Mr. Messenger: UDR is an apartment REIT that owns and manages approximately 45,000 homes. We're in primarily 20 coastal markets with high barriers to entry, high propensity to rent and higher likelihood of job growth when it returns. We invest and own assets close to job centers and transportation. Generally people are making a lifestyle choice to live where we are located. For example, in Orange County the majority of our assets are located west of the 405 - it's a lifestyle choice as opposed to being east of the 405 and commuting a couple of hours into work. Our primary renter demographic is 25 to 35 years old. They are very fluent with handheld devices and the Internet, and we have adapted our operating model to cater to those residents.
TWST: You've given us a snapshot of your portfolio. Do you see that changing or expanding at all in terms of your target markets and neighborhoods?
Mr. Messenger: Over the last eight to nine years, since 2001, we've been in the process of turning the portfolio from 60-plus markets and about 80,000 apartment homes down to what it is today, in 20 markets and 45,000 apartment homes. I don't see us making any significant changes to those locations going forward. Two markets that we are currently not in would be Boston and New York, and we have said publicly that through our joint venture with Kuwait Finance House, we plan to try and enter those locations. But otherwise, UDR for its own book is very happy and very satisfied with its current market mix, and we plan to grow within those markets.
Tickers included in this excerpt: UDR
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