(the "Company") (NYSE: UDR), a leading multifamily real estate investment trust, today announced a preliminary update of the potential effects of Hurricane Sandy on its Mid-Atlantic and Northeast communities.
“We are grateful that we have not received any reports of injuries to our residents or associates as a result of the hurricane,” said Tom Toomey, UDR’s President and CEO. Mr. Toomey continued, “Damage to our Mid-Atlantic portfolio appears minimal at this time; New York City is more extensive and concentrated in our lower Manhattan properties, 10 Hanover Square, 95 Wall and Rivergate. Currently, our teams are on the ground and working diligently to ensure the safety and comfort of our residents and to reinitiate normal operations as quickly as possible.”
In lower Manhattan, 10 Hanover Square, 95 Wall and Rivergate sustained ground level flooding, power outages, electrical and HVAC/boiler system failures and minor wind damage. The Company’s two remaining Manhattan communities, 21 Chelsea and Columbus Square, sustained only minor damage.
Full damage estimates from the storm remain unknown at this time. However, the Company estimates that its liability could total $11 to $14 million prior to receiving any insurance proceeds.
The Company will provide an update should a material change with regard to its anticipated potential liability occur.
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.