Aimco, a real estate investment trust (REIT), has reported strong financial performance in its recent press release. The company's stabilized portfolio demonstrated robust operating performance, with year-to-date net operating income (NOI) up 5.3% through the second quarter and blended lease-to-lease up 3.8% through August.
The company's balance sheet remains strong, boasting ample liquidity with access to $110 million of cash on hand and full capacity on its $150 million revolving credit facility. Aimco has also demonstrated a commitment to prudent capital allocation, with a targeted use of proceeds to retire associated liabilities and return capital to stockholders.
In terms of its development and redevelopment projects, Aimco has completed $1.1 billion of development projects since 2020, with an additional $0.6 billion of construction completions and up to one new project start planned for 2024. The company's future development pipeline presents a large and attractive opportunity set, with new starts primarily funded through third-party capital.
Aimco also highlighted its commitment to maximizing and unlocking value for shareholders, favoring the return of capital to shareholders through common stock repurchases, partnership unit redemptions, and special cash dividends. The company has repurchased 14 million shares since 2022, amounting to $104 million.
Furthermore, Aimco's net asset value valuation building blocks showcase the company's multifamily "B" cap rates, which range from 4.8% to 6.0%, reflecting the company's strong position in its markets.
The company's strong financial performance, commitment to prudent capital allocation, and robust development pipeline demonstrate Aimco's continued focus on delivering shareholder value and maximizing returns.
Today the company's shares have moved 0.3% to a price of $8.91. Check out the company's full 8-K submission here.
