UDR, Inc.
For the period ended Jun 30, 2025. Filed Jul 31, 2025.
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A company's report for each of its first three quarters. The financial statements are not audited. It shows how the business has moved since the last annual report, and what management says changed.
Jun 30, 2025 · Filed Jul 31, 2025
UDR$36.58-1.2%Stored close · as of Nov 6, 2026
What changed in Management’s Discussion and Analysis?
Read the current filingPrevious report: 10-Q
Period ended 2025-03-31; filed 2025-05-01.
0000074208-25-000036
Item 2. Management’s Discussion and Analysis of Financial Condition and Results of OperationsCurrent report: 10-Q
Period ended 2025-06-30; filed 2025-07-31.
0000074208-25-000051
Item 2. Management’s Discussion and Analysis of Financial Condition and Results of OperationsThe baseline is this issuer’s latest earlier reporting period of the same form that was filed before the current report. A previous 10-Q is a different quarter, not a year-over-year comparison. Amendments are excluded.
Compared 117 previous paragraphs and 136 current paragraphs.
74 unchanged; 37 reworded; 17 added; 6 removed; 0 previous and 8 current paragraphs rearranged.
Tables are not compared: 61 previous and 69 current tables excluded. Dates, whitespace, punctuation and numbering changes are ignored; changes to financial figures remain significant.
A changed paragraph is not evidence that risk increased or decreased. An unchanged paragraph does not establish that risk stayed the same.
Added paragraphs (17)
Current report
54,442 apartment homes, respectively, and provided 97.6% and 96.8% of our total NOI for the three and six months ended June 30, 2025.
Current report
Three Months Ended June 30, 2025 vs. Three Months Ended June 30, 2024
Current report
Six Months Ended June 30, 2025 vs. Six Months Ended June 30, 2024
Current report
The increase in operating expenses was primarily driven by a 12.9%, or $2.2 million, increase in administration and marketing, a 3.8%, or $1.8 million, increase in repair and maintenance expense due to increases in third party vendor costs and weather-related events, a 5.1%, or $1.8 million, increase in personnel costs primarily due to annual merit increases and severance costs, and a 4.8%, or $1.7 million, increase in utilities, primarily due to an increase in energy costs, partially offset by a 13.2%, or $1.6 million, decrease in insurance expense primarily due to a decrease in the impact from claims.
Current report
Three Months Ended June 30, 2025 vs. Three Months Ended June 30, 2024
Current report
Six Months Ended June 30, 2025 vs. Six Months Ended June 30, 2024
Current report
For the three months ended June 30, 2025 and 2024, the Company recognized income/(loss) from unconsolidated entities of $3.6 million and $4.0 million, respectively. The decrease in 2025 as compared to 2024 was primarily due to the full repayment of one of its preferred equity investments, inclusive of accrued return, in a stabilized community located in Queens, New York, upon the recapitalization of the joint venture resulting in lower income during the three months ended June 30, 2025 as compared to the same period in 2024.
Current report
Other depreciation and amortization
Current report
For the three months ended June 30, 2025 and 2024, the Company recognized other depreciation and amortization of $7.4 million and $4.7 million, respectively. The increase in 2025 as compared to 2024 was primarily dueto $3.0 million of software transition related costs incurred during the three months ended June 30, 2025, as compared to none during the three months ended June 30, 2024.
Current report
For the six months ended June 30, 2025 and 2024, the Company recognized other depreciation and amortization of $14.5 million and $9.0 million, respectively. The increase in 2025 as compared to 2024 was primarily dueto $5.9 million of
Current report
software transition related costs incurred during the six months ended June 30, 2025, as compared to none during the six months ended June 30, 2024.
Current report
Casualty-related charges(recoveries), net
Current report
For the three months ended June 30, 2025 and 2024, the Company recognized casualty-related charges/(recoveries), net of $3.4 million and $1.0 million, respectively. The increase in 2025 as compared to 2024 was primarily attributable to an increase in claims from previous severe weather events during the three months ended June 30, 2025 as compared to the same period in 2024.
Current report
Supplemental U.S. Federal Income Tax Considerations
Current report
The following discussion supplements and updates the disclosures under the heading “Material U.S. Federal Income Tax Consequences” in the prospectus dated February 14, 2023, contained in our Registration Statement on Form S-3 (File No. 333-269757) filed with the SEC on February 14, 2023 (the “S-3 Tax Disclosure”), as supplemented and updated by the disclosures under the heading “Supplemental U.S. Federal Income Tax Considerations” in our Form 10-K for the fiscal year-ended December 31, 2024 filed with the SEC on February 18, 2025 (together with the S-3 Disclosure, the “Existing Tax Disclosure”). Capitalized terms herein that are not otherwise defined shall have the same meaning as when used in the Existing Tax Disclosure.
