Oct 25 (Reuters) - Residential real estate investment trust (REIT) Mid-America Apartment Communities MAA.N reported a 4.1% growth in same-store portfolio revenue on Wednesday, helped by solid demand for apartment housing.
"Stable employment conditions along with continued positive migration trends to our markets and historically low resident move-outs are combining to drive solid demand," said CEO and Chairman Eric Bolton.
With apartment constructions beginning to decline, the company expects higher rent growth in late 2024.
In the third quarter, the average effective rent per unit was up 4.5%, while resident turnover remained low at 45.2% on a trailing 12-month basis, as an acute shortage of single-family homes in the U.S. and high current 30-year fixed mortgage rates prevented people from moving out of rentals.
Shares of the multifamily-focused REIT rose about 3% in trading after the bell.
Adjusted funds from operation (AFFO) per share rose to $1.99 from $1.86 last year.
Funds available for distribution rose to $191 million in the quarter ended September, up from $173.8 million last year.
(Reporting by Ananta Agarwal and Aatreyee Dasgupta in Bengaluru; Editing by Devika Syamnath)