EX-12.2 3 amh123117exhibit122.htm EXHIBIT 12.2 Exhibit


Exhibit 12.2

AMERICAN HOMES 4 RENT, L.P.
RATIOS OF EARNINGS TO FIXED CHARGES AND EARNINGS TO
COMBINED FIXED CHARGES AND PREFERRED DISTRIBUTIONS
(Amounts in thousands)
 
Year ended December 31,
 
 
2017
 
2016
 
2015
 
2014
 
2013 (1)
Earnings:
 
 
 
 

 
 

 
 

 
 

Income (loss) from continuing operations
 
$
76,492

 
$
10,446

 
$
(47,948
)
 
$
(33,092
)
 
$
(20,074
)
Less: equity in earnings of joint ventures
 
(1,642
)
 
(860
)
 
—

 
—

 
—

Add: fixed charges
 
119,006

 
133,783

 
98,103

 
33,077

 
10,016

Less: capitalized interest
 
(5,656
)
 
(2,290
)
 
(8,690
)
 
(13,196
)
 
(9,646
)
Less: gain on remeasurement of equity method investment
 
—

 
—

 
—

 
—

 
(10,945
)
Less: gain on conversion of Series E units
 
—

 
(11,463
)
 
—

 
—

 
—

Less: remeasurement of Series E units
 
—

 
—

 
(2,100
)
 
5,119

 
2,057

Less: remeasurement of participating preferred units
 
(2,841
)
 
7,020

 
4,830

 
6,158

 
1,810

Total earnings
 
$
185,359

 
$
136,636

 
$
44,195

 
$
(1,934
)
 
$
(26,782
)
 
 
 
 
 
 
 
 
 
 
 
Combined fixed charges and preferred distributions:
 
 
 
 
 
 

 
 

 
 

Interest expense (including amortization of loan costs)
 
$
112,620

 
$
130,847

 
$
89,413

 
$
19,881

 
$
370

Capitalized interest
 
5,656

 
2,290

 
8,690

 
13,196

 
9,646

Portion of rental expense which represents interest factor
 
730

 
646

 
—

 
—

 
—

Fixed charges
 
$
119,006

 
$
133,783

 
$
98,103

 
$
33,077

 
$
10,016

Preferred distributions (2)
 
60,718

 
43,264

 
41,067

 
37,528

 
16,223

Combined fixed charges and preferred distributions
 
$
179,724

 
$
177,047

 
$
139,170

 
$
70,605

 
$
26,239

 
 
 
 
 
 
 
 
 
 
 
Ratio of earnings to fixed charges
 
1.56

 
1.02

 
0.45

 
N/A

 
N/A

 
 
 
 
 
 
 
 
 
 
 
Ratio of earnings to combined fixed charges and preferred distributions
 
1.03

 
0.77

 
0.32

 
N/A

 
N/A

 
 
 
 
 
 
 
 
 
 
 
Surplus (deficiency) of earnings to fixed charges
 
$
66,353

 
$
2,853

 
$
(53,908
)
 
$
(35,011
)
 
$
(36,798
)
 
 
 
 
 
 
 
 
 
 
 
Surplus (deficiency) of earnings to combined fixed charges and preferred distributions
 
$
5,635

 
$
(40,411
)
 
$
(94,975
)
 
$
(72,539
)
 
$
(53,021
)

(1)
Excludes discontinued operations.
(2)
Includes distributions of $4.7 million on Series A participating preferred units, $4.1 million on Series B participating preferred units, $10.5 million on Series C participating preferred units, $17.5 million on Series D perpetual preferred units, $14.6 million on Series E perpetual preferred units, $6.2 million on Series F perpetual preferred units and $3.1 million on Series G perpetual preferred units for the year ended December 31, 2017. Includes distributions of $6.3 million on Series A participating preferred units, $5.5 million on Series B participating preferred units, $10.5 million on Series C participating preferred units, $10.6 million on Series D perpetual preferred units, $7.4 million on Series E perpetual preferred units and $3.0 million on Series C convertible units for the year ended December 31, 2016. Includes distributions of $6.3 million on Series A participating preferred units, $5.5 million on Series B participating preferred units, $10.5 million on Series C participating preferred units and $18.8 million on Series C convertible units for the year ended December 31, 2015. Includes distributions of $6.3 million on Series A participating preferred units, $5.7 million on Series B participating preferred units, $6.9 million on Series C participating preferred units and $18.6 million on Series C convertible units for the year ended December 31, 2014. Includes distributions of $1.2 million on Series A participating preferred units, $14.9 million on Series C convertible units and $0.2 million on 3.5% convertible perpetual preferred units for the year ended December 31, 2013.