Current report
On July 4, 2025, H.R. 1, informally known as the One Big Beautiful Bill Act (the “OBBB”), was enacted. The OBBB makes major changes to the Code, including some provisions of the Code that affect the taxation of REITs and their investors. In particular,
Current report
To the extent the information set forth in the Existing Tax Disclosure is inconsistent with this supplemental information, this supplemental information supersedes the information in the Existing Tax Disclosure. This supplemental information is provided on the same basis and subject to the same qualifications as are set forth in the first three paragraphs of the S-3 Tax Disclosure as if those paragraphs were set forth in this Form 10-Q.
Removed paragraphs (6)
Previous report
Acquisitions
Previous report
The Company did not have any acquisitions during the three months ended March 31, 2025.
Previous report
This was partially offset by:
Previous report
This was partially offset by:
Previous report
Interest income and other income/(expense), net
Previous report
For the three months ended March 31, 2025 and 2024, the Company recognized interest income and other income/(expense), net of $1.9 million and $5.9 million, respectively. The decrease in 2025 as compared to 2024 was primarily due to a $2.9 million decrease in interest income from our notes receivables during the three months ended March 31, 2025 as compared to the same period in 2024, as a result of certain notes receivables placed on non-accrual status.
Reworded paragraphs (37)
Previous wording
The following discussion should be read in conjunction with the consolidated financial statements appearing elsewhere herein and is based primarily on the consolidated financial statements for the three months ended March 31, 2025 and 2024, of UDR, Inc.** **Unless the context otherwise requires, all references in this Quarterly Report on Form 10-Q (this “Report”) to “UDR,” the “Company,” “we,” “our” and “us” refer to UDR, Inc., together with its consolidated subsidiaries, including United Dominion Realty, L.P. (the “Operating Partnership” or the “OP”) and UDR Lighthouse DownREIT L.P. (the “DownREIT Partnership”).
Current wording
The following discussion should be read in conjunction with the consolidated financial statements appearing elsewhere herein and is based primarily on the consolidated financial statements for the three and six months ended June 30, 2025 and 2024, of UDR, Inc.** **Unless the context otherwise requires, all references in this Quarterly Report on Form 10-Q (this “Report”) to “UDR,” the “Company,” “we,” “our” and “us” refer to UDR, Inc., together with its consolidated subsidiaries, including United Dominion Realty, L.P. (the “Operating Partnership” or the “OP”) and UDR Lighthouse DownREIT L.P. (the “DownREIT Partnership”).
Previous wording
At March 31, 2025, our consolidated real estate portfolio included 167 communities in 12 states plus the District of Columbia totaling 55,323 apartment homes. In addition, we have an ownership interest in 10,860 completed or to-be-completed apartment homes through unconsolidated joint ventures or partnerships, including 6,436 apartment homes owned by entities in which we hold preferred equity investments. TheSame-Store Communityapartment home population for the three months ended March 31, 2025, was 54,435.
Current wording
At June 30, 2025, our consolidated real estate portfolio included 168 communities in 12 states plus the District of Columbia totaling 55,808 apartment homes. In addition, we have an ownership interest in 10,585 completed or to-be-completed apartment homes through unconsolidated joint ventures or partnerships, including 6,158 apartment homes owned by entities in which we hold preferred equity investments. TheSame-Store Communityapartment home population for the three and six months ended June 30, 2025, was 54,915 and 54,442, respectively.
Previous wording
The following table summarizes our same-store market information by major geographic markets as of and for the three months ended March 31, 2025, as applicable:
Current wording
The following table summarizes our same-store market information by major geographic markets as of and for the three and six months ended June 30, 2025, as applicable:
Previous wording
OurSame-Store Communities segment represents those communities acquired, developed, and stabilized prior to January 1, 2024 and held as of March 31, 2025. These communities were owned and had stabilized occupancy and operating expenses as of the beginning of the prior period, there is no plan to conduct substantial redevelopment activities, and the communities are not classified as held for disposition within the current year. A community is considered to have stabilized occupancy once it achieves 90% occupancy for at least three consecutive months.
