American Homes 4 Rent · NYSE:AMH
American Homes 4 Rent — Investor Presentation (November 2024)
29 slides from American Homes 4 Rent's investor presentation, November 2024
Slide 1: Investor Highlights
Investor Highlights November 2024
Slide 2: Legal Disclosures
Legal Disclosures Forward-Looking Statements Various statements contained in this presentation, including those that express a belief, expectation or intention, as well as those that are not statements of historical fact, are forward- looking statements. These forward-looking statements may relate t
Slide 3: AMH At A Glance
AMH At A Glance Sustained Long-Term Prudent & Consistent Investment Grade Fundamentals for External Growth Balance Sheet Single-Family Rentals Strategy ➢ Favorable Long-Term Tailwinds ➢ Largest Integrated Single-Family ➢ High-Quality Investment Grade ➢ National High-Quality Single- Rental Builder wi
Slide 4: Same-Home Operational Update
Same-Home Operational Update Average Occupied Days(1) Average Blended Change in Rent(1) 98.0% 8.0% 97.0% 7.2% 6.0% 96.8% 5.8% 96.0% 96.2% 96.2% 5.3% 4.0% 95.0% 4.1% 4.3% 95.2% 95.2% 3.4% 94.8% 2.0% 94.0% 93.0% 0.0% Oct YTD Oct Oct YTD Oct (10 months) (1 month) (10 months) (1 month) '18 - '19 2023 20
Slide 5: Diversified Portfolio Footprint
Diversified Portfolio Footprint Positioned for Long-Term Sustainable Growth and Portfolio Optimization Flexibility Seattle, 1.7% Chicago, 2.6% Indianapolis, 4.8% Boise Salt Lake City, 3.3% Denver Columbus, 3.7% Cincinnati, 3.6% Las Vegas, 4.1% Nashville, 5.7% Raleigh, 3.7% Charlotte, 7.0% Phoenix, 5
Slide 6: 4Q24 Bulk Portfolio Acquisition Overview
4Q24 Bulk Portfolio Acquisition Overview Previously Announced Portfolio Acquisition of High-Quality, Well-Located Assets AMH State Presence Bulk Portfolio State Presence ~1,700 13 9 17 Years ~2,100 sf Low 90% ~$2,000 Total Markets States Avg. Age Avg. Square Feet In-Place Occ., Net Avg. In-Place Pro
Slide 7: SFR Macro Tailwinds
SFR Macro Tailwinds AMH Stone Creek Development Atlanta Market 7
Slide 8: Undersupplied Housing Landscape
Undersupplied Housing Landscape Historically Low Existing Home Inventories Expected New Construction Levels Likely not Enough to Have Led to Supply Constraints Solve the Country’s Housing Shortage TTM Avg. National Existing Home Inventory(1) (MM) 2.0 Single-Family Permits(2) (MM) 3.3 1.6 2.8 Single-
Slide 9: Sustained Demand Tailwinds
Sustained Demand Tailwinds SFR Value Proposition Further Benefitted By Millennials are Aging into Prime Single Family Living Years Increased Cost of Ownership Est. Single Family Rents vs. Cost of Home Ownership(1) Projected Population Growth(2) (Top 20 AMH Markets) 30% 2.0% 22% 22% 20% 1.5% 10% 7% 1
Slide 10: AMH Today
AMH Today AMH Pine Landing Development Las Vegas Market 10
Slide 11: 2024 Guidance
2024 Guidance Recent 3Q24 Increase Driven by Improved Outlook for Property Taxes and Controllable Expenses Full Year Midpoint. Core FFO per share and unit(1) $1.76 – $1.78 $1.77 Core FFO per share and unit growth 6.0% – 7.2% 6.6% Same-Home Portfolio: Core revenues growth 4.50% – 5.50% 5.00% Core pro
Slide 12: Investment Grade Balance Sheet
Investment Grade Balance Sheet High Quality Balance Sheet Creates Flexibility and Optionality for Growth Debt Maturity Schedule(2)(3) (MM) Preferred Shares, 1.1% $4,035 Common Shares & OP Units, 76.9% $20.9B Total Liquidity(4)(5) Capitalization(1) $1,522 Fixed Rate $510 Debt, 22.0% $3 $10 $10 $10 20
Slide 13: Differentiated Growth Strategy
Differentiated Growth Strategy AMH Cactus Cliff Development Las Vegas Market 13
Slide 14: Three-Pronged Growth Strategy
Three-Pronged Growth Strategy Consistent Growth from AMH Development Complemented by Nimble and Opportunistic Acquisition Channels That Can be “Dialed Up or Down” Based on Market Conditions SM AMH Development Program MLS and Portfolio Acquisitions • Internal development program provides National Bui
Slide 15: AMH Development: Not All BTR is the Same
AMH Development: Not All BTR is the Same Building the Ideal Rental Home Through the Lens of our Best-In-Class Operating Platform Other BTR Product Design and create ideal rental Homes and Communities using Less opportunity for alignment of Strategy data and insights from AMH’s integrated developme
Slide 16: AMH Development
