Elme Communities Files 2023 Annual Report on Form 10-K

TL;DR

<b>Elme Communities has filed its 2023 10-K report detailing its financial performance and operations for the fiscal year ending December 31, 2023.</b>

AI Summary

Elme Communities (ELME) filed a Annual Report (10-K) with the SEC on February 16, 2024. Elme Communities filed its 2023 Form 10-K on February 16, 2024. The filing covers the fiscal year ending December 31, 2023. The company's principal business is Real Estate Investment Trusts. Elme Communities was formerly known as Washington Real Estate Investment Trust. The company's headquarters are located in Bethesda, MD.

Why It Matters

For investors and stakeholders tracking Elme Communities, this filing contains several important signals. This 10-K filing provides a comprehensive overview of Elme Communities' financial health, operational strategies, and risk factors for the past fiscal year, crucial for investors assessing the company's performance and future outlook. As a Real Estate Investment Trust (REIT), understanding Elme Communities' filings is key to evaluating its property portfolio, rental income, and overall market position within the real estate sector.

Risk Assessment

Risk Level: medium — Elme Communities shows moderate risk based on this filing. The filing is a standard 10-K, which typically contains a broad range of information, including financial statements and risk factors, necessitating a thorough review to identify specific material risks.

Analyst Insight

Investors should review the detailed financial statements and risk factor disclosures within the 10-K to understand Elme Communities' performance and potential challenges.

Key Numbers

• 2023-12-31 — Fiscal Year End (Conformed period of report)
• 2024-02-16 — Filing Date (Filed as of date)
• 6798 — SIC Code (Standard Industrial Classification)

Key Players & Entities

• Elme Communities (company) — Filer name
• Washington Real Estate Investment Trust (company) — Former company name
• Bethesda (location) — Business and mailing address city
• MD (location) — State of incorporation and address state

FAQ

Industry Context

Elme Communities operates as a Real Estate Investment Trust (REIT), a company that owns, operates, or finances income-producing real estate.

Regulatory Implications

As a publicly traded company, Elme Communities is subject to the reporting requirements of the Securities and Exchange Commission (SEC), including the filing of annual reports on Form 10-K.

What Investors Should Do

1. Review Elme Communities' 2023 10-K for detailed financial performance and operational highlights.
2. Analyze the risk factors section to understand potential challenges and uncertainties facing the company.
3. Compare the 2023 results with previous years to identify trends and assess growth or decline.

Key Dates

• 2024-02-16: 10-K Filing — Filing of the annual report for the fiscal year ended December 31, 2023.

Year-Over-Year Comparison

This is the initial 10-K filing for Elme Communities under its current name, covering the fiscal year 2023. Previous filings would be under its former name, Washington Real Estate Investment Trust.

Key Financial Figures

• $2,110 — to the third quarter of 2023, averaging $2,110 per month, or $2.39 per square foot, pu
• $2.39 — of 2023, averaging $2,110 per month, or $2.39 per square foot, pushing annual rent gr
• $1,628 — , with effective asking rents averaging $1,628 per month, or $1.60 per square foot. Cl
• $1.60 — ng rents averaging $1,628 per month, or $1.60 per square foot. Class C multifamily pr
• $227.9 m — hree years ended December 31, 2023, was $227.9 million, $209.4 million and $169.2 millio
• $209.4 million — December 31, 2023, was $227.9 million, $209.4 million and $169.2 million, respectively. Durin
• $169.2 m — was $227.9 million, $209.4 million and $169.2 million, respectively. During the three y

Filing Documents

• elme-20231231.htm (10-K) — 2634KB
• q42023exhibit21-entities.htm (EX-21) — 47KB
• q42023exhibit23-consent.htm (EX-23) — 5KB
• q42023ex24-powerofattorney.htm (EX-24) — 8KB
• elme-123123exhibit311.htm (EX-31.1) — 10KB
• elme-123123exhibit312.htm (EX-31.2) — 11KB
• elme-123123exhibit313.htm (EX-31.3) — 11KB
• elme-123123exhibit32.htm (EX-32) — 9KB
• exhibit97-elmecompensation.htm (EX-97) — 25KB
• elme-20231231_g1.jpg (GRAPHIC) — 91KB
• elme-20231231_g2.jpg (GRAPHIC) — 82KB
• 0000104894-24-000019.txt (&nbsp;) — 13007KB
• elme-20231231.xsd (EX-101.SCH) — 92KB
• elme-20231231_cal.xml (EX-101.CAL) — 94KB
• elme-20231231_def.xml (EX-101.DEF) — 432KB
• elme-20231231_lab.xml (EX-101.LAB) — 1019KB
• elme-20231231_pre.xml (EX-101.PRE) — 718KB
• elme-20231231_htm.xml (XML) — 1927KB