Current wording
OurSame-Store Communities segment represents those communities acquired, developed, and stabilized prior to April 1, 2024 (for quarter-to-date comparison) and January 1, 2024 (for year-to-date comparison) and held as of June 30, 2025. These communities were owned and had stabilized occupancy and operating expenses as of the beginning of the prior period, there is no plan to conduct substantial redevelopment activities, and the communities are not classified as held for disposition within the current year. A community is considered to have stabilized occupancy once it achieves 90% occupancy for at least three consecutive months.
Previous wording
In July 2021, the Company entered into an ATM sales agreement under which the Company may offer and sell up to 20.0 million shares of its common stock, from time to time, to or through its sales agents and may enter into separate forward sales agreements to or through its forward purchasers. Upon entering into the ATM sales agreement, the Company simultaneously terminated the sales agreement for its prior at-the-market equity offering program, which was entered into in July 2017. During the three months ended March 31, 2025, the Company did not sell any shares of common stock through its ATM program. As of March 31, 2025, we had 14.0 million shares of common stock available for future issuance under the ATM program.
Current wording
In July 2021, the Company entered into an ATM sales agreement under which the Company may offer and sell up to 20.0 million shares of its common stock, from time to time, to or through its sales agents and may enter into separate forward sales agreements to or through its forward purchasers. Upon entering into the ATM sales agreement, the Company simultaneously terminated the sales agreement for its prior at-the-market equity offering program, which was entered into in July 2017. During the three and six months ended June 30, 2025, the Company did not sell any shares of common stock through its ATM program. As of June 30, 2025, we had 14.0 million shares of common stock available for future issuance under the ATM program.
Previous wording
The Company has an unsecured commercial paper program. Under the terms of the program, the Company may issue unsecured commercial paper up to a maximum aggregate amount outstanding of $700.0 million. The notes are sold under customary terms in the United States commercial paper market and rank pari passu with all of the Company’s other unsecured indebtedness. The notes are fully and unconditionally guaranteed by the Operating Partnership. As of March 31, 2025, we had issued $250.0 million of commercial paper, for one month terms, at a weighted average annualized rate of 4.67%, leaving $450.0 million of unused capacity.
Current wording
The Company has an unsecured commercial paper program. Under the terms of the program, the Company may issue unsecured commercial paper up to a maximum aggregate amount outstanding of $700.0 million. The notes are sold under customary terms in the United States commercial paper market and rank pari passu with all of the Company’s other unsecured indebtedness. The notes are fully and unconditionally guaranteed by the Operating Partnership. As of June 30, 2025, we had
Previous wording
During the remainder of 2025, we have approximately $176.8 million of secured debt maturing, inclusive of principal amortization, and $250.0 million of unsecured debt maturing, comprised solely of unsecured commercial paper. We anticipate repaying the remaining debt with cash flow from our operations, proceeds from debt or equity offerings, proceeds from dispositions of properties, or from borrowings under our credit agreements and our unsecured commercial paper program.
Current wording
During the remainder of 2025, we have approximately $175.1 million of secured debt maturing, inclusive of principal amortization, and $220.0 million of unsecured debt maturing, comprised solely of unsecured commercial paper. We anticipate repaying the remaining debt with cash flow from our operations, proceeds from debt or equity offerings, proceeds from dispositions of properties, or from borrowings under our credit agreements and our unsecured commercial paper program.
Previous wording
The following tables present the summarized financial information for the Operating Partnership as of March 31, 2025 and December 31, 2024, and for the three months ended March 31, 2025 and 2024. The information presented below excludes eliminations necessary to arrive at the information on a consolidated basis (dollars in thousands):
Current wording
The following tables present the summarized financial information for the Operating Partnership as of June 30, 2025 and December 31, 2024, and for the three and six months ended June 30, 2025 and 2024. The information presented below excludes eliminations necessary to arrive at the information on a consolidated basis (dollars in thousands):
Previous wording
The following discussion explains the changes inNet cash provided by/(used in) operating activities,Net cash provided by/(used in) investing activities, andNet cash provided by/(used in) financing activities that are presented in our Consolidated Statements of Cash Flows for the three months ended March 31, 2025 and 2024.
Current wording
The following discussion explains the changes inNet cash provided by/(used in) operating activities,Net cash provided by/(used in) investing activities, andNet cash provided by/(used in) financing activities that are presented in our Consolidated Statements of Cash Flows for the six months ended June 30, 2025 and 2024.
