June 23, 2020

ARMADA HOFFLER PROPERTIES PROVIDES UPDATE ON MONTHLY RENT COLLECTIONS | JUNE RENT COLLECTIONS OUTPACE MAY & APRIL

VIRGINIA BEACH, VA, June 23, 2020 — Armada Hoffler Properties, Inc. (NYSE: AHH) today provided an update on rent collections for the second quarter. As of June 19, the Company’s portfolio rent collections for June were already 87% compared to 85% for the full month of May and 84% for the full month of April.

Nearly 90% of the Company’s retail tenants are currently open or operating and the Company has agreed to terms or is in active negotiations with over 95% of commercial tenants seeking rent relief.

“As anticipated, the positive momentum that we experienced last month has carried over into June and our rent collections for the quarter continue to improve,” said Louis Haddad, President and Chief Executive Officer. “As of the middle of the month, virtually all of our office tenants have already paid June rent and, consistent with the previous two months, we expect to collect nearly all of our apartment rents by the end the month. Ultimately, we anticipate collecting over 90% of rents across the entire portfolio for June. Furthermore, we expect to post another solid quarter of construction profits as our third-party general contracting business continues its high rate of production. Assuming this positive trend continues through July and into August, at its next meeting our Board will discuss paying the third quarter dividend at an appropriate level.”

Monthly rent collections for the second quarter by tenant type and in the aggregate across the Company’s portfolio are presented in the below table:

Rent Collected as a % of Monthly Billings

 

Tenant Type(1)

Full Month

April 2020

Full Month

May 2020

As of

June 19, 2020

Office 100% 100% 100%
Multifamily 99% 99% 96%
Retail 66% 68% 73%
Portfolio 84% 85% 87%
(1) May differ from financial reporting segment groupings for tenants in mixed-use properties.

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UPDATE AS OF June 1, 2020: At Armada Hoffler, our goal remains the safety and well-being of our employees, their families and all of our stakeholder groups.  In response to the ongoing COVID-19 pandemic, our offices have pivoted to a phased-in approach consisting of remote work and in office work. We are working every day to remain consistent with guidelines and protocol issued by the state authorities. Implementation of contingency plans for unseen circumstances such as this, allow our employees to conduct business as usual, regardless of office location. We are committed to providing the same support to our partners and tenants as well as continued communication for our investors. We have always been dedicated to the communities around us and devoted to do our part to keep them safe. We will continue to monitor the situation as it progresses and provide updates as needed.