Apartment Investment and Management pany(AIV) - 2024 Q4 - Annual Results

Financial Performance - Aimco's net operating income (NOI) for 2024 was $99 million, reflecting a 4.5% increase compared to 2023[4]. - Revenue for the fourth quarter of 2024 was $35.5 million, a 3.5% increase year-over-year, with average monthly revenue per apartment home rising to $2,307[25]. - Rental and other property revenues for Q4 2024 were $54,171,000, an increase of 9.8% from $49,352,000 in Q4 2023[61]. - Total revenues for the real estate operations reached $208,679,000 for the twelve months ended December 31, 2024, compared to $186,995,000 for the same period in 2023, reflecting a year-over-year increase of approximately 11.0%[110]. - The total stabilized operating revenue for the twelve months ended December 31, 2024, was $140,099,000, up from $134,078,000 in 2023, indicating a growth of about 4.0%[110]. - The total net operating income (NOI) for stabilized operating properties was $35,539,000 for the three months ended December 31, 2024, compared to $34,339,000 in 2023, showing a growth of approximately 3.5%[110]. Expenses and Income - Aimco's expenses increased by 4.4% year-over-year in 2024, primarily due to non-annual real estate tax reassessments[12]. - Total operating expenses for Q4 2024 were $54,088,000, up 19.7% from $45,171,000 in Q4 2023[61]. - The total expenses for real estate operations were $90,984,000 for the twelve months ended December 31, 2024, compared to $73,712,000 in 2023, marking a rise of around 23.3%[110]. - Aimco's interest expense for 2025 is projected to be between $63 million and $65 million, an increase from $57 million in 2024[43]. Shareholder Returns - The company plans to return approximately $300 million in net proceeds from the sale of the Brickell Assemblage to stockholders[14]. - Aimco's Board declared a special cash dividend of $0.60 per share, paid on January 31, 2025[30]. - A special cash dividend of $0.60 per share was declared in December 2024, to be distributed from net proceeds of asset sales[93]. Sales and Acquisitions - Aimco sold The Hamilton and a partial interest in the 3333 Biscayne Boulevard site for a total of $204 million, generating approximately $90 million in net proceeds[7]. - In the fourth quarter, Aimco sold interests in two real estate investments for $203.8 million and returned approximately $90 million of capital to stockholders[27]. - Aimco's total partnership acquisitions in 2024 included a 10% ownership increase in Upton Place, valued at $19.1 million[85]. Debt and Leverage - Aimco's net leverage as of December 31, 2024, was $1,067.7 million, with total non-recourse fixed rate debt of $693.993 million[29]. - Total indebtedness decreased to $1,070,660,000 in Q4 2024 from $1,147,741,000 in Q4 2023, a reduction of 6.7%[63]. - Aimco's total non-recourse debt stands at $1,079,952,000 with a weighted average interest rate of 5.49% and a maturity of 5.3 years[65]. Development Projects - Aimco plans to invest between $50 and $60 million in its active development project in 2025, down from $94 million in 2024[38]. - Aimco's active development projects include Upton Place in Washington, D.C., with 689 units and a projected stabilization in Q4 2026[75]. - The total estimated direct costs of Aimco's development portfolio amount to $878.1 million, with an estimated stabilized NOI of $61.6 million[75]. - The company has multiple projects scheduled to start construction in 2025, including One Edgewater in Miami with 533,000 sq ft and 204 units[80]. Market Performance - Average daily occupancy in the fourth quarter of 2024 reached 97.9%, up 50 basis points year-over-year[25]. - The median annual household income of new residents in the fourth quarter of 2024 was $130,000, resulting in a rent-to-income ratio of 20.9%[25]. - Aimco's Chicago market saw a 13.0% revenue growth in Q4 2024 compared to Q4 2023[83]. - New York City's average revenue per apartment home decreased by 4.3% in Q4 2024 compared to Q4 2023[83]. Financial Position - Aimco's balance sheet remains strong with no debt maturities prior to June 2027 and an average duration of 6.8 years for fixed-rate property loans[8]. - Cash and cash equivalents increased to $141,072,000 in Q4 2024 from $122,601,000 in Q4 2023, a rise of 15.0%[63]. - Aimco's net asset value is calculated as the market value of assets less liabilities, with a focus on maintaining a strong balance sheet[102].