Previous wording
For the three months ended March 31, 2025, ourNet cash provided by/(used in) operating activities was $156.2 million, compared to $167.6 million for the comparable period in 2024. The decrease in cash flow from operating activities was primarily due to changes in operating assets and liabilities, partially offset by an increase in NOI, primarily driven byhigher revenue per occupied home and an increase in weighted average physical occupancy.
Current wording
For the six months ended June 30, 2025, ourNet cash provided by/(used in) operating activities was $406.5 million, compared to $406.1 million for the comparable period in 2024. The increase in cash flow from operating activities was
Previous wording
For the three months ended March 31, 2025,Net cash provided by/(used in) investing activities was $17.8 million, compared to $18.4 million for the comparable period in 2024. The decrease in cash used in investing activities was primarily due to an increase in proceeds from the sales of real estate investments and a decrease in spend for development of real estate assets, partially offset by an increase from the issuance of notes receivables during the current period compared to the prior year period.
Current wording
For the six months ended June 30, 2025,Net cash provided by/(used in) investing activities was $(40.9) million, compared to $(79.3) million for the comparable period in 2024. The decrease in cash used in investing activities was primarily due to an increase in proceeds from the sales of real estate investments, a decrease in spend for development of real estate assets and an increase in distributions received from unconsolidated joint ventures and partnerships, partially offset by an increase from the issuance of notes receivables during the current period compared to the prior year period, an increase in spend in non-real estate capital expenditures, and an increase in investments in unconsolidated joint ventures and partnerships.
Previous wording
For the three months ended March 31, 2025, total capital expenditures of $55.4 million, or $1,009 per stabilized home, which in aggregate include recurring capital expenditures and major renovations, were spent across our portfolio, excluding development, as compared to $54.3 million, or $981 per stabilized home, for the comparable period in 2024.
Current wording
For the six months ended June 30, 2025, total capital expenditures of $119.9 million, or $2,168 per stabilized home, which in aggregate include recurring capital expenditures and major renovations, were spent across our portfolio, excluding development, as compared to $123.4 million, or $2,230 per stabilized home, for the comparable period in 2024.
Previous wording
The increase in total capital expenditures was primarily due to:
Current wording
The decrease in total capital expenditures was primarily due to:
Previous wording
The following table outlines capital expenditures and repair and maintenance costs for all of our communities, excluding real estate under development, for the three months ended March 31, 2025 and 2024 (dollars in thousands except Per Home amounts):
Current wording
The following table outlines capital expenditures and repair and maintenance costs for all of our communities, excluding real estate under development, for the six months ended June 30, 2025 and 2024 (dollars in thousands except Per Home amounts):
Previous wording
At March 31, 2025, our development pipeline consisted of one wholly-owned community totaling 300 apartment homes, none of which have been completed, with a budget of $133.6 million, in which we have a gross carrying value of $33.5 million. The homes are estimated to be completed during the second quarter of 2027. In addition, the Company is incurring and capitalizing costs directly related to predevelopment activities in preparation of future development commencements.
Current wording
At June 30, 2025, our development pipeline consisted of one wholly-owned community totaling 300 apartment homes, none of which have been completed, with a budget of $133.6 million, in which we have a gross carrying value of $41.1 million. The homes are estimated to be completed during the second quarter of 2027. In addition, the Company is incurring and capitalizing costs directly related to predevelopment activities in preparation of future development commencements.
Previous wording
The Company’sInvestment in and advances to unconsolidated joint ventures and partnerships, net, are accounted for under the equity method of accounting. For the three months ended March 31, 2025:
Current wording
The Company’sInvestment in and advances to unconsolidated joint ventures and partnerships, net, are accounted for under the equity method of accounting. For the six months ended June 30, 2025:
Previous wording
We evaluate our investments in unconsolidated joint ventures and partnerships when events or changes in circumstances indicate that there may be an other-than-temporary decline in value. We consider various factors to determine if a decrease in the value of the investment is other-than-temporary. The Company did not recognize any other-than-temporary impairments in the value of its investments in unconsolidated joint ventures or partnerships during the three months ended March 31, 2025 and 2024.
Current wording
We evaluate our investments in unconsolidated joint ventures and partnerships when events or changes in circumstances indicate that there may be an other-than-temporary decline in value. We consider various factors to determine if a decrease in the value of the investment is other-than-temporary. The Company did not recognize any other-than-temporary impairments in the value of its investments in unconsolidated joint ventures or partnerships during the six months ended June 30, 2025 and 2024.
