What changed in this filing

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Item 1. Financial Statements

2021-11-05 compared with 2021-08-06 · 242 added, 129 removed, 752 unchanged (33% of the section changed)

3 unchanged sentences

(Amounts in thousands, except share data)

June 30, 2021 December 31, 2020

September 30, 2021 December 31, 2020

Single-family properties:

23 unchanged sentences

Shareholders’ equity:

Class A common shares ($ 0.01 par value per share, 450,000,000 shares authorized, 322,208,183 and 316,021,385 shares issued and outstanding at June 30, 2021 and December 31, 2020, respectively)

Class B common shares ($ 0.01 par value per share, 50,000,000 shares authorized, 635,075 shares issued and outstanding at June 30, 2021 and December 31, 2020)

Preferred shares ($ 0.01 par value per share, 100,000,000 shares authorized, 15,400,000 and 35,350,000 shares issued and outstanding at June 30, 2021 and December 31, 2020, respectively)

Class A common shares ($ 0.01 par value per share, 450,000,000 shares authorized, 333,760,558 and 316,021,385 shares issued and outstanding at September 30, 2021 and December 31, 2020, respectively)

Class B common shares ($ 0.01 par value per share, 50,000,000 shares authorized, 635,075 shares issued and outstanding at September 30, 2021 and December 31, 2020)

Preferred shares ($ 0.01 par value per share, 100,000,000 shares authorized, 15,400,000 and 35,350,000 shares issued and outstanding at September 30, 2021 and December 31, 2020, respectively)

Additional paid-in capital 6,353,611 6,223,256

10 unchanged sentences

For the Three Months Ended

June 30, For the Six Months Ended

September 30, For the Nine Months Ended

September 30,

2021 2020 2021 2020

25 unchanged sentences

For the Three Months Ended

June 30, For the Six Months Ended

September 30, For the Nine Months Ended

September 30,

2021 2020 2021 2020

60 unchanged sentences

interest Total

Balances at June 30, 2020 300,512,943 $ 3,005 635,075 $ 6 35,350,000 $ 354 $ 5,797,384 $ ( 461,435 ) $ 6,247 $ 5,345,561 $ 684,248 $ 6,029,809

Share-based compensation — — — — — — 2,170 — — 2,170 — 2,170

Common stock issued under share-based compensation plans, net of shares withheld for employee taxes

78,994 1 — — — — 1,245 — — 1,246 — 1,246

Issuance of Class A common shares, net of offering costs of $ 600

15,036,130 150 — — — — 413,350 — — 413,500 — 413,500

Distributions to equity holders:

Preferred shares (Note 10)

— — — — — — — ( 13,782 ) — ( 13,782 ) — ( 13,782 )

Noncontrolling interests — — — — — — — — — — ( 2,602 ) ( 2,602 )

Common shares ($ 0.05 per share)

— — — — — — — ( 15,814 ) — ( 15,814 ) — ( 15,814 )

Net income — — — — — — — 36,334 — 36,334 3,819 40,153

Total other comprehensive loss — — — — — — — — ( 206 ) ( 206 ) ( 35 ) ( 241 )

Balances at September 30, 2020 315,628,067 $ 3,156 635,075 $ 6 35,350,000 $ 354 $ 6,214,149 $ ( 454,697 ) $ 6,041 $ 5,769,009 $ 685,430 $ 6,454,439

American Homes 4 Rent

Condensed Consolidated Statements of Equity (continued)

(Amounts in thousands, except share and per share data)

Class A common shares Class B common shares Preferred shares

of shares Amount Number

of shares Amount Additional

capital Accumulated

deficit Accumulated other comprehensive income Shareholders’

equity Noncontrolling

interest Total

Balances at December 31, 2020 316,021,385 $ 3,160 635,075 $ 6 35,350,000 $ 354 $ 6,223,256 $ ( 443,522 ) $ 5,840 $ 5,789,094 $ 683,336 $ 6,472,430

28 unchanged sentences

Balances at June 30, 2021 322,208,183 $ 3,222 635,075 $ 6 15,400,000 $ 154 $ 5,949,615 $ ( 457,404 ) $ 1,991 $ 5,497,584 $ 675,921 $ 6,173,505

American Homes 4 Rent

Condensed Consolidated Statements of Equity (continued)

(Amounts in thousands, except share and per share data)

Class A common shares Class B common shares Preferred shares

of shares Amount Number

of shares Amount Additional

capital Accumulated

deficit Accumulated other comprehensive income Shareholders’

equity Noncontrolling

interest Total

Balances at June 30, 2021 322,208,183 $ 3,222 635,075 $ 6 15,400,000 $ 154 $ 5,949,615 $ ( 457,404 ) $ 1,991 $ 5,497,584 $ 675,921 $ 6,173,505

Share-based compensation — — — — — — 3,058 — — 3,058 — 3,058

Common stock issued under share-based compensation plans, net of shares withheld for employee taxes

152,375 2 — — — — 2,052 — — 2,054 — 2,054

Issuance of Class A common shares 11,400,000 114 — — — — 398,886 — — 399,000 — 399,000

Distributions to equity holders:

Preferred shares (Note 10)

— — — — — — — ( 5,763 ) — ( 5,763 ) — ( 5,763 )

Noncontrolling interests — — — — — — — — — — ( 5,137 ) ( 5,137 )

Common shares ($ 0.10 per share)

— — — — — — — ( 32,414 ) — ( 32,414 ) — ( 32,414 )

Net income — — — — — — — 42,632 — 42,632 5,869 48,501

Total other comprehensive loss — — — — — — — — ( 58 ) ( 58 ) ( 91 ) ( 149 )

Balances at September 30, 2021 333,760,558 $ 3,338 635,075 $ 6 15,400,000 $ 154 $ 6,353,611 $ ( 452,949 ) $ 1,933 $ 5,906,093 $ 676,562 $ 6,582,655

The accompanying notes are an integral part of these condensed consolidated financial statements.

