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| Camden Property Trust Announces 11.5% Increase in Funds from Operations Per Share |
HOUSTON, Jan. 28 /PRNewswire/ -- Camden Property Trust (NYSE: CPT), a
self-administered multifamily real estate investment trust (REIT), announced
an 11.5% increase in its funds from operations (FFO) per share for the fourth
quarter of 1997 to $0.68 per share or $23.6 million as compared to $0.61 per
share or $10.7 million reported for the same period in 1996. For the twelve
months ended December 31, 1997, Camden's FFO totaled $2.62 per share or
$75.8 million, representing an increase of 9.4% per share or $35.8 million
over the $2.40 per share or $40.0 million reported for the same period in
1996. Same property net operating income for the fourth quarter increased
8.0% over the fourth quarter of 1996, with revenues increasing 5.9% and
operating expenses increasing 3.2%.
Revenues for the fourth quarter of 1997 totaled $59.3 million compared to
$29.0 million in the fourth quarter of 1996. For the twelve months ended
December 31, 1997, revenues totaled $199.8 million compared to $111.6 million
in 1996. Occupancy levels averaged 93.9% during the fourth quarter of 1997 as
compared to 93.4% during the fourth quarter of 1996. Occupancy for the full
year in 1997 and 1996 averaged 93.9% and 94.0% respectively. Average rental
revenues per unit per month during the quarter rose to $546, an increase of
5.4% over the same period in 1996. Net income for the quarter totaled
$19.7 million or $0.62 per share compared to $4.2 million or $0.26 per share
for the fourth quarter of 1996. For the twelve months, net income totaled
$1.46 per share or $38.4 million, compared to $0.59 per share or $8.7 million
in 1996.
"Camden's fourth quarter results were strong due to the successful
integration of Paragon, continued strength in our core markets, and the
completion of the 1997 development properties. We are pleased with the
strength of the fourth quarter earnings and want to thank our associates for
their outstanding contributions in 1997," said Ric Campo, Chairman and CEO.
Construction was completed on both the 464-unit The Park at Buckingham and
the 268-unit The Park at Centreport in Dallas, and stabilization is expected
to occur during the third quarter of 1998. The Company's development pipeline
includes six properties containing 2,343 units which are currently under
construction, and the following properties on which construction will begin in
the second quarter of 1998:
Estimated
Project Name Location Units Total Cost Start Date
The Park at Holly Springs Houston, TX 548 $37.1 million 2nd Qtr. 1998
The Park at Steeplechase Houston, TX 300 13.5 million 2nd Qtr. 1998
Dispositions during the quarter included five multifamily properties in
Texas and Florida containing 1,592 units. The $36 million proceeds from the
sales were reinvested in development properties and used to retire debt.
On December 16, 1997, the Company announced the execution of a definitive
merger agreement pursuant to which Oasis Residential, Inc. would be merged
with and into a wholly owned subsidiary of Camden. Upon consummation of the
merger, the Company will have 52,848 apartment units with approximately
$2.3 billion in total assets, creating the third largest multifamily REIT in
the United States. The transaction is subject to approval by the shareholders
of both companies and is expected to be completed in the second quarter of
1998.
Camden Property Trust currently owns interests in and operates
100 properties containing 34,669 apartment units in the Sunbelt and Midwestern
markets from Florida to Arizona. Upon completion of the six properties under
construction, the Company's portfolio will increase to 37,012 apartment units
in 106 properties.
In addition to historical information, this press release contains
forward-looking statements under the federal securities law. These statements
are based on current expectations, estimates and projections about the
industry and markets in which Camden operates, management's beliefs, and
assumptions made by management. Forward-looking statements are not guarantees
of future performance and involve certain credit risks and uncertainties which
are difficult to predict.
For more information, please contact Richard J. Campo or D. Keith Oden at
800-9CAMDEN, or locally at 713-964-3555.
