American Campus Communities Provides Financial Update, Leasing Results for 2019-2020

Austin, Texas — American Campus Communities (ACC) has provided an interim financial update and leasing results for the 2019-2020 academic year. The company anticipates that 2019 Funds from Operations (FFO) will be in the range of $2.61 to $2.63 and Funds from Operations-Modified (FFOM) will be in the range of $2.40 to $2.44 per fully diluted share.

As of September 30, the company’s 2020 same-store portfolio was 97.4 percent leased. This is an increase of 40 basis points as compared to 97.0 percent leased at the same time last year. The company’s same-store portfolio also experienced a 1.4 percent rental rate growth over in-place rents. The company’s newly owned properties — which include 2019 development and pre-sale development properties — were 98.1 percent leased as of September 30.

“We are pleased to increase the midpoint of our fiscal 2019 guidance, driven by better than anticipated operating performance to-date, improved occupancy in the spring and summer months facilitated by advancements in our Next Gen systems and business intelligence initiatives, and out-performance in our 2018 and 2019 development properties,” says Bill Bayless, CEO of Austin-based ACC. “Overall, the fall 2019 same store lease-up finished within our expectations. We remain encouraged with the broad industry fundamentals, as 66 of our 67 same-store markets — excluding the Austin market — achieved 2.4 percent opening rental revenue growth in total. We have also generated significant returns in Austin and expect the market to continue to perform well over the long-term as it absorbs new supply.”

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