2 unchanged sentences

(Amounts in thousands)

For the Six Months Ended

For the Nine Months Ended

September 30,

Operating activities

34 unchanged sentences

Payments on revolving credit facility ( 1,060,000 ) ( 130,000 )

Proceeds from unsecured senior notes, net of discount 737,195 —

Settlement of cash flow hedging instrument ( 3,999 ) —

Distributions to noncontrolling interests ( 18,033 ) ( 10,381 )

3 unchanged sentences

Net cash provided by financing activities 630,185 287,589

Net decrease in cash, cash equivalents and restricted cash ( 81,541 ) ( 2,874 )

Net (decrease) increase in cash, cash equivalents and restricted cash ( 63,083 ) 277,908

Cash, cash equivalents and restricted cash, beginning of period (see Note 3) 265,077 164,119

3 unchanged sentences

(Amounts in thousands)

For the Six Months Ended

For the Nine Months Ended

September 30,

Supplemental cash flow information

4 unchanged sentences

Property and land contributions to unconsolidated joint ventures ( 43,814 ) ( 79,370 )

Accrued loss on settlement of cash flow hedging instrument ( 3,999 ) —

Noncash right-of-use assets obtained in exchange for operating lease liabilities 989 3,254

4 unchanged sentences

(Amounts in thousands, except unit data)

June 30, 2021 December 31, 2020

September 30, 2021 December 31, 2020

Single-family properties:

24 unchanged sentences

General partner:

Common units ( 322,843,258 and 316,656,460 units issued and outstanding at June 30, 2021 and December 31, 2020, respectively)

Common units ( 334,395,633 and 316,656,460 units issued and outstanding at September 30, 2021 and December 31, 2020, respectively)

5,532,596 4,928,819

Preferred units ( 15,400,000 and 35,350,000 units issued and outstanding at June 30, 2021 and December 31, 2020, respectively)

Preferred units ( 15,400,000 and 35,350,000 units issued and outstanding at September 30, 2021 and December 31, 2020, respectively)

371,564 854,435

Limited partner:

Common units ( 51,376,980 and 51,726,980 units issued and outstanding at June 30, 2021 and December 31, 2020, respectively)

Common units ( 51,376,980 and 51,726,980 units issued and outstanding at September 30, 2021 and December 31, 2020, respectively)

676,264 682,316

7 unchanged sentences

For the Three Months Ended

June 30, For the Six Months Ended

September 30, For the Nine Months Ended

September 30,

2021 2020 2021 2020

24 unchanged sentences

For the Three Months Ended

June 30, For the Six Months Ended

September 30, For the Nine Months Ended

September 30,

2021 2020 2021 2020

41 unchanged sentences

Balances at June 30, 2020 301,148,018 $ 4,484,879 $ 854,435 52,026,980 $ 683,153 $ 7,342 $ 6,029,809

Share-based compensation — 2,170 — — — — 2,170

Common units issued under share-based compensation plans, net of units withheld for employee taxes

78,994 1,246 — — — — 1,246

Issuance of Class A common units, net of offering costs $ 600

15,036,130 413,500 — — — — 413,500

Distributions to capital holders:

Preferred units (Note 10)

— — ( 13,782 ) — — — ( 13,782 )

Common units ($ 0.05 per unit)

— ( 15,814 ) — — ( 2,602 ) — ( 18,416 )

Net income — 22,552 13,782 — 3,819 — 40,153

Total other comprehensive loss — — — — — ( 241 ) ( 241 )

Balances at September 30, 2020 316,263,142 $ 4,908,533 $ 854,435 52,026,980 $ 684,370 $ 7,101 $ 6,454,439

American Homes 4 Rent, L.P.

32 unchanged sentences

Balances at June 30, 2021 322,843,258 $ 5,124,029 $ 371,564 51,376,980 $ 675,532 $ 2,380 $ 6,173,505

Share-based compensation — 3,058 — — — — 3,058

Common units issued under share-based compensation plans, net of units withheld for employee taxes

152,375 2,054 — — — — 2,054

Issuance of Class A common units 11,400,000 399,000 — — — — 399,000

Distributions to capital holders:

Preferred units (Note 10)

— — ( 5,763 ) — — — ( 5,763 )

Common units ($ 0.10 per unit)

— ( 32,414 ) — — ( 5,137 ) — ( 37,551 )

Net income — 36,869 5,763 — 5,869 — 48,501

Total other comprehensive loss — — — — — ( 149 ) ( 149 )

Balances at September 30, 2021 334,395,633 $ 5,532,596 $ 371,564 51,376,980 $ 676,264 $ 2,231 $ 6,582,655

The accompanying notes are an integral part of these condensed consolidated financial statements.

2 unchanged sentences

(Amounts in thousands)

For the Six Months Ended

For the Nine Months Ended

September 30,

Operating activities

34 unchanged sentences

Payments on revolving credit facility ( 1,060,000 ) ( 130,000 )

Proceeds from unsecured senior notes, net of discount 737,195 —

Settlement of cash flow hedging instrument ( 3,999 ) —

Distributions to common unitholders ( 130,311 ) ( 71,416 )

2 unchanged sentences

Net cash provided by financing activities 630,185 287,589

Net decrease in cash, cash equivalents and restricted cash ( 81,541 ) ( 2,874 )

Net (decrease) increase in cash, cash equivalents and restricted cash ( 63,083 ) 277,908

Cash, cash equivalents and restricted cash, beginning of period (see Note 3) 265,077 164,119

3 unchanged sentences

(Amounts in thousands)

For the Six Months Ended

For the Nine Months Ended

September 30,

Supplemental cash flow information

4 unchanged sentences

Property and land contributions to unconsolidated joint ventures ( 43,814 ) ( 79,370 )

Accrued loss on settlement of cash flow hedging instrument ( 3,999 ) —

Noncash right-of-use assets obtained in exchange for operating lease liabilities 989 3,254

8 unchanged sentences

References to the “Company,” “we,” “our” and “us” mean collectively AH4R, the Operating Partnership and those entities/subsidiaries owned or controlled by AH4R and/or the Operating Partnership.

As of June 30, 2021, the Company held 54,785 single-family properties in 22 states, including 589 properties classified as held for sale.

AH4R is the general partner of, and as of June 30, 2021 owned approximately 86.2 % of the common partnership interest in, the Operating Partnership.

As of September 30, 2021, the Company held 56,077 single-family properties in 22 states, including 604 properties classified as held for sale.

AH4R is the general partner of, and as of September 30, 2021 owned approximately 86.7 % of the common partnership interest in, the Operating Partnership.

The remaining 13.3 % of the common partnership interest was owned by limited partners.

35 unchanged sentences

The following table provides a reconciliation of cash, cash equivalents and restricted cash per the condensed consolidated statements of cash flows to the corresponding financial statement line items in the condensed consolidated balance sheets (in thousands):

June 30, December 31,

September 30, December 31,

2021 2020 2020 2019

3 unchanged sentences

Real Estate Assets, Net

The net book values of real estate assets consisted of the following as of June 30, 2021 and December 31, 2020 (in thousands):

June 30, 2021 December 31, 2020

The net book values of real estate assets consisted of the following as of September 30, 2021 and December 31, 2020 (in thousands):

September 30, 2021 December 31, 2020

Occupied single-family properties $ 8,369,911 $ 7,957,513

7 unchanged sentences

Total real estate assets, net $ 9,794,592 $ 8,884,779

Depreciation expense related to single-family properties was $ 87.4 million and $ 81.6 million for the three months ended June 30, 2021 and 2020, respectively, and $ 173.7 million and $ 161.4 million for the six months ended June 30, 2021 and 2020, respectively.

The following table summarizes the Company’s dispositions of single-family properties and land for the three and six months ended June 30, 2021 and 2020 (in thousands, except property data):

Depreciation expense related to single-family properties was $ 90.6 million and $ 83.7 million for the three months ended September 30, 2021 and 2020, respectively, and $ 264.3 million and $ 245.1 million for the nine months ended September 30, 2021 and 2020, respectively.

