It was an excellent quarter for the American Campus Communities Inc. So said CEO Bill Bayless on the firm’s Q1 2019 conference call.
The company’s strong core performance was more than 11% earnings per share growth and same-store NOI growth of 5.1% over the same quarter prior year.
“We were also delighted to announce yet another prominent on-campus award, having been selected by Cal Berkeley to serve as their student housing master plan development partner, via highly competitive RFQ process,” explained Bayless. “This initiative is expected to provide in excess of 6,000 new beds on their campus over multiple phases, potentially utilizing a variety of transaction structures.”
According to Bayless on the firm’s call, “we believe this award from the world’s number one public university, further substantiates our position as the world’s best-in-class Student Housing Company.”
Next up was the firm’s Jennifer Beese, EVP and COO, who said that the company expects its rental revenue growth to moderate in Q2 and Q3 as a result of May ending leases at the REIT’s res hall properties that contributed strong growth during the 2018-19 academic year and the backfilling of May ending leases at our apartment communities.
“We are very pleased with the expense growth profiles reported in the first quarter. Coming in with a total growth of only 0.5%, excluding property taxes and insurance, quarterly expenses were 0.7% below the prior year quarter.”