United Dominion Realty Earnings Rise

Real estate player United Dominion Realty Trust(UDR Quote) said its third-quarter funds from operations rose 2.9% from a year ago, reflecting higher rental income.

For the quarter, funds from operations were $60.2 million, or 41 cents a share, compared with $58.5 million, or 39 cents a share, a year ago. Analysts polled by Thomson First Call were expecting funds from operations of 41 cents a share.

Rental income rose 12.6% to $177.6 million, lower than the consensus estimate of $180.6 million.

The Highlands Ranch, Colo.-based company earned $59.4 million, or 42 cents a share, in the quarter, compared with $15.1 million, or 8 cents a share, a year ago.

United Dominion forecasts funds from operations of $1.65 to $1.73 a share for the year. Analysts estimate funds from operations of $1.69 a share for the full year.

The company said it recorded total income per occupied home of $899 a month, the highest level in the company's history. Same-community occupancy, a figure relating to multifamily communities owned and stabilized for at least one year, remained unchanged from a year ago at 94.8% for the quarter.

"These results reflect dedicated execution by our associates and the strength of our apartment home portfolio. Additionally, we grew our active development pipeline by over 30% in the quarter, which will fuel long-term growth. Bottom line, we are poised for a bright future and we will deliver continued strong growth in funds from operations into 2007," the company said.