Seeking Alpha

UDR, Inc. (UDR)

  • Wed, Jan. 28, 12:23 PM
    • Expect plenty of foreign capital to continue flowing into the sector, says MLV analyst Ryan Meliker. This will contribute to cap rate compression, making it more difficult for REITs to make accretive purchases.
    • The West Coast should lead the country in job generation, and thus rent growth, making Essex Property Trust (ESS) - essentially a pure-play on major markets there - an interesting pick.
    • The Northeast is split - with Boston and NYC expected to outperform on rent growth, but Philadelphia, Baltimore, and D.C. predicted to lag.
    • Strength in the Southeast will be led by Atlanta, and Central and South Florida. Meliker's top pick, Preferred Apartments (APTS +0.6%) has a strong presence in Atlanta.
    • "Conference participants agreed that Houston was in for difficult times ahead – there was no sugar coating how oil prices might affect job growth and therefore demand for multifamily housing."
    • Others of interest: Aimco (AIV +0.6%), Associated Estates (AEC +3.1%), AvalonBay (AVB -0.2%), Post Properties (PPS +0.3%), UDR (UDR +0.3%), Camden Property (CPT -0.3%), Home Properties (HME +0.2%), Mid-America (MAA +0.1%), Trade Street Residential (TSRE -0.6%), Equity Residential (EQR +0.3%).
    | Comment!
  • Wed, Jan. 14, 7:34 AM
  • Dec. 16, 2014, 4:18 PM
    | Comment!
  • Dec. 16, 2014, 10:49 AM
    • National annual effective rent growth of 4.7% in November is the strongest result since August 2011, reports Axiometrics.
    • Axiometrics' Jay Denton: "The combination of an improving job market, and a growing percentage of the population that prefers renting to owning, continues to boost apartment demand."
    • Year-to-date rent growth of 5% makes 2014 the strongest post-recession year. 2010 was the previous high at 4.6%.
    • The occupancy rate continued a seasonal decline, but at 94.8% it's the strongest November read since Axiometrics started reporting monthly in 2008.
    • Source: Press release
    • Interested parties: EQR, AVB, ESS, PPS, UDR, AIV, CPT, HME, MAA, TSRE, AEC, IRET
  • Nov. 24, 2014, 2:40 PM
    • Expected rent growth of 3.9% in 2015 is a bit slower than this year's 4%, according to the NAR, but it's still about 200 basis points higher than inflation.
    • Though anticipated to edge upward, vacancy rates will still be scraping bottom - 4.1% in 2015 and 4.2% in 2015 vs. 4% this year. When vacancy rates are below 5%, it's considered a "landlord's market" in which property owners can continue to hike rents, says the NAR.
    • Apartment REITs: Equity Residential (NYSE:EQR), AvalonBay (NYSE:AVB), Essex Property Trust (NYSE:ESS), Post Properties (NYSE:PPS), UDR, Aimco (NYSE:AIV), Camden Property Trust (NYSE:CPT), Home Properties (NYSE:HME), Mid-America Apartment Communities (NYSE:MAA).
    | Comment!
  • Nov. 5, 2014, 3:09 PM
    • URD, Inc. (UDR -1.3%) has 181 apartment communities totaling 51,699 units in 22 mostly coastal markets. West Coast properties account for 42% of same-store NOI, with Mid-Atlantic 23%. About 45% of properties are Class A, and 55% Class B. The urban/suburban split is 35%/65%.
    • Presentation slides
    • The development pipeline as of September 30 stands at 3,151 units and a cost of $1B, or $404K per unit. $731M has been spent to-date, and UDR figures the return is 150-200 bps over cap rates. Development is focused on those markets which have higher than normal propensities to rent thanks to relatively unaffordable homes - Seattle, San Francisco, Los Angeles, and Orange County top the list.
    | Comment!
  • Oct. 28, 2014, 4:43 PM
    • Q3 Adjusted FFO per share of $0.34 vs $0.31 one year ago.
    • Same-store NOI up 5.1% Y/Y, with revenue growth of 4.4% and expenses up 2.9%. Same-store physical occupancy of 96.8% up 60 basis points. Annualized rate of turnover down 450 bps to 63.5%. An outlier to the downside is the Mid-Atlantic region (23.4% of portfolio) which had revenue growth of just 0.8% and expenses higher by 2.6%.
    • Full-year AFFO per share outlook of $1.34-$1.36 from $1.32-$1.36.
    • Conference call tomorrow at 1 ET
    • Previously: UDR beats on revenue
    • UDR flat AH
    | Comment!