The following table summarizes the Company’s dispositions of single-family properties and land for the three and nine months ended September 30, 2021 and 2020 (in thousands, except property data):

For the Three Months Ended

June 30, For the Six Months Ended

September 30, For the Nine Months Ended

September 30,

2021 2020 2021 2020

5 unchanged sentences

Net proceeds $ 277 $ — $ 596 $ 71

Net (loss) gain on sale $ ( 62 ) $ — $ ( 139 ) $ 7

Net gain (loss) on sale $ 42 $ — $ ( 97 ) $ 7

(1) Net proceeds are net of deductions for working capital prorations.

1 unchanged sentence

Included in rents and other single-family property revenues are variable lease payments for tenant charge-backs, which primarily relate to cost recoveries on utilities, and variable lease payments for fees from single-family properties.

Variable lease payments for tenant charge-backs were $ 38.0 million and $ 35.4 million for the three months ended June 30, 2021 and 2020, respectively, and $ 83.8 million and $ 75.4 million for the six months ended June 30, 2021 and 2020, respectively.

Variable lease payments for fees from single-family properties were $ 5.5 million and $ 3.3 million for the three months ended June 30, 2021 and 2020, respectively, and $ 10.7 million and $ 7.3 million for the six months ended June 30, 2021 and 2020, respectively.

Variable lease payments for tenant charge-backs were $ 52.7 million and $ 49.9 million for the three months ended September 30, 2021 and 2020, respectively, and $ 136.5 million and $ 125.4 million for the nine months ended September 30, 2021 and 2020, respectively.

Variable lease payments for fees from single-family properties were $ 6.0 million and $ 4.3 million for the three months ended September 30, 2021 and 2020, respectively, and $ 16.7 million and $ 11.7 million for the nine months ended September 30, 2021 and 2020, respectively.

The Company generally rents its single-family properties under non-cancelable lease agreements with a term of one year .

The following table summarizes future minimum rental revenues under existing leases on our properties as of June 30, 2021 (in thousands):

June 30, 2021

The following table summarizes future minimum rental revenues under existing leases on our properties as of September 30, 2021 (in thousands):

September 30, 2021

Remaining 2021 $ 254,285

Total $ 705,442

As of June 30, 2021 and December 31, 2020, rent and other receivables included $ 5.9 million and $ 0.8 million, respectively, of insurance claims receivables related to storm damages and other matters.

As of September 30, 2021 and December 31, 2020, rent and other receivables included $ 4.5 million and $ 0.8 million, respectively, of insurance claims receivables related to storm damages and other matters.

Escrow Deposits, Prepaid Expenses and Other Assets

The following table summarizes the components of escrow deposits, prepaid expenses and other assets as of June 30, 2021 and December 31, 2020 (in thousands):

June 30, 2021 December 31, 2020

The following table summarizes the components of escrow deposits, prepaid expenses and other assets as of September 30, 2021 and December 31, 2020 (in thousands):

September 30, 2021 December 31, 2020

Escrow deposits, prepaid expenses and other $ 72,716 $ 51,886

Deferred costs and other intangibles, net 14,735 4,864

Commercial real estate, software, vehicles and FF&E, net 59,886 52,130

Notes receivable, net 34,677 35,519

Operating lease ROU assets 17,611 18,772

Commercial real estate, software, vehicles and FF&E, net 57,600 52,130

Deferred costs and other intangibles, net 13,946 4,864

Total $ 198,836 $ 163,171

Depreciation expense related to commercial real estate, software, vehicles and furniture, fixtures and equipment (“FF&E”), net was $ 2.6 million and $ 2.1 million for the three months ended June 30, 2021 and 2020, respectively, and $ 5.4 million and $ 4.1 million for the six months ended June 30, 2021 and 2020, respectively.

Depreciation expense related to commercial real estate, software, vehicles and furniture, fixtures and equipment (“FF&E”), net was $ 2.9 million and $ 2.3 million for the three months ended September 30, 2021 and 2020, respectively, and $ 8.3 million and $ 6.4 million for the nine months ended September 30, 2021 and 2020, respectively.

Deferred Costs and Other Intangibles, Net

Deferred costs and other intangibles, net, consisted of the following as of June 30, 2021 and December 31, 2020 (in thousands):

June 30, 2021 December 31, 2020

Deferred costs and other intangibles, net, consisted of the following as of September 30, 2021 and December 31, 2020 (in thousands):

September 30, 2021 December 31, 2020

Deferred leasing costs $ 3,341 $ 3,782

3 unchanged sentences

Total $ 13,946 $ 4,864

Amortization expense related to deferred leasing costs was $ 1.1 million for both the three months ended June 30, 2021 and 2020 and $ 2.1 million for both the six months ended June 30, 2021 and 2020 and was included in depreciation and amortization within the condensed consolidated statements of operations.

Amortization of deferred financing costs that relate to our revolving credit facility was $ 0.6 million and $ 0.5 million for three months ended June 30, 2021 and 2020, respectively, and $ 1.1 million and $ 1.0 million for the six months ended June 30, 2021 and 2020, respectively, and was included in gross interest, prior to interest capitalization (see Note 8.

The following table sets forth the estimated annual amortization expense related to deferred costs and other intangibles, net as of June 30, 2021 for future periods (in thousands):

Amortization expense related to deferred leasing costs was $ 1.0 million for both the three months ended September 30, 2021 and 2020 and $ 3.1 million for both the nine months ended September 30, 2021 and 2020 and was included in depreciation and amortization within the condensed consolidated statements of operations.

Amortization of deferred financing costs that relate to our revolving credit facility was $ 0.7 million and $ 0.5 million for the three months ended September 30, 2021 and 2020, respectively, and $ 1.8 million and $ 1.5 million for the nine months ended September 30, 2021 and 2020, respectively, and was included in gross interest, prior to interest capitalization (see Note 8.

The following table sets forth the estimated annual amortization expense related to deferred costs and other intangibles, net as of September 30, 2021 for future periods (in thousands):

Leasing Costs Deferred

8 unchanged sentences

Investments in Unconsolidated Joint Ventures

As of June 30, 2021, the Company held 20 % ownership interests in three unconsolidated joint ventures.

As of September 30, 2021, the Company held 20 % ownership interests in three unconsolidated joint ventures.

In evaluating the Company’s 20 % ownership interests in these joint ventures, we concluded that the joint ventures are not VIEs after applying the variable interest model and, therefore, we account for our interests in the joint ventures as investments in unconsolidated subsidiaries after applying the voting interest model using the equity method of accounting.

4 unchanged sentences

The following table summarizes our investments in unconsolidated joint ventures (in thousands, except percentages and property data):

Joint Venture Description % Ownership at June 30, 2021 Completed Homes at June 30, 2021 Balances at

June 30, 2021 Balances at

Joint Venture Description % Ownership at September 30, 2021 Completed Homes at September 30, 2021 Balances at

September 30, 2021 Balances at

December 31, 2020

4 unchanged sentences

The Company provides various services to these joint ventures, which are considered to be related parties, including property management and development services and has opportunities to earn promoted interests.

