Mid-america Apartment Communities, Inc. · NYSE:MAA
Mid-america Apartment Communities — 2021 Citi Virtual Global Property CEO Conference
31 slides from Mid-america Apartment Communities's conference presentation, Mar 5, 2021
Slide 1: 2021 Citi Virtual Global Property CEO Conference
2021 Citi Virtual Global Property CEO Conference March 8-11, 2021 Exhibit 99.1
Slide 2: Forward-Looking Statements
2 FORWARD-LOOKING STATEMENTS This presentation contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, with respect to our expectations for future periods. Forward-looking sta
Slide 3: A Strategy Focused On Creating Value Through The Full Market Cycle
A Strategy Focused On Creating Value Through The Full Market Cycle 3
Slide 4: Market Diversification and Submarket Balance across the Sunbelt Region
Market Diversification and Submarket Balance across the Sunbelt Region 1 Based on gross asset value at 12/31/2020 for total multifamily portfolio 2 Average effective rent/unit for 4Q 2020 of $1,325 or higher for A to A+ and below $1,325 for B to B+ for total multifamily portfolio 3 Garden style = 3
Slide 5: 2021 Supply and Demand Expectations
2021 Supply and Demand Expectations 5 Source: Moody’s, Witten Advisors, Yardi Matrix, company information JOBS TO COMPLETION Portfolio Level MAA Footprint Though 2021 estimated Market Level Supply picture looks similar to 2020, 2021 anticipated Job Growth outlook is expected to be much improved from
Slide 6: 2021 Same Store Outlook
2021 Same Store Outlook REVENUE EXPENSE 10%-3.0% 3.0%-5.0% —e 2.0% Fultenaoatforet 4.0% sispont Mispoine Effective Rent Growth 12%-2.2% ‘RealEstate Tax Growth 3.25%- 4.25% Full You 2024 Forecast 1.7% Foleo 2024 Freaet, 3.75% Combination of blondes Lt rot Midpoint Miapoint Sschlevedn 2020 ane nde LOL
Slide 7: 2021 Core FFO and Investment Outlook
2021 Core FFO and Investment Outlook 7 1 In this context, per Share means per diluted common share and unit. 2 Net income per diluted common share is expected to be in the range of $3.26 to $3.56 per diluted common share ($3.41 at the midpoint) for the full year 2021. 3 MAA does not forecast Net inc
Slide 8: Lease Pricing Growth and Occupancy
NEW LEASE AVG Pricing Growth 25% 2.0% 11% tare Over Lease RENEWAL AVG Pricing Grove 5.2% 6.4% 73% ‘Lease Over Lease BLENDED AVG Pricing Growth 13% 22% 24% ‘Lease Over Lease ‘Average Physical OCCUPANCY 95.69% 95.49% 95.69% EFFECTIVE Leases Maa
Slide 9: High Quality Resident Profile + Affordable Rents = Solid Collections Performance and Upside Opportunity
High Quality Resident Profile + Affordable Rents = Solid Collections Performance and Upside Opportunity 9
Slide 10: Continued Low Resident Turnover
Continued Low Resident Turnover 10 Move outs to buy a single family home increased some in Q4 but move outs to rent a single family home dropped keeping total move outs due to moving to a home consistent with the historical 25% to 27% range. Trailing 12 Month Resident Turnover % of Total Move Outs t
Slide 11: Smart Home Technology Roll-out Continues
2020 and 2021 Roll-out Mobile control of lights, thermostat and security as well as leak monitoring provides additional value to residents Additional synergy opportunities in repairs and maintenance, capex, and vacant and house electric charges Continued enhancement and expansion will enhance qualit
Slide 12: Virtual Leasing Platform Creates Competitive Advantage
Virtual Leasing Platform Creates Competitive Advantage 12 MAA continues to adopt, develop and deploy innovative solutions to enhance our leasing efficiency and effectiveness as well as our online presence Adapting our approach as prospects’ needs change, multiple tour options available including con
Slide 13: Unit Interior Upgrades Will Drive Higher Value over Next Two to Three Years
Unit Interior Upgrades Will Drive Higher Value over Next Two to Three Years 13 Property Redevelopment Program Opportunity Approximately 13K units remaining for redevelopment across same store portfolio with potential to create additional rent growth value SCOPE Redevelopments are performed on turn a
Slide 14: Future Opportunity to Capture Pipeline of Units Yet to Be Redeveloped
Future Opportunity to Capture 14 Pipeline of Units Yet to be Redeveloped MAA REDEVELOPMENT PIPELINE Currently Identified Redevelopment Opportunity Top 10 2021 Markets For Redevelopment Atlanta, GA Tampa, FL Charlotte, NC Dallas, TX Washington, DC Phoenix, AZ Nashville, TN Raleigh/Durham, NC Orlando,
Slide 15: Repositioning Select Properties to Drive Additional Value
Repositioning Select Properties to Drive Additional Value 15 MAA Buckhead, Atlanta, GA Updated Leasing Centers Conference Areas to Support Remote Work Exterior Amenities for Today’s Lifestyles MAA Stratford, Atlanta, GA MAA McKinney, Dallas, TX Dramatic Transformations MAA Worthington, Dallas, TX Pr
Slide 16: Development Program Supports Balanced and Diversified Portfolio Strategy