  • Oct. 28, 2014, 4:26 PM
    • UDR (NYSE:UDR): Q3 FFO of $0.41 vs. $0.40 consensus; FFO as Adjusted $0.38
    • Revenue of $206.75M (+8.2% Y/Y) beats by $3.29M.
    • Press Release
    | Comment!
  • Oct. 14, 2014, 3:10 PM
    • The vacancy rate ticked higher to 4.2% in Q3 from 4.1 a quarter earlier - not much of a move, but the first increase in almost five years, according to REIS. Another survey - this one from MPF Research - says vacancy fell to 4.3% from 4.4% across the country's top 100 markets.
    • Where the two reports both agree, however, is that there were significant construction deliveries during Q3 and a full pipeline of new construction going forward, suggesting neither vacancies nor rents have a lot of room improvement.
    • The potential weakening fundamentals come as apartment REITs have been this year's top-performing REIT sectors (make that any sector) with a total return of 23.65% YTD. Can the outperformance continue?
    • Names of interest are almost all having a big day today as interest rates continue to fall. One suspects that as long as rates stay low and first-time homebuyers or those with less-than-perfect credit have trouble getting mortgages, the apartment REITs might still get a bid: EQR, AVB, ESS, PPS, UDR, AIV, CPT, HME, MAA, AEC, IRET, TSRE
  • Oct. 10, 2014, 11:42 AM
    • The FTSE NAREIT All REITs Index gained 13.08 during the year's first nine months, and had a dividend yield of 4.31% as of September 30. The S&P 500 had a total return of 8.34% over the same period, and a dividend yield of 2.06%.
    • The big YTD performance comes even after a 2.63% decline in the just-ended Q3 (vs. the S&P's 1.13% decline).
    • Apartment REITs (EQR, AVB, ESS, PPS, UDR, to name a few) have been the biggest winner so far this year, with total return of 20.29% In second place at 16.76% are self-storage REITs (PSA, SSS, CUBE, EXR).
    • Mortgage REITs (REM, MORT, MORL) had a total return of 12.69%.
  • Oct. 2, 2014, 10:14 AM
    • "We have further tightened our aggregate FTM portfolio cap rate for UDR by 12 basis points to 5.47%," says analyst David Toti, upgrading to Buy with $31.50 price target.
    • This change combined with the stock's recent struggles (off nearly 10% in a month) make for an attractive entry point, he adds.
    • Previously: UDR outlook boosted at S&P
    • The stock's up 1% in early action.
    | Comment!
  • Oct. 1, 2014, 11:26 AM
    • In more good credit-related news for UDR (UDR +0.6%), S&P lifts its outlook on the company's senior unsecured rating (currently BBB) to positive from stable, suggesting an upgrade could come in the near-term.
    • Last week Moody's upgraded UDR's credit rating to Baa1 from Baa2.
    • Source: Press Release
    | Comment!
  • Sep. 19, 2014, 4:23 PM
    | Comment!
  • Aug. 25, 2014, 10:59 AM
    • Started with Buys are Mid-America Apartment Communities (MAA -0.1%), and Camden Property Trust (CPT), and initiated at Neutral are Home Properties (HME -0.4%), and UDR (UDR).
    | Comment!
  • Aug. 20, 2014, 9:29 AM
    • “We will take what economic activity we can get, but our housing market model was designed in the U.S. to build a lot of single-family homes for owners, not multifamily homes for renters," says Diane Swonk commenting on yesterday's big jump in housing starts.
    • A big share of the gain came from multifamily starts - typically a volatile number - but a rolling 12-month total shows apartment construction at its highest level in 25 years. Single-family housing has a bigger multiplier effect for both consumer spending and employment, says Swonk.
    • As for apartment owners, a separate report showed rents up 3.3% Y/Y, their fastest pace of increase in five years. It's little mystery why the stocks of companies like Equity Residential (NYSE:EQR) and AvalonBay (NYSE:AVB) are at all-time highs, but their owners may want to mull the fast pace of building.
    • Others of interest: ESS, PPS, UDR, AIV, CPT, HME, MAA, TSRE, AEC, IRET, APTS
  • Jul. 29, 2014, 8:10 AM
    • UDR (NYSE:UDR): Q2 FFO of $0.39 beats by $0.01.
    • Revenue of $203.71M (+7.5% Y/Y) beats by $5.31M.
    • Press Release
    | Comment!
UDR vs. ETF Alternatives
Company Description
UDR Inc is a self-administered real estate investment trust, that owns, acquires, renovates, develops, and manages apartment communities.
Sector: Financial
Country: United States