Management fee and development fee income from unconsolidated joint ventures was $ 2.5 million and $ 1.3 million for the three months ended June 30, 2021 and 2020, respectively, and $ 4.6 million and $ 2.2 million for the six months ended June 30, 2021 and 2020, respectively, and was included in other income and expense, net within the condensed consolidated statements of operations.

Management fee and development fee income from unconsolidated joint ventures was $ 2.8 million and $ 1.7 million for the three months ended September 30, 2021 and 2020, respectively, and $ 7.4 million and $ 3.9 million for the nine months ended September 30, 2021 and 2020, respectively, and was included in other income and expense, net within the condensed consolidated statements of operations.

As a result of the Company’s management of these joint ventures, certain related party receivables and payables arise in the ordinary course of business and are included in escrow deposits, prepaid expenses and other assets or amounts payable to affiliates in the condensed consolidated balance sheets.

2 unchanged sentences

The loan agreement provides for three one -year extension options that include additional fees and interest.

As of June 30, 2021, the joint venture’s loan had a $ 139.7 million outstanding principal balance.

As of September 30, 2021, the joint venture’s loan had a $ 161.3 million outstanding principal balance.

The Company has provided a customary non-recourse guarantee that may become a liability for us upon a voluntary bankruptcy filing by the joint venture or occurrence of other actions such as fraud or a material misrepresentation by us or the joint venture.

3 unchanged sentences

AH4R is not directly obligated under any indebtedness, but guarantees some of the debt of the Operating Partnership.

The following table presents the Company’s debt as of June 30, 2021 and December 31, 2020 (in thousands):

The following table presents the Company’s debt as of September 30, 2021 and December 31, 2020 (in thousands):

Outstanding Principal Balance

Interest Rate (1)

Maturity Date June 30, 2021 December 31, 2020

Maturity Date September 30, 2021 December 31, 2020

AH4R 2014-SFR2 securitization 4.42 % October 9, 2024 $ 475,336 $ 479,981

8 unchanged sentences

2029 unsecured senior notes 4.90 % February 15, 2029 400,000 400,000

2031 unsecured senior notes (5)

2.46 % July 15, 2031 450,000 —

2051 unsecured senior notes 3.38 % July 15, 2051 300,000 —

Revolving credit facility (6)

5 unchanged sentences

Total debt per balance sheet $ 3,534,664 $ 2,817,412

(1) Interest rates are as of June 30, 2021.

(1) Interest rates are rounded and as of September 30, 2021.

Unless otherwise stated, interest rates are fixed percentages.

1 unchanged sentence

(3) The AH4R 2015-SFR2 securitization has an anticipated repayment date of October 9, 2025.

(4) The stated interest rate on the 2028 unsecured senior notes is 4.25 %, which was effectively hedged to yield an interest rate of 4.08 %.

(5) The revolving credit facility provides for a borrowing capacity of up to $ 1.25 billion and the Company had approximately $ 1.2 million and $ 1.5 million, respectively, committed to outstanding letters of credit that reduced our borrowing capacity as of June 30, 2021 and December 31, 2020.

The revolving credit facility bears interest at LIBOR plus 1.10 % as of June 30, 2021.

(4) The stated interest rate on the 2028 unsecured senior notes is 4.25 %, which was hedged to yield an interest rate of 4.08 %.

(5) The stated interest rate on the 2031 unsecured senior notes is 2.38 %, which was hedged to yield an interest rate of 2.46 %.

(6) The revolving credit facility provides for a borrowing capacity of up to $ 1.25 billion and the Company had approximately $ 1.2 million and $ 1.5 million, respectively, committed to outstanding letters of credit that reduced our borrowing capacity as of September 30, 2021 and December 31, 2020.

The revolving credit facility bears interest at LIBOR plus 1.10 % as of September 30, 2021.

(7) Deferred financing costs relate to our asset-backed securitizations and unsecured senior notes.

Amortization of deferred financing costs was $ 1.5 million for both the three months ended June 30, 2021 and 2020 and $ 3.0 million for both the six months ended June 30, 2021 and 2020, respectively, which was included in gross interest, prior to interest capitalization.

Amortization of deferred financing costs was $ 1.5 million for both the three months ended September 30, 2021 and 2020 and $ 4.5 million for both the nine months ended September 30, 2021 and 2020, which was included in gross interest, prior to interest capitalization.

Unsecured Senior Notes

In July 2021, the Operating Partnership issued $ 450.0 million of 2.375 % unsecured senior notes with a maturity date of July 15, 2031 (the “2031 Notes”) and $ 300.0 million of 3.375 % unsecured senior notes with a maturity date of July 15, 2051 (the “2051 Notes” and, together with the 2031 Notes, the “Notes”).

Interest on the Notes is payable semi-annually in arrears on January 15 and July 15 of each year, commencing on January 15, 2022.

The Operating Partnership received aggregate net proceeds of $ 731.6 million from these issuances, after underwriting fees of approximately $ 5.6 million and a $ 12.8 million discount, and before offering costs of $ 1.4 million.

The Operating Partnership used the net proceeds from this offering to repay amounts outstanding on its revolving credit facility and for general corporate purposes, including, without limitation, property acquisitions and developments, the expansion, redevelopment and/or improvement of existing properties in the Operating Partnership’s portfolio, other capital expenditures, the redemption of its preferred shares, the repayment of outstanding indebtedness, working capital and other general purposes.

The Notes are the Operating Partnership’s unsecured and unsubordinated obligations and rank equally in right of payment with all of the Operating Partnership’s existing and future unsecured and unsubordinated indebtedness.

The Operating Partnership may redeem the Notes in whole at any time or in part from time to time at the applicable redemption price specified in the indentures with respect to the Notes.

If the 2031 Notes are redeemed on or after April 15, 2031 (three months prior to the maturity date), the redemption price will be equal to 100 % of the principal amount of the notes being redeemed plus accrued and unpaid interest thereon to, but not including, the redemption date.

If the 2051 Notes are redeemed on or after January 15, 2051 (six months prior to the maturity date), the redemption price will be equal to 100 % of the principal amount of the notes being redeemed plus accrued and unpaid interest thereon to, but not including, the redemption date.

Revolving Credit Facility

In April 2021, the Company closed a $ 1.25 billion revolving credit facility, amending its existing $ 800 million revolving credit facility.

During the second quarter of 2021, the Company closed a $ 1.25 billion revolving credit facility, amending its existing $ 800 million revolving credit facility.

The amended revolving credit facility provides for expanded borrowing capacity, reflects a more favorable pricing grid based on current market conditions, and includes a sustainability component based upon third-party performance measures through which overall pricing can further improve if the Company meets certain targets.

