Acadia Realty Trust Announces Tax Reporting Information for 2022 Distributions

Rhea-AI Summary

Acadia Realty Trust (NYSE: AKR) announced the federal tax treatment for 2022 distributions to common shareholders. The fourth-quarter 2022 distribution of $0.180 per share, paid on January 13, 2023, is classified as a 2023 payment for tax purposes. All ordinary dividends are eligible for a 20% deduction as per Internal Revenue Code Section 199A for non-corporate shareholders. Acadia Realty Trust continues to focus on long-term profitable growth through its Core Portfolio and Fund operating platforms, while encouraging shareholders to consult tax advisors regarding their distributions.

Positive

• Continued focus on long-term profitable growth via Core Portfolio and Fund operating platforms.
• 2022 ordinary dividends qualify for a 20% tax deduction under Internal Revenue Code Section 199A.

Negative

• None.

RYE, N.Y.--(BUSINESS WIRE)-- Acadia Realty Trust (NYSE: AKR) (“Acadia” or the “Company”) has determined that the Federal tax treatment for 2022 distributions to holders of its common shares of beneficial interest (CUSIP # 004239109) traded on the NYSE under the ticker symbol “AKR” is as follows:

						Distribution Allocable to 2022
Record		Payment		Total Distribution				Taxable Qualified		Taxable Ordinary		Total Capital		Unrecaptured Section 1250
Date		Date		Per Share		Total		Dividend		Dividend		Gain		Gain for 2022
3/31/2022		4/14/2022		$0.180000		$0.180000		$0.002044		$0.162216		$0.01574		$0.01574
6/30/2022		7/15/2022		$0.180000		$0.180000		$0.002044		$0.162216		$0.01574		$0.01574
9/30/2022		10/14/2022		$0.180000		$0.180000		$0.002044		$0.162216		$0.01574		$0.01574
12/30/2022		1/13/2023		$0.180000		$0.000000		$0.000000		$0.000000		$0.000000		$0.000000

The fourth quarter 2022 distribution that the Company paid on January 13, 2023, to shareholders of record as of December 30, 2022, was treated as paid in 2023 for income tax purposes. All 2022 ordinary dividends (other than qualified dividends and capital gains) are eligible for the 20% deduction generally allowable to non-corporate shareholders under Internal Revenue Code Section 199A. Shareholders are encouraged to consult with their personal tax advisors as to their specific tax treatment of Acadia’s distributions.

About Acadia Realty Trust

Acadia Realty Trust is an equity real estate investment trust focused on delivering long-term, profitable growth via its dual – Core Portfolio and Fund – operating platforms and its disciplined, location-driven investment strategy. Acadia Realty Trust is accomplishing this goal by building a best-in-class core real estate portfolio with meaningful concentrations of assets in the nation’s most dynamic corridors; making profitable opportunistic and value-add investments through its series of discretionary, institutional funds; and maintaining a strong balance sheet. For further information, please visit www.acadiarealty.com.

The Company uses, and intends to use, the Investors page of its website, which can be found at www.acadiarealty.com, as a means of disclosing material nonpublic information and of complying with its disclosure obligations under Regulation FD, including, without limitation, through the posting of investor presentations that may include material nonpublic information. Accordingly, investors should monitor the Investors page, in addition to following the Company’s press releases, SEC filings, public conference calls, presentations and webcasts. The information contained on, or that may be accessed through, the website is not incorporated by reference into, and is not a part of, this document.

Safe Harbor Statement

Certain statements in this press release may contain forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities and Exchange Act of 1934, as amended. Forward-looking statements, which are based on certain assumptions and describe the Company's future plans, strategies and expectations are generally identifiable by the use of words, such as “may,” “will,” “should,” “expect,” “anticipate,” “estimate,” “believe,” “intend” or “project,” or the negative thereof, or other variations thereon or comparable terminology. Forward-looking statements involve known and unknown risks, uncertainties and other factors that could cause the Company's actual results and financial performance to be materially different from future results and financial performance expressed or implied by such forward-looking statements (including accretion and guidance statements), including, but not limited to: (i) the economic, political and social impact of, and uncertainty surrounding the COVID-19 Pandemic, including its impact on the Company’s tenants and their ability to make rent and other payments or honor their commitments under existing leases; (ii) macroeconomic conditions, such as a disruption of or lack of access to the capital markets; (iii) the Company’s success in implementing its business strategy and its ability to identify, underwrite, finance, consummate and integrate diversifying acquisitions and investments; (iv) changes in general economic conditions or economic conditions in the markets in which the Company may, from time to time, compete, and their effect on the Company’s revenues, earnings and funding sources; (v) increases in the Company’s borrowing costs as a result of rising inflation, changes in interest rates and other factors, including the discontinuation of the USD London Interbank Offered Rate, which is currently anticipated to occur in 2023; (vi) the Company’s ability to pay down, refinance, restructure or extend its indebtedness as it becomes due; (vii) the Company’s investments in joint ventures and unconsolidated entities, including its lack of sole decision-making authority and its reliance on its joint venture partners’ financial condition; (viii) the Company’s ability to obtain the financial results expected from its development and redevelopment projects; (ix) the tenants’ ability and willingness to renew their leases with the Company upon expiration, the Company’s ability to re-lease its properties on the same or better terms in the event of nonrenewal or in the event the Company exercises its right to replace an existing tenant, and obligations the Company may incur in connection with the replacement of an existing tenant; (x) the Company’s potential liability for environmental matters; (xi) damage to the Company’s properties from catastrophic weather and other natural events, and the physical effects of climate change; (xii) uninsured losses; (xiii) the Company’s ability and willingness to maintain its qualification as a REIT in light of economic, market, legal, tax and other considerations; (xiv) information technology security breaches, including increased cybersecurity risks relating to the use of remote technology during the COVID-19 Pandemic; (xv) the loss of key executives; and (xvi) the accuracy of the Company’s methodologies and estimates regarding environmental, social and governance (“ESG”) metrics, goals and targets, tenant willingness and ability to collaborate towards reporting ESG metrics and meeting ESG goals and targets, and the impact of governmental regulation on its ESG efforts.

The factors described above are not exhaustive and additional factors could adversely affect the Company’s future results and financial performance, including the risk factors discussed under the section captioned “Risk Factors” in the Company’s Annual Report on Form 10-K for the year ended December 31, 2021 and other periodic or current reports the Company files with the SEC. Any forward-looking statements in this press release speak only as of the date hereof. The Company expressly disclaims any obligation or undertaking to release publicly any updates or revisions to any forward-looking statements contained herein to reflect any change in the Company’s expectations with regard thereto or change in the events, conditions or circumstances on which such forward-looking statements are based.

View source version on businesswire.com: https://www.businesswire.com/news/home/20230118005951/en/

Jennifer Han

(914) 288-8100

Source: Acadia Realty Trust

FAQ

What is the federal tax treatment for Acadia Realty Trust's 2022 distributions?

The distributions were announced with the fourth-quarter payment classified as paid in 2023 for tax purposes, with ordinary dividends eligible for a 20% deduction.

When was the fourth-quarter distribution paid by Acadia Realty Trust?

The fourth-quarter distribution of $0.180 per share was paid on January 13, 2023.

What is the ticker symbol for Acadia Realty Trust?

The ticker symbol for Acadia Realty Trust is AKR.

Why should shareholders consult tax advisors regarding Acadia Realty Trust's distributions?

Shareholders are encouraged to seek tax advice to understand the specific tax treatment of Acadia's distributions.