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EX - 99.1 2 irt - ex991_7.htm EX - 99.1 Exhibit 99.1 Independence Realty Trust Reports Second Quarter 2021 Financial Results & Increases Full Year 2021 Guidance Announces Strategic Merger with Steadfast Apartment REIT , to Create a Leading Sunbelt Multifamily Operator IRT to Host a Conference Call Today at 5pm ET to Discuss Merger Announcement & Second Quarter 2021 Results - PHILADELPHIA – ( BUSINESS WIRE ) - July 26 , 2021 — Independence Realty Trust , Inc. ( “ IRT ” ) ( NYSE : IRT ) , a multifamily apartment REIT , today reported its second quarter 2021 financial results . Second Quarter Highlights Net income available to common shares of $ 3.4 million for the quarter ended June 30 , 2021 compared to a net income of $ 0.8 million for the quarter ended June 30 , 2020 . Earnings per diluted share of $ 0.03 for the quarter ended June 30 , 2021 compared to $ 0.01 for the quarter ended June 30 , 2020 . ● Same store net operating income ( " NOI " ) growth of 9.6 % for the quarter ended June 30 , 2021 compared to the quarter ended June 30 , 2020 . Core Funds from Operations ( " CFFO " ) of $ 20.2 million for the quarter ended June 30 , 2021 compared to $ 16.4 million for the quarter ended June 30 , 2020. CFFO per share was $ 0.20 for the second quarter of 2021 , as compared to $ 0.17 for the second quarter of 2020 . Adjusted EBITDA of $ 28.7 million for the quarter ended June 30 , 2021 compared to $ 25.6 million for the quarter ended June 30 , 2020 . Collected 98.4 % of rents billed during the quarter ended June 30 , 2021 . Company increases fiscal year 2021 same store NOI and CFFO guidance targets . Included later in this press release are definitions of NOI , CFFO , Adjusted EBITDA and other Non - GAAP financial measures and reconciliations of such measures to their most comparable financial measures as calculated and presented in accordance with GAAP . Merger Agreement with Steadfast Apartment REIT IRT and Steadfast Apartment REIT today announced that they have entered into a definitive merger agreement under which Steadfast will merge with IRT , with IRT surviving as the continuing company . The merger will join together two high - quality portfolios with complementary geographic footprints in the highly desirable Sunbelt region of the United States . The combined company will own and operate over 38,000 apartment units across 131 multifamily communities in non - gateway MSA's in 16 states , increase IRT's exposure to core markets including Atlanta and Dallas , and expand its presence into attractive new markets including Denver and Nashville . Pro forma equity market capitalization of the combined company is expected to be approximately $ 4 billion , with a pro forma total market capitalization of approximately $ 7 billion . Under the terms of the merger agreement , each Steadfast common share will be converted into 0.905 shares of newly issued IRT common stock . On a pro forma basis , following the merger , IRT shareholders are expected to own approximately 50 % of the combined company's equity , and Steadfast shareholders are expected to own approximately 50 % . The transaction is expected to close during the fourth quarter of 2021 , subject to customary closing conditions , including approval of both IRT and Steadfast shareholders . This strategic transaction was unanimously approved by the Board of Directors of IRT and the Board of Directors of Steadfast . Management Commentary " Strong momentum continues at IRT , as evidenced by exceptional second quarter results . Our performance was supported by favorable trends , including positive population and employment growth dynamics in our markets , as well as our initiatives to increase occupancy levels and drive rent growth , " said Scott Schaeffer , Chairman and CEO of IRT . " In the second quarter of 2021 , we increased same store NOI by 9.6 % , with occupancy rates up 300 basis points from a year ago to 96.1 % and lease over lease rental rates up 7.3 % . We continued to see strong results from our value add program and made new investments , including the acquisition of communities in Charlotte and Dallas , as well as , the closing of a joint venture to develop a community in Richmond , VA . As a result of our strong results and increased positive outlook , we are raising our full year 2021 CFFO per share and same store NOI growth guidance . "