3 unchanged sentences

Debt Maturities

The following table summarizes the contractual maturities of the Company’s principal debt balances on a fully extended basis as of June 30, 2021 (in thousands):

The following table summarizes the contractual maturities of the Company’s principal debt balances on a fully extended basis as of September 30, 2021 (in thousands):

Debt Maturities

3 unchanged sentences

Interest Expense

The following table summarizes our (i) gross interest cost, which includes fees on our credit facilities and amortization of deferred financing costs and the discounts on unsecured senior notes, and (ii) capitalized interest for the three and six months ended June 30, 2021 and 2020 (in thousands):

The following table summarizes our (i) gross interest cost, which includes fees on our credit facilities and amortization of deferred financing costs and the discounts on unsecured senior notes, and (ii) capitalized interest for the three and nine months ended September 30, 2021 and 2020 (in thousands):

For the Three Months Ended

June 30, For the Six Months Ended

September 30, For the Nine Months Ended

September 30,

2021 2020 2021 2020

3 unchanged sentences

Accounts Payable and Accrued Expenses

The following table summarizes accounts payable and accrued expenses as of June 30, 2021 and December 31, 2020 (in thousands):

June 30, 2021 December 31, 2020

The following table summarizes accounts payable and accrued expenses as of September 30, 2021 and December 31, 2020 (in thousands):

September 30, 2021 December 31, 2020

Accrued property taxes $ 134,920 $ 48,689

1 unchanged sentence

Accrued construction and maintenance liabilities 47,876 42,483

Accrued interest 23,274 23,018

Prepaid rent 24,316 24,421

Operating lease liabilities 19,026 19,166

Accrued interest 17,886 23,018

Accounts payable 1,003 432

5 unchanged sentences

Class A Common Share / Unit Offering

In May 2021, the Company completed an underwritten public offering for 18,745,000 of its Class A common shares of beneficial interest, $ 0.01 par value per share, of which 5,500,000 shares were issued directly by the Company, and 13,245,000 shares were offered on a forward basis at the request of the Company by the forward sellers.

During the second quarter of 2021, the Company completed an underwritten public offering for 18,745,000 of its Class A common shares of beneficial interest, $ 0.01 par value per share, of which 5,500,000 shares were issued directly by the Company and 13,245,000 shares were offered on a forward basis at the request of the Company by the forward sellers.

In connection with this offering, the Company entered into forward sale agreements with the forward purchasers (the “May 2021 Forward Sale Agreements”) for these 13,245,000 shares which are accounted for in equity.

The Company expects to physically settle the May 2021 Forward Sale Agreements by the delivery of the Class A common shares and receive proceeds by May 21, 2022, although the Company has the right to elect settlement prior to that time subject to certain conditions.

Although the Company expects to physically settle, the May 2021 Forward Sale Agreements allow the Company to cash or net-share settle all or a portion of its obligations.

If the Company elects to cash or net share

settle the May 2021 Forward Sale Agreements, the Company may not receive any proceeds, and may owe cash or Class A common shares to the forward purchasers in certain circumstances.

The May 2021 Forward Sale Agreements are subject to early termination or settlement under certain circumstances.

The Company received net proceeds of $ 194.0 million from the 5,500,000 Class A common shares issued directly by the Company after deducting underwriting discounts and before offering costs of approximately $ 0.2 million.

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The Company used the net proceeds to repay indebtedness under its revolving credit facility, to partially fund the redemption of its Series D and Series E perpetual preferred shares discussed below and for general corporate purposes.

The Company did not initially receive proceeds from the sale of the Class A common shares offered on a forward basis but estimates that net proceeds will be approximately $ 467.3 million after deducting underwriting discounts.

The Company did not initially receive proceeds from the sale of the Class A common shares offered on a forward basis.

In September 2021, the Company issued and physically settled 11,400,000 Class A common shares under the May 2021 Forward Sale Agreements, receiving net proceeds of $ 399.0 million.

The Operating Partnership issued an equivalent number of corresponding Class A units to AH4R in exchange for the net proceeds from the issuance.

As of September 30, 2021, 1,845,000 Class A common shares remained available for future settlement under the May 2021 Forward Sale Agreements.

The Company expects to physically settle the remaining shares by May 21, 2022 through the delivery of the Class A common shares and expects that net proceeds will be approximately $ 64.6 million.

The Company expects to use these net proceeds for general corporate purposes including, without limitation, property acquisitions and developments.

Although the Company expects to physically settle the remaining shares, the May 2021 Forward Sale Agreements allow the Company to cash or net-share settle all or a portion of its obligations.

If the Company elects to cash or net share settle the May 2021 Forward Sale Agreements, the Company may not receive any proceeds, and may owe cash or Class A common shares to the forward purchasers in certain circumstances.

The May 2021 Forward Sale Agreements are subject to early termination or settlement under certain circumstances.

At-the-Market Common Share Offering Program

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The At-the-Market Program also provides that we may enter into forward contracts for our Class A common shares with forward sellers and forward purchasers.

The Company intends to use any net proceeds from the At-the-Market Program (i) to repay indebtedness the Company has incurred or expects to incur under its revolving credit facility, (ii) to develop new single-family properties and communities, (iii) to acquire and renovate single-family properties and for related activities in accordance with the Company’s business strategy and (iv) for working capital and general corporate purposes, including repurchases of the Company’s securities, acquisitions of additional properties, capital expenditures and the expansion, redevelopment and/or improvement of properties in the Company’s portfolio.

repurchases of the Company’s securities, acquisitions of additional properties, capital expenditures and the expansion, redevelopment and/or improvement of properties in the Company’s portfolio.

The At-the-Market Program may be suspended or terminated by the Company at any time.

During the six months ended June 30, 2021 and 2020, no shares were issued under the At-the-Market Program.

As of June 30, 2021, 86,130 shares have been issued under the At-the-Market Program and $ 497.6 million remained available for future share issuances.

During the three and nine months ended September 30, 2020, 86,130 shares were issued under the At-the-Market Program, raising $ 2.4 million in gross proceeds before commissions and other expenses of approximately $ 0.4 million.

As of September 30, 2021, 86,130 shares have been issued under the At-the-Market Program and $ 497.6 million remained available for future share issuances.

Share Repurchase Program

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The Operating Partnership funds the repurchases and constructively retires an equivalent number of corresponding Class A units.

During the six months ended June 30, 2021 and 2020, we did not repurchase and retire any of our shares.

As of June 30, 2021, we had a remaining repurchase authorization of up to $ 265.1 million of our outstanding Class A common shares and up to $ 250.0 million of our outstanding preferred shares under the program.

During the nine months ended September 30, 2021 and 2020, we did not repurchase and retire any of our shares.

As of September 30, 2021, we had a remaining repurchase authorization of up to $ 265.1 million of our outstanding Class A common shares and up to $ 250.0 million of our outstanding preferred shares under the program.