Previous wording
For the three months ended March 31, 2025, ourNet cash provided by/(used in) financing activities was $(176.1) million, compared to $(188.9) million for the comparable period of 2024.
Current wording
For the six months ended June 30, 2025, ourNet cash provided by/(used in) financing activities was $(365.9) million, compared to $(327.2) million for the comparable period of 2024.
Previous wording
The following significant financing activities occurred during the three months ended March 31, 2025:
Current wording
The following significant financing activities occurred during the six months ended June 30, 2025:
Previous wording
As of March 31, 2025, we had no outstanding borrowings under the Revolving Credit Facility, leaving $1.3 billion of unused capacity (excluding $3.3 million of letters of credit at March 31, 2025), and $350.0 million of outstanding borrowings under the Term Loan.
Current wording
As of June 30, 2025, we had no outstanding borrowings under the Revolving Credit Facility, leaving $1.3 billion of unused capacity (excluding $4.3 million of letters of credit at June 30, 2025), and $350.0 million of outstanding borrowings under the Term Loan.
Previous wording
As of March 31, 2025, we had $34.6 million of outstanding borrowings under the Working Capital Credit Facility, leaving $40.4 million of unused capacity.
Current wording
As of June 30, 2025, we had $30.2 million of outstanding borrowings under the Working Capital Credit Facility, leaving $44.8 million of unused capacity.
Previous wording
The Company has an unsecured commercial paper program. Under the terms of the program, the Company may issue unsecured commercial paper up to a maximum aggregate amount outstanding of $700.0 million. The notes are sold under customary terms in the United States commercial paper market and rank pari passu with all of the Company’s other unsecured indebtedness. The notes are fully and unconditionally guaranteed by the Operating Partnership. As of March 31, 2025, we had issued $250.0 million of commercial paper, for one month terms, at a weighted average annualized rate of 4.67%, leaving $450.0 million of unused capacity.
Current wording
The Company has an unsecured commercial paper program. Under the terms of the program, the Company may issue unsecured commercial paper up to a maximum aggregate amount outstanding of $700.0 million. The notes are sold under customary terms in the United States commercial paper market and rank pari passu with all of the Company’s other unsecured indebtedness. The notes are fully and unconditionally guaranteed by the Operating Partnership. As of June 30, 2025, we had issued $220.0 million of commercial paper, for one month terms, at a weighted average annualized rate of 4.65%, leaving $480.0 million of unused capacity.
Previous wording
We are exposed to interest rate risk associated with variable rate notes payable and maturing debt that has to be refinanced. We do not hold financial instruments for trading or other speculative purposes, but rather issue these financial instruments to finance our portfolio of real estate assets and operations. Interest rate sensitivity is the relationship between changes in market interest rates and the fair value of market rate sensitive assets and liabilities. Our earnings are affected as changes in short-term interest rates impact our cost of variable rate debt and maturing fixed rate debt. We had $486.6 million in variable rate debt that is not subject to interest rate swap contracts as of March 31, 2025. If market interest rates for variable rate debt increased by 100 basis points, our interest expense for the three months ended March 31, 2025 would increase by $1.2 million based on the average balance outstanding during the period.
Current wording
We are exposed to interest rate risk associated with variable rate notes payable and maturing debt that has to be refinanced. We do not hold financial instruments for trading or other speculative purposes, but rather issue these financial instruments to finance our portfolio of real estate assets and operations. Interest rate sensitivity is the relationship between changes in market interest rates and the fair value of market rate sensitive assets and liabilities. Our earnings are affected as changes in short-term interest rates impact our cost of variable rate debt and maturing fixed rate debt. We had $452.2 million in variable rate debt that is not subject to interest rate swap contracts as of June 30, 2025. If market interest rates for variable rate debt increased by 100 basis points, our interest expense for the six months ended June 30, 2025 would increase by $2.6 million based on the average balance outstanding during the period.
Previous wording
The following discussion explains the changes in results of operations that are presented in our Consolidated Statements of Operations for the three months ended March 31, 2025 and 2024.
Current wording
The following discussion explains the changes in results of operations that are presented in our Consolidated Statements of Operations for the three and six months ended June 30, 2025 and 2024.
