Mid-America Apartment raises annual core AFFO estimates on strong rental demand
July 30 (Reuters) - Real estate investment trust Mid-America Apartment Communities MAA.N raised its annual core adjusted funds from operations forecast on Wednesday, helped by strong rental demand in its key markets.
"Despite increased macroeconomic uncertainty, we are encouraged by the record demand for rental housing that persists in our markets, leading to second quarter blended lease performance 40 bps higher than last year," CEO Brad Hill said.
The company raised its core adjusted FFO forecast to be within the range $7.67 to $7.91 per share, from its prior expectations of $7.63 to $7.95 apiece. However, analysts expected full-year adjusted FFO to be at $8.69 per share, according to data compiled by LSEG.
About 70% of the company's apartment units are located in the Florida, Georgia, North Carolina and Texas, according to its website.
The Memphis, Tennessee-based REIT manages more than 250 apartment buildings in the Southeast, Southwest and Mid-Atlantic regions.
The company posted adjusted core FFO of $1.85 per share for the quarter ended June 30, compared with $1.92 per share a year ago.
The average effective rent per apartment unit was 0.5% below last year's levels. The occupancy rate, which measures the percentage of units occupied by residents, was at 95.4% in the quarter.