OPERATING RESULTS
(In thousands, except per share and property data amounts)
(Unaudited) Three Months Ended Twelve Months Ended
December 31, December 31,
OPERATING DATA (A) 1997 1996 1997 1996
Rental income $55,512 $27,618 $187,928 $105,785
Other property income 3,019 1,052 9,510 4,453
Total property income 58,531 28,670 197,438 110,238
Equity in income of joint
ventures 337 --- 1,141 ---
Fee and asset management 261 309 743 949
Other income 177 38 467 419
Total revenues 59,306 29,017 199,789 111,606
Property operating
and maintenance 21,051 10,248 70,595 40,604
Real estate taxes 5,592 3,287 21,028 13,192
General and administrative 1,385 693 4,473 2,631
Interest 7,795 4,352 28,537 17,336
Depreciation and amortization 13,411 6,447 44,836 23,894
Total expenses 49,234 25,027 169,469 97,657
Income before gain on sales
of properties, losses
related to early retirement
of debt and minority
interest 10,072 3,990 30,320 13,949
Gain on sales of properties 10,170 170 10,170 115
Losses related to early
retirement of debt (111) --- (397) (5,351)
Income before minority interest 20,131 4,160 40,093 8,713
Minority interest in
Operating Partnership (446) --- (1,655) ---
Net income 19,685 4,160 38,438 8,713
Preferred share dividends --- --- --- (4)
Net income to common
shareholders $19,685 $4,160 $38,438 $8,709
FUNDS FROM OPERATIONS
Net income to common
shareholders $19,685 $4,160 $38,438 $8,709
Real estate depreciation 13,125 6,181 43,769 22,946
Real estate depreciation
from unconsolidated
joint ventures 310 --- 906 ---
Gain on sales of properties (10,170) (170) (10,170) (115)
Losses related to early
retirement of debt 111 --- 397 5,351
Preferred share dividends --- --- --- 4
Minority interest 446 --- 1,655 ---
Interest on convertible
subordinated debentures 111 508 670 2,809
Amortization of deferred costs
on convertible debentures 11 59 88 295
Funds from operations $23,629 $10,738 $75,753 $39,999
PER SHARE DATA
Net income - basic $0.62 $0.26 $1.46 $0.59
Net income - diluted 0.59 0.26 1.41 0.58
Funds from operations 0.68 0.61 2.62 2.40
Cash distributions 0.490 0.475 1.960 1.900
Weighted average number of
common and common equivalent
shares outstanding:
Basic 31,511 15,865 26,257 14,849
Diluted 34,517 16,080 28,356 14,979
FFO 34,517 17,493 28,882 16,682
PROPERTY DATA (B)
Total operating properties
(end of period) 100 48 100 48
Total operating units in
operating properties
(end of period) 34,669 17,611 34,669 17,611
Total operating units
(weighted average) 35,141 17,788 30,172 17,362
(A) Certain reclassifications have been made to the Company's historical
operating data.
(B) Includes three properties containing 1,264 units held through joint
venture investments.
FOURTH QUARTER 1997 - FINANCIAL HIGHLIGHTS
(In thousands, except per share amounts and ratios)
(Unaudited)
Three Months Ended Twelve Months Ended
December 31, December 31,
1997(A) 1996 % Change 1997(A) 1996(B) % Change
Revenues $59,306 $29,017 104.4% $199,789 $111,606 79.0%
Avg. monthly rent
per operating unit 546 518 5.4% 535 508 5.3%
Net income 19,685 4,160 373.2% 38,438 8,713 341.2%
Per share - basic 0.62 0.26 138.5% 1.46 0.59 147.5%
Per share - diluted 0.59 0.26 126.9% 1.41 0.58 143.1%
Funds from operations 3,629 10,738 120.1% 75,753 39,999 89.4%
Per share 0.68 0.61 11.5% 2.62 2.40 9.4%
Dividends per share 0.490 0.475 3.2% 1.960 1.900 3.2%
Interest expense
coverage ratio 4.0 3.4 --- 3.6 3.2 ---
Dividend payout ratio 70.5% 73.7% --- 73.2% 75.9% ---
Same property NOI 8.0% 2.0% --- 6.2% 6.8% ---
(# of units
included) 26,694 14,193 --- 26,694 13,905 ---
(A) Includes a $10,170 or $0.32 basic earnings per share impact and
$0.29 diluted earnings per share impact related to gain on sales of
properties.
(B) Includes a $(5,351) or $(0.37) per share impact from losses related
to early retirement of debt.
As of December 31,
1997 1996
Total assets $1,323,620 $603,510
Total debt 480,754 244,182
Common and common equivalent
shares outstanding, end of period 34,546 17,676
Share price, end of period 31.00 28.63
Book equity value, end of period 710,564 295,428
Market equity value, end of period 1,070,926 505,976
Debt to total market
capitalization ratio 31.0% 32.6%
Debt to assets ratio 36.3% 40.5%
Unencumbered real estate
assets to unsecured debt ratio 344% 293%
SOURCE Camden Property Trust
back to topRelated links:
Richard J. Campo or D. Keith Oden, both of
Camden Property Trust, 800-9CAMDEN, or 713-964-3555
