DENVER--(BUSINESS WIRE)--
UDR,
Inc. (the "Company") (NYSE: UDR), a leading multifamily real estate
investment trust, today announced an update regarding the impact of
Hurricane Sandy on its lower Manhattan communities, 10 Hanover Square,
95 Wall and Rivergate.
10 Hanover Square and Rivergate are operational and have been
re-occupied with limited services. The Company expects that 95 Wall will
be operational and re-occupied by Friday, November 16, 2012.
On November
1, 2012, two days after Hurricane Sandy, the Company issued a
preliminary damage estimate of $11 to $14 million, based on the
expectation that primary building systems in the Company’s lower
Manhattan communities would be minimally affected and electricity and
steam would return after a few days. Following inspections of these
building systems with representatives from the Company’s insurance
providers as well as the completion of initial repairs, the estimate of
the damage increased. As a result, total damages are now expected to be
$28 to $32 million.
The Company carries insurance for flood damage and business
interruptions and its Sandy-related deductible will be approximately
$1.5 million. While the Company believes it is entitled to reimbursement
for all of its costs and lost revenue, the timing and ultimate amount of
recovery will not be known until a later date. As a result, the Company
expects to record a charge of $0.03 to $0.04 per diluted share in the
fourth quarter.
Forward Looking Statements
Certain statements made in this press release may constitute
“forward-looking statements.” Words such as “expects,” “intends,”
“believes,” “anticipates,” “plans,” “likely,” “will,” “seeks,”
“estimates” and variations of such words and similar expressions are
intended to identify such forward-looking statements. Forward-looking
statements, by their nature, involve estimates, projections, goals,
forecasts and assumptions and are subject to risks and uncertainties
that could cause actual results or outcomes to differ materially from
those expressed in a forward-looking statement, due to a number of
factors, which include, but are not limited to, unfavorable changes in
the apartment market, changing economic conditions, the impact of
inflation/deflation on rental rates and property operating expenses,
expectations concerning availability of capital and the stabilization of
the capital markets, the impact of competition and competitive pricing,
acquisitions, developments and redevelopments not achieving anticipated
results, delays in completing developments, redevelopments and lease-ups
on schedule, expectations on job growth, home affordability and
demand/supply ratio for multifamily housing, expectations concerning
development and redevelopment activities, expectations on occupancy
levels, expectations concerning the Vitruvian Park® development,
expectations concerning the joint ventures with third parties,
expectations that automation will help grow net operating income,
expectations on annualized net operating income and other risk factors
discussed in documents filed by the Company with the Securities and
Exchange Commission from time to time, including the Company's Annual
Report on Form 10-K and the Company's Quarterly Reports on Form 10-Q.
Actual results may differ materially from those described in the
forward-looking statements. These forward-looking statements and such
risks, uncertainties and other factors speak only as of the date of this
press release, and the Company expressly disclaims any obligation or
undertaking to update or revise any forward-looking statement contained
herein, to reflect any change in the Company's expectations with regard
thereto, or any other change in events, conditions or circumstances on
which any such statement is based, except to the extent otherwise
required under the U.S. securities laws.
This release and these forward-looking statements include UDR’s analysis
and conclusions and reflect UDR’s judgment as of the date of these
materials. UDR assumes no obligation to revise or update to reflect
future events or circumstances.
About UDR, Inc.
UDR, Inc. (NYSE:UDR),
an S&P 400 company, is a leading multifamily real estate investment
trust with a demonstrated performance history of delivering superior and
dependable returns by successfully managing, buying, selling, developing
and redeveloping attractive real estate properties in targeted U.S.
markets. As of September 30, 2012, UDR owned or had an ownership
position in 54,985 apartment homes including 2,441 homes under
development. For 40 years, UDR has delivered long-term value to
shareholders, the best standard of service to residents and the highest
quality experience for associates. Additional information can be found
on the Company's website at www.udr.com.
UDR, Inc.
Chris Van Ens, 720-348-7762
cvanens@udr.com
Source: UDR Inc.