighted Average 93.7% -0.2% 93.8%
===== ===== =====
WEIGHTED AVG. RENTAL RATE
- -------------------------
Dallas $624 2.8% $607
Atlanta $728 3.6% $703
Austin $624 -1.1% $631
Houston $699 -2.9% $720
Indianapolis $572 1.1% $566
Eastern Kansas $645 1.1% $637
Chicago $950 3.3% $920
---- ---- ----
Weighted Average $668 1.9% $656
==== ==== ====
TOTAL PROPERTY REVENUES PER MONTH PER MONTH
- ----------------------- --------- ---------
Dallas $ 7,531,956 $714 $0.85 1.7% $ 7,404,616 $702 $0.83
Atlanta $ 6,037,512 $716 $0.75 4.5% $ 5,779,088 $685 $0.72
Austin $ 2,802,903 $613 $0.86 0.5% $ 2,788,525 $610 $0.86
Houston $ 1,550,697 $686 $0.74 6.6% $ 1,454,409 $643 $0.70
Indianapolis $ 1,653,208 $553 $0.67 0.4% $ 1,647,187 $551 $0.67
Eastern Kansas $ 1,704,151 $626 $0.73 4.4% $ 1,632,328 $599 $0.70
Chicago $ 1,737,834 $943 $1.08 0.6% $ 1,727,403 $938 $1.08
------------ ---- ----- ---- ---------- ---- -----
Total $ 23,018,261 $690 $0.80 2.6% $22,433,555 $672 $0.78
============ ==== ===== ==== =========== ==== =====
<PAGE>
AMLI RESIDENTIAL PROPERTIES L.P. - "SAME COMMUNITY COMPARISON" (WHOLLY-OWNED PROPERTIES) - CONTINUED
AND CO-INVESTMENT
Excluding Autumn Chase II, Gleneagles II, Crown Colony II, Regents Center II, Chevy Chase, Willowbrook,
Pleasant Hill, Barrett Lakes, River Exchange & Aurora Crossing
1/1/97-3/31/97 1/1/96-3/31/96
--------------------------------- % --------------------------------
Amount/% Per Unit Per Sq Ft Change Amount/% Per Unit Per Sq Ft
-------- -------- ---------- ------ ---------- -------- ---------
<S> <C> <C> <C> <C> <C> <C> <C>
PROPERTY OPERATING EXPENSES (ANNUALIZED) (ANNUALIZED)
- --------------------------- ------------ -----------
Dallas $ 3,277,200 $3,728 $4.43 -1.4% $ 3,323,095 $3,781 $4.49
Atlanta $ 2,254,684 $3,207 $3.37 4.8% $ 2,151,358 $3,060 $3.22
Austin $ 1,228,879 $3,228 $4.52 -0.4% $ 1,233,701 $3,240 $4.54
Houston $ 691,334 $3,668 $3.97 -7.2% $ 745,145 $3,953 $4.27
Indianapolis $ 586,636 $2,356 $2.86 -4.9% $ 616,755 $2,477 $3.01
Eastern Kansas $ 592,439 $2,610 $3.03 -2.7% $ 608,711 $2,682 $3.12
Chicago $ 864,223 $5,630 $6.46 -3.0% $ 891,304 $5,807 $6.66
------------ ------ ----- ----- ----------- ------ -----
Total $ 9,495,396 $3,415 $3.98 -0.8% $ 9,570,069 $3,442 $4.01
============ ====== ===== ===== =========== ====== =====
Operating Efficiency 41.3% 42.7%
===== =====
NET OPERATING INCOME PER MONTH PER MONTH
- -------------------- --------- ---------
Dallas $ 4,254,756 $403 $0.48 4.2% $ 4,081,521 $387 $0.46
Atlanta $ 3,782,828 $448 $0.47 4.3% $ 3,627,730 $430 $0.45
Austin $ 1,574,024 $345 $0.48 1.2% $ 1,554,823 $340 $0.48
Houston $ 859,363 $380 $0.41 21.2% $ 709,264 $314 $0.34
Indianapolis $ 1,066,571 $357 $0.43 3.5% $ 1,030,432 $345 $0.42
Eastern Kansas $ 1,111,712 $408 $0.47 8.6% $ 1,023,618 $376 $0.44
Chicago $ 873,611 $474 $0.54 4.5% $ 836,099 $454 $0.52
------------ ---- ----- ----- ----------- ---- -----
Total $ 13,522,866 $405 $0.47 5.1% $12,863,486 $385 $0.45
============ ==== ===== ===== =========== ==== =====
Operating Margin 58.7% 57.3%
===== =====
