Press Release: AmeriVest Properties Inc.
November 17, 2000
DENVER, CO -- AmeriVest Properties Inc. (Amex: AMV) yesterday announced results for the three and nine months ended
September 30, 2000. For the nine months ended September 30, 2000, operating revenue was $5,271,534 and net income
was $2,634,060 ($1.13 per share) as compared with operating revenue of $4,312,179 and net income of $133,340 ($.08
per share) for the prior year. This represents an increase of more than 22% in operating revenue. Funds From Operations
for the nine months ended September 30, 2000 were $1,219,698 ($.52 per share) as compared with $915,442 ($.52 per
share) in 1999.
For the three months ended September 30, 2000, the Company reported operating revenue of $1,914,021 and net income
of $2,408,538 ($.95 per share) as compared with operating revenue of $1,672,027 and net income of $30,589 ($.02
per share) for the prior year. Funds From Operations for the three months ended September 30, 2000 were $424,519
($.17 per share) as compared with $322,373 ($.16 per share) for the same period in 1999.
Third quarter results include a $2,556,839 gain ($1.09 per share) on the sale of the Company's self-storage facilities
in August, 2000 offsetting a one-time expense of $255,442 ($.11 per share) relating to the accrual of severance
payments for a former executive officer.
William Atkins, Chief Executive Officer of AmeriVest, stated ``we are pleased with the contribution of our recent
office acquisitions to operations for the quarter. We have now completed our repositioning of the Company's assets
to 100% office properties and will continue to focus on improving the performance of our properties for the balance
of 2000 and 2001.''
AmeriVest Properties Inc., with its principal office in Denver, Colorado, owns 22 office properties and is a property-type
specific REIT focused on serving small to mid-sized office tenants in select markets. Its common stock is listed
on The American Stock Exchange under the symbol ``AMV''.
Certain matters discussed in this release are forward-looking statements that are subject to risks and uncertainties
that could cause actual results to differ materially from those projected, including the risks and uncertainties
of acquiring, owning, operating and disposing of real estate. Such risks and uncertainties are disclosed in the
Company's past and current filings with the U.S. Securities and Exchange Commission.
AMERIVEST PROPERTIES INC.
Selected Income Statement Information
Three Months Ended Nine Months Ended
September 30 September 30
(Unaudited) (Unaudited)
2000 1999 2000 1999
REAL ESTATE OPERATING
REVENUE
Rental Revenue
Commercial
properties $1,696,813 $1,294,684 $4,409,999 $3,254,198
Storage
Properties 217,208 377,343 861,535 1,057,981
1,914,021 1,672,027 5,271,534 4,312,179
REAL ESTATE OPERATING
EXPENSES
Property operating
expenses
Operating expenses 557,756 493,477 1,448,454 1,202,773
Real estate taxes 162,223 163,429 492,474 430,488
Management fees 81,826 39,464 241,793 83,688
General and
administrative 135,222 192,497 378,771 503,733
Severance payments 255,442 -- 255,442 --
Interest 577,303 464,571 1,532,063 1,185,215
Depreciation and
amortization 291,208 291,784 860,865 782,102
2,060,980 1,645,222 5,209,862 4,187,999
OTHER INCOME
Interest income 18,082 3,784 34,973 9,160
Share in results of
affiliate (19,424) -- (19,424) --
Gain on sale of
real estate 2,556,839 -- 2,556,839 --
2,555,497 3,784 2,572,388 9,160
NET INCOME $2,408,538 $30,589 $2,634,060 $133,340
NET INCOME PER
COMMON SHARE $0.95 $0.02 $1.13 $0.08
NET INCOME PER
COMMON SHARE
ASSUMING DILUTION $0.95 $0.02 $1.13 $0.08
WEIGHTED AVERAGE
COMMON SHARES
OUTSTANDING 2,545,560 1,988,202 2,335,190 1,768,581
WEIGHTED AVERAGE
COMMON SHARES
OUTSTANDING ASSUMING
DILUTION 2,548,563 1,992,702 2,336,932 1,773,081
FUNDS FROM OPERATIONS:
NET INCOME $2,408,538 $30,589 $2,634,060 $133,340
Depreciation and
Amortization $291,208 $291,784 $860,865 $782,102
Share of depreciation
of affiliate $26,170 $26,170
Severance payments $255,442 $0 $255,442 $0
Gain on sale of
real estate ($2,556,839) $0 ($2,556,839) $0
FUNDS FROM OPERATIONS $424,519 $322,373 $1,219,698 $915,442
FUNDS FROM OPERATIONS
PER BASIC AND
DILUTED SHARE $0.17 $0.16 $0.52 $0.52
FFO PER COMMON
SHARE -- DILUTED $0.17 $0.16 $0.52 $0.52
AMERIVEST PROPERTIES INC.
Selected Balance Sheet Information
September 30,
2000
(Unaudited)
Assets at Cost $45,259,145
Less accumulated depreciation and amortization 2,949,327
Total Assets $42,309,818
Total Mortgage Debt $27,982,897
Total Stockholders' Equity $11,577,892
Common Shares Outstanding
At End of Period 2,960,634
SOURCE: AmeriVest Properties Inc.