Apartment Investment And Management Company · NYSE:AIV

Apartment Investment And Management — Non-Deal Roadshow (February 2013)

13 slides from Apartment Investment And Management's roadshow presentation, Feb 21, 2013

  1. Slide 1: Investor Presentation February/March 2013

    1 Investor Presentation February/March 2013

  2. Slide 2: Strategic Areas of Focus

    2 Strategic Areas of Focus Property Operations • Peer-leading operating cost control • Lower turnover strategy • Above-average property operating results over cycle Portfolio Management • Portfolio designed to serve target customers • Disciplined capital recycling to upgrade portfolio • Peer-leading

  3. Slide 3: 2013 Guidance

    3 2013 Guidance • Conventional Same Store NOI  4.50% - 6.75% • Conventional Same Store revenue  4.25% - 5.25% • Conventional Same Store expenses  2.5% - 4.0%: operating expenses flat, utilities, taxes & insurance each  5% - 8% Property Operations • Dispositions $300 - $350M; net proceeds to Aimc

  4. Slide 4: Focus on being a lower-cost operator

    4 Focus on being a lower-cost operator  Greater NOI contribution and more predictable operating results  On average, customers choose to rent an Aimco apartment for 22 months, up 22% from 2007  Aimco’s turnover averages 44% - 46% compared to the peer average of approximately 57%(1)(2)  With lowe

  5. Slide 5: Designing portfolio around our target customers

    5 Coastal 60% Job growth markets 35% Other 5% Designing portfolio around our target customers Portfolio Strategy Target demographic: Age 25-40 High propensity to rent, predictably increasing number of people College educated Stronger job and earnings growth; lower unemployment Single Lower rate of h

  6. Slide 6: Capital Allocation Approach

    6 Capital Allocation Approach Execute strategy through paired-property, leverage-neutral, tax-efficient transactions Methodical approach to investment selection:  Free Cash Flow Internal Rate of Return (FCF IRR) drives investment decisions  Selective investments are made when: the projected FCF IR

  7. Slide 7: Redevelopment Strategy

    7 Redevelopment Strategy Pipeline of opportunities to generate higher risk-adjusted returns Redevelopment philosophy:  Land in quality locations appreciates over time  Older assets in quality locations provide opportunity for redevelopment  Redevelopment is a short-cycle business making it lower-

  8. Slide 8: 2013 Plan: Redevelopment

    8 2013 Plan: Redevelopment Redevelopment plan is on track (1) Based on CBRE August 2012 Cap Rate Survey. (2) Amounts in graphic represent total estimated redevelopment investment, excluding basis in property prior to redevelopment. (3) 2900 on First, Park Towne Place and The Sterling represent multi

  9. Slide 9: Balance sheet designed for safety

    9 Balance sheet designed for safety Leverage strategy:  Limit entity risk by avoiding recourse debt, of which Aimco has very little  Reduce re-pricing risk by using fixed-rate loans and refinancing nearer-term maturities to lock-in current low rates  Reduce refunding risk by laddering maturities

  10. Slide 10: Balance sheet strategy allows for flexibility and low costs

    10 Balance sheet strategy allows for flexibility and low costs Tools in the Toolkit 97% of leverage is non-recourse, long-term, fixed-rate, amortizing property loans, with an average LTV of 46%. Balance is preferred stock. Use multiple sources of non-recourse property debt, including insurance compa

  11. Slide 11: Leverage In-Line With Peers

    11 Net Debt + Preferred + Remaining Development Spend/Last Quarter Annualized EBITDA (1)(2) Current Net Debt + Preferred/Last Quarter Annualized EBITDA (1) 8.7x 7.7x 7.7x 7.7x 7.4x 7.0x 6.7x 5.9x 5.6x 5.6x 5.1x CLP UDR AIV EQR HME ESS BRE MAA CPT AVB PPS Leverage In-Line With Peers (1) Charts courte

  12. Slide 12: Earnings & Dividend Growth

    12 Earnings & Dividend Growth Increasing earnings, higher dividends (1) Aimco 2013 FFO growth is based on 2012 Pro forma FFO of $1.84 per share and the mid-point of 2013 company guidance of $2.00. 2014 and 2015 FFO growth has been calculated based on estimates published online by Green Street Adviso

  13. Slide 13: Forward-looking statements

    13 This presentation contains forward-looking statements within the meaning of the federal securities laws, including, without limitation, statements regarding projected results and specifically: forecasts of 2012 financial and operating results, asset sales and redevelopment investment; projected r

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