Perpetual Preferred Shares

As of June 30, 2021 and December 31, 2020, the Company had the following series of perpetual preferred shares outstanding (in thousands, except share data):

June 30, 2021 December 31, 2020

As of September 30, 2021 and December 31, 2020, the Company had the following series of perpetual preferred shares outstanding (in thousands, except share data):

September 30, 2021 December 31, 2020

Series Issuance Date Earliest Redemption Date Dividend Rate Outstanding Shares Current Liquidation Value Outstanding Shares Current Liquidation Value

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Total preferred shares 15,400,000 $ 385,000 35,350,000 $ 883,750

In June 2021, the Company redeemed all 10,750,000 shares of the outstanding 6.500 % Series D perpetual preferred shares, $ 0.01 par value per share, for cash at a liquidation preference of $ 25.00 per share plus any accrued and unpaid dividends in accordance with the terms of such shares.

During the second quarter of 2021, the Company redeemed all 10,750,000 shares of the outstanding 6.500 % Series D perpetual preferred shares, $ 0.01 par value per share, for cash at a liquidation preference of $ 25.00 per share plus any accrued and unpaid dividends in accordance with the terms of such shares.

The Operating Partnership also redeemed its corresponding Series D perpetual preferred units.

As a result of the redemption, the Company recorded an $ 8.5 million allocation of income to the Series D perpetual preferred shareholders

within the condensed consolidated statements of operations in the second quarter of 2021, which represents the initial liquidation value of the Series D perpetual preferred shares in excess of its carrying value as of the redemption date.

In June 2021, the Company redeemed all 9,200,000 shares of the outstanding 6.350 % Series E perpetual preferred shares, $ 0.01 par value per share, for cash at a liquidation preference of $ 25.00 per share plus accrued and unpaid dividends in accordance with the terms of such shares.

As a result of the redemption, the Company recorded an $ 8.5 million allocation of income to the Series D perpetual preferred shareholders within the condensed consolidated statements of operations in the second quarter of 2021, which represents the initial liquidation value of the Series D perpetual preferred shares in excess of its carrying value as of the redemption date.

During the second quarter of 2021, the Company redeemed all 9,200,000 shares of the outstanding 6.350 % Series E perpetual preferred shares, $ 0.01 par value per share, for cash at a liquidation preference of $ 25.00 per share plus accrued and unpaid dividends in accordance with the terms of such shares.

The Operating Partnership also redeemed its corresponding Series E perpetual preferred units.

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For the Three Months Ended

Security June 30,

Security September 30, 2021 June 30,

2021 March 31,

2021 September 30,

2020 June 30,

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(1) The 6.500 % Series D perpetual preferred shares were redeemed on June 7, 2021 and the distributions for the three months ended June 30, 2021 represent the accrued and unpaid dividends paid to shareholders as part of the redemption.

(2) The 6.350 % Series E perpetual preferred shares were redeemed on June 30, 2021.

Noncontrolling Interest

Noncontrolling interest as reflected in the Company’s condensed consolidated balance sheets primarily consists of the interests held by former American Homes 4 Rent, LLC (“AH LLC”) members in units in the Operating Partnership.

Former AH LLC members owned 50,779,990 and 51,129,990 , or approximately 13.6 % and 13.9 %, of the total 374,220,238 and 368,383,440 Class A units in the Operating Partnership as of June 30, 2021 and December 31, 2020, respectively.

Former AH LLC members owned 50,779,990 and 51,129,990 , or approximately 13.1 % and 13.9 %, of the total 385,772,613 and 368,383,440 Class A units in the Operating Partnership as of September 30, 2021 and December 31, 2020, respectively.

Noncontrolling interest also includes interests held by non-affiliates in Class A units in the Operating Partnership.

Non-affiliate Class A unitholders owned 596,990 , or approximately 0.2 %, of the total 374,220,238 and 368,383,440 Class A units in the Operating Partnership as of June 30, 2021 and December 31, 2020, respectively.

Non-affiliate Class A unitholders owned 596,990 , or approximately 0.2 %, of the total 385,772,613 and 368,383,440 Class A units in the Operating Partnership as of September 30, 2021 and December 31, 2020, respectively.

The OP units owned by former AH LLC members and non-affiliates that are reflected as noncontrolling interest in the Company’s condensed consolidated balance sheets are reflected as limited partner capital in the Operating Partnership’s condensed consolidated balance sheets.

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2021 Equity Incentive Plan

In May 2021, the Company’s shareholders approved and the Company adopted the 2021 Equity Incentive Plan (the “2021 Plan”).

During the second quarter of 2021, the Company’s shareholders approved and the Company adopted the 2021 Equity Incentive Plan (the “2021 Plan”).

The 2021 Plan replaced the 2012 Equity Incentive Plan (the “2012 Plan”) and provides for the issuance of up to 9,544,095 Class A common shares (including shares that remained available for future awards under the 2012 Plan as of the effective date of the 2021 Plan and shares related to outstanding awards under the 2012 Plan that may become available after expiration, forfeiture or cancellation of such awards).

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When the Company issues Class A common shares under the 2021 Plan, the Operating Partnership issues an equivalent number of Class A units to AH4R.

During the six months ended June 30, 2021 and 2020, the Human Capital and Compensation Committee granted RSUs to employees that vest over a three-year service period.

During the nine months ended September 30, 2021 and 2020, the Human Capital and Compensation Committee granted RSUs to employees that vest over a one - to three-year service period.

RSUs granted to non-management trustees vest over a one-year service period.

During the six months ended June 30, 2021, the Human Capital and Compensation Committee granted performance-based restricted share units (“PSUs”) to certain executives that cliff vest at the end of a three-year service period.

During the nine months ended September 30, 2021, the Human Capital and Compensation Committee granted performance-based restricted share units (“PSUs”) to certain executives that cliff vest at the end of a three-year service period.

The performance conditions of the PSUs are measured over a three-year performance period beginning January 1, 2021 and ending December 31, 2023.

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For the Core FFO Awards, fair value is based on the market value on the date of grant and compensation cost is recognized based on the probable achievement of the performance condition at each reporting period.

The following table summarizes stock option activity under the 2012 Plan and 2021 Plan for the six months ended June 30, 2021 and 2020:

For the Six Months Ended

The following table summarizes stock option activity under the 2012 Plan and 2021 Plan for the nine months ended September 30, 2021 and 2020:

For the Nine Months Ended

September 30,

Options outstanding at beginning of period 1,090,300 1,529,800

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Options exercisable at end of period 793,800 1,049,200

The following table summarizes RSU activity under the 2012 Plan and 2021 Plan for the six months ended June 30, 2021 and 2020:

For the Six Months Ended

The following table summarizes RSU activity under the 2012 Plan and 2021 Plan for the nine months ended September 30, 2021 and 2020:

For the Nine Months Ended

September 30,

RSUs outstanding at beginning of period 651,537 599,109

3 unchanged sentences

RSUs outstanding at end of period 1,060,679 818,744

The following table summarizes PSU activity under the 2012 Plan and 2021 Plan for the six months ended June 30, 2021 and 2020:

For the Six Months Ended

The following table summarizes PSU activity under the 2012 Plan and 2021 Plan for the nine months ended September 30, 2021 and 2020:

For the Nine Months Ended

September 30,

PSUs outstanding at beginning of period — —

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PSUs outstanding at end of period 92,319 —

2021 Employee Stock Purchase Plan

During the second quarter of 2021, the Company’s shareholders approved and the Company adopted the 2021 Employee Stock Purchase Plan (the “2021 ESPP”), which provides for the issuance of 3,000,000 Class A common shares.