Previous wording
Net income/(loss) attributable to common stockholders was $75.5 million ($0.23 per diluted share) for the three months ended March 31, 2025, as compared to $41.9 million ($0.13 per diluted share) for the comparable period in the prior year. The increase resulted primarily from the following items, all of which are discussed in further detail elsewhere within this Report:
Current wording
Net income/(loss) attributable to common stockholders was $36.5 million ($0.11 per diluted share) for the three months ended June 30, 2025, as compared to $27.7 million ($0.08 per diluted share) for the comparable period in the prior year. The increase resulted primarily from the following items, all of which are discussed in further detail elsewhere within this Report:
Previous wording
OurSame-Store Community properties, those acquired, developed, and stabilized prior to January 1, 2024 and held on March 31, 2025 consisted of 54,435 apartment homes, respectively, and provided 97.0% of our total NOI for the three months ended March 31, 2025.
Current wording
OurSame-Store Community properties, those acquired, developed, and stabilized prior to April 1, 2024 (for quarter-to-date comparison) and January 1, 2024 (for year-to-date comparison) and held on June 30, 2025 consisted of 54,915 and
Previous wording
NOI for ourSame-Store Community properties increased 2.8%, or $7.4 million, for the three months ended March 31, 2025 compared to the same period in 2024. The increase in property NOI was attributable to a 2.6%, or $10.3 million, increase in property rental income, partially offset by a 2.3%, or $2.9 million, increase in operating expenses. The increase in property rental income was primarily driven by a 1.2%, or $4.6 million, increase in rental rates, a 9.9%, or $4.3 million, increase in reimbursement and ancillary and fee income and a 7.0%, or $0.8 million, decrease in vacancy loss. Weighted average physical occupancy increased by 0.2% to 97.2% and total monthly income per occupied home increased by 2.3% to $2,550.
Current wording
NOI for ourSame-Store Community properties increased 2.9%, or $7.9 million, for the three months ended June 30, 2025 compared to the same period in 2024. The increase in property NOI was attributable to a 2.5%, or $10.0 million, increase in property rental income, partially offset by a 1.7%, or $2.1 million, increase in operating expenses. The increase in property rental income was primarily driven by a 1.2%, or $4.7 million, increase in rental rates, a 10.0%, or $4.6 million, increase in reimbursement and rentable items income and a 4.9%, or $0.6 million, decrease in vacancy loss. Weighted average physical occupancy increased by 0.1% to 96.9% and total monthly income per occupied home increased by 2.4% to $2,572.
Previous wording
The increase in operating expenses was primarily driven by a 14.0%, or $1.2 million, increase in administration and marketing, a 4.7%, or $0.9 million, increase in utilities, primarily due to an increase in energy costs and a 1.6%, or $0.8 million increase in real estate taxes due to higher assessed valuations.
Current wording
The increase in operating expenses was primarily driven by a 7.1%, or $1.7 million, increase in repair and maintenance expense due to increases in third party vendor costs and weather-related events, a 6.9%, or $1.2 million, increase in personnel costs primarily due to annual merit increases and severance costs, and an 11.5%, or $1.0 million, increase in administration and marketing, partially offset by a 3.5%, or $1.8 million decrease in real estate taxes due to lower assessed valuations for certain properties.
Previous wording
The operating margin (property net operating income divided by property rental income) was 68.3% and 68.2% for the three months ended March 31, 2025 and 2024, respectively.
Current wording
The operating margin (property net operating income divided by property rental income) was 69.0% and 68.8% for the three months ended June 30, 2025 and 2024, respectively.
Previous wording
The remaining 3.0%, or $8.7 million, of our total NOI during the three months ended March 31, 2025 was generated from ourNon-Mature Communities/Other. NOI fromNon-Mature Communities/Other decreased by 16.5%, or $1.7 million, for the three months ended March 31, 2025 as compared to the same period in 2024. The decrease was primarily attributable to a $3.4 million decrease in sold and held for disposition communities NOI due to the sale of two operating communities during the three months ended March 31, 2025, partially offset by a $1.4 million increase in NOI from development communities completed in 2024.
Current wording
The remaining 2.4%, or $7.0 million, of our total NOI during the three months ended June 30, 2025 was generated from ourNon-Mature Communities/Other. NOI fromNon-Mature Communities/Other decreased by 17.6%, or $1.5 million, for the three months ended June 30, 2025 as compared to the same period in 2024. The decrease was primarily attributable to a $3.0 million decrease in sold and held for disposition communities NOI due to the sale of two operating communities during 2025, partially offset by a $2.2 million increase in NOI from stabilized, non-mature communities, primarily due to completed development communities becoming stabilized.
