UDR raises midpoint of annual FFO forecast banking on strong occupancy rates
30/10/2024 22:30
Oct 30 (Reuters) - Real estate investment trust UDR
UDR.N on Wednesday raised the midpoint of its forecast for
full-year adjusted funds from operations (AFFO) and same-store
sales growth, as relatively affordable rentals and improving
occupancy rates boost tenant loyalty.
"We expect our fourth quarter year-over-year same-store
revenue growth to accelerate from third quarter levels due to
resident retention that continues to exceed our original
expectations" said Mike Lacy, UDR's senior vice president of
operations.
The company narrowed the range for its 2024 AFFO per share
expectation to $2.21 to $2.23, up 2 cents at the midpoint from
its prior outlook of $2.16 to $2.24.
The Highlands Ranch, Colorado-based REIT lifted the bottom
end of its full-year same-store revenue growth estimate to
between 2.00% to 2.40%, compared with prior estimate of 1.00% to
3.00%.
The company, which has a portfolio of more than 50,000
apartment units in 21 markets, reported same-store revenue
growth of 1.2% for the third quarter, up about 1% from prior
quarter.
AFFO per share for the quarter ended Sept. 30 fell
marginally below estimates at $0.54.
Shares of the company rose 1% in trading after the bell.
(Reporting by Ananta Agarwal and Raechel Thankam Job in
Bengaluru; Editing by Shailesh Kuber)
((Ananta.Agarwal@thomsonreuters.com))