The 2021 ESPP terminates in June 2031 or the date on which there are no longer any Class A common shares available for issuance.

The 2021 ESPP allows employees to acquire the Company’s Class A common shares through payroll deductions, subject to maximum purchase limitations, during six-month purchase periods.

The first purchase period commenced on July 1, 2021.

The purchase price for Class A common shares will be 85 % of the lower of the closing price of the Company’s Class A common shares on the first day or the last day of the applicable purchase period.

When the Company issues Class A common shares under the 2021 ESPP, the Operating Partnership issues an equivalent number of Class A units to AH4R.

Share-Based Compensation Expense

The Company’s noncash share-based compensation expense relating to corporate administrative employees is included in general and administrative expense and the noncash share-based compensation expense relating to centralized and field property management employees is included in property management expenses.

Noncash share-based compensation expense relating to employees involved in the purchases of single-family properties, including newly constructed properties from third-party builders, the development of single-family properties, or the disposal of certain properties or portfolios of properties is included in acquisition and other transaction costs.

The following table summarizes the activity that relates to the Company’s noncash share-based compensation expense for the three and six months ended June 30, 2021 and 2020 (in thousands):

other transaction costs.

The following table summarizes the activity that relates to the Company’s noncash share-based compensation expense for the three and nine months ended September 30, 2021 and 2020 (in thousands):

For the Three Months Ended

June 30, For the Six Months Ended

September 30, For the Nine Months Ended

September 30,

2021 2020 2021 2020

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American Homes 4 Rent

The following table reflects the Company’s computation of net income per common share on a basic and diluted basis for the three and six months ended June 30, 2021 and 2020 (in thousands, except share and per share data):

The following table reflects the Company’s computation of net income per common share on a basic and diluted basis for the three and nine months ended September 30, 2021 and 2020 (in thousands, except share and per share data):

For the Three Months Ended

June 30, For the Six Months Ended

September 30, For the Nine Months Ended

September 30,

2021 2020 2021 2020

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(1) Unvested RSUs that have nonforfeitable rights to participate in dividends declared on common stock are accounted for as participating securities and reflected in the calculation of basic and diluted earnings per share using the two-class method.

(2) Reflects the effect of potentially dilutive securities issuable upon the assumed exercise of stock options and the dilutive effect of unsettled forward sale equity contracts under the treasury stock method (see Note 10).

(2) Reflects the effect of potentially dilutive securities issuable upon the assumed exercise of stock options and the dilutive effect of forward sale equity contracts under the treasury stock method (see Note 10).

(3) The effect of the potential conversion of OP units is not reflected in the computation of basic and diluted earnings per share, as they are exchangeable for Class A common shares on a one -for-one basis.

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American Homes 4 Rent, L.P.

The following table reflects the Operating Partnership’s computation of net income per common unit on a basic and diluted basis for the three and six months ended June 30, 2021 and 2020 (in thousands, except unit and per unit data):

The following table reflects the Operating Partnership’s computation of net income per common unit on a basic and diluted basis for the three and nine months ended September 30, 2021 and 2020 (in thousands, except unit and per unit data):

For the Three Months Ended

June 30, For the Six Months Ended

September 30, For the Nine Months Ended

September 30,

2021 2020 2021 2020

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The carrying amount of rents and other receivables, restricted cash, escrow deposits, prepaid expenses and other assets, and accounts payable and accrued expenses generally approximate fair value because of the short maturity of these amounts.

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Our unsecured senior notes are financial instruments classified as Level 2 in the fair value hierarchy as their fair values were estimated using observable inputs based on the market value of the last trade at the end of the period.

The following table displays the carrying values and fair values of our debt instruments as of June 30, 2021 and December 31, 2020 (in thousands):

June 30, 2021 December 31, 2020

The following table displays the carrying values and fair values of our debt instruments as of September 30, 2021 and December 31, 2020 (in thousands):

September 30, 2021 December 31, 2020

Carrying Value Fair Value Carrying Value Fair Value

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2029 unsecured senior notes, net 395,849 468,684 395,427 482,276

2031 unsecured senior notes, net 439,764 447,008 — —

2051 unsecured senior notes, net 290,759 306,492 — —

Total unsecured senior notes, net 1,621,342 1,789,049 889,805 1,057,496

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The treasury lock was designated as a cash flow hedging instrument.

The treasury lock was settled in June 2021 in connection with the pricing of the 2031 Notes (see Note 16) and resulted in a $ 4.0 million loss that was recorded in other comprehensive loss as of June 30, 2021 and will be reclassified into earnings as an increase to interest expense over the 10 -year term of the 2031 Notes.

As the $ 4.0 million loss was paid upon issuance of the 2031 Notes in July 2021 (see Note 16), the amount was recorded in accounts payable and accrued expenses within the condensed consolidated balance sheets as of June 30, 2021.

The treasury lock is classified as Level 2 within the fair value hierarchy as its fair value was estimated using observable inputs, based on the 10-year treasury note rate.

The Company settled the treasury lock during the second quarter of 2021 in connection with the pricing of the 2031 Notes (see Note 8.

Debt), which resulted in a $ 4.0 million loss recorded in other comprehensive loss for the nine months ended September 30, 2021 and is being reclassified into earnings as an increase to interest expense over the 10 -year term of the 2031 Notes.

The treasury lock was classified as Level 2 within the fair value hierarchy as its fair value was estimated using observable inputs, based on the 10-year treasury note rate.

Related Party Transactions

As of June 30, 2021 and December 31, 2020, affiliates owned approximately 14.1 % and 14.3 %, respectively, of the Company’s outstanding Class A common shares.

On a fully-diluted basis, affiliates held (including consideration of 635,075 Class B common shares and 50,622,165 and 50,972,165 Class A units as of June 30, 2021 and December 31, 2020, respectively) an approximate 25.9 % and 26.3 % interest as of June 30, 2021 and December 31, 2020, respectively.

As of September 30, 2021 and December 31, 2020, affiliates owned approximately 13.6 % and 14.3 %, respectively, of the Company’s outstanding Class A common shares.

On a fully-diluted basis, affiliates held (including consideration of 635,075 Class B common shares and 50,622,165 and 50,972,165 Class A units as of September 30, 2021 and December 31, 2020, respectively) an approximate 25.1 % and 26.3 % interest as of September 30, 2021 and December 31, 2020, respectively.