Previous wording
For the three months ended March 31, 2025, the Company recognized gain/(loss) on sale of real estate owned of $47.9 million as compared to $16.9 million on sale of real estate owned for the three months ended March 31, 2024. The increase in 2025 as compared to 2024 was attributable to the sale of two operating communities located in Englewood, New Jersey, and Brooklyn, New York during the three months ended March 31, 2025, as compared to the sale of an operating community located in Arlington, Virginia during the three months ended March 31, 2024.
Current wording
For the six months ended June 30, 2025, the Company recognized gain/(loss) on sale of real estate owned of $47.9 million as compared to $16.9 million on sale of real estate owned for the six months ended June 30, 2024. The increase in 2025 as compared to 2024 was attributable to the sale of two operating communities located in Englewood, New Jersey, and Brooklyn, New York during the six months ended June 30, 2025, as compared to the sale of an operating community located in Arlington, Virginia during the six months ended June 30, 2024.
Previous wording
For the three months ended March 31, 2025 and 2024, the Company recognized real estate depreciation and amortization of $161.4 million and $169.9 million, respectively. The decrease in 2025 as compared to 2024 was primarily due to assets that became fully depreciated and assets sold in 2024 and 2025, partially offset by development communities completed in 2024.
Current wording
For the three months ended June 30, 2025 and 2024, the Company recognized real estate depreciation and amortization of $163.2 million and $170.5 million, respectively. The decrease in 2025 as compared to 2024 was primarily due to assets that became fully depreciated and assets sold in 2024 and 2025, partially offset by an acquired community in 2025 and development communities completed in 2024.
Previous wording
For the three months ended March 31, 2025 and 2024, the Company recognized income/(loss) from unconsolidated entities of $5.8 million and $9.1 million, respectively. The decrease in 2025 as compared to 2024 was primarily due to partial paydowns received from certain operating preferred equity investments in 2024 resulting in lower income and lower unrealized gains on technology investments during the three months ended March 31, 2025 as compared to the same period in 2024.
Current wording
For the six months ended June 30, 2025 and 2024, the Company recognized income/(loss) from unconsolidated entities of $9.4 million and $13.1 million, respectively. The decrease in 2025 as compared to 2024 was primarily due to repayments and partial paydowns received from certain operating preferred equity investments in 2025 and 2024 resulting in lower income and lower unrealized gains on technology investments, partially offset by preferred equity investments entered into in 2025 resulting in higher income during the six months ended June 30, 2025 as compared to the same period in 2024.
Previous wording
Inflation primarily impacts our results of operations as a result of wage pressures and increases in utilities and repair and maintenance costs. In addition, inflation could also impact our general and administrative expenses, the interest on our debt if variable or refinanced in a high-inflationary environment, our cost of capital, and our cost of development, redevelopment, maintenance or other operating activities. However, the majority of our apartment leases have initial terms of 12 months or less, which in an inflationary environment, and absent other factors such as increased supply, generally enables us to compensate for inflationary effects by increasing rents on our apartment homes. Although an extreme or sustained escalation in costs could have a negative impact on our residents and their ability to absorb rent increases, we do not believe this had a material impact on our results for the three months ended March 31, 2025.
Current wording
Inflation primarily impacts our results of operations as a result of wage pressures and increases in utilities and repair and maintenance costs. In addition, inflation could also impact our general and administrative expenses, the interest on our debt if variable or refinanced in a high-inflationary environment, our cost of capital, and our cost of development, redevelopment, maintenance or other operating activities. However, the majority of our apartment leases have initial terms of 12 months or less, which in an inflationary environment, and absent other factors such as increased supply, generally enables us to compensate for inflationary effects by increasing rents on our apartment homes. Although an extreme or sustained escalation in costs could have a negative impact on our residents and their ability to absorb rent increases, we do not believe this had a material impact on our results for the three and six months ended June 30, 2025.
Previous wording
Management believes that FFOA is useful supplemental information regarding our operating performance as it provides a consistent comparison of our operating performance across time periods and enables investors to more easily compare our operating results with other REITs. FFOA is not intended to represent cash flow or liquidity for the period, and is only intended to provide an additional measure of our operating performance. We believe thatNet income/(loss) attributable to common stockholders is the most directly comparable GAAP financial measure to FFOA. However, other REITs may use different methodologies for calculating FFOA or similar FFO measures and, accordingly, our FFOA may not always be comparable to FFOA or similar FFO measures calculated by other REITs. FFOA should not be considered as an alternative to net income (determined in accordance with GAAP) as an indication of financial performance, or as an alternative to cash flow from operating activities (determined in accordance with GAAP) as a measure of our liquidity.