Risk Factors 11

Item 1A. Risk Factors 11

Unresolved Staff Comments 24

Item 1B. Unresolved Staff Comments 24

Cybersecurity 24

Item 1C. Cybersecurity 24

Properties 27

Item 2. Properties 27

Legal Proceedings 28

Item 3. Legal Proceedings 28

Mine Safety Disclosures 28

Item 4. Mine Safety Disclosures 28 PART II Item 5. Market for the Registrant's Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities 29

Management's Discussion and Analysis of Financial Condition and Results of Operations 30

Item 7. Management's Discussion and Analysis of Financial Condition and Results of Operations 30

Qualitative and Quantitative Disclosures about Market Risk 45

Item 7A. Qualitative and Quantitative Disclosures about Market Risk 45

Financial Statements and Supplementary Data 46

Item 8. Financial Statements and Supplementary Data 46

Changes in and Disagreements with Accountants on Accounting and Financial Disclosure 46

Item 9. Changes in and Disagreements with Accountants on Accounting and Financial Disclosure 46

Controls and Procedures 46

Item 9A. Controls and Procedures 46

Other Information 46

Item 9B. Other Information 46

Disclosure Regarding Foreign Jurisdictions that Prevent Inspections

Item 9C. Disclosure Regarding Foreign Jurisdictions that Prevent Inspections 74 PART III

Directors, Executive Officers and Corporate Governance 74

Item 10. Directors, Executive Officers and Corporate Governance 74

Executive Compensation 74

Item 11. Executive Compensation 74

Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters 74

Item 12. Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters 74

Certain Relationships and Related Transactions, and Director Independence 74

Item 13. Certain Relationships and Related Transactions, and Director Independence 74

Principal Accountant Fees and Services 74

Item 14. Principal Accountant Fees and Services 74 PART IV

Exhibits and Financial Statement Schedules 75

Item 15. Exhibits and Financial Statement Schedules 75

Form 10-K Summary 76

Item 16. Form 10-K Summary 76 Signatures 78 3 PART I

: BUSINESS

ITEM 1: BUSINESS Elme Communities Overview Elme Communities, a Maryland real estate investment trust, formerly known as Washington Real Estate Investment Trust (the "Company"), is a self-administered equity real estate investment trust ("REIT") and successor to a trust organized in 1960. Our business primarily consists of the ownership of apartment communities in the greater Washington, DC metro and Sunbelt regions. As of December 31, 2023, we owned 28 apartment communities and one office property. Business and Investment Strategy Our mission is to elevate the value living experience and create a place our residents are proud to call home by continuously focusing on service, efficiency, and innovation. We are focused on creating shareholder value by providing quality, affordably priced housing to a deep, solid, and growing base of mid-market demand. Our research indicates that affordability is a pressing rental issue at multiple price points across the mid-market rent spectrum. We believe that rents can be consistently grown if a portfolio's price point does not compete directly with new product price points and wages for mid-market renters are growing. Furthermore, as the cost of homeownership continues to rise above affordable levels for median income earners, we expect to benefit from sustained demand for quality, affordably priced rental housing. We acquire, develop, and renovate apartment communities that align with our research-led investment strategy, which is focused on the following: targeting markets that have economies with diverse, innovative industries that drive outsized job creation, wage growth and in-migration, which we believe will benefit from these trends in the years to come; targeting middle-income renters who make up the largest share of apartment demand in each of our current and target markets but for whom new apartment supply and the cost of owning a home is unaffordable; executing value-add renovations that are tailored to ea

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View this 10-K filing on SEC EDGAR