Development Program Supports Balanced and Diversified Portfolio Strategy 16 Novel Midtown, Phoenix, AZ MAA Frisco Bridges II, Dallas, TX MAA Windmill Hill, Austin, TX Sand Lake, Orlando, FL Long Point, Houston, TX Westglenn, Denver, CO Novel Val Vista, Phoenix, AZ The Robinson, Orlando, FL
Slide 17: Development Pipeline and Lease-ups Poised To Deliver Value
Development Pipeline and Lease-ups Poised To Deliver Value 17 Established history and success of disciplined capital deployment will govern growth through new development Design and investment managed from an owner/operator perspective; long-term margins optimized Spread between forecasted cost basi
Slide 18: Strong Balance Sheet and Manageable Debt Maturity Profile
1 MAA calculations as specifically defined in Mid-America Apartments, L.P.’s debt agreements. 2 Sector average represents publicly disclosed sector equivalent. 3 Sector constituents include AVB, CPT, EQR, ESS and UDR; data is from 4Q 2020 company filings 4 Adjusted EBITDAre in this calculation repre
Slide 19: Solid Investment Grade Balance Sheet
Solid Investment Grade Balance Sheet 19 Note: Total Capitalization is defined here as common shares and units outstanding multiplied by the closing stock price on 12/31/2020, plus total debt outstanding at 12/31/2020, plus Preferred stock ($50 redeemable stock price multiplied by total shares outsta
Slide 20: A Brighter View for Today and Tomorrow: MAA's Commitment to Sustainability
35% Improvement over Prior Year A Brighter View for Today and Tomorrow: MAA’s Commitment to Sustainability 20 2020 Achievements Public GRESB Assessment | Corporate Responsibility Report 30 30 GRESB SCORE GREEN STAR MANAGEMENT SCORE PERFORMANCE SCORE Available on “For Investors” page at www.maac.com
Slide 21: A Brighter View for Today and Tomorrow: MAA's Commitment to Sustainability
Responsive service program and routine surveys Online resident portal for ease of transactions, service request submission and communication Property amenities to promote healthy lifestyles Ongoing resident engagement and events CARING FOR OUR BROADER COMMUNITY A Brighter View for Today and Tomorrow
Slide 22: Performance for Shareholders
Performance for Shareholders 22 SOURCE: S&P Global 1 Peer average includes multifamily peers: AVB, CPT, EQR, ESS and UDR Steady Core FFO Growth
Slide 23: Reconciliation of Non-GAAP Financial Measures
Reconciliation of Non-GAAP Financial Measures Definitions of Non-GAAP Financial Measures and Other Key Terms APPENDIX 23 At December 31, 2020
Slide 24: Reconciliation of Non-GAAP Financial Measures
Reconciliation of Non-GAAP Financial Measures 24 (1) Included in Other non-operating (income) expense in the Consolidated Statements of Operations. (2) For the year ended December 31, 2020, $5.6 million of gains from unconsolidated limited partnerships are offset by $0.8 million of income tax expens
Slide 25: Reconciliation of Non-GAAP Financial Measures
Reconciliation of Non-GAAP Financial Measures 25
Slide 26: Reconciliation of Non-GAAP Financial Measures
Reconciliation of Non-GAAP Financial Measures 26 Included in Other non-operating (income) expense in the Consolidated Statements of Operations. For the year ended December 31, 2020, $5.6 million of gains from unconsolidated limited partnerships are offset by $0.8 million of income tax expense as com
Slide 27: Reconciliation of Non-GAAP Financial Measures
Reconciliation of Non-GAAP Financial Measures 27 Included in Restricted cash in the Consolidated Balance Sheets. Included in Restricted cash in the Consolidated Balance Sheets.
Slide 28: Reconciliation of Non-GAAP Financial Measures
Reconciliation of Non-GAAP Financial Measures 28 (1) Non-Core items may include adjustments related to the fair value of the embedded derivative in the MAA Series I preferred shares, gain or loss on sale of non-depreciable assets, adjustments for gains or losses from unconsolidated limited partnersh
Slide 29: Definitions of Non-GAAP Financial Measures
Definitions of Non-GAAP Financial Measures 29 Adjusted EBITDAre For purposes of calculations in this release, Adjusted Earnings Before Interest, Income Taxes, Depreciation and Amortization for real estate, or Adjusted EBITDAre, represents EBITDAre further adjusted for items that are not considered p
Slide 30: Definitions of Non-GAAP Financial Measures: Funds From Operations (FFO)
Definitions of Non-GAAP Financial Measures 30 Funds From Operations (FFO) FFO represents net income available for MAA common shareholders (calculated in accordance with GAAP) excluding gains or losses on disposition of operating properties and asset impairment, plus depreciation and amortization of
Slide 31: Definitions of Other Key Terms
Definitions of Other Key Terms 31 Average Effective Rent per Unit Average Effective Rent per Unit represents the average of gross rent amounts after the effect of leasing concessions for occupied units plus prevalent market rates asked for unoccupied units, divided by the total number of units. Leas
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