Current wording
only intended to provide an additional measure of our operating performance. We believe thatNet income/(loss) attributable to common stockholders is the most directly comparable GAAP financial measure to FFOA. However, other REITs may use different methodologies for calculating FFOA or similar FFO measures and, accordingly, our FFOA may not always be comparable to FFOA or similar FFO measures calculated by other REITs. FFOA should not be considered as an alternative to net income (determined in accordance with GAAP) as an indication of financial performance, or as an alternative to cash flow from operating activities (determined in accordance with GAAP) as a measure of our liquidity.
Previous wording
The following table outlines our reconciliation of* Net income/(loss) attributable to common stockholders* to FFO, FFOA, and AFFO for the three months ended March 31, 2025 and 2024 (dollars in thousands):
Current wording
The following table outlines our reconciliation of* Net income/(loss) attributable to common stockholders* to FFO, FFOA, and AFFO for the three and six months ended June 30, 2025 and 2024 (dollars in thousands):
Previous wording
The following table is our reconciliation of FFO share information to weighted average common shares outstanding, basic and diluted, reflected on the UDR Consolidated Statements of Operations for the three months ended March 31, 2025 and 2024*(shares in thousands):*
Current wording
The following table is our reconciliation of FFO share information to weighted average common shares outstanding, basic and diluted, reflected on the UDR Consolidated Statements of Operations for the three and six months ended June 30, 2025 and 2024*(shares in thousands):*
Rearranged current paragraphs (8)
Current report — wording carried from elsewhere
issued $220.0 million of commercial paper, for one month terms, at a weighted average annualized rate of 4.65%, leaving $480.0 million of unused capacity.
Current report — wording carried from elsewhere
primarily due to an increase in NOI, primarily driven byhigher revenue per occupied home and an increase in weighted average physical occupancy and an increase in operating distributions from our unconsolidated joint ventures and partnerships, partially offset by changes in operating assets and liabilities.
Current report — wording carried from elsewhere
Net income/(loss) attributable to common stockholders was $112.0 million ($0.34 per diluted share) for the six months ended June 30, 2025, as compared to $69.6 million ($0.21 per diluted share) for the comparable period in the prior year. The increase resulted primarily from the following items, all of which are discussed in further detail elsewhere within this Report:
Current report — wording carried from elsewhere
NOI for ourSame-Store Community properties increased 2.6%, or $14.2 million, for the six months ended June 30, 2025 compared to the same period in 2024. The increase in property NOI was attributable to a 2.5%, or $20.1 million, increase in property rental income, partially offset by a 2.4%, or $6.0 million, increase in operating expenses. The increase in property rental income was primarily driven by a 1.3%, or $9.3 million, increase in rental rates, a 10.0%, or $8.9 million, increase in reimbursement and rentable items income and a 5.7%, or $1.3 million, decrease in vacancy loss. Weighted average physical occupancy increased by 0.2% to 97.1% and total monthly income per occupied home increased by 2.4% to $2,561.
Current report — wording carried from elsewhere
The operating margin (property net operating income divided by property rental income) was 68.6% and 68.5% for the six months ended June 30, 2025 and 2024, respectively.
Current report — wording carried from elsewhere
The remaining 3.2%, or $18.6 million, of our total NOI during the six months ended June 30, 2025 was generated from ourNon-Mature Communities/Other. NOI fromNon-Mature Communities/Other decreased by 10.1%, or $2.1 million, for the six months ended June 30, 2025 as compared to the same period in 2024. The decrease was primarily attributable to a $6.4 million decrease in sold and held for disposition communities NOI due to the sale of two operating communities during the six months ended June 30, 2025, partially offset by a $5.8 million increase in NOI from stabilized, non-mature communities, primarily due to completed development communities becoming stabilized.
Current report — wording carried from elsewhere
For the six months ended June 30, 2025 and 2024, the Company recognized real estate depreciation and amortization of $324.6 million and $340.3 million, respectively. The decrease in 2025 as compared to 2024 was primarily due to assets that became fully depreciated and assets sold in 2024 and 2025, partially offset by an acquired community in 2025 and development communities completed in 2024.
Current report — wording carried from elsewhere
Management believes that FFOA is useful supplemental information regarding our operating performance as it provides a consistent comparison of our operating performance across time periods and enables investors to more easily compare our operating results with other REITs. FFOA is not intended to represent cash flow or liquidity for the period, and is