AMH Development A Consistent Driver of Earnings Growth, Fueled by ~11,000 Unit Land Pipeline at Locked in Prices AMH Development Deliveries(1) AMH Development Land Pipeline(2) 3,000 Total Lots Owned and Optioned 16,000 14,000 2,500 14,000 2,300 2,300 13,000 13,000 2,200 2,100 12,000 2,000 11,000 10,
Slide 17: SFR Owner, Operator, & Developer
SFR Owner, Operator, & Developer Internal Development Program Integrated with AMH Operating Platform Provides Unique Ability to Optimize Portfolio and Platform through Continuous Data Feedback Loops Technology Driven Operating Platform Integrated AMH Development Program Innovative technology systems
Slide 18: Leaders in Sustainability
Leaders in Sustainability AMH Brentwood Development Charlotte Market 18
Slide 19: Sustainability Commitment
Sustainability Commitment Providing Quality, Sustainable Housing that Our Residents Desire Building for the Future Fostering Strong Communities Leading with Integrity Efficient, durable homes that • Ongoing resident satisfaction • Management Committee are better for residents and the surveys conduct
Slide 20: Recent Recognitions
Recent Recognitions America’s Most Most Trustworthy Responsible Companies Companies in America 2024 2024 by Newsweek and Statista by Newsweek and Statista Best Workplaces in Great Place To Work® Real Estate 2024 by Great Place To Work Institute 2023 by Fortune Most Loved Workplace 2024 by Best Pract
Slide 21: Corporate Governance Highlights
Corporate Governance Highlights ▪ 83% Independent trustees Independent & ▪ Annual election of trustees Accountable ▪ Majority voting standard (plurality carve‐out voting standard only in contested elections) Stewardship ▪ Annual Board self-evaluation process ▪ Regular shareholder engagement with tru
Slide 22: Appendix
Appendix
Slide 23: Defined Terms and Non-GAAP Reconciliations
Defined Terms and Non-GAAP Reconciliations 2024 Guidance Set forth on slide 11 are the Company’s current expectations with respect to full year 2024 Core FFO attributable to common share and unit holders and our underlying assumptions. In reliance on the exception provided by applicable SEC rules, t
Slide 24: Defined Terms and Non-GAAP Reconciliations
Defined Terms and Non-GAAP Reconciliations Core Net Operating Income ("Core NOI“) Core NOI, which we also present separately for our Same-Home, unencumbered and encumbered portfolios, is a supplemental non-GAAP financial measure that we define as core revenues, which is calculated as rents and other
Slide 25: Defined Terms and Non-GAAP Reconciliations
Defined Terms and Non-GAAP Reconciliations Credit Ratios We present the following selected metrics because we believe they are helpful as supplemental measures in assessing the Company’s ability to service its financing obligations and in evaluating balance sheet leverage against that of other real
Slide 26: Defined Terms and Non-GAAP Reconciliations
Defined Terms and Non-GAAP Reconciliations Fixed Charge Coverage For the Trailing Twelve Months Ended Sep 30, 2024 Interest expense per income statement $ 155,957 Less: amortization of discounts, loan costs and cash flow hedges (12,052) Add: capitalized interest 54,488 Cash interest 198,393 Dividend
Slide 27: Defined Terms and Non-GAAP Reconciliations
Defined Terms and Non-GAAP Reconciliations EBITDA / EBITDAre / Adjusted EBITDAre EBITDA is defined as earnings before interest, taxes, depreciation and amortization. EBITDA is a non-GAAP financial measure and is used by us and others as a supplemental measure of performance. EBITDAre is a supplement
Slide 28: Defined Terms and Non-GAAP Reconciliations
Defined Terms and Non-GAAP Reconciliations Funds from Operations (“FFO”) / Core FFO attributable to common share and unit holders FFO attributable to common share and unit holders is a non-GAAP financial measure that we calculate in accordance with the definition approved by NAREIT, which defines FF
Slide 29: Defined Terms and Non-GAAP Reconciliations
Defined Terms and Non-GAAP Reconciliations Property Enhancing Capex Includes elective capital expenditures to enhance the operating profile of a property, such as investments to increase future revenues or reduce maintenance expenditures. Same-Home Property A property is classified as Same-Home if i
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