CAPITAL EXPENDITURES (ANNUALIZED) (ANNUALIZED)
- -------------------- ------------- ------------
Dallas $ 785,986 $894 $1.06 552.8% $ 120,407 $137 $0.16
Atlanta $ 156,528 $223 $0.23 8.9% $ 143,681 $204 $0.21
Austin $ 81,701 $215 $0.30 133.7% $ 34,956 $ 92 $0.13
Houston $ 16,148 $ 86 $0.09 -25.5% $ 21,671 $115 $0.12
Indianapolis $ 43,185 $173 $0.21 93.9% $ 22,274 $ 89 $0.11
Eastern Kansas $ 26,257 $116 $0.13 61.8% $ 16,225 $ 71 $0.08
Chicago $ 68,470 $446 $0.51 137.7% $ 28,800 $188 $0.22
------------ ---- ----- ------ ---------- ---- -----
Total $ 1,178,274 $424 $0.49 203.7% $ 388,014 $140 $0.16
============ ==== ===== ====== ========== ==== =====
<PAGE>
AMLI RESIDENTIAL PROPERTIES L.P. - "SAME COMMUNITY COMPARISON" (WHOLLY-OWNED PROPERTIES) - CONTINUED
Excluding Autumn Chase II, Gleneagles II, Crown Colony II, Regents Center II, Chevy Chase, Willowbrook,
Pleasant Hill, Barrett Lakes, River Exchange & Aurora Crossing
1/1/97-3/31/97 1/1/96-3/31/96
--------------------------------- % --------------------------------
Amount/% Per Unit Per Sq Ft Change Amount/% Per Unit Per Sq Ft
-------- -------- ---------- ------ ---------- -------- ---------
<S> <C> <C> <C> <C> <C> <C> <C>
REPAIRS AND MAINTENANCE (ANNUALIZED) (ANNUALIZED)
- ----------------------- ------------ ------------
Dallas $ 480,067 $546 $0.65 4.2% $ 460,904 $ 524 $0.62
Atlanta $ 290,358 $413 $0.43 14.0% $ 254,738 $ 362 $0.38
Austin $ 170,884 $449 $0.63 -9.6% $ 188,958 $ 496 $0.70
Houston $ 40,915 $217 $0.23 -33.1% $ 61,142 $ 324 $0.35
Indianapolis $ 115,570 $464 $0.56 -3.9% $ 120,237 $ 483 $0.59
Eastern Kansas $ 83,811 $369 $0.43 -8.4% $ 91,540 $ 403 $0.47
Chicago $ 119,994 $782 $0.90 -13.5% $ 138,659 $ 903 $1.04
------------ ---- ----- ----- ---------- ------ -----
Total $ 1,301,599 $468 $0.54 -1.1% $1,316,178 $ 473 $0.55
============ ==== ===== ===== ========== ====== =====
REAL ESTATE TAXES (ANNUALIZED) (ANNUALIZED)
- ----------------- ------------ ------------
Dallas $ 1,026,666 $1,168 $1.39 4.9% $ 978,890 $1,114 $1.32
Atlanta $ 508,526 $ 723 $0.76 5.3% $ 482,751 $ 687 $0.72
Austin $ 348,696 $ 916 $1.28 4.8% $ 332,715 $ 874 $1.23
Houston $ 275,411 $1,461 $1.58 -5.3% $ 290,704 $1,542 $1.67
Indianapolis $ 171,447 $ 689 $0.84 -4.2% $ 179,025 $ 719 $0.87
Eastern Kansas $ 212,667 $ 937 $1.09 9.2% $ 194,712 $ 858 $1.00
Chicago $ 305,001 $1,987 $2.28 4.5% $ 291,963 $1,902 $2.18
------------ ------ ----- ----- ---------- ------ -----
Total $ 2,848,414 $1,024 $1.19 3.6% $2,750,760 $ 989 $1.15
============ ====== ===== ==== ========== ====== =====
</TABLE>
<PAGE>
<TABLE>
AMLI RESIDENTIAL PROPERTIES TRUST
PROPERTY INFORMATION
As of March 31, 1997
<CAPTION>
Qtr ended
Mar. 31, 1997
Approx- Average Qtr ended
imate Rental Rates Mar. 31,
Number Rentable Average ------------- 1997
Year Year of Area Unit Size Per Per Average
PROPERTIES Location Acquired Completed Units (Sq Ft) (Sq Ft) Unit Sq Ft Occupancy
- ---------- -------- -------- --------- ------ --------- --------- ---- ----- -----------
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C>
DALLAS/FT.
WORTH, TX
- ----------
Amli:
at Autumn Chase Carrollton, TX 1991 1987 226 180,868 800 $638 $0.80 96.2%
at Autumn Chase II Carrollton, TX 1996 224 193,420 863 724 0.84 96.0%
at Bear Creek Euless, TX 1989 1986 350 275,010 786 563 0.72 91.4%
at Chase Oaks Plano, TX 1994 1986 250 193,736 775 659 0.85 95.7%
at Gleneagles Dallas, TX 1988 1987 326 274,300 841 621 0.74 95.5%
on the Green Ft. Worth, TX 1994 1990/93 424 358,560 846 688 0.81 89.6%
at Nantucket Dallas, TX 1988 1986 312 222,208 712 523 0.73 96.6%
of North Dallas Dallas, TX 1989/90 1985/86 1,032 905,590 878 626 0.71 94.1%
at Reflections Irving, TX 1993 1986 212 174,332 822 649 0.79 96.9%
on Rosemeade Dallas, TX 1990 1987 236 205,382 870 640 0.74 97.0%
on Timberglen Dallas, TX 1990 1985 260 201,198 774 577 0.75 96.0%
at Valley Ranch Irving TX 1990 1985 460 389,940 848 659 0.78 93.3%
----- --------- --- ---- ----- ------
Subtotal-Dallas/
Ft. Worth, TX 4,312 3,574,544 829 $629 $0.76 94.4%
----- --------- --- ---- ----- ------
ATLANTA, GA
- -----------
Amli:
at Sope Creek Marietta, GA 1982/83/
1995 695 632,393 910 $691 $0.76 92.3%
at Spring Creek Dunwoody, GA 1985/86/ 1,180 1,080,560 916 701 0.77 93.2%
87/89
at Vinings Atlanta, GA 1992 1985 208 229,708 1,104 785 0.71 93.4%
at West Paces Atlanta, GA 1993 1992 337 314,707 934 855 0.92 97.5%
------ --------- ----- ---- ----- ------
Subtotal-
Atlanta, GA 2,420 2,257,368 933 $727 $0.78 93.6%
------ --------- ----- ---- ----- ------
<PAGE>
Qtr ended
Mar. 31, 1997
Approx- Average Qtr ended
imate Rental Rates Mar. 31,
Number Rentable Average ------------- 1997
Year Year of Area Unit Size Per Per Average
PROPERTIES Location Acquired Completed Units (Sq Ft) (Sq Ft) Unit Sq Ft Occupancy
- ---------- -------- -------- --------- ------ --------- --------- ---- ----- -----------
AUSTIN, TEXAS
- -------------
Amli:
at the Arboretum Austin, TX 1986 1983 231 178,116 771 $679 $0.88 93.2%
in Great Hills Austin, TX 1991 1985 344 256,892 747 667 0.89 93.9%
at Martha's
Vineyard Austin, TX 1992 1986 360 253,328 704 610 0.87 93.3%
----- ------- --- ---- ----- -----
Subtotal-
Austin, TX 935 688,336 736 $648 $0.88 93.5%
----- ------- --- ---- ----- -----
EASTERN KANSAS
- --------------
Amli:
at Alvamar Lawrence, KS 1994 1989 152 125,800 828 $659 $0.80 96.7%
at Crown Colony Topeka, KS 1994 1986 156 120,984 776 551 0.71 95.3%
at Regents Center Overland Park, KS 1994 1991-95 300 274,170 914 727 0.80 87.6%
at Sherwood Topeka, KS 1994 1993 300 260,340 868 603 0.70 95.2%
---- ------- --- --- ----- -----
Subtotal
-Eastern KS 908 781,294 860 $645 $0.75 93.0%
---- ------- --- ---- ----- -----
INDIANAPOLIS, IN
- ----------------
Amli:
at Riverbend Indianapolis, IN 1992/93 1983/85 996 820,712 824 $572 $0.69 91.9%
---- ------- --- ---- ----- -----
CHICAGO, IL
- ------------
Amli:
at Park Sheridan Chicago, IL 1989 1986 253 216,315 855 $928 $1.09 91.3%
---- ------- --- ---- ----- -----
TOTAL
PROPERTIES 9,824 8,338,569 849 $658 $0.78 93.6%
===== ========= === ==== ===== =====
<PAGE>
Qtr ended
Mar. 31, 1997
Approx- Average Qtr ended
imate Rental Rates Mar. 31,
Number Rentable Average ------------- 1997
Year Year of Area Unit Size Per Per Average
PROPERTIES Location Acquired Completed Units (Sq Ft) (Sq Ft) Unit Sq Ft Occupancy
- ---------- -------- -------- --------- ------ --------- --------- ---- ----- -----------
CO-INVESTMENT
PROPERTIES
- --------------
ATLANTA, GA
Amli:
at Pleasant Hill Atlanta 1996 502 501,816 1,000 $791 $1.00 94.0%
at Towne Creek Gainesville, GA 1989 150 121,722 811 656 0.81 90.2%
at Willeo Creek Roswell, GA 1995 1989 242 297,302 1,229 785 0.64 96.3%
---- ------- ----- ---- ----- ------
Subtotal-
Atlanta, GA 894 920,840 1,030 $767 $0.74 94.0%
---- ------- ----- ---- ----- ------
CHICAGO, IL
- -----------
Amli:
at Prairie
Court Oak Park, IL 1987 125 105,578 845 $1,028 $1.22 94.7%
at Windbrooke Buffalo Grove, IL 1995 1987 236 213,160 903 931 1.03 92.8%
at Chevy Chase Buffalo Grove, IL 1996 1988 592 480,676 812 889 1.10 94.2%
at Danada Wheaton, IL 1997 1989/1991 600 521,500 869 909 1.05 92.0%
at Willowbrook Willowbrook, IL 1996 1987 488 418,404 857 867 1.01 92.1%
---- ------- --- ------ ----- -----
Subtotal-
Chicago, IL 2,041 1,739,318 852 $903 $1.06 92.9%
----- --------- --- ---- ----- -----
DALLAS/FT. WORTH
- ----------------
Amli:
at Verandah Arlington, TX 1997 1986/1991 538 394,504 733 $654 $0.89 94.1%
------ --------- --- ---- ----- -----
AUSTIN, TX
- ----------
Amli:
at Park Place Austin, TX 1994 1985 588 397,968 677 $585 $0.86 96.4%
------ --------- --- ---- ----- -----
<PAGE>
Qtr ended
Mar. 31, 1997
Approx- Average Qtr ended
imate Rental Rates Mar. 31,
Number Rentable Average ------------- 1997
Year Year of Area Unit Size Per Per Average
PROPERTIES Location Acquired Completed Units (Sq Ft) (Sq Ft) Unit Sq Ft Occupancy
- ---------- -------- -------- --------- ------ --------- --------- ---- ----- -----------
HOUSTON, TX
Amli at:
Champions Centre Houston, TX 1994 1994 192 164,480 857 $680 $0.79 91.7%
Champions Park Houston, TX 1994 1991 246 221,646 901 692 0.77 93.6%
Greenwood Forest Houston, TX 1995 1995 316 310,844 984 717 0.73 93.7%
---- ------- --- ---- ----- -----
Subtotal-
Houston, TX 754 696,970 924 $699 $0.76 93.1%
---- ---------- ---- ---- ----- -----
TOTAL CO-INVESTMENT
PROPERTIES 4,815 4,149,600 862 $779 $0.90 93.7%
====== ========== === ==== ===== =====
TOTAL 14,639 12,488,169 853 $698 $0.82 93.6%
====== ========== === ==== ===== =====
</TABLE>