American Homes 4 Rent

1 unchanged sentence

American Homes 4 Rent, L.P.

As of June 30, 2021, the Operating Partnership had a receivable from affiliates of $ 25.7 million related to the asset-backed securitization certificates held by AH4R, which was included in amounts due from affiliates on the Operating Partnership’s condensed consolidated balance sheets.

As of September 30, 2021, the Operating Partnership had a receivable from affiliates of $ 25.7 million related to the asset-backed securitization certificates held by AH4R, which was included in amounts due from affiliates on the Operating Partnership’s condensed consolidated balance sheets.

As of December 31, 2020, the Operating Partnership had a receivable from affiliates of $ 25.7 million related to the asset-backed securitization certificates held by AH4R, which was included in amounts due from affiliates on the Operating Partnership’s condensed consolidated balance sheets, and had a $ 4.8 million payable related to accrued common distributions to affiliates, which was included in amounts payable to affiliates on the Operating Partnership’s condensed consolidated balance sheets.

Commitments and Contingencies

As of June 30, 2021, the Company had commitments to acquire 626 single-family properties for an aggregate purchase price of $ 183.0 million, as well as $ 197.6 million in purchase commitments for land relating to our AMH Development Program.

As of September 30, 2021, the Company had commitments to acquire 564 single-family properties for an aggregate purchase price of $ 172.7 million, as well as $ 425.5 million in purchase commitments for land relating to our AMH Development Program, which includes certain land deals expected to close beyond twelve months when development is ready to commence.

As of December 31, 2020, the Company had commitments to acquire 323 single-family properties for an aggregate purchase price of $ 81.7 million, as well as $ 72.3 million in purchase commitments for land relating to our AMH Development Program.

As of June 30, 2021 and December 31, 2020, the Company had sales in escrow for approximately 43 and 97 , respectively, of our single-family properties for aggregate selling prices of $ 14.4 million and $ 24.0 million, respectively.

As of June 30, 2021 and December 31, 2020, the Company, as a condition for entering into some of its development contracts, had outstanding surety bonds of approximately $ 59.9 million and $ 36.7 million, respectively.

As of September 30, 2021 and December 31, 2020, the Company had sales in escrow for approximately 53 and 97 , respectively, of our single-family properties for aggregate selling prices of $ 14.9 million and $ 24.0 million, respectively.

As of September 30, 2021 and December 31, 2020, the Company, as a condition for entering into some of its development contracts, had outstanding surety bonds of approximately $ 79.9 million and $ 36.7 million, respectively.

Captive Insurance Company

In the first quarter of 2021, the Company formed a wholly owned captive insurance company, American Dream Insurance, LLC, which provides general liability insurance coverage for losses below the deductible under the Company’s third-party liability insurance policy.

During the first quarter of 2021, the Company formed a wholly owned captive insurance company, American Dream Insurance, LLC, which provides general liability insurance coverage for losses below the deductible under the Company’s third-party liability insurance policy.

The Company created American Dream Insurance, LLC as part of its overall risk management program and to stabilize its insurance costs, manage exposure and recoup expenses through the functions of the captive program.

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During the third quarter of 2020, we received a notice from the Georgia Attorney General’s Office seeking certain information relevant to an investigation they are conducting about our customary landlord-tenant matters.

We are cooperating with the Georgia Attorney General’s Office on this matter.

We are continuing to cooperate with the Georgia Attorney General’s Office on this matter.

We are involved in various other legal and administrative proceedings that are incidental to our business.

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The global economy has continued to be severely impacted by the COVID-19 pandemic.

We are actively monitoring the impact of the COVID-19 pandemic, which we anticipate will negatively impact our business and results of operations for our third fiscal quarter and likely beyond.

The extent to which our operations will be impacted will depend largely on future developments, which are highly uncertain and cannot be accurately predicted, including new information which may emerge concerning the severity of the pandemic, including with respect to new variants or strains, the speed and effectiveness of vaccine distribution, vaccine adoption rates and actions by government authorities to contain the pandemic or treat its impact, among other things.

We are actively monitoring the impact of the COVID-19 pandemic, which may continue to negatively impact our business and results of operations for our fourth fiscal quarter and likely beyond.

The extent to which our operations will be impacted will depend largely on future developments, which are highly uncertain and cannot be accurately predicted, including new information which may emerge concerning the severity of the pandemic, including with respect to resurgences, new variants or strains, such as the Delta variant, the impact of government regulations, vaccine adoption rates (including boosters), the effectiveness of vaccines, employee retention issues resulting from vaccine mandates, and the direct and indirect economic effects of the pandemic and containment measures, among others.

Subsequent Events

Subsequent Acquisitions

From July 1, 2021 through July 31, 2021, the Company added 412 properties to its portfolio for a total cost of approximately $ 143.0 million, which included 107 newly constructed properties delivered through our AMH Development Program and 46 newly constructed homes acquired from third-party developers through our National Builder Program.

From October 1, 2021 through October 31, 2021, the Company added 392 properties to its portfolio for a total cost of approximately $ 138.4 million, which included 110 newly constructed properties delivered through our AMH Development Program and 44 newly constructed homes acquired from third-party developers through our National Builder Program.

Subsequent Dispositions

From July 1, 2021 through July 31, 2021, the Company disposed of 31 properties for aggregate net proceeds of approximately $ 8.9 million.

From October 1, 2021 through October 31, 2021, the Company disposed of 48 properties for aggregate net proceeds of approximately $ 12.0 million.

Revolving Credit Facility

From July 1, 2021 through July 31, 2021, the Company paid down $ 620.0 million and borrowed an additional $ 20.0 million under its revolving credit facility, resulting in $ 20.0 million of outstanding borrowings under its revolving credit facility as of July 31, 2021.

Unsecured Senior Notes

Interest on the Notes is payable semi-annually in arrears on January 15 and July 15 of each year, commencing on January 15, 2022.

The Operating Partnership used the net proceeds from this offering to repay amounts outstanding on its revolving credit facility and intends to use any remaining net proceeds for general corporate purposes, including, without limitation, property acquisitions and developments, the expansion, redevelopment and/or improvement of existing properties in the Operating Partnership’s portfolio, other capital expenditures, the redemption of its preferred shares, the repayment of outstanding indebtedness, working capital and other general purposes.

The Operating Partnership may redeem the Notes in whole at any time or in part from time to time at the applicable redemption price specified in the indentures with respect to the Notes.

From October 1, 2021 through October 31, 2021, the Company borrowed an additional $ 130.0 million under its revolving credit facility, resulting in $ 130.0 million of outstanding borrowings under its revolving credit facility as of October 31, 2021.

Compared sentence by sentence after normalising whitespace, quotation marks, case and digits, so re-formatting and restated figures do not read as changed language. Wording changes appear as one removal and one addition. The current filing and the prior one are authoritative.

What changed 10-Q

